📌 MUST READS

Tokenized Treasuries Are Soaring

Last month, we covered a new project, Backed Finance, which is an on-chain treasury management solution that tokenizes securities to provide attractive yields. In plain English, Backed allows users to invest in traditional assets like Treasuries or even popular equities like Google or Apple with their crypto.

This was intriguing to us because while yields on stablecoins are lower than treasuries at the moment, there are numerous advantages to holding assets on-chain, including that it’s a 24/7 market with limited barriers to entry.

Backed provides the best of both worlds by taking the strong yields from traditional assets and putting them on-chain.

Well, it appears we weren’t the only people fascinated by on-chain treasuries. As it turns out, demand for on-chain treasuries is soaring, with the market-cap of tokenized money market funds now sitting at a robust $500 million, 4x what it was last year.

Some of the notable projects in this niche include:

Overall, this is all part of a wider trend toward the tokenization of real-world assets (RWA). This is a use-case that TradFi entities like JP Morgan and Bank of America are in love with, and it’s a topic that CoinSnacks contributor Stephen has covered extensively (here, here, and here).

It’s not hard to see why so many people are attracted to tokenized RWAs: it solves issues existing in both crypto and traditional finance.

For crypto, tokenizing an RWA gives a steady source of yield and provides crypto with the “real” asset that many feel it currently lacks. While for TradFi, tokenized assets spice these boring investment objects up with some much-needed liquidity, flexibility, and dynamism.

For these reasons, tokenized RWAs will likely continue to grow, especially if the yields in DeFi remain inferior to those found in TradFi.

SPONSORED

The Death of the Petrodollar

China and Russia just agreed on using the Chinese Yuan for trade amongst each other as well as other countries. Even India just ditched the U.S. dollar and will trade in Rupees with multiple countries going forward. And more recently, China and Brazil reached an agreement to settle trades in each other's currencies.
The critical takeaway: If the U.S. dollar is replaced as the world's currency, it could have disastrous effects on America's ability to borrow money and pay back their debts.

In light of these developments, gold is expected to boom. Here's the No. 1 way to play it for just about $5 >>

🔍 DEEP DIVES

Binance Accused Of Commingling User Funds

It’s been an interesting ~12 months for crypto’s largest exchange, Binance:

Now, we have yet another interesting report on Binance, this time coming from their frequent antagonist Reuters.

Commingling Of Customer Funds
The use of “commingling” and “customer funds” in the same sentence sends shivers down the spine of anybody who had money in FTX.

If Reuters is to be believed, it happened at Binance as well.

According to sources with knowledge of Binance’s financial dealings and bank records from 2020 and 2021 seen by Reuters:

The motives behind these moves were two-fold:

Commingling user funds is extremely illegal and obviously wouldn’t help their case with the regulators. So, as is to be expected, Binance vehemently denied the charges.

FUD or Facts?
In crypto, where there is smoke, there is often fire. And when considering the FTX blowup, all the concerning stories surrounding Binance, and the fact that they “mistakenly” mixed user funds earlier this year, this smoke is reaching forest fire levels.

So, we will leave you with the same advice we always give as it pertains to Binance:

SPONSORED

FedCoin is REAL (and coming soon)…

In what could be the worst kept secret inside the D.C. Beltway, a Fed-backed digital dollar — a.k.a. “FedCoin” — recently finished testing.

And now, as a major dollar-destroying event approaches (on July 1)… Every American should be making this one crucial move, ASAP.

Click here to learn more »

Apple Softens Their Stance On Crypto

When most people think about Apple and all of the ways it makes money, they think of the flashy iPhones, Macs, and other gadgets.

What most don’t realize though is that Apple makes a huge percentage of their total revenue – perhaps more than 20% – from the App Store. The total amount is unknown as Apple has gone to great lengths to hide the exact number.

Apple knows they wield great power through the App Store, and they’ve used this power to make tens of billions of dollars in yearly revenue, mainly from the infamous 30% cut of all in-app purchases (which tech companies such as Epic Games have tried and failed to get rid of).

Unfortunately for us crypto enthusiasts, they’ve also used this power to arbitrarily keep web3 apps out of the App Store. This was confirmed by former App Store director Phillip Shoemaker, as he stated that “Apple had a problem with crypto from day one. They thought it was a Ponzi scheme”.

This harsh attitude toward crypto has been apparent throughout the last decade:

But, for whatever reason, it appears the tide is turning with Apple making two major crypto App Store moves in the last week.

Although both apps will still have to pay Apple’s crushing 30% tax, this is undoubtedly great news for the industry. Stepn COO Shiti Manghani even believes this is the biggest thing currently happening in crypto.

The reason is simple: mainstream adoption.

Phones account for more web traffic than desktops, and the App Store is one of the world’s most popular application marketplaces. If crypto, the supposed currency of the internet, is to truly take off, it needs to capture this market.

These developments, combined with the freeing of the Uniswap mobile wallet last month, are huge steps in the right direction.

TWEET OF THE WEEK

Other Content You Might Enjoy

ABOUT COINSNACKS

Launched in December 2017, CoinSnacks is home to the longest continuously running crypto newsletter. Each week, we publish our cryptoasset musings to an audience of ~60,000 crypto enthusiasts and investors.

In a space flooded with new projects, research, and narratives, the average investor may feel overwhelmed or confused. CoinSnacks offers a solution by doing the digging for you, so you don't have to spend hundreds of hours sifting through the noise.

REACH OUR AUDIENCE

If you’re a brand interested in partnering with CoinSnacks to find your next customers, parter, or ally, we’d love to hear from you. Learn more here.