MCS Crypto News - Issue #1

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In a groundbreaking initiative that aims to redefine music ownership and deepen fan engagement, Andreas “Axident” Schuller, the mastermind writer and producer behind Justin Bieber's hit song "Company," is gearing up to offer a portion of the song's streaming royalties as non-fungible tokens (NFTs). This endeavor is brought to life through a collaboration with the blockchain-centric music rights platform, AnotherBlock.

🚀 The Offering

• Launch Date: September 7

• Token Availability: 2,000 Ethereum NFTs, each representing a 0.0005% share of future streaming proceeds. Not available in the US - because our regulators are slow.

• Price: Starting at 0.017 ETH (approximately $28)

• Royalty Payments: Scheduled every six months, with potential major updates teased by AnotherBlock.

• Payment Methods: Both credit card and crypto payments will be accepted.

🌟 Track Record

"Company" has been a massive hit since its release in 2015, featuring in Bieber's Grammy-nominated fourth album "Purpose." The track has:

• Garnered over 500 million streams on Spotify alone

• Achieved a top 40 position in Australia and 53rd in the US charts

🎤 A New Frontier in Music

Axident is thrilled to share a fragment of "Company" with Bieber's ardent fan base, emphasizing the deeper bond this initiative fosters between fans and the art. He noted that this democratic approach is a glimpse into the future of the music industry.

🎧 The Vision Behind AnotherBlock

AnotherBlock has previously ventured into similar innovative projects, having sold streaming royalty rights to tracks by renowned artists like Rihanna, MIMS, David Guetta, and Martin Garrix.

The platform aims to transfer music industry ownership to genuine music lovers, thereby enhancing the value of music and offering artists a clear understanding of their rights' worth.

🎶 Bieber's Stance

While Justin Bieber is not personally involved in this sale, he is no stranger to the NFT space, owning assets including a Bored Ape Yacht Club profile picture. This scenario is somewhat similar to Rihanna's non-involvement in a previous sale concerning one of her songs.

📈 The Growing Trend

This endeavor is a testament to the burgeoning trend of musicians leveraging Web3 technologies to augment their art's earnings. Platforms like Royal and Vault have been at the forefront, creating avenues for artists to benefit from the NFT space, showcasing a promising trajectory for the amalgamation of music and blockchain technology.

• Background: The International Monetary Fund (IMF) and the Financial Stability Board (FSB) are international organizations that offer financial guidance and support to their member countries. The G20 is a group of the world's largest economies that work together to address international issues.

• Details: The IMF and FSB have created a joint policy paper at the request of the Indian G20 presidency. This paper consolidates recommendations and standards to help jurisdictions globally address risks associated with crypto asset activities, including those related to stablecoins and decentralized finance (DeFi).

• Objective: The paper aims to guide various jurisdictions in understanding and regulating the rapidly evolving crypto space without introducing new policies but by utilizing existing frameworks developed by the IMF and FSB.

🚀 Understanding Stablecoins and DeFi 🚀

• Background: Stablecoins are cryptocurrencies designed to have a stable value, often pegged to a traditional currency like the USD. DeFi, or decentralized finance, refers to financial services using smart contracts, which are automated enforceable agreements without intermediaries, on blockchain platforms.

• Details: The policy paper warns that stablecoins can suddenly become volatile, posing a substantial risk to financial stability. It also notes that while DeFi services might operate differently from traditional financial platforms, they essentially perform similar functions, inheriting the traditional system's risks and vulnerabilities. However, we feel strongly that the “same risk, same rules” mantra is dangerous and patently false.

• Concerns: The paper raises concerns about the governance frameworks of DeFi being unclear, opaque, and potentially easy to manipulate, exposing users to various risks.

🚫 IMF Advises Against Total Crypto Ban 🚫

• Background: Cryptocurrencies have been met with varying levels of acceptance globally, with some countries imposing bans due to concerns over financial stability and potential misuse.

• Details: The IMF reiterates its stance against a blanket ban on crypto, a position it has held since June 22. It suggests that understanding and addressing the factors driving the demand for cryptocurrencies would be more beneficial.

• Recommendation: The paper recommends focusing on the consumers' needs for digital forms of payment and understanding what drives the demand for crypto, rather than imposing a ban.

📊 The Complex Landscape of Stablecoins 📊

• Background: Stablecoins have gained popularity as they attempt to combine the benefits of cryptocurrencies with the stability of traditional currencies.

• Details: The paper addresses concerns about the rapid proliferation of stablecoins and their potential to threaten currency replacement or cause bank runs, especially in emerging economies.

• Warning: It warns that global stablecoins could transmit volatility more abruptly than other crypto assets, posing a significant risk to financial stability, and urges careful monitoring of this sector.

💡 Conclusion 💡

• Takeaway: it has yet to be determined if these “rules” will be adopted. Remember, the IMF and FSB are not countries - they cannot make laws. However, they can pressure countries to do what they want.

• Future Steps: Trying to enforce blanket laws in crypto is a tall task. It opens the door for regulatory arbitrage from countries that don’t comply, as talent and money will flock to the countries with the friendliest regulations.

The Cosmos Hub and smart contract platform Neutron discuss using ATOM as the “money” on Neutron:

FTX Exec pleads guilty:

Evmos partners with Phalcon to offer more transparency and security:

Patrick from Dynamo DeFi highlights some RWA protocols breaking their deposit records:

Stride Zone begins airdrop for UMEE, SOMM, and CMDX Stakers:

Osmosis boasts the massive growth of it’s ecosystem:

Miles Deutscher breaks down bitcoin catalysts for the first half of 2024:

Mexican billionaire Ricardo Salinas is VERY bullish on Bitcoin:

That’s all for today. We’ll be back tomorrow with issue #2 MCS Crypto 101.

Thank you for reading Make Crypto Simple.

Chris Schawel


^{The content provided in this newsletter is for entertainment purposes only and should not be construed as financial advice. All information, including but not limited to market analysis, price predictions, and investment strategies, is purely speculative in nature. We strongly recommend conducting your own research and consulting with a qualified financial advisor before making any investment decisions. We are not responsible for any losses incurred as a result of the information presented in this newsletter.}