Good morning to everyone except people still HODLing 2017 layer-1 'zombie chains'—time to let go.

January’s crypto market is bouncing back strong, with roughly 10% gains across the board. 

The crypto market is buzzing as Bitcoin soars past $100,000, fueled by anticipation of President-elect Donald Trump's pro-crypto policies. 

XRP isn't far behind, climbing to over $3 amid growing acceptance by major financial institutions.

This week, we’re getting into:

🤖Bots, Bull Runs, and Big Bets: AI is going nuts. Launchpads like Virtuals and Eternal AI generate $3.2B+ in value, while a DAO fund named ai16z (run by an AI ‘Marc Andreessen’) flexes harder than real VCs. Also, humanoid robots for $420k anyone?  

💸 Stablecoins and Robo-Capitalists: The Next Frontier. Yield-bearing stablecoins make 15-20% APY effortless—non-custodial, so no scammer Mashinsky needed. 

🔥The 2025 Crypto Circus: Trump’s inauguration brings crypto-friendly vibes back, and Solana ETF rulings loom large. The weakening dollar index signals fertile ground for a risk-on 2025. ETH heads upward, while all eyes are on potential Q1 blowouts across alts—but proceed with caution. Trends rhyme but rarely repeat. 

Alts stole the show in this week’s market roundup:

🔥 Fartcoin (FARTCOIN) ripped a 73.1% gain this week, defying all logic and reminding us that meme tokens can still blow past expectations. No major announcements here—just hype and momentum doing their thing.

🔗 XDC Network (XDC) surged 45.0%. XDC is a blockchain focused on trade finance, and its price action may be linked to its growing adoption in enterprise-level partnerships.

🚀 XRP (XRP) climbed 40.7%. The ongoing chatter about Ripple’s legal wins and global payments use cases keeps the token buzzing, despite no fresh news driving this week's gains.

🌐 Hedera (HBAR) is up 33.9%. Known for its enterprise-grade DLT, Hedera recently announced collaborations with major brands like Kia and Hyundai to explore the tokenization of carbon credits.

💻 Kaspa (KAS) gained 32.1%. Kaspa is a proof-of-work chain with a DAG-based structure for fast transactions. Its climb could be tied to increasing miner activity and growing community interest.

✨ Flare (FLR) rose 31.5%. Flare focuses on cross-chain functionality and interoperability, but no standout announcements emerged this week.

⛏️ Litecoin (LTC) posted a solid 29.5%. With the halving event (Yes, Litecoin has a halving, too!) now behind us, LTC appears to benefit from long-term holders' steady accumulation.

🌊 Algorand (ALGO) is up 29.1%. The eco-friendly blockchain had no major announcements, but its steady ecosystem growth keeps it green.

💰 OKB (OKB) added 26.2%. OKX’s exchange token is holding strong as trading volumes pick up, but there wasn’t a specific catalyst driving this week’s rally.

🐕 Dogecoin (DOGE) gained 25.5%. The meme king remains resilient, with rumors of Elon Musk integrating DOGE into X (formerly Twitter) keeping the dog pack excited.

📈 Raydium (RAY) rose 25.5%. This Solana-based DEX token has been riding Solana’s recovery wave, with no big news pushing this week’s growth.

🌱 IOTA (IOTA) climbed 25.0%. Known for its feeless IoT-focused tech, the token is benefitting from whispers of expanded adoption across European initiatives. 

Some alts stole the spotlight. AI16Z skyrocketed 153.6%, riding the AI h.ype wave as it continues to make moves in predictive trading analytics. Bitget Token (BGB) surged 59.8%, while Tokenize Xchange (TKX) posted a solid 51.9% gain. 

On the DeFi front, Movement (MOVE) rose 17.7%.

Over in NFT land, Pudgy Penguins (PENGU) squeaked out a respectable 13.4%. 

🤖 AI Agents and Humanoid Robots—Cashing in on the Madness  

AI launch pads are becoming massive money machines. 

These platforms simplify launching AI agents (think: digital workers that can act and make decisions) without coding know-how. 

Six players dominate: Virtuals ($3.2B valuation), Eternal AI ($123.5M), and Top Hat ($64.9M), among others. 

Together, they’ve helped deploy over 39,000 agents, creating billions in market value. 

These platforms profit off AI agent fees—like Shopify for robots—but the "users" are earners, too, thanks to tokens tied to agent success.

But things get wild when we talk about ai16z, an AI-run DAO fund. It started with $75k and grew into a fund managing $26.5M, with its token ($AI16Z) worth $1.5B. 

It’s entirely run by an AI pseudo-Marc Andreessen, flexing on real venture capitalists.

And just when you thought it couldn’t get weirder, the same team that built this fund now wants to roll out a humanoid robot priced at $420k. 

It has cigar-cutting accuracy, AI-powered conversations, and an undeniable weirdness factor.

Can we call this innovation, or is this just marketing dressed as a product? 

Tesla's Optimus robot at $30k or a Boston Dynamics dog at $75k suggests $420k might be a harder sell.

The real winners in this narrative likely won’t be flashy robots; they’ll be scalable systems that power these AI economies behind the scenes (*cough cough* launch pads).

💸 Stablecoins, Putting Your Money to Work (Again) 

Stablecoins are pulling in 15-20% yields, with barely any sweat involved.

 The market has exploded, vaulting past $200B in circulation and aiming for $400B+ by year’s end. In contrast to traditional $USDC and $USDT, yield-bearing stablecoins are leading the charge. 

Here’s the breakdown:  

1. Centralized Players ($USDC, $USDT): Backed by companies like Circle, these coins are tied to real-world cash or treasuries. The problem is that the yield (4% from treasury holdings) lines Circle’s pockets, not users’.  

2. Decentralized Options ($USDS, $USDe): Managed by decentralized protocols, often collateralized by assets like $BTC or $ETH. Yield-bearing versions go a step further, offering up to 20% simply for being held.  

Now, survivors of the nuclear crypto bear market in 2022 remember what catalyzed the drop… CeFi companies offering yield (Celsius, Voyager, and Genesis) were, one way or another, exposed to $UST on Anchor, a decentralized stablecoin claiming to pay out 20% yield. Both collapsed in catastrophic fashion, costing users millions of dollars.

Is this time different? 

Not exactly. Tread lightly and be very vigilant in how yield is being earned. Any lack of transparency is a serious red flag. 

Still, the stablecoin trend is undeniable. All signs point to stablecoins morphing from "crypto cash" into serious investment vehicles over the next few years.

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🤔 What’s New at CoinCentral: DeFi and KYC: A Hate-Hate Relationship

DeFi was supposed to be the wild west of finance—no middlemen, no rules, just code and coins. Enter the IRS, cowboy hat in hand, demanding Know Your Customer (KYC) compliance from decentralized platforms. Suddenly, the “wild west” has a sheriff.

Here’s the kicker: KYC rules force DeFi platforms to collect user IDs and tattletale to Uncle Sam about your transactions. Sure, centralized exchanges like Coinbase have been doing this for years, but DeFi? That’s like asking an anarchist to join a homeowners’ association.

The IRS plans to enforce this fully by 2027, leaving DeFi platforms scrambling. Do they play ball and risk losing their “decentralized” badge of honor? Or do they hold the line and brace for the regulatory smackdown?

One thing’s clear: the next few years will decide if DeFi can stay decentralized or if it becomes just another cog in the financial machine. Either way, keep your popcorn handy.

Check it out here!

📅 January 2025—Crypto Season’s Freakishly Bullish Start  

January’s blowing all expectations out of the water. Kicking off 2025 with fireworks, the new Trump administration is poised to test its pro-crypto stance. 

Solana ETF applications face their first SEC deadlines on January 25th. While bets lean toward delays, approval would be a jackpot for an already-roaring crypto market.  

At the same time, the DXY (US Dollar Index) is cratering. Investors are dumping dollars for riskier assets like crypto. 

Historically, low DXY means a fertile ground for digital asset bull runs. Add Trump’s crypto-friendly SEC chair, and the stage seems set for déjà vu of the 2016/2017 crypto rescue arc under his first presidency.  

On Ethereum’s side, January may just set the tone for an explosive year. ETH’s track record during bull cycles (Q1, historically) shows consistent gains that seem bound for a repeat performance. Still, $ETH holders remain peeved by the asset’s lack of growth while everything else is making like a SpaceX rocket.

In other words, cmon, $ETH, do something. 

The stars seem aligned for a bullish Q1—but don’t crack the champagne just yet. Markets are cyclical, and the crypto crowd has been burned before by preemptive exuberance. 

We’ll see you next week!

AM

DISCLAIMER: This newsletter is provided for educational purposes only and does not constitute financial advice. The content herein is not an investment recommendation or a solicitation to buy or sell any financial instruments or assets. Readers are advised to conduct their own research and exercise caution in making any financial decisions.