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In this Bankless Friday Weekly Rollup, David and Ryan dive into market turmoil, strategy shifts, and the future of Ethereum.

🔻 Crypto Crash and Bitcoin's Bottom Signal

• Bitcoin dipped to $59K (below the 200-week moving average) before recovering to ~$62K – the third 25% drawdown since November.
• Bitcoin has erased all gains since Trump's presidency, now at "Joe Biden levels."
• The 200-week MA has only been breached briefly during COVID (2020) and after FTX (2022). Key question: bounce or further decline?
• Michael Saylor sold 32 BTC (spooking the market) then bought back 1,550 BTC – possibly to condition the market for future sales.

📉 Macro & Inflation

• US PPI (May) surged to 6.5% – highest since Nov 2022.
• CPI at 4.2%, driven by energy prices (Iran war).
• Probability of a Fed rate hike in 2026 jumped from 14% to 51%.
• Oil (WTI) hovers around $89 – new normal despite geopolitical tensions.

🚀 IPO Season and AI Giants

• SpaceX IPO: $1.77T valuation (pre-market on Lighter: $2.13T). Starlink generates 2/3 of revenue.
• Anthropic (Fable model): $44B annualized revenue, first profit expected.
• OpenAI: $225B revenue, but $27B cash burn.
• Criticism: IPOs come too late for retail – private markets exclude ordinary investors. Crypto pre-markets (like Lighter) offer a more democratic alternative.

⚔️ The Great ETH Debate (David vs. Ryan)

• Ryan: Ethereum cannot succeed unless Ether (ETH) becomes a global reserve asset with massive value. Weak DeFi = failed Ethereum.
• David (who sold his ETH): The market uses Ethereum as ledger tech for institutions – adoption without ETH appreciation. He won't bet on a "strong DeFi" revival.
• Core question: Is Ethereum a failure without a strong ETH price? Ryan says yes; David sees nuance – the blockchain itself might succeed even if ETH doesn't become money.

🌟 Tom Lee – The New "Michael Saylor for Ethereum"

• Tom Lee bought ~$250M ETH this week (now owns 4.6% of supply).
• He announced a preferred stock offering with 9.5% yield – similar to Strategy's STRK but with staking yield as additional backing.
• David: This is the most important event in Ethereum – it could establish ETH as an "Internet Bond."

🔍 Other Topics

• Morpho raised $175M (valued over $1B) – signaling victory of "weak crypto" (institutional DeFi) over "strong crypto" (DAO-governed).
• Zcash dropped 60% after a critical vulnerability was found in the Orchard privacy pool – discovered by AI (Anthropic Opus 4.8). No proof of exploitation, but trust shattered.
• Hester Peirce (SEC Commissioner) resigns after nearly 30 years – a light for crypto regulation, leaving a legacy of principled oversight.

This episode highlights the deep rift between "strong crypto" (DeFi, native assets) and "weak crypto" (institutional adoption, tokenization). While Bitcoin fights the 200-week MA and ETH remains under pressure, big players like Tom Lee bet on Ethereum's long-term monetary potential. The coming months will tell whether the market bottoms or plunges further.

• Many variables affect extraction: pouring speed, height, laminar vs. turbulent flow, contact points, etc.
• Even seemingly consistent pouring often leads to inconsistent results.

• A device that maintains constant water flow – regardless of pouring technique.
• Consists of a water reservoir and a chamber below with a dispersion screen.
• Water accumulates and drips at a steady, predictable rate (max. ~1.5 g/s) onto the coffee bed.
• Similar to a Melodrip, but with fixed flow – no speeding up or slowing down.

• Prevents clogging: Gentle saturation reduces fines migration, improving filtration.
• Cleaner cups: The coffee bed acts as an additional filter, enhancing clarity and reducing bitterness.
• Reproducibility: One variable (pour rate) is eliminated; focus shifts to grind size and water temperature.

1. Bare kettle bloom (15 g coffee, 60 g water), then Gabby for the rest (165 g)
   • Water temperature: 88 °C → drops to ~78 °C during brew.
   • Brew time: about 3 minutes.
   • Result: 1.3 TDS, 16% extraction – preferred for light roasts, emphasizing floral and acidic notes.
2. Finer grind, same recipe
   • Extraction rises to 20.5% with 1.65 TDS.
   • More body and sweetness, but less nuance.
3. Single pour (12 g coffee, 200 g water) – to emulate cupping
   • Water temperature 83 °C, very coarse grind, well-rested coffee required.
   • Extraction approx. 17% at 1.15 TDS – very clear flavor separation.

• The Gabby Drip Master A is a tool for consistency – ideal for quality control or when you want to ditch the gooseneck kettle.
• Personal favorite: bloom with bare kettle, then use Gabby – yields the most balanced cups.
• Low extraction (around 16%) is preferred to highlight complexity and vibrancy, but higher extractions are easily achieved with a finer grind.

The case of Liz Barraza: On January 25, 2019, the 29-year-old was shot dead in front of her house in Tomball, Texas. Despite video footage and extensive investigations, the murder remains unsolved.

• Early morning: Liz is preparing a garage sale; her husband Sergio leaves for work at 6:48 AM.
• 6:47 AM: A dark Nissan Frontier (2013–2019) parks nearby; a disguised person gets out.
• Shots: After a brief conversation (Liz says a friendly

Summary follows...

This video explains how to actually build and preserve multi-generational wealth using crypto. It highlights the key differences between wealth creation and wealth preservation, offering a clear strategy.

🔍 The Four Critical Questions for Project Selection

• Real users? Does the project have active users?
• Reason to exist? Would it be missed if it disappeared?
• Demand independent of token price? Does utility remain during sideways markets?
• Value flow to the token? Is there a mechanical reason the token benefits?

Examples:

• Hyperliquid: Strong fee revenue ($419M in H1 2026), automatic buybacks. A real "cash flow" asset.
• Zcash: Minimal revenue, focused on private payments with fixed supply. Seen as "insurance against Bitcoin" (Naval Ravikant). Both pass the test of demand independent of price.

📉 Psychology and Risk Management

• Concentration over fragmentation: Holding 30 assets is like lottery tickets. Own a few strong projects.
• Drawdowns are normal: Bitcoin and Ethereum have historically dropped over 80%. Those without conviction sell at the bottom.
• Don't marry old favorites: New cycles reward new projects. Example: Cardano (ADA) never reclaimed its 2021 high, while Robinhood Chain attracted billions in volume within two months.

⚖️ Attack vs. Defense: The Right Balance

• Early stage: Higher risk for big gains (aggression).
• Later stage: More Bitcoin as a base (compressing drawdowns: from 93% to 53%). Bitcoin allocation should increase as portfolio grows.
• Take profits: No one knows the exact top. Scale out gradually.
• Never go to zero: Position size so you can't be wiped out.

🏛️ Estate & Family Planning

• Single key = single point of failure: Up to 3.8M Bitcoin are already lost. Legal structures (trusts, wills) and tax planning are essential.
• Williams Group study: 70% of wealth is gone by the second generation, 90% by the third. Main reasons: lack of communication (60%) and unprepared heirs (25%).
• History lesson: Rockefeller used trusts and preserved billions. Vanderbilt trusted judgment alone – the wealth vanished within a few generations.

Conclusion: With patience, a repeatable process, and smart structures, crypto can truly create generational wealth. Avoiding psychological pitfalls and reducing risk in time offers the best chances.

Summary follows...

Summary follows...