Kate Irwin


<p><em><em>This is a segment from The Drop newsletter. To read full editions, <a href="https://blockworks.co/newsletter/thedrop" target="_blank" rel="noreferrer noopener">subscribe</a>.</em></em></p>



<hr class="wp-block-separator has-alpha-channel-opacity"/>



<p>Remember the “interoperability” gaming dream?&nbsp;</p>



<p>Ubisoft is spinning up a Decentralized Verification Network (DVN) to verify crypto assets that are being moved or bridged from one blockchain to another.&nbsp;</p>



<p>The company is using LayerZero’s tech — more specifically, its codebase and omnichain messaging protocol — in the deal. The game studio is running its own clients and nodes for its network, however.</p>



<p>The DVN means Ubisoft can let players move their NFTs and in-game currencies from one chain to another, which makes them usable with other Ubisoft crypto games (or external games or platforms). It could also make complete migrations from one chain to another easier if Ubisoft ever decided to move one of its blockchain games.</p>



<p>Ubisoft may enable cross-chain bridging soon for its fantasy turn-based RPG Champions Tactics: Grimoria Chronicles, which launched using the Oasys <a href="https://www.coinbase.com/learn/crypto-glossary/what-is-the-ethereum-virtual-machine">EVM</a> blockchain in October 2024. Last year — months before the game launched — LayerZero <a href="https://x.com/LayerZero_Core/status/1778136368025313532">said it was adding support</a> for Oasys with the end goal of making Champions Tactics “omnichain.”</p>



<p>Now, it sounds like that’s actually possible.</p>



<p>LayerZero’s tech turns assets in transit into Omnichain NFTs (<a href="https://docs.layerzero.network/v2/developers/evm/oft/quickstart">ONFTs</a>) or Omnichain fungible tokens (OFTs). ONFTs could be assets like in-game items, while OFTs could be used for in-game currencies.&nbsp;</p>



<p>Ubisoft will be able to decide the cost of bridging assets for users, LayerZero Labs CEO and cofounder Bryan Pellegrino told Blockworks in an interview. LayerZero tech makes all costs upfront, so that no surprise tokens are required for bridging.</p>



<p>The DVN is intended to be easier to use than a traditional crypto bridge, which can require multiple currencies across multiple chains and anywhere from a few minutes to a week to complete bridging an asset depending on the chain.</p>



<p>Pellegrino believes crypto gaming is moving toward becoming a “broader, much more liquid ecosystem,” and that enabling more asset movement between chains is a step toward that vision.</p>



<p>We don’t yet know which chains Ubisoft plans to support with its DVN. But given its existing and upcoming games use Oasys and Immutable zkEVM, respectively, those may be two of the options if Ubisoft adds a bridging feature to Champions Tactics, for example. LayerZero currently supports over 130 blockchains including Ethereum and Solana.</p>



<p>Ubisoft’s Nicolas Pouard, VP of the studio’s Strategic Innovation Lab, has previously said their goal is to be chain-agnostic — which a DVN supporting dozens to over a hundred chains would certainly enable.</p>



<p>After I previously <a href="https://blockworks.co/news/immutable-teases-potential-ubisoft-collab">reported</a> that Ubisoft’s next crypto game is likely a trading card game (TCG) using Immutable’s zkEVM, Ubisoft and Immutable <a href="https://blockworks.co/news/immutable-ubisoft-tcg-might-and-magic">announced</a> that they’re rebooting Might and Magic as a crypto TCG.</p>



<p>“Long term, the goal is that, you know, the user doesn’t think about a chain at all. They don’t think about gas at all. Their wallets are just dollar-denominated. Everything is just abstracted in the backend,” Pellegrino said, adding: “Users aren’t going to think about chains and <a href="https://help.coinbase.com/en/coinbase/getting-started/crypto-education/glossary/rpc-node">RPCs</a> for too much longer.”</p>



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Gaming

Ubisoft, LayerZero launch network for migrating crypto game assets

Sebastian Sinclair

<div id="highlights-block_6245177ab9bcc" class="highlights">
        <ul>
                <li>Blockchain developer Cross The Ages said it will use the funding to further develop its eponymous platform and retain talent</li>
                <li>Funding came from major software publisher Ubisoft crypto gaming unicorn Animoca Brands, among others</li>
            </ul>
    
</div>



<p>Blockchain gaming developer Cross The Ages (CTA) said Monday it had scooped up $12 million in a seed funding round that included some of the industry&#8217;s heavy hitters.</p>



<p>Cross The Ages&#8217; &#8220;free-to-play-and-earn&#8221; metaverse gaming platform saw funding from the likes of Ubisoft and Animoca Brands. Sebastien Borget, co-founder and chief operating officer of The Sandbox, as well as Polygon — the blockchain network that the game is based on — also participated in the round.</p>



<p>Funding will be used to further the game&#8217;s development, retain talent and drive its go-to-market activities, according to a statement. The game has garnered a social community exceeding 380,000.</p>



<p>Cross The Ages Universe is a digital collectible card game set in a dystopian clash of worlds based on seven fantasy and science fiction novels from leading authors.</p>



<p>The firm itself has a growing team of 140, including 70 artists who have worked on major titles such as &#8220;Game of Thrones,&#8221; &#8220;Star Wars,&#8221; &#8220;Lord of the Rings&#8221; and &#8220;Harry Potter.&#8221;</p>



<p>Blockchain gaming is still in its infancy, and digital card games rub up against popular franchises including Blizzard&#8217;s Hearthstone and Wizard of the Coast&#8217;s Magic the Gathering: Arena.</p>



<p>“Since their creation, collectible cards have been cardboard, paper or even plastic at times, yet they have always been represented as a physical medium,&#8221; CTA CEO Sami Chlagou said. &#8220;The advent of NFTs makes it possible to collect cards in a digital format, so CTA will deliver this for users, while also giving them the opportunity to hold a physical version.”</p>



<p>Not all gamers are convinced of the technology underpinning the free-to-play model, though. A report by <a href="https://www.pcgamer.com/storybook-brawl-crypto-review-bomb/" target="_blank" rel="noreferrer noopener">PC Gamer</a> on Wednesday said that players of free-to-play auto battler Storybook Brawl are calling for it to be booted off Steam following FTX.US&#8217;s acquisition of that game&#8217;s developer last week.</p>



<p>Still, CTA said players would be able to &#8220;commodify&#8221; their digital assets in the form of non-fungible tokens (NFTs) via the platform&#8217;s in-game economy while providing users with the option to lease, trade and sell them or convert them to physical cards.</p>



<p>The game is expected to launch to the public in June following testing in March and early access to select users in May, according to its <a href="https://whitepaper.crosstheages.com/roadmap" target="_blank" rel="noreferrer noopener">roadmap</a>.</p>



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<p><strong>Get the news in your inbox. Explore Blockworks newsletters:</strong></p>



<ul class="wp-block-list">
<li><a href="https://blockworks.co/newsletter/the-breakdown"><strong>The Breakdown</strong></a>: Decoding crypto and the markets. Daily.</li>



<li><a href="https://blockworks.co/newsletter/0xresearch"><strong>0xResearch</strong></a>: Alpha in your inbox. Think like an analyst. </li>
</ul>


blockchain

Blockchain Gaming Firm Cross The Ages Gets $12M From Ubisoft, Polygon

Morgan Chittum

<div id="highlights-block_61ca1968c601b" class="highlights">
        <ul>
                <li>Crypto-gaming companies secured $500 million in funding during the first half of 2021</li>
                <li>Gaming will be an on-ramp for crypto adoption, according to Naavik co-founder </li>
            </ul>
    
</div>



<p>2021 was the year of the NFT, <a href="https://www.cnn.com/style/article/nft-word-of-the-year-collins-scli-intl-gbr/index.html" target="_blank" rel="noreferrer noopener">literally.</a> The term was so acclaimed that dictionary publisher, Collins, named it “Word of the Year.”</p>



<p>But beyond tokenized art, play-to-earn non-fungible token (NFT) games surged in popularity. Funding for crypto-gaming companies hit <a href="https://investgame.net/news/gaming-deals-activity-report-h1-2021/" target="_blank" rel="noreferrer noopener">$500</a> million in the first half of the year.&nbsp;</p>



<p>Blockchain-based gaming, unarguably, has gone from fringe to mainstream in the past twelve months. <a href="https://cms.blockworks.co/ubisoft-nft-efforts-are-off-to-a-rocky-start/" target="_blank" rel="noreferrer noopener">Ubisoft,</a> a traditional gaming publisher, announced in-game NFT integration in early December.</p>



<p>As the gaming NFT market nears <a href="https://naavik.co/business-breakdowns/axie-infinity" target="_blank" rel="noreferrer noopener">$10 billion</a>, Blockworks spoke with industry executives about their biggest predictions for the year to come.</p>



<h3 class="wp-block-heading"><strong>“Gaming makes crypto easy to grasp”</strong></h3>



<p>Gaming is and will continue to be an on-ramp for cryptocurrency adoption, according to Naavik co-founder Abhimanyu Kumar.</p>



<div class="wp-block-image"><figure class="alignright size-thumbnail"><img loading="lazy" decoding="async" width="150" height="150" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Kumar-150x150.jpeg" alt="" class="wp-image-13180" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Kumar-150x150.jpeg?w=150 150w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Kumar-150x150.jpeg?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Kumar-150x150.jpeg?w=257 257w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Kumar-150x150.jpeg?w=261 261w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Kumar-150x150.jpeg?w=219 219w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Kumar-150x150.jpeg?w=80 80w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Kumar-150x150.jpeg?w=500 500w" sizes="auto, (max-width: 150px) 100vw, 150px" /><figcaption><meta charset="utf-8">Abhimanyu Kumar, co-founder Navik</figcaption></figure></div>



<p><strong> “It’s going to lead the adoption curve because of the nature of the medium. It&#8217;s entertaining and it&#8217;s fun. It makes crypto easy to grasp,” Kumar, who runs the gaming advisory and research firm, told Blockworks in an interview.</strong></p>



<p>Many cite the popular video game, Axie Infinity, as an example of ways gaming can onboard millions of users into the space. The virtual game, which has amassed almost three million users globally, allows players to earn monetary rewards for trading, battling and breeding NFT creatures.&nbsp;</p>



<p>Around 50% of those users have never owned crypto and 25% do not have access to traditional financial services such as bank accounts, according to Axie Infinity <a href="https://www.coindesk.com/markets/2021/11/23/axie-infinity-finds-ready-players-in-hyperinflation-racked-venezuela/" target="_blank" rel="noreferrer noopener">co-founder Aleksander Larsen</a>.&nbsp;</p>



<p>“With Axie Infinity you [now] have minimum wage earners in the Philippines who understand what a crypto wallet and what a DEX (decentralized exchange) is,” Kumar added. “A lot of my own friends don&#8217;t get that yet.”</p>



<p>Some proponents have dubbed blockchain games as a way to achieve financial independence in developing economies such as Venezuela and the Philippines with <a href="https://www.theverge.com/2021/10/13/22725083/axie-infinity-sky-mavis-blockchain-economy-game-pokemon" target="_blank" rel="noreferrer noopener">anecdotes</a> of players making enough to feed their families. (However, earnings can potentially take a hit contingent upon market volatility.)</p>



<p>“It&#8217;s really developing economic value for people who spend their time [gaming] and can become by definition a job with a revenue stream,” said president of the Blockchain Game Alliance, Borget Sebastien.&nbsp;</p>



<p>Chris Dixon, a general partner at Andreessen Horowitz (a16z), described the industry as continuing “very strongly” next year.&nbsp;&nbsp;</p>



<p>“[Gaming] will be important at the application level but also to cause more investment into infrastructure,” Dixon said in a Twitterspace in early December.&nbsp;</p>



<h3 class="wp-block-heading"><strong>Roadblocks to widespread adoption</strong></h3>



<div class="wp-block-image"><figure class="alignleft size-thumbnail"><img loading="lazy" decoding="async" width="150" height="150" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Stone-150x150.jpeg" alt="" class="wp-image-13184" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Stone-150x150.jpeg?w=150 150w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Stone-150x150.jpeg?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Stone-150x150.jpeg?w=257 257w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Stone-150x150.jpeg?w=261 261w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Stone-150x150.jpeg?w=219 219w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Stone-150x150.jpeg?w=80 80w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Stone-150x150.jpeg?w=376 376w" sizes="auto, (max-width: 150px) 100vw, 150px" /><figcaption><meta charset="utf-8"> Jimmy Stone,consulting partner, Naavik</figcaption></figure></div>



<p>Others wonder what the regulatory environment will look like for blockchain gaming in 2022. Jimmy Stone, a consulting partner at Naavik, described the uncertainty as “another concern from an adoption standpoint” but “would be figured out over time.”</p>



<p>“I&#8217;m still quite bullish on adoption over the next 12 months,” Stone said.</p>



<p>Additionally, Kumar said that it’s “highly likely” that there will be a market correction in the next year.&nbsp;</p>



<p>“There might be a funding lull. Bad stories might pop up like a hack [or a] project that was not able to hit its development deadlines,” Kumar said. “We will get past it and there will be a new wave again.”</p>



<hr class="wp-block-separator"/>



<p><strong>Get the day’s top crypto news and insights delivered to your inbox every evening.&nbsp;<a href="https://cms.blockworks.co/newsletter/?source=end" target="_blank" rel="noreferrer noopener">Subscribe to Blockworks’ free newsletter</a>&nbsp;now.</strong></p>



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Axie Infinity

2022 Prediction: ‘Gaming Will Lead to Further Crypto Adoption’

Sam Reynolds

<div id="highlights-block_61c30d4e26df3" class="highlights">
        <ul>
                <li>On-chain data shows that Ubisoft has had less than $500 in volume on its gaming NFTs</li>
                <li>Ubisoft has faced immense backlash from its developers as it tries to push NFTs as a new companion for games — along with many of the world’s other larges studios</li>
            </ul>
    
</div>



<p>Ubisoft’s much hyped in-game NFT system, which <a href="https://twitter.com/Blockworks_/status/1468286074220945410?ref_src=twsrc%5Etfw" target="_blank" rel="noreferrer noopener">launched earlier this month</a> on the Tezos blockchain alongside <em>Ghost Recon: Breakpoint</em>, hasn’t caught the interest of gamers, according to on-chain data from trackers Objkt and Rarible.</p>



<p>A look at on-chain data via a Tezos block explorer shows that there has only been $435 (100tz) worth of volume on the platform. While Ubisoft Quartz has minted 3,000 of these NFTs so far, it has <a href="https://rarible.com/ubisoft-quartz/activity" target="_blank" rel="noreferrer noopener">sold fewer than 20</a> according to data from Rarible.</p>



<p>Of the 86 transfers of <em>Ghost Recon</em> themed NFTs between users, 49 of them involve transfers to the same account, and a further 24 involve transfers <em>from</em> that same account suggesting wash trading.</p>



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="550" data-dnt="true"><p lang="en" dir="ltr">There aren&#39;t a lot of sales on Rarible, but there have been lots of &quot;transfers,&quot; which appear to not require an actual sale, best I can tell. <br><br>86 transfers total.<br><br>Fun fact: 49 of them involve transfers to the same account; 24 of them involves transfers FROM that same account</p>&mdash; Stephen Totilo (@stephentotilo) <a href="https://twitter.com/stephentotilo/status/1473104369574891531?ref_src=twsrc%5Etfw">December 21, 2021</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



<p>These NFTs can only be sold between players of the specific <em>Ghost Recon</em> game and are only useable in said game. Thus, if the popularity of the game is effectively the market maker for the NFTs themselves. <em>Breakpoint</em> doesn’t appear to be the best reviewed entry of the <em>Ghost Recon </em>franchise, with <a href="https://www.ign.com/articles/2019/10/10/tom-clancys-ghost-recon-breakpoint-review" target="_blank" rel="noreferrer noopener">mediocre review scores</a> from the gaming press.</p>



<p>EA Games and Square Enix have also expressed interest in developing in-game NFTs, with EA CEO Andrew Wilson calling NFT and &#8220;play-to-earn&#8221; games the &#8220;the future of our industry,&#8221; on a recent earnings call. </p>



<h3 class="wp-block-heading"><strong>Do gamers want NFTs?</strong></h3>



<p>Ubisoft’s decision to push for in-game NFTs hasn’t been popular amongst its developers. The trade union representing the company’s Paris-based employees denounced the pivot to NFTs in a <a href="https://twitter.com/SolInfoJeuVideo/status/1470765908851310596?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1470765914106826761%7Ctwgr%5E%7Ctwcon%5Es2_&amp;ref_url=https%3A%2F%2Fwww.eurogamer.net%2Farticles%2F2021-12-16-french-trade-union-calls-ubisoft-nft-scheme-a-useless-costly-ecologically-mortifying-technology" target="_blank" rel="noreferrer noopener">statement published</a> earlier this week.</p>



<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow"><p><strong>&#8220;Ubisoft has recently entered the blockchain and Non-Fungible Tokens (NFT) market. A decision that has been widely criticised by our players, bringing no improvements or benefits to our games,&#8221; the statement reads.</strong> </p></blockquote>



<p>While Ubisoft continues to push ahead with its NFT integration plans, the company behind the game <em>S.T.A.L.K.E.R. 2: Heart of Chernobyl</em> has decided to cancel its NFT plans based on negative feedback it received from fans. </p>



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="550" data-dnt="true"><p lang="und" dir="ltr"><a href="https://t.co/mffnmpiQiw">pic.twitter.com/mffnmpiQiw</a></p>&mdash; S.T.A.L.K.E.R. OFFICIAL (@stalker_thegame) <a href="https://twitter.com/stalker_thegame/status/1471620399997886472?ref_src=twsrc%5Etfw">December 16, 2021</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



<p>The company behind <em>S.T.A.L.K.E.R. 2</em>, a follow-up to the critically acclaimed 2006 sci-fi horror game <em>S.T.A.L.K.E.R </em>had said publicly that the rationale for minting NFTs was to have a new revenue source for funding the game, as it is an indie-studio without large pockets.</p>



<p>Still, it’s not quite clear if the market has made up its mind on NFTs or if anti-NFT voices are drowning out the rest on social media platforms.</p>



<p>A recent survey from insight agency Opinium showed that 58% of its surveyed 197 video game developers are now beginning to use blockchain technology, with 64% saying that blockchain technology will become prevalent in video gaming within the next two years, and 53% believing that NFTs would be more common by then too.</p>



<p>But this data is for developers and not gamers themselves, so until some comprehensive data from gamers comes along, on-chain data will be the best proxy on the actual interest for NFTs in games.</p>



<hr class="wp-block-separator"/>
<p><strong>Get the day’s top crypto news and insights delivered to your inbox every evening.&nbsp;<a href="https://cms.blockworks.co/newsletter/?source=end" target="_blank" rel="noreferrer noopener">Subscribe to Blockworks’ free newsletter</a>&nbsp;now.</strong></p>
<hr class="wp-block-separator"/>


Ubisoft’s NFT Efforts are Off to a Rocky Start

Sam Martin

<div id="highlights-block_109da663053894bbbda91adbce4f10da" class="highlights">
        <ul>
                <li>BTC searches for direction in the midst of mixed sentiment among market participants</li>
                <li>Ubisoft, a large traditional game developer, announces in-game NFT integration</li>
            </ul>
    
</div>



<p>Minor liquidations have taken place since bitcoin&#8217;s (<a href="https://blockworks.co/price/btc">BTC</a>) price topped out earlier today near $52,000.</p>



<p>BTC could be a beneficiary of lower bond yields as we enter into the new year.</p>



<p>PlanB&#8217;s BTC stock-to-flow model appears to be invalidated.</p>



<p>Bitcoin&#8217;s hash rate has made a full recovery since China banned mining earlier in 2021. </p>



<p>Three Arrow Capital purchased $400 million in <a href="https://blockworks.co/price/eth">ETH</a>.</p>



<p>Ubisoft became the first major game studio to implement in-game NFTs.</p>



<p>First Trust filed for a metaverse ETF.</p>



<h3 class="wp-block-heading"><strong>Latest in Macro:</strong></h3>



<ul class="wp-block-list">
<li>S&amp;P 500: 4,686, +2.07%</li>



<li>NASDAQ: 15,686, +3.03%</li>



<li>Gold: $1,784, +0.20%</li>



<li>WTI Crude Oil: $72.03, +3.98%</li>



<li>10-Year Treasury: 1.468%, +0.085%</li>
</ul>



<h3 class="wp-block-heading"><strong>Latest in Crypto:</strong></h3>



<ul class="wp-block-list">
<li><a href="https://blockworks.co/price/btc">BTC</a>: $50,657, +0.54%</li>



<li><a href="https://blockworks.co/price/eth">ETH</a>: $4,316, -0.51%</li>



<li>ETH/BTC: 0.0850, -1.32%</li>



<li>BTC.D: 41.16%, +0.42%</li>
</ul>



<h3 class="wp-block-heading">BTC</h3>



<p>BTC continues to hover near $50,000 as it tries to find direction. The rally up to $52,000 was short lived, as levered longs have been liquidated in recent hours — albeit small numbers when zooming out. </p>


<div class="wp-block-image">
<figure class="aligncenter size-large"><img loading="lazy" decoding="async" width="1024" height="374" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/bybt_chart-6-2-1024x374.png" alt="" class="wp-image-12299" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/bybt_chart-6-2-1024x374.png?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/bybt_chart-6-2-1024x374.png?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/bybt_chart-6-2-1024x374.png?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/bybt_chart-6-2-1024x374.png?w=428 428w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/bybt_chart-6-2-1024x374.png?w=470 470w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/bybt_chart-6-2-1024x374.png?w=389 389w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/bybt_chart-6-2-1024x374.png?w=80 80w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/bybt_chart-6-2-1024x374.png?w=1370 1370w" sizes="auto, (max-width: 1024px) 100vw, 1024px" /><figcaption class="wp-element-caption">Source: Coinglass</figcaption></figure></div>


<p>While macro uncertainty has digital asset investors nervous, some traditional financial analysts seem to think that the next year could be bright for crypto despite the backdrop of tightening monetary policy. </p>



<p>&#8220;Bitcoin will face initial headwinds if the stock market drops, but to the extent that declining equity prices pressure bond yields and incentivize more central-bank liquidity, the crypto may come out a primary beneficiary,&#8221; reads <a href="https://assets.bbhub.io/professional/sites/10/1489771_Crypto-Dev2021Outlook.pdf" target="_blank" rel="noreferrer noopener">Bloomberg&#8217;s 2022 Crypto Outlook</a> report. &#8220;Our graphic depicts U.S. yields potentially on a trajectory to follow Japan and Europe into negative territory. The upcoming digital reserve asset may be a top standout to benefit.&#8221;</p>


<div class="wp-block-image">
<figure class="aligncenter size-large"><img loading="lazy" decoding="async" width="1024" height="693" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-6.02.10-PM-1024x693.png" alt="" class="wp-image-12300" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-6.02.10-PM-1024x693.png?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-6.02.10-PM-1024x693.png?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-6.02.10-PM-1024x693.png?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-6.02.10-PM-1024x693.png?w=380 380w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-6.02.10-PM-1024x693.png?w=386 386w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-6.02.10-PM-1024x693.png?w=324 324w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-6.02.10-PM-1024x693.png?w=80 80w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-6.02.10-PM-1024x693.png?w=1182 1182w" sizes="auto, (max-width: 1024px) 100vw, 1024px" /><figcaption class="wp-element-caption">Source: Bloomberg</figcaption></figure></div>


<p>The crypto fear and greed index is currently sitting at 25, <a href="https://alternative.me/crypto/fear-and-greed-index/" target="_blank" rel="noreferrer noopener">according</a> to data from alternative.me. A lower number indicates fear and a higher number indicates greed on a 100 point scale.</p>


<div class="wp-block-image">
<figure class="aligncenter size-full"><img loading="lazy" decoding="async" width="722" height="640" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-6.08.59-PM.png" alt="" class="wp-image-12301" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-6.08.59-PM.png?w=722 722w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-6.08.59-PM.png?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-6.08.59-PM.png?w=290 290w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-6.08.59-PM.png?w=294 294w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-6.08.59-PM.png?w=247 247w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-6.08.59-PM.png?w=80 80w" sizes="auto, (max-width: 722px) 100vw, 722px" /></figure></div>


<h3 class="wp-block-heading">Stock-to-flow model looks to be invalidated</h3>



<p><a href="https://planbtc.com" target="_blank" rel="noreferrer noopener">PlanB&#8217;s</a> renowned stock-to-flow model is looking more invalidated. On Oct. 31, PlanB took to <a href="https://twitter.com/100trillionUSD/status/1454962054297788417?s=20" target="_blank" rel="noreferrer noopener">Twitter</a> calling for $98,000 by the end of November and $135,000 by the end of December. BTC would need to have a remarkable end of year run to give his famous model a chance of survival. </p>


<div class="wp-block-image">
<figure class="aligncenter size-large"><img loading="lazy" decoding="async" width="1024" height="464" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/bybt_chart-6-3-1024x464.png" alt="" class="wp-image-12302" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/bybt_chart-6-3-1024x464.png?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/bybt_chart-6-3-1024x464.png?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/bybt_chart-6-3-1024x464.png?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/bybt_chart-6-3-1024x464.png?w=428 428w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/bybt_chart-6-3-1024x464.png?w=470 470w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/bybt_chart-6-3-1024x464.png?w=389 389w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/bybt_chart-6-3-1024x464.png?w=80 80w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/bybt_chart-6-3-1024x464.png?w=1104 1104w" sizes="auto, (max-width: 1024px) 100vw, 1024px" /><figcaption class="wp-element-caption">Source: Coinglass</figcaption></figure></div>


<h3 class="wp-block-heading">Bitcoin network hash rate</h3>



<p>The Bitcoin network&#8217;s hash rate has almost fully recovered since the <a href="https://www.aljazeera.com/economy/2021/5/24/china-crackdown-forces-crypto-mining-operators-to-end-operations" target="_blank" rel="noreferrer noopener">China mining</a> ban earlier this year. The recent strength of the world&#8217;s largest digital asset&#8217;s hash rate could be viewed as a sign of the network&#8217;s health.</p>


<div class="wp-block-image">
<figure class="aligncenter size-large"><img loading="lazy" decoding="async" width="1024" height="495" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/@Guzmanpintos-1024x495.jpg" alt="" class="wp-image-12303" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/@Guzmanpintos-1024x495.jpg?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/@Guzmanpintos-1024x495.jpg?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/@Guzmanpintos-1024x495.jpg?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/@Guzmanpintos-1024x495.jpg?w=1536 1536w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/@Guzmanpintos-1024x495.jpg?w=2048 2048w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/@Guzmanpintos-1024x495.jpg?w=428 428w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/@Guzmanpintos-1024x495.jpg?w=470 470w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/@Guzmanpintos-1024x495.jpg?w=389 389w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/@Guzmanpintos-1024x495.jpg?w=80 80w" sizes="auto, (max-width: 1024px) 100vw, 1024px" /><figcaption class="wp-element-caption">Source: @Guzmanpintos</figcaption></figure></div>


<h3 class="wp-block-heading">Three Arrow Capital loading up on ETH</h3>



<p>Roughly 92K ETH were purchased on FTX, Binance and Coinbase and sent to wallets marked as Three Arrow Capital (3ac) by <a href="https://www.nansen.ai" target="_blank" rel="noreferrer noopener">Nansen</a>, according to <a href="https://twitter.com/WuBlockchain/status/1468159951780532228?s=20" target="_blank" rel="noreferrer noopener">Wu Blockchain</a>. </p>



<p>The wallet address of 3ac can be found <a href="https://etherscan.io/address/0x4862733b5fddfd35f35ea8ccf08f5045e57388b3" target="_blank" rel="noreferrer noopener">here</a> on Etherscan.</p>



<p>The move comes as a surprise to many digital asset investors. Zhu Su, CEO and CIO at 3ac, wrote recently on Twitter: &#8220;Yes I have abandoned Ethereum despite supporting it in the past. Yes Ethereum has abandoned its users despite supporting them in the past.&#8221;</p>



<h3 class="wp-block-heading">Non-Fungible Tokens (NFTs)</h3>



<p>Ubisoft, the game developer behind the popular Tom Clancy series, will become the first major game studio to incorporate NFTs in-game, <a href="https://decrypt.co/87752/ubisoft-first-major-gaming-company-launch-in-game-nfts" target="_blank" rel="noreferrer noopener">according</a> to a Decrypt report.</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 loading="lazy" decoding="async" width="1024" height="334" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.21-PM-1024x334.png" alt="" class="wp-image-12297" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.21-PM-1024x334.png?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.21-PM-1024x334.png?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.21-PM-1024x334.png?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.21-PM-1024x334.png?w=1536 1536w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.21-PM-1024x334.png?w=428 428w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.21-PM-1024x334.png?w=470 470w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.21-PM-1024x334.png?w=389 389w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.21-PM-1024x334.png?w=80 80w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.21-PM-1024x334.png?w=2048 2048w" sizes="auto, (max-width: 1024px) 100vw, 1024px" /><figcaption class="wp-element-caption">Top Ethereum Projects</figcaption></figure></div>

<div class="wp-block-image">
<figure class="aligncenter size-large"><img loading="lazy" decoding="async" width="1024" height="284" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.28-PM-1024x284.png" alt="" class="wp-image-12298" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.28-PM-1024x284.png?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.28-PM-1024x284.png?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.28-PM-1024x284.png?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.28-PM-1024x284.png?w=1536 1536w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.28-PM-1024x284.png?w=2048 2048w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.28-PM-1024x284.png?w=428 428w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.28-PM-1024x284.png?w=470 470w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.28-PM-1024x284.png?w=389 389w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-07-at-5.33.28-PM-1024x284.png?w=80 80w" sizes="auto, (max-width: 1024px) 100vw, 1024px" /><figcaption class="wp-element-caption">Top Solana Projects </figcaption></figure></div>


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



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