Thread by @jessethan3

💎@BanklessHQ’s podcast with @cburniske is a gem.

I’ve summarized the key points and added a suggestion for Chris at the end.

📽️

🧵From a 22k word transcript → 1.6k word thread

🎙️Chris Burniske talks about his conviction in #Ethereum during 2018-2019 bear market. Despite negativity & loss of faith, he & @placeholdervc continued investing in $ETH & its ecosystem.

#Crypto #Investing

🚀Projects backed by Placeholder include zkSync, Balancer, and Uma. Chris highlights that they found amazing valuations and top-notch teams in the #Ethereum space, with less competition from VCs during that time.

#DeFi #CryptoProjects

🗑️On the flip side, Burniske admits being surprised by the performance of "trashy" projects like Luna. He shares a conversation with the Luna team at a past Devcon in Japan.

#Luna #CryptoMarkets

❓Chris asked the Luna team if the price of Luna had to keep going up for the system to remain stable. He felt that the answer, ultimately, was yes, and that Luna's price had to keep rising forever.

#Luna #Stability

📉Burniske concludes that a system requiring an asset's price to continually increase is clearly broken. This excerpt highlights the importance of evaluating projects' fundamentals and potential long-term viability.

#CryptoFundamentals #InvestmentStrategy

🎨Burniske on #NFTs: He didn't expect profile picture NFTs to become such a significant vector, with some valued at hundreds of thousands of dollars. While initially surprised, he has since accepted the trend.

#CryptoArt #DigitalCollectibles

💡Lesson from 2021: If you have an "allergic reaction" to something in the crypto space, don't look away. Instead, investigate it further. This helps ensure emotions don't shape your investing decisions.

#InvestingTips #CryptoLessons

🧠Emphasizing the importance of an objective approach, Burniske states that emotions can be observed and used as indicators, but the intellectual process should remain rooted in study and reasoning. A valuable lesson for all investors.

#InvestmentStrategy #EmotionalIntelligence

🎙️ Burniske dives into the importance of psychology in navigating the #crypto world. Self-awareness & understanding biases are key as market cycles affect everyone's psyche. 🧠

💡 Trashy projects create unsustainable psychological responses, thriving only in high-fervor bull markets. These projects often lead to a weaker monoculture, lacking ecosystem resilience found in more biodiverse chains. 🌿

🏄‍♂️ Chris, a surfer, draws parallels between surfing and investing. He seeks the best spot with the fewest people, focusing on riding the wave rather than competing. This mindset applies to #crypto investments too. 🌊

🚀 Placeholder invests in intellectually stimulating projects, aligning with certain value sets & ecosystems. The goal is to ride the growth wave together, not be drawn to crowded, popular waves. Focus on substance & potential! 🌟

Chris talks about his bearish stance on crypto in 2021 and 2022. It wasn't long-term bearish though! 🐻

Remember the "super cycle" narrative? Many believed crypto would never see big drawdowns again. Burniske saw it as euphoria, reinforcing his bearish outlook. 💭

Burniske admits he didn't see the May 2021 blow off top coming - a sudden rise in Ethereum and DeFi tokens, followed by a decline in June, July, and August. 😮

He observed parabolic rises in new tokens like Luna, Avalanche, and Solana towards the end of 2021, along with innovation slowing down, yet frantic deal pace in the venture space. 📈🚀

Burniske also noticed a change in entrepreneur behavior during bull markets - more entitlement from Founders. He stresses not letting this change VC interactions with entrepreneurs during bear markets when the tides turn. 🤝

💡 Burniske suggests a mental heuristic for taking profits at certain multiples of the initial investment, guaranteeing returns while still keeping a portion in the market. Don't aim for perfection, just be satisfied with your plan. 🎯

🐻 In bear markets, maintain equal or larger trade sizes to accumulate units at the bottom. This approach pays off later on when the market rebounds. Consistency is key! 🔑

🥥 Burniske uses the analogy of magical coconuts to explain emotional attachment to assets. In bull markets, assets become magical green coconuts we don't want to part with. In bear markets, they turn into withered red decaying coconuts. 🌴

🧠 Having a plan & sticking to it helps navigate emotional challenges and make better decisions in both bull and bear markets. Remember, a well-thought-out plan is your best friend in the world of crypto investing! 🌏💰

Burniske saw similarities between late 2018 and Terra Luna 3AC event,, both showing no market strength 💪

Hysteria took over as credible individuals spread rumors, causing widespread insolvency fears 😱

Using #Twitter, Burniske gauged sentiment: bullish takes max viral at the top, bearish takes max viral at the bottom 🐂🐻

Markets and brains focus on rates of change, not absolute numbers – setting up for more optimism as change becomes less bad. 🧠🚀

Burniske then shared insights on the recent #crypto markets, discussing the potential bottom.

According to Burniske, $ETH and $SOL have likely seen their bottoms. There's a small chance that $BTC could revisit its bottom due to its sensitivity to macroeconomic events. 📉

He envisions a whiplash scenario with a big move upwards, causing #FOMO, followed by max pain as rates can't sustain significant moves in risk assets. More #innovation is needed for a sustained rally. 📈🔁

For a new bull market, Burniske emphasizes the need for mind-blowing new applications and uses of #crypto, like #DeFi summer in 2020. New developments will drive demand and create a step-ladder move upwards. 🚀🌐

Expect a conviction or fundamentals-based rally, followed by a copycat scammer euphoria rally, which will drive prices higher but divorce itself from fundamentals. The conviction-based rally will require new, innovative projects. 🌟🛠️

🎙️ Chris then discussed similarities between #Ethereum and #Solana communities and their treatment by the #Bitcoin community. Interesting insights on crypto community dynamics. #cryptocurrency

💡He argued that the Ethereum community experienced hazing from Bitcoiners during 2018-2020, making it difficult for them to break out in discourse. However, Ethereum has since been vindicated. Solana now faces a similar challenge from the Ethereum community. #crypto

🔒The #Bitcoin community is more conservative, while #Ethereum is more innovation-focused, resulting in more progressive viewpoints. This difference affects how the communities treat newcomers and projects like #Solana. #cryptotwitter

🤝 @cburniske's VC firm @placeholdervc initially hesitated to support #Solana due to concerns about the project's concentration and dependencies. But after witnessing improvements in decentralization and removal of controversial support, they decided to back the project in 2022.

⚠️ Burniske warns against being overly critical of projects like Solana. It's important to recognize that they can be different from Ethereum and still have value. Dismissing projects just because they don't align perfectly with another project's principles can be shortsighted.

💭 Crypto communities should be open-minded, focusing on the base principles of a project and not just dismissing it for being different. Both #Ethereum and #Solana have their unique strengths and can coexist in the crypto space. #cryptocurrency #blockchain

🎙️ He discussed the case for #Solana from an #Ethereum perspective on the @BanklessHQ podcast. Key takeaway: Solana's focus on consensus at the speed of light opens up new use cases that $ETH might not be targeting. #crypto

🌐 Solana attracts high-caliber talent from #web2 and traditional finance who may not feel at home in the Ethereum or other #web3 ecosystems. Teams like @orca_so, @vaultapp_ and others have chosen to build on Solana due to its welcoming environment and features. #blockchain

📈 According to a 2022 @ElectricCapital Developer Report, #Solana has the biggest and fastest-growing ecosystem of developers after #Bitcoin and #Ethereum. It's important to recognize that Solana is attracting devs & users who may not fit into other crypto ecosystems. #growth

🤝 Solana's unique ecosystem provides a more diverse range of applications being built, benefiting both the #Solana and #Ethereum communities. The differentiation between the two can result in less overlap and a wider variety of use cases. #cryptocurrency

🌍 Burniske encourages crypto enthusiasts to be open-minded and acknowledge that #Solana is working towards a net positive change in the world, attracting developers and users who may not have a home elsewhere in the crypto space. #innovation

💡He explains that #Solana's speed and low latency are attracting developers, potentially giving it an advantage over #Ethereum L2s. He encourages the #Ethereum community to be open-minded and understand the value propositions of other projects. #DeFi #blockchain

📈 Burniske talks about Solana's token value and its potential to follow a similar path to #Ethereum. He highlights Solana's 6% annual inflation rate, indicating that validators view it as a lower-risk asset compared to #blockchains with higher inflation. #cryptocurrency #SOL

💰 In terms of transaction fees, #Solana is already generating substantial revenue, although it's still significantly less than #Ethereum. Burniske believes that Solana is on a path to harden its asset, similar to what Ethereum has done. #cryptocurrency #crypto

🤝 Burniske's key message is for the #Ethereum community to approach projects like #Solana with an open mind. Understanding the motivations and value propositions of these projects can lead to more informed and less tribal arguments. #cryptocurrency #blockchain #DeFi

📈 Burniske highlights @placeholdervc’s "aircraft carrier strategy" of investing in a blockchain’s core assets, then making venture bets on the surrounding projects. They're currently exploring #Cosmos and #Solana. 🚀

🌐 #Ethereum, #Cosmos, and #Solana are the most exciting innovation environments for Burniske, materializing in user adoption and growth. He notes that Solana's venture stage valuations resemble Ethereum's in 2018-19. 💡

🧪 Burniske spotlights tensor.trade, an NFT platform on #Solana built by a high-caliber team, as a prime example of the ecosystem's potential. 💎

🌍 Discussing #crypto's net impact, Burniske sees #blockchains as open data substrates that offer verifiable computation.

#Blockchain tech will eventually become a net good for the world. It's essential to focus on maximum societal impact, not just personal gain. 🌱

🤔@cburniske, have you considered looking into the #EOS ecosystem?

It's got similar growth potential to #Solana and shares many of the same qualities you admire. Let's dive in! 🚀 #Crypto

🚀 Like #Solana, #EOS boasts high throughput and low latency, making it an ideal platform for DApps and real-world use cases. It's worth exploring as another strong contender in the #crypto space. 💪

🌍 #EOS has a dedicated community and experienced core team, newly led by @BigBeardSamurai (Yves La Rose), who also co-founded the $EOS Network Foundation in late 2021. This ecosystem is ripe for breakthroughs and innovation! 💡

💼 The $EOS VC fund, the ENV, has recently announced $20M for the upcoming #EOS #EVM that launches next month. Check out the investment opportunities! 💰

🛠️ With @AntelopeIO, developers can create highly performant and scalable applications on #EOS, complementing those on #Ethereum and #Solana. They recently shipped trust-less #IBC. Imagine the possibilities! 🌟

🔮 @cburniske, your insights into #Solana and #Cosmos are spot on, and I believe the same logic can be applied to #EOS. Give it a closer look and let's discuss the potential of this thriving ecosystem! 🌐

Follow @EOSnFoundation @BigBeardSamurai

🌊 #EOS is very much like a wave with very few riders. Here are some top notch teams at, I surmise, crazy low valuations.

Why? Because many on #crypto twitter have the allergic reaction. This stems from past difficulties that have since been ameliorated.

Think zkSync-like on $EOS

🔒 #ZEOS @ZEOSonEOS is a cutting-edge privacy project on the #EOS ecosystem! This game-changer brings advanced privacy features to transactions, empowering users with more control and security.

Contact Matthias to learn more!

🎮 Liquiid @beliquiid develops games and open source tools for the #gamefi industry. Ask them for a demo and prepare to have your mind blown!

Contact @cmadh_

🔁 Trustswap @joinTrustSwap will leverage the highly performant $EOS #EVM that has tested over 800 swaps per second.

Check out their site and telegram for fun demos.
trustswap.finance

Esteban is the project lead.

🧠 @NovaCryptoLTD is a collaborative mindmapping and discovery platform on-chain.

Easily navigate, search, share, and collaborate on visual, searchable info about #EOS. Great for educators, publishers, and support! 🎓📚💡

Contact Patrick for more!

#Port @zeropassio is an innovative solution for secure identity verification! 🛂 Tap your passport to your phone's NFC and join the global trust-chain, powered by a massive PKI provided by countries & aggregated by ICAO. 📱🔗

Contact Luka for more!

🚀 Discover the power of decentralized governance with Eden on $EOS ! 🌐

This groundbreaking community-driven initiative fosters collaboration, empowers members, and ensures the sustainable growth of the #EOS ecosystem through a novel “upvote” governance process.

@Eden_EOS_Chiefs are newly elected every 3 months. The next election is soon on April 8th. It’s a great way to network within the $EOS community.

DM me if interested!

🐝 Lastly I will share my own project called The Bees. We incentivize people in and outside #crypto to learn about different projects by offering rewards for quality engagements. It’s a reinforced learn-to earn mechanism.

$EOS allows lightning fast payments at scale!