Here Comes The Sol

Any views expressed in the below are the personal views of the author and should not form the basis for making investment decisions, nor be construed as a recommendation or advice to engage in investment transactions.

Gm. It’s Paul again, back by popular demand (i.e. Wilson’s too busy in the trenches, so someone had to step in 😂). I’ve been having an overwhelming amount of fun hanging out on the GOOD chain (Solana) trading GOOD coins and jpegs.

The past few weeks have been overwhelming to say the least. With unlimited opportunity around every corner, I’ve grown to realize that my biggest risk isn’t any particular asset or asset-type; it’s losing focus and mastering my own psychology. I expect I’m not alone on this one, which is why I’m glad to be writing to you all about where I’m focused and why I’m focused there (hint: it’s Solana).

Why I’m Focused On SOL

No hate toward ETH. I cut my teeth on ETH – I came up on ETH – it molded me. But everyone has to grow up eventually.

There are a confluence of interesting trends which have made Solana the place to be the last few weeks, and I expect it will remain the place to be throughout the remainder of this cycle. Going to touch on some of these trends below and what they may mean for you and your bags…

Low Fees + Liquidity = More Volume + Volatility: How many times have you accidentally bought too much of a coin on ETH, leaving yourself with insufficient ETH to pay the gas fees on your eventual sale? While this common pain point is completely eliminated by Solana – this is merely the tip of the iceberg. Near-zero fees has completely altered the psychology of the average on-chain enjooooyer. Gone are the days of holding bags longer than you otherwise would have because you don’t want to waste the money on gas. With the elimination of this friction, combined with the seemingly lower liquidity on most coins, you’re left with an ability to rotate from coin to coin with ease, and a highly volatile environment of coins which will pump seemingly infinitely, or casually dip 90% only to revenge-pump moments later. If this is a dream – don’t wake me up.

Tech = Good: It really just works. Every dApp I’ve interacted with, every DEX I’ve played around with, every protocol I’ve farmed – there just don’t seem to be as many of the common bugs or hiccups that I’ve experienced on other chains (won’t name names). I’m sure over time as usage picks up and limits are pushed things may change, but for now I remain impressed by what I’ve seen.

Culture (Memes): Wilson always says that memes are currency in this space, and he’s never been more right – especially as it relates to SOL coins. Not that memes don’t move markets on other chains; but it feels like they have an outsized impact on the Good Chain. No shame in left-curving.

Project Spotlight: Claynosaurz

Everyone in the NFT space loves to talk about IP, but I’d venture to say that 99% of people wouldn’t know what makes “good” IP if it bit them on the nose. The funny thing is, many of the components to look for in a good NFT/crypto project (which we covered in my debut newsletter 2 weeks ago) are also the elements which make for meaningful IP (funny how that works, huh?).

Quick refresher – those core elements are community, team, narrative alignment, and comps (i.e. “what is this similar to, which I can roughly base value off of?”)

As I look at the NFT landscape across all chains, trying to identify new projects to join the ranks of greats like Pudgy Penguins and Creepz (the in-house favorites), there is no project that is exciting me as much as Claynosaurz on Solana (Note: I do not own any yet, but I am planning to grab a few at some point. NFA).

From a community perspective, Claynos launched in the heart of the bear market and were “forged in fire.” On the team – I’ll just link to the team page on their website so you can see for yourself (here). Comprised of execs from leading media companies like HBO, Netflix, Disney, Warner, and more, you can tell that “IP” isn’t just a buzzword to attract degens. Re narrative – see the entire first half of this newsletter. Solana is the chain, cute IP is the wave (Penguins Penguins Penguins), and the super cycle is upon us anon (NFA). Re comps – I’m not going to speculate on specific prices, but I would look at the Pudgy Penguins, representing the kings of the cuteness meta, as an example of what a powerful piece of cute IP can do with a strong holder base, and a little bit of luck on market timing.

I am not a paid shill. I do not own Claynos (I will eventually) and you can completely disregard this analysis if you wish – but you should not disregard Solana NFTs. They’re coming for your bags one way or another. Also, if you’re buying NFTs on sol, use Tensor. It’s confirmed good tech and you’re farming an airdrop.

Conclusion: Breathe

I am personally looking forward to unplugging over the holidays after what feels like a century of staring at charts. But I’m leaving to unplug with a substantial amount of hopium – far more than I’ve felt in a while.

While it may feel like the pump is well underway, I cannot even begin to stress how early we all still are…

With a little bit of focus, and a touch of luck, we all might just do alright after all.

Until next time,

Paul