Venice (VVV)

honestly think this is a great explainer what I think protocols (in general) could do better to avoid pissing tokenholders off: be 100% transparent about deals like these, incl price in an ideal world, you’d mirror such deals to allow existing tokenholders to participate on the same terms pro-rata … but in the real world that’s not easy

Basically the same argument as Rob yesterday, which confirms how bad the deal is for $VVV tokenholders. "Oh you thought VVV wasn't just a way to hedge compute costs? Too bad for you! But we have both equity and token, so we're fine hehe" Let's repeat what I said yesterday in a much longer tweet: when a crypto protocol launches a token, it does automatically benefit from the inflows of a ton of buyers who will consider it a "pseudo-equity". Even if the team explains that the token has XYZ utility and doesn't promise that it's like equity, it STILL benefits from this uncertainty + information asymmetry. And teams always makes sure not to be crystal clear about what the token is or isn't, because they want the double dip, they want to keep the optionality to soft rug the tokenholders or not. And that's exactly what Venice did, they perpetuated the problem that is plaguing crypto, which is that the market always has a total uncertainty about what a token exactly is when it's launched.

Companies that bootstrap their business with tokens paid by speculator should not funnel a single dollar into their equity business Valuable equity and valuable token don’t co exist, a foundation that solely works for value of token is the only way

If it closes below this support, the ayran will spill. $VVV https://t.co/Mug3KCbrqE

tldr for people who won't read 3,500 words: • venice is profitable, $70m+ arr, token throughput 10x'd in 6 months — and you can watch the revenue on-chain, every sub burns $vvv • the raise didn't sideline the token: dragonfly took 8-year warrants on 5m $vvv alongside equity. nobody takes 8yr exposure to something "structurally junior" or has no value • venice pays no dividend, no equity buyback, won't sell treasury. the only pipe surplus exits through is the burn. stated endgame, on the record: "buy and burn every last token." float: 15m • the treasury holds ~$480m of $vvv — 7.4x the raise. burning is venice investing in its own biggest asset • and while digging i found more details about "minds" — an unannounced agent product / marketplace sitting in their production javascript, localized into six languages — the bridge from selling inference to taxing an economy of agents selling outcomes i also read 1,900 tweets of fud and answer the three real ones inside. i'm long, not advice.

it’s obvious what a scam $vvv is. i’m just wondering if the collapse will negatively impact $pod or if it will benefit from becoming the market leader in onchain AI inference