What Cryptos and Tweets Are Hot According to Alfonso

RT @openservai: 🔮 Hackathon judges revealed With just two more sleeps until our $SERV hackathon kicks off, meet the experts who'll be eval… 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

RT @crossmint: NEW IN SOLANA SMART WALLETS PAY FEES WITH STABLECOINS Let users pay fees in $USDC / $USDT with the click of a button (or s… 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

Let's first go back to 2017. Back then founders were doing ICOs and launching protocols, DAOs and companies of value. @chainlink @0xProject @AragonProject built a lot of the infra that the decentralized web is based on today 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

It was Gensler's inability to deliver a clear, usable regulatory framework, that drove web3 founders and traders towards the assets we complain about. While now crypto sentiment is at the lowest, if you understand what took us here, you should be EXTREMELY bullish about what t.co/NDsm0G9lyV 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

In 2021, founders launched NFT projects. But SEC decided to go against some of them, too. So many moved into building infra, or to other industries outside of crypto. 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

But then the SEC said it may be illegal to launch ICOs, and started regulating via enforcement: Telegram, Kik had their ICOs closed, even @solana was at some point under scrutiny So many builders moved abroad, switched work to protocols, all trying to stay away from SEC claws 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

Instead: grifters, smoke sellers, unethical marketers, and experts in building shadow connections... became kings in the shadows 👑 (many of which came to light this week) 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

So builders started launching memecoins... But that mostly didn't work. It turned out, having a great product was irrelevant as you couldn't tie it to the token So builder founders didn't have great launches. 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

And in 2024/25, the industry evolved. The only token that is safe to launch, is one that doesn't promise anything: meme tokens. t.co/hYVphnnOjI 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

And on another... The new SEC has pivoted to provide clear regulatory frameworks, as opposed to regulation by enforcement. They see the mess that Gary and others created and are turning the problem upside down. They will make it safe for builders to launch tokens again. 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

On one hand, launches like $TRUMP, or platforms like Polymarket have taken token investments full into the mainstream, and proven there is high demand amongst retail for investing in new things. They are tired of public markets, with trillion dollar behemoths that are irrelevant 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

But this is not pessimistic. 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

Token launches will come back, bigly. They will back high quality projects. They will better align incentives between projects and investors. And my bet is they will become the primary way to fund startups. In 2-3 years. 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

You're a good guy! 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

$CHAOS was a good token choice for this XD 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

My non crypto friends write me confused - how are memecoins legal? Aren't they a clearly criminal asset? Memecoins are actually a fairly clean asset. A genius primitive, born out of years of natural selection in the toughest adversarial regulatory environment. Learn why 🧵 t.co/eV0ntfIx2U 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

2. Importantly, these tokens don't have any inherent value * They don't represent shares in anything * They don't promise any dividends * They aren't usable as a currency 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

1. What's a memecoin? They are fungible tokens, like $TRUMP, living on a blockchain like Solana, that people trade for money They tend to follow cultural memes of the moment. From celebrities, to purely online memes (e.g. a dog with a hat), they represent something memorable 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

5. So aren't these tokens a security? I, and the SEC, think they aren't. Not everything you can invest on is a security. A security is something that passes the howey test: t.co/U7gnkObXIg 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

4. And who makes these tokens? In some cases it's clear, such as $TRUMP. But in most, it's actually unknown, or it may be even possible that the creation process itself is decentralized - a series of users independently pool money inside platforms like t.co/pF8Eg2ORgx 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

3. Why the hell do people buy them?? Some will say that for fun. But I don't think that's true. People buy them because they think they can sell it later to someone else for a higher price. They think they will make money with them. 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

7. Read carefully the wording on t.co/kREJx8NaJo , their terms, and how the launch was announced This was very meticulously planned, by some of the most elite legal teams in the planet, to avoid any misclassification whatsoever. t.co/FTFfo70iP7 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

6. Notably, memecoins don't pass the test (probably) for two reasons: 1. There's no investment contract (in most cases) because there's no party promising anything for the token 2. The price of the token is not tied in any way to efforts from the token creators 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

9. A separate consideration is whether these tokens are currencies. This one is more tricky but it ultimately comes to: are people actually using them as a means of exchange? And due to their highly volatile price vs USD they, almost always, aren't. t.co/60l4oKit9N 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

8. Note - some memecoin launches actually do make promises of future gains. Those are usually launched by amateurs, and are likely to be considered securities. But this is BY FAR a tiny minority of the >10,000 tokens launched PER DAY 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

12. The SEC, in an effort to combat scams, but riddled with technical incompetence and public admin slowness, completely poisoned the well. They overreached, ran a realm of terror - of regulation via enforcement - and scared most token founders either off of the US, or off of 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

11. And there's a deep lesson here ICOs, NFTs and other tokenized assets actually did, in many cases, lead to value creation People could invest into teams with real ideas and who in many cases created value for the World Of course, there were countless scams, too... 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

10. So all in all, memecoins are an asset that: * Is inherently worthless * Is not an investment contract * Is useless as a currency * Yet, due to its memetic value, and countless stories of rags to riches, people expect to make money off them 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

14. And here we ended :) Billions of the world economy in $FARTCOIN, dog themed tokens and more Memecoins are here to stay. And unless SEC and regulators clear up fast their mess and put out a clear, low friction process to sell securities, the implications are dire 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump

13. But one thing didn't change... retail's appetite to invest Investors realized they didn't actually need assets to be productive, in order to give them returns They just needed to have a story in their head on why their price would go up... 2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump2VFK9h3fBrVJNficF6Yu4xkADhL4Mt7uFiSZhRpepump