RCIF II - Five bullet Friday - Issue # 29

    All of you should have received the statements for the month of July. Our fund was up 36.69% (before fees) in the month of July 2021.  The initial scare that China is going to kill bitcoin was proven false. Bitcoin's hashrate grew by 50% in just 2 weeks.

1. Our current news cycle is talking about how the US government wasted $2 trillion dollars in the war with Afghanistan. It took them 20 years to spend that money. But just in 18 months the Federal Reserve printed $4 trillion out of thin air. They have simply doubled the money supply in 18 months but gets very little attention from the CNBC crowd, which is the root cause for all the bubbles.

2. We added a new position to our Portfolio via Tokemak (TOKE) this week. We purchased it at $21 as a starter position. We currently hold 8081 tokens of TOKE. It is a new DeFi primitive that enables single-sided liquidity provisioning. This is similar to dot-com entrepreneurs spending a lot of money on server farms and being inefficient. Amazon Web Services turned the server farms into a service. Tokemak is trying to achieve liquidity provisioning as a service.  

3. We have also added a new position in the Play-to-earn game segment,  Illuvium (ILV) this week. Having seen the impact of Axie Infinity made me rethink how this is going to reshape the world. Illuvium has not gone live with their game but I like the scarcity of the tokens and the potential for holding NFT assets. This is a bet on the NFT market as opposed to buying individual NFTs. We currently hold 107 ILV tokens.

4. We have not claimed our tollbooth fees from  REN darknodes this week. We hold 10 REN darknodes which are hosted through Digital Ocean cloud service platform.  The next epoch will end in 4 days, at which time I plan to claim our income.

5. We first started buying YGG at $1.42, but acquired more at $5.45. Despite this steep gain, it is a long-term hold for us. We are acquiring with intent of staking these tokens towards the end of this year. A major VC fund, Andreessen Horowitz has invested $4.7 million in Yield Guild games.

The bull market in Crypto markets has resumed again. In 2017, it was just bitcoin driving the markets. Now we have the NFT boom, DeFi protocols and bitcoin all booming around the same time. NFT assets are bringing together artists, musicians, gamers, which is going to lead to an epic boom.

Have a wonderful weekend!

Sam Ikkurty