The Chopping Block: Crypto’s Best and Worst in 2023 - Ep. 583

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12/15/23 • 80 min

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Welcome to The Chopping Block – where crypto insiders Haseeb Qureshi, Tom Schmidt, Tarun Chitra, and Robert Leshner chop it up about the latest news. This week, after an incredibly eventful year for crypto, The Chopping Block crew makes its picks for the best and worst of 2023, including its biggest winners and losers, biggest surprises, best memes, best or worst pivots, biggest flops, best comeback stories, favorite podcast guests and predictions for 2024. Hear why some in the gang consider Solana to be the year’s biggest winner, Circle the biggest loser, MicroStrategy the best and worst pivot, Coinbase the best comeback and a renewed boom in crypto lending one of the top predictions for 2024.

Hosts

Haseeb Qureshi, managing partner at Dragonfly
Robert Leshner, founder of Compound
Tom Schmidt, general partner at Dragonfly
Tarun Chitra, managing partner at Robot Ventures

Disclosures Links

Surprises:

Flops:

Winners:

Memes:

Favorite guests:

Others

Unchained:
Ledger Library Compromise...

Hosts

Haseeb Qureshi, managing partner at Dragonfly
Robert Leshner, founder of Compound
Tom Schmidt, general partner at Dragonfly
Tarun Chitra, managing partner at Robot Ventures

Disclosures Links

Surprises:

Flops:

Winners:

Memes:

Favorite guests:

Others

Unchained:
Ledger Library Compromise...

Previous Episode

Why the SEC May Want Cash Creation of Spot Bitcoin ETFs - Ep. 582

Take the Unchained 2023 survey!

Unchained is doing its annual survey. Let us know what we’re doing well, how we can improve, what you’d like to see more of, and generally, how we can serve you better. The survey also helps us find sponsors whose products and services would appeal to you. Plus, participating gives you an opportunity to win Unchained merch! Five randomly selected respondents will receive one free Unchained t-shirt or mug — your choice. Click here to participate. Thanks so much!

The long-awaited approval of a spot bitcoin ETF looks to be mere weeks away, and Bloomberg ETF analyst James Seyffart joins Unchained to discuss the final issues and considerations, especially the battle over whether the new funds will feature in-kind vs. cash creation and redemptions, which appears to be one of the last main sticking points in negotiations between the SEC and fund companies. He also discusses the specific impact of an ETF approval on Grayscale, which runs the $26.6 billion Grayscale Bitcoin Trust, and why he thinks the SEC has thrown in the towel on trying to classify Ethereum as a security.

Show highlights:

Why James views the multitude of potential issuers meeting with the SEC as a positive sign for the future of ETFs
When James anticipates the ETFs will actually be listed on exchanges, which differs from their approval dates
The crucial differences between in-kind versus cash creation and redemptions in ETFs and their impact on market dynamics
How the choice of in-kind or cash creation and redemptions influences the overall cost structure of these financial products
Whether the current actions of ETF issuers suggest a "bending the knee" approach to the SEC's preference for cash creations and redemptions
How the selected ETF model will specifically impact Grayscale and the future of its GBTC offering
The potential strategies behind BlackRock's private trust, especially in terms of integrating its Bitcoin holdings into its prospective ETF
Why James holds a more cautious outlook for the approval of an Ethereum spot ETF compared to his confidence in Bitcoin ETFs

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Guest

James Seyffart, Research analyst at Bloomberg Intelligence
Previous appearances on Unchained:
Why It Looks Like BlackRock Could Win America’s First Spot Bitcoin ETF
Why a Spot Bitcoin ETF Will Probably Launch No Later Than January 10

Next Episode

Why Swan CEO Cory Klippsten Is Still Convinced That Bitcoin Is Headed to $1 Million - Ep. 584

Take the Unchained 2023 survey!

Swan founder and CEO Cory Klippsten is all-in on Bitcoin. Not only does he believe that Bitcoin is poised to reach $1 million by 2030, he also thinks most alt-coins add little to no value and will eventually all go to zero. Accordingly, his company is a massive bet on the future of Bitcoin, from educating people about the world’s first crypto and convincing them to eventually self-custody, to making private equity investments in the Bitcoin ecosystem, to eventually planning to launch the first US Bitcoin-only trust company to create a safer environment for investors.

Here he talks to Unchained about his crypto journey, the likely impact of spot Bitcoin ETFs on crypto adoption and prices, his extreme skepticism about Bitcoin Ordinals, when he first knew Sam Bankman-Fried was a fraud and why he thinks that crypto VCs have done a “massive disservice” to the world.

Show highlights:

What Swan Bitcoin is, its origin story and the future trajectory envisioned by Cory
Cory's journey into crypto, his journalism background and the shift to a Bitcoin-centric focus
How Cory is navigating discussions with hedge funds, family offices, and insurance companies in anticipation of a Bitcoin spot ETF
Swan’s Bitcoin-only investment strategies
How lending and borrowing with Bitcoin is evolving
Cory's private equity investments within the Bitcoin ecosystem
The rationale behind Swan launching the first US Bitcoin-only trust company
Swan's stance on financial privacy, especially after warning customers that banks might close their accounts if they used mixers
Cory's reasoning for advising against "trading" the Bitcoin spot ETF launch
Predictions on when BTC might reach new all-time highs
Cory's perspective on Bitcoin Ordinals and their impact on the Bitcoin mempool
The concerns about decreasing block rewards and the future security of Bitcoin
Why Cory was convinced of FTX's fraudulent nature after reviewing the balance sheet that led to SBF's downfall
Why he thinks that VCs have done a "massive disservice” to the world