🪙 The Flippening is COMPLETE

Namaste, this is the doodhwala, the crypto newsletter that gives you the same feeling of seeing a refrigerator full of FOOD. 🤤

Here’s what’s on the menu today:

• ⛴ The next crypto exchange to SINK

• 🤯 Oh crap! This blockchain is finally ALIVE!

• 🪙 Ethereum has been FLIPPED

• 😂 Milky Meme of the Day

The next crypto exchange to SINK

After FTX, we’re looking at centralized exchanges like drunk Uber drivers.

“Are you sure you can hold everyone’s crypto?”

One such outta-control car exchange is Huobi, I’m not sure if it’s pronounced “Ho-bi”, “Hu-o-bi”, or “We’re so screwed-bi.”

Here are the problems within Huobi right now:

→ Falling Revenue→ Reserves be TRIPPING→ Massive firing and NO salaries→ Owner Tron's stablecoin problems

1️⃣ Falling Revenue

A crypto exchange makes most of its money from exchanging cryptocurrencies 🙈

In complex financial mumbo-jumbo, that’s called “trading volume”

And Huobi’s trading volume is going down faster than New Year resolutions.

This is leading to 2 things — falling revenue 🤝 falling market share.

• Volume: Down 93% in 1 year, now at $1 billion a day

• Revenue: Down 98% in 9 months, to ~$20 million a quarter

• Market Share: Down to 4% in 2022 from 22% in 2020

2️⃣ Reserves BE trippin

Huobi is having a BT HT right now, probably because it’s getting high on its own supply.

See Huobi has a native token — The HT or the Huobi Token (could’ve been a lil more original).

And over 30% of Huobi’s reserves are in HT, more than BTC and ETH in reserves.

This is BAD, but it's made worse because HT is down 40% in one month. 💀

3️⃣ Massive firing and NO salaries

With falling revenue, Huobi is also firing employees faster than I fire insults at someone who says they're lactose intolerant. 🤬

In the past week alone, Huobi laid off 20% of its staff, that’s about 275 people!

And that’s not the worst part. This is:

❌ Cancelling all bonuses💸 Requiring employees to receive salaries in stablecoins🤫 Cutting employee communication so that they don’t rebel

Bruh, this is absolutely WILD af.

4️⃣ Owner Tron's stablecoin problems

In 2022, Justin Sun, the co-founder of the Tron blockchain acquired Huobi.

Tl:dr on Tron:

• $4.2 billion TVL (more than Polygon, Arbitrum and Avalanche)

• $5.2 billion market cap of native coin TRON (more than SHIB, UNI, and ATOM)

• 1 very weird founder, I mean seriously Justin Sun paid $4.5 million to have dinner with Warren Buffett

Tron has its own stablecoin — USDD. And despite the double Ds, it’s volatile AF.

Just look at that PEG! You won’t even get pegs like that in Punjab. 🥃

So, why is Huobi caught up in this mess?

Its owner — Tron — can’t seem to maintain the peg on its stablecoin USDD. And the founder Justin Sun is constantly injecting more and more stablecoins into Huobi.

And guess what stablecoin he’s injecting?

USDD? nope.USDC and USDT. 💀

Doodhwala's take:

Our pull-out game with shady crypto exchanges is STRONG AF.

And with Huobi, we're pulling out faster than Jaspirt Bumrah pulls out of India matches to play for Mumbai Indians. 😭 

🎮 GAMESWALA: Non-Fungible Doodh

The art below belongs to a pretty POPULAR NFT collection.

This collection took the NFT world by storm in the past few weeks and is one of the most trending collections on OpenSea. 🔥

The current floor price for this collection is 0.2 ETH. 💰

Guess the NFT collection!

(answer is at the end of the email 👇)

🤬 Dead Blockchain: I am not f*****g DEAD!

Remember that scene from Batman v Superman, where…(SPOILER ALERT)…Superman dies? 😬

And everyone, from Batman to Wonder Woman, attended the funeral only for Superman to come back alive in the next movie (like we did not see THAT coming 🤦‍♂️)

The same thing might be happening with Solana rn.

No, it's not becoming the Superman of blockchains. (pretty far from it 🤷‍♂️)

We all wrote off Solana after the FTX collapse because of how heavily SBF had invested in that project.

We sorta attended its “funeral” when:

🥲 Serum, the biggest DeFi project on Solana, went to dust⛔️ Raydium, the second biggest DeFi project on Solana, was hacked👋 y00ts and DeGods, the two biggest NFT projects on Solana, decided to migrate to other chains

But Solana is pulling an Undertaker and forcing its way out of the grave.

Here are THREE reasons why we think so:

1️⃣ Daily Wallet Activity

According to a Messari report, wallet activity on Solana has almost TRIPLED from the pre-FTX time. 🔥

This is mainly because of the launch of $BONK, a meme coin on Solana, which has taken crypto Twitter by storm.

So whether or not these daily activity numbers stick for a long time is a question worth considering. 🤨

2️⃣ Transaction Volume

The total transaction volume on the network also reached the pre FTX levels over the past week. 💰

Seems like everything is going back to pre-FTX level, except…FTX. 🤦‍♂️

3️⃣ Devs kept DEV-ing

Despite the FUD around Solana, the devs were absolutely focused like me when I’m watching the movie, Tenet. (I still don’t understand it 😭)

Solana Network devs have been launching one update after another to solve one of Solana’s biggest problems, Tanmay Bhat the network going down.

Even the gas fee remained low, despite the increased activity…which is pretty impressive. 👏

With a lot of updates and releases like the Solana Mobile Stack and its flagship phone Saga still in the bag…Solana has still a few tricks up its sleeve to bring back user adoption.

It can even probably take it to new heights. 🚀

So yeah…Solana is not leaving anytime soon. 🤷‍♂️

🔍 RESOURCEWALA: Learn Smart Contract Auditing

Ever wanted to Elliot Anderson from Mr. Robot?

Expect instead of hacking servers, you're snooping into blockchains looking for bugs, glitches, and other weird stuff. 🐞

THAT'S RIGHT! A web3 Mr. Robot.

If your answer is YES, we've got the BEST resource for you.

Learn how to audit smart contracts in a jiffy 👇

📉 Chaach and Charts: The Flippening is COMPLETE

It’s finally happened!

Ethereum has finally been flipped. But who’s the flipper?

Solana ❌Avalanche ❌Cardano 🤣 could you imagine?

Ethereum has been flipped by Arbitrum + Optimism, its own L2s.

Tf are L2s?

In the last week:

→ L2 average transaction per second: 19→ Ethereum average transaction per second: 12

What’s more in the past 1 year, Ethereum’s avg TPS has been stable at 10-12, but the avg TPS of the L2s has tripled. 🤯

Is 2023 the year of the L2s? 👀

😂 Milky Meme Of The Day  

💰Answer💰

Let us know what you think 👇

If you want more doodh then, be sure to follow our Twitter (@DoodhwalaDaily)

That’s all for today bhaiyo aur bheno! Naale Sigona!

Aakash "Dahi Cheeni" Athawasya & Arvind "Doodh Peda" Krishna

Yo! Our legal and financial advisors (aka our good ol’ conscience) have asked us to add this boring disclaimer.

None of what you read here is financial advice. We aren’t here to get you to buy or sell a crypto. We’re only here to tell you what’s up in crypto today and make you laugh. So, if you screwed up on a trade, that’s on you G. Stay safe in the markets.