David Canellis

<div id="highlights-block_633b0898879f2" class="highlights">
        <ul>
                <li>Ecommerce billionaire Lütke became a Coinbase board member in February</li>
                <li>Only one other Coinbase insider has registered stock buys since it went public</li>
            </ul>
    
</div>



<p>Shopify CEO Tobias Lütke has been busy buying the dip on Coinbase stock, having scooped up almost $3 million in shares over the past two months.</p>



<p>Lütke, who co-founded ecommerce giant Shopify in 2006, has on average spent roughly $369,000 on Coinbase stock every week since the start of August.&nbsp;</p>



<p>The billionaire tech entrepreneur <a href="https://www.coinbase.com/blog/tobias-lutke-ceo-of-shopify-to-join-coinbase-board-of-directors" target="_blank" rel="noreferrer noopener">became</a> a Coinbase board member in February and currently holds the title of director, which requires him to file trades with the SEC.</p>



<p>All his purchases were made in line with a Rule 10b5-1 trading plan adopted on May 26, 2022, when Coinbase stock traded for just under $70, having fallen nearly 75% since the start of the year.</p>



<p>Lütke has bought Coinbase stock for as little as $62 (in early September) and as much as $97.24 (in mid-August). Overall, he’s bought 40,315 shares for $2,949,833, per SEC filings, at an average price of $73.17.</p>



<p>Coinbase stock traded for $65 at 11:30 am ET, meaning Lütke is down 12% on his purchases so far, representing $330,000 in nominal losses. Blockworks reached out to Lütke but has yet to receive a response. Coinbase declined to comment.</p>



<p>The company awarded Lütke batches of shares in February and June, and he <a href="https://www.secform4.com/filings/1679788/0001679788-22-000006.htm" target="_blank" rel="noreferrer noopener">disclaimed</a> beneficial ownership 25,500 shares around the time he was elected to the board. Lütke owns 65,815 Coinbase shares per his latest disclosures, now worth $4.28 million.</p>



<p>But Lütke’s repeated buys are rare among company insiders. In fact, one other Coinbase executive has bought the company’s stock since it went public via direct listing last April: Co-founder Fred Ehrsam.</p>



<p>Ehrsam spent $76.8 million on more than 1.12 million shares <a href="https://cms.blockworks.co/crypto-execs-at-coinbase-microstrategy-and-marathon-buy-the-dip/" target="_blank" rel="noreferrer noopener">throughout May</a>, with trades averaging out to $68.49 per share. This puts Ehrsam in the red by 5%, which works out to $3.35 million in paper losses on those particular trades, at current prices.</p>



<h3>Coinbase insiders usually sell their stock</h3>



<p>Indeed, it’s far more common for Coinbase insiders to cash in their shares. After all, Coinbase’s direct listing differed from a traditional initial public offering (IPO), in that no new shares were created when it opened for trading on the Nasdaq. All liquidity instead came from existing shareholders.</p>



<p>Early investors and other insiders such as venture capital titan Andreessen Horowitz and tech investor Fred Wilson have taken part, alongside practically the full suite of C-level Coinbase executives including CEO Brian Armstrong, General Counsel Paul Grewal, Chief Financial Officer Alesia Haas, Chief Product Officer Surojit Chatterjee, and Chief Accounting Officer Jennifer Jones, the latter of which sold $595,000 in company stock as recently as August.</p>



<p>In total, Coinbase insiders have jettisoned almost 15.7 million company shares for around $5.8 billion, at an average price of $369.39, according to SecForm4 data compiled by Blockworks — more than 85% of it offloaded during Coinbase’s first day of public trading.</p>



<p>Coinbase stock would need to rise more than 450% to reclaim insiders’ average sale price to date.</p>



<p>Wilson has so far sold more Coinbase stock than any other insider, having generated $3.63 billion across his own sales and that of his investment vehicle, Union Square Ventures.</p>



<p>Coinbase co-founder Ehrsam comes in at number two — he sold a tad over 1.5 million shares for $492.3 million throughout 2021, for an average price of $328.18 — followed by Marc Andreessen with $311.2 million in sales for an average price of $294.15 per share.</p>



<h3>Short interest remains steady despite headaches</h3>



<p>Coinbase&#8217;s shareholders writ large will need strong conviction moving forward. The company faces persistent headwinds going into this year’s fourth quarter that stretch far beyond the bleak general macroeconomic outlook.</p>



<p>“Coinbase is still in the grips of a lot of recent issues, including SEC action, technical issues, terrible financial metrics (huge negative EBITDA) and fee structure,” Oisin Maher, founder of QuantX Analytics, said.</p>



<p>Stock pickers have grown reliant on ‘back-to-basics’ approaches to calculating where to park money to weather inflation and depressed market sentiment, seeking strong balance sheets with clear revenue growth. “I&#8217;m not a fan of their heavy use of non-GAAP metrics in their accounting,” Maher said.&nbsp;</p>



<p>“The stock may have some short-term upside potential, but beyond that, I would prefer to stay away from it.” Coinbase reported a year-on-year 63% drop in revenue in this year’s second quarter, posting a $1.1 billion loss on $803 million revenues, both figures below analyst expectations.</p>



<p>These factors could explain why Shopify’s Lütke stands as the lone Coinbase insider to load up on Coinbase shares last quarter, despite the dip.&nbsp;</p>



<p>Coinbase’s stable short interest offers one ray of hope. Over the past two months, COIN short interest has hovered between 24.6 million and 26 million shares, equal to about 17% of the float, indicating bets on further substantial dumps are drying up.</p>



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Shopify CEO Spends $3M on Coinbase Stock in 2 Months

Michael Bodley

<div id="highlights-block_624f64707c1ac" class="highlights">
        <ul>
                <li>Strike CEO Jack Mallers detailed the new partnership Thursday at the Bitcoin 2022 conference in Miami</li>
                <li>Traditional payment processors haven’t innovated in more than 50 years, Mallers said</li>
            </ul>
    
</div>



<p>In a move to revitalize the payments processing industry, which Strike CEO Jack Mallers said Thursday has been stagnant for 55 years, the company unveiled a partnership with Shopify to facilitate bitcoin-to-cash payments over the Lightning Network.&nbsp;</p>



<p>The setup is live now with Los Angeles-based streetwear designer Warren Lotas, with the plan being to add additional merchants in the coming months, Mallers said at the Bitcoin 2022 conference in Miami.</p>



<p>Railing against a “boomeristic” credit card system that started when “rich dudes” didn’t want to carry around wads of cash to buy caviar at high-end Manhattan restaurants, Mallers posited bitcoin as a solution to fees, transfer times and settlement issues that plague the traditional financial system.</p>



<p>Not content with targeting the online payments market, Strike — a digital payments platform based on the Lightning network — has also moved to enable in-person transactions via Lightning, connected by a user’s bitcoin wallet of choice. The company partnered with alternative payments processor Blackhawk and point-of-sale provider NCR to facilitate such transactions.&nbsp;</p>



<p>Dressed casually with his trademark hat, Mallers, through bits of laughter and profanity, presented himself as “just this kid from Chicago” in a stark contrast from the buttoned-up CEOs of traditional finance.&nbsp;</p>



<p>“In reality, payment networks have not innovated in over 50 years,” Mallers said. “That’s insane…that’s ridiculous.”</p>



<p>Mallers has also been working with political heavyweights, including the <a href="https://cms.blockworks.co/senators-warren-lummis-divided-on-digital-asset-value-agree-on-regulation/" target="_blank" rel="noreferrer noopener">bitcoiner Sen. Cynthia Lummis</a>, R-Wyo., to “get this done.”</p>



<p>The idea is to roll out in-person bitcoin payments at scores of retailers, including Chipotle, Whole Foods and Walmart.&nbsp;</p>



<p>There’s no word yet on whether the companies have opted in to the proposal — or any reaction from old-school payment processors that rely on fees for moving money. Strike’s transactions, which are instantly settled, cut down parties from five to two: the buyer and the seller.</p>



<p>“Anyone can build anything, man,” Mallers said. “Anyone can build anything.”</p>



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Strike Rolls Out Shopify Partnership, Facilitates Online Bitcoin Transactions

Sam Martin

<div id="highlights-block_617725d07bf3f" class="highlights">
        <ul>
                <li>Yearn Finance initiates YFI buyback program to distribute earnings to token holders</li>
                <li>Bitwise launches the world&#8217;s first NFT Index</li>
            </ul>
    
</div>



<p>Yearn Finance is one of the leading yield aggregators in DeFi.</p>



<p>Yearn Finance boasts $5.24 billion in total value locked (TVL) and holds 6.79% of the Curve Finance governance token, veCRV.</p>



<p>0.77% of the YFI token supply has been repurchased by the DAO since the approval of the proposal on Nov. 12.</p>



<p>Shopify is launching its beta version of an NFT marketplace.</p>



<p>Bitwise launches the world&#8217;s first NFT Index.</p>



<h3><strong>Latest in Macro:</strong></h3>



<ul><li>S&amp;P 500: 4,668, -0.87%</li><li>NASDAQ: 15,180, -2.47%</li><li>Gold: $1,799, +1.12%</li><li>WTI Crude Oil: $71.98, +1.57%</li><li>10-Year Treasury: 1.424%, -0.038%</li></ul>



<h3><strong>Latest in Crypto:</strong></h3>



<ul><li>BTC: $47,774, -1.76%</li><li>ETH: $3,996, -0.39%</li><li>ETH/BTC: 0.0837, +1.62%</li><li>BTC.D: 40.83%, -0.89%</li></ul>



<h3>Yearn Finance overview</h3>



<p>Yearn Finance (YFI) is a suite of products in Decentralized Finance (DeFi) that provides lending aggregation, yield generation and insurance on the Ethereum blockchain. The protocol is maintained by various independent developers and is governed by YFI holders, according to <a href="https://docs.yearn.finance/getting-started/intro" target="_blank" rel="noreferrer noopener">documents on the project&#8217;s website</a>.</p>



<p>The protocol has three core product offerings as it stands today: <a href="https://yearn.finance/#/vaults" target="_blank" rel="noreferrer noopener">Vaults</a>, <a href="https://yearn.finance/#/labs" target="_blank" rel="noreferrer noopener">Labs</a> and <a href="https://yearn.finance/#/ironbank" target="_blank" rel="noreferrer noopener">Iron Bank</a>.</p>



<p>Yearn Finance is a decentralized application and is <a href="https://docs.yearn.finance/resources/faq#governance" target="_blank" rel="noreferrer noopener">governed</a> in a decentralized manner. &#8220;The Yearn ecosystem is controlled by YFI token holders who submit and vote on off-chain proposals that govern the ecosystem. Proposals that generate majority support (>50% of the vote) are implemented by a <a href="https://docs.yearn.finance/resources/faq#who-is-on-the-multisig" target="_blank" rel="noreferrer noopener">nine-member multi-signature</a> wallet. Changes must be signed by six out of the nine wallet signers in order to be implemented,&#8221; noted the <a href="https://docs.yearn.finance/getting-started/intro#earn" target="_blank" rel="noreferrer noopener">protocol&#8217;s documentation</a>.</p>



<p>The project initiated one of the first community-fair-launched token distributions, giving out 30,000 YFI tokens to early protocol users by a surprise yield farming announcement on July 17, 2020, according to <a href="https://www.coingecko.com/en/coins/yearn-finance?__cf_chl_jschl_tk__=kOBJmLdj6Zk6jvacvmgX5aPL0oHKg3DogkQWC5Y8W5c-1639677258-0-gaNycGzNCT0" target="_blank" rel="noreferrer noopener">Coingecko</a>. The total maximum supply of 36,666 YFI tokens are all in circulation. Coingecko also notes that there was no pre-mine involved.</p>



<h3>Yearn statistics</h3>



<div class="wp-block-image"><figure class="aligncenter size-full"><img decoding="async" loading="lazy" width="869" height="235" src="https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-12.59.02-PM.png" alt="" class="wp-image-12767" srcset="https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-12.59.02-PM.png 869w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-12.59.02-PM-300x81.png 300w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-12.59.02-PM-768x208.png 768w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-12.59.02-PM-428x116.png 428w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-12.59.02-PM-470x127.png 470w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-12.59.02-PM-389x105.png 389w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-12.59.02-PM-80x22.png 80w" sizes="(max-width: 869px) 100vw, 869px" /><figcaption>Source: https://yearn.vision/?orgId=1&amp;refresh=1m&amp;kiosk</figcaption></figure></div>



<p>As seen in the photo above, Yearn Finance boasts $5.24 billion in total value locked (TVL) and holds 6.79% of the Curve Finance governance token, veCRV, according to data from <a href="https://yearn.vision/?orgId=1&amp;refresh=1m&amp;kiosk" target="_blank" rel="noreferrer noopener">yearn.vision</a>.</p>



<p><a href="https://curve.fi" target="_blank" rel="noreferrer noopener">Curve Finance</a>&nbsp;(CRV) is a decentralized liquidity pool built on top of Ethereum, similar to Uniswap (UNI), but with a focus on the exchange of stablecoins.&nbsp;</p>



<p>The main goals of Curve Finance are to facilitate extremely efficient trading, with low slippage and to provide a relatively low-risk and supplemental fee income for liquidity providers (LPs) without the risk of so-called impermanent loss — the opportunity cost of being an LP in volatile digital assets, as I had <a href="https://cms.blockworks.co/curve-finance-rallies-will-defi-follow/" target="_blank" rel="noreferrer noopener">reported</a> at the end of October.</p>



<p>Curve is one of the largest decentralized apps (dApps) in the digital asset space when measured by TVL, with $13.91 billion of liquidity according to <a href="https://defipulse.com/curve-finance" target="_blank" rel="noreferrer noopener">Defi Pulse</a>. Due to the systemic importance of stablecoins in DeFi, Yearn Finance&#8217;s voting power in Curve governance is significant. </p>



<p>Yearn is currently the second-largest veCRV holder, according to data from <a href="https://dune.xyz/banteg/misc" target="_blank" rel="noreferrer noopener">Dune Analytics</a>, amongst decentralized autonomous organizations (DAOs). This means they have a lot of pull in governance decisions when it comes to one of the largest automated market makers (AMMs) in Web3: Curve Finance.</p>



<div class="wp-block-image"><figure class="aligncenter size-full"><img decoding="async" loading="lazy" width="641" height="290" src="https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-1.10.58-PM.png" alt="" class="wp-image-12768" srcset="https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-1.10.58-PM.png 641w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-1.10.58-PM-300x136.png 300w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-1.10.58-PM-428x194.png 428w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-1.10.58-PM-470x213.png 470w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-1.10.58-PM-389x176.png 389w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-1.10.58-PM-80x36.png 80w" sizes="(max-width: 641px) 100vw, 641px" /><figcaption>Source: Dune Analytics</figcaption></figure></div>



<h3>YFI Buyback program</h3>



<p>Yearn Finance announced on <a href="https://twitter.com/iearnfinance/status/1463622432439382021?s=20" target="_blank" rel="noreferrer noopener">Twitter</a> that it launched an updated user interface and is continually working on the V3 product in its beta testing period. More details can be found in this <a href="https://medium.com/iearn/yearn-ui-v3-0-a194355bdb1f" target="_blank" rel="noreferrer noopener">Medium post</a> written by DAO contributor @dudesahn.</p>



<p>On Oct. 6, <a href="https://twitter.com/bantg?s=20" target="_blank" rel="noreferrer noopener">@banteg</a>, a community member of Yearn Finance, posted on the projects <a href="https://gov.yearn.finance/t/call-for-ideas-yfi-tokenomics-revamp/11573/2" target="_blank" rel="noreferrer noopener">governance portal</a> a call to action from the community asking for inputs on how the YFI tokenomics could be improved to help more value accrue to token holders.</p>



<p>Many proposals were submitted from community members and a vote took place on which version to implement from Dec. 7 to Dec. 12, according to <a href="https://snapshot.org/#/ybaby.eth/proposal/0x783cb3d57dd59b2827f6a42967375f06504cc947ebaa3c0e495c7b29ffd47aea" target="_blank" rel="noreferrer noopener">snapshot.org</a>. An overview of the winning poll, xYFI, can be seen in the following photo:</p>



<div class="wp-block-image"><figure class="aligncenter size-full"><img decoding="async" loading="lazy" width="620" height="443" src="https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-1.34.35-PM.png" alt="" class="wp-image-12769" srcset="https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-1.34.35-PM.png 620w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-1.34.35-PM-300x214.png 300w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-1.34.35-PM-360x257.png 360w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-1.34.35-PM-365x261.png 365w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-1.34.35-PM-307x219.png 307w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-1.34.35-PM-80x57.png 80w" sizes="(max-width: 620px) 100vw, 620px" /><figcaption>Source: snapshot.org</figcaption></figure></div>



<p>As a result of the communities approval, the project&#8217;s official <a href="https://twitter.com/iearnfinance/status/1471507234148339727?s=20" target="_blank" rel="noreferrer noopener">Twitter account announced</a> earlier today: &#8220;Yearn has purchased $7,526,343 worth of YFI from the open market. We got 282.4 YFI (0.77% of total supply) at an average price of $26,651. More YFI has been bought back in the past month than in the prior year. Now that the Treasury has more than $45 million saved up and with earnings stronger than ever, expect much more aggressive buybacks.&#8221;</p>



<p>Adam Cochran, partner at Cinneamhain Ventures, <a href="https://twitter.com/adamscochran/status/1471518544944943104?s=20" target="_blank" rel="noreferrer noopener">noted</a> that Yearn is looking to do a fee distribution to holders, similar to the veCRV model and xSushi model. Cochran added, &#8220;I also think its 100% likely that when Yearn shifts to a veYearn model, DAO treasuries will start to accumulate YFI the same way they do CVX and CRV.&#8221;</p>



<h3>What is the significance?</h3>



<p>Now that Yearn has implemented a buyback program to distribute the protocol&#8217;s earnings to stakers, some traditional financial metrics can be applied, albeit not perfect, to assist investors in valuing the protocol.</p>



<p>As of Dec.15, Yearn has generated $47.4 million in revenue over the past 180 days and trades at a price-to-earnings ratio of 7.65x, according to data from <a href="https://www.tokenterminal.com/terminal/projects/yearn-finance" target="_blank" rel="noreferrer noopener">Token Terminal</a>.</p>



<div class="wp-block-image"><figure class="aligncenter size-full"><img decoding="async" loading="lazy" width="751" height="525" src="https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-2.22.01-PM.png" alt="" class="wp-image-12771" srcset="https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-2.22.01-PM.png 751w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-2.22.01-PM-300x210.png 300w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-2.22.01-PM-368x257.png 368w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-2.22.01-PM-373x261.png 373w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-2.22.01-PM-313x219.png 313w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-2.22.01-PM-80x56.png 80w" sizes="(max-width: 751px) 100vw, 751px" /><figcaption>Source: Token Terminal</figcaption></figure></div>



<p>With 0.77% of the YFI supply being bought back just a few days after the xYFI implementation, potential adoption of the veYearn model incentivizing DAOs to accumulate YFI, a maximum supply of 36,666 YFI, and a fully diluted value of $883 million according to <a href="https://coinmarketcap.com/currencies/yearn-finance/" target="_blank" rel="noreferrer noopener">CoinMarketCap</a>, there are a lot of bullish tailwinds for YFI investors.</p>



<p>For comparison on the significance of the first YFI buyback, Ethereum has burned <a href="https://watchtheburn.com" target="_blank" rel="noreferrer noopener">~1.2 million ETH</a>, representing 1.01% of its current supply, since the <a href="https://cms.blockworks.co/eip-1559-is-live-thanks-to-ethereums-london-hard-fork/" target="_blank" rel="noreferrer noopener">implementation of EIP-1559</a> in early August. It is worth noting that ETH does not have a supply cap like YFI, although it could be inflationary or deflationary depending upon market dynamics at any given time.</p>



<p>For investors wondering what xYFI staking yields or YFI token price could be in the future, the chart below from the <a href="https://docs.google.com/document/d/1ev16BXu3bDC8zMSBvHmxMWIeD82ptZck6SJAO5frV5g/edit" target="_blank" rel="noreferrer noopener">xYFI proposal draft</a> provides a rough framework for potential yields and valuations:</p>



<div class="wp-block-image"><figure class="aligncenter size-full"><img decoding="async" loading="lazy" width="1024" height="497" src="https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-2.20.06-PM.png" alt="" class="wp-image-12772" srcset="https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-2.20.06-PM.png 1024w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-2.20.06-PM-300x146.png 300w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-2.20.06-PM-768x373.png 768w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-2.20.06-PM-428x208.png 428w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-2.20.06-PM-470x228.png 470w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-2.20.06-PM-389x189.png 389w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-2.20.06-PM-80x39.png 80w" sizes="(max-width: 1024px) 100vw, 1024px" /><figcaption>Source: <a href="https://docs.google.com/document/d/1ev16BXu3bDC8zMSBvHmxMWIeD82ptZck6SJAO5frV5g/edit" target="_blank" rel="noreferrer noopener">xYFI proposal draft</a></figcaption></figure></div>



<p>The <a href="https://docs.google.com/document/d/1ev16BXu3bDC8zMSBvHmxMWIeD82ptZck6SJAO5frV5g/edit" target="_blank" rel="noreferrer noopener">draft states</a>, &#8220;Above are two charts. The first shows the estimated yield of the xYFI vault based on market P/E and the percentage of total tokens staked.&nbsp; For example, if only 50% of all YFI was staked and the market was pricing YFI at a P/E of 35 then the xYFI vault would have a 6% yield.&nbsp;The second chart shows price per token based on market P/E and actual earnings.&#8221;</p>



<p>YFI was last trading near $24,750, up ~19% on the day according to <a href="https://www.coingecko.com/en/coins/yearn-finance" target="_blank" rel="noreferrer noopener">CoinGecko</a>. It is the 126th largest digital asset by market capitalization.</p>



<h3>Non-Fungible Tokens (NFTs)</h3>



<p>Tobias Lutke, the founder and CEO of Shopify, took to <a href="https://twitter.com/tobi/status/1471530952866340868?s=20" target="_blank" rel="noreferrer noopener">Twitter to announce</a> that Shopify is launching its beta version of an NFT marketplace.</p>



<p>Matt Hougan, CIO of Bitwise, <a href="https://twitter.com/Matt_Hougan/status/1471489244824674306?s=20" target="_blank" rel="noreferrer noopener">announced</a> today the launch of the world&#8217;s first NFT Index. The heaviest weight projects are CryptoPunks and Bored Ape Yacht Club.</p>



<p>Trading data from <a href="https://opensea.io/rankings" target="_blank" rel="noreferrer noopener">OpenSea</a> and <a href="https://solanalysis.com" target="_blank" rel="noreferrer noopener">Solanalysis</a> of some of the top Solana and Ethereum projects can be found below:</p>



<div class="wp-block-image"><figure class="aligncenter size-large"><img decoding="async" loading="lazy" width="1024" height="334" src="https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-5.13.08-PM-1024x334.png" alt="" class="wp-image-12782" srcset="https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-5.13.08-PM-1024x334.png 1024w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-5.13.08-PM-300x98.png 300w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-5.13.08-PM-768x251.png 768w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-5.13.08-PM-428x140.png 428w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-5.13.08-PM-470x153.png 470w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-5.13.08-PM-389x127.png 389w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-5.13.08-PM-80x26.png 80w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-5.13.08-PM.png 1234w" sizes="(max-width: 1024px) 100vw, 1024px" /><figcaption>Top Ethereum Projects</figcaption></figure></div>



<div class="wp-block-image"><figure class="aligncenter size-large"><img decoding="async" loading="lazy" width="1024" height="287" src="https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-5.13.16-PM-1024x287.png" alt="" class="wp-image-12783" srcset="https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-5.13.16-PM-1024x287.png 1024w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-5.13.16-PM-300x84.png 300w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-5.13.16-PM-768x215.png 768w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-5.13.16-PM-428x120.png 428w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-5.13.16-PM-470x132.png 470w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-5.13.16-PM-389x109.png 389w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-5.13.16-PM-80x22.png 80w, https://cms.blockworks.co/wp-content/uploads/2021/12/Screen-Shot-2021-12-16-at-5.13.16-PM.png 1198w" sizes="(max-width: 1024px) 100vw, 1024px" /><figcaption>Top Solana Projects </figcaption></figure></div>



<p>If you made it this far, thanks for reading! I am looking forward to catching up tomorrow.</p>



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