What's Driving Token Prices? (September 21, 2022)

VGX (-7.1%) - Earlier this year crypto exchange Voyager halted withdrawals in the aftermath of the Terra unwind and has since entered into bankruptcy proceedings. Several entities have been circling and considering picking up Voyager’s assets and customer lists, including Alameda Research. Earlier this week, a court ordered Alameda to repay a $200M collateralized loan to Voyager that was arranged prior to the bankruptcy. Alameda offered Voyager a line of credit post-bankruptcy to help fill the balance sheet hole and prevent a bank run scenario as they are also equity holders in Voyager. According to the court, Voyager can return the collateral owed to Alameda “as promptly as practicable.”
ADA (-6.%) - Today, Layer 1 blockchain Cardano is undergoing a hard fork dubbed “Vasil.” The network upgrade is expected to increase Cardano’s throughput and lower transaction fees. Cardano was created by Ethereum co-founder Charles Hoskinson, and its architecture has undergone academic review and research. As a result, progress on the blockchain has been fairly slow. However, the ecosystem is seeing more traction in the last year and boasts over 100 projects.
HNT (+5.9%) -Decentralized wireless network Helium yesterday introduced Helium Mobile—a direct-to-phone 5G service in partnership with T-Mobile. The agreement between Helium and T-Mobile is set for five years. Last week, news also came out that Binance US was short 4.5M HNT tokens after an accounting error within their exchange. Many are speculating that Binance will need to purchase these on the open market to make users whole.

DISCLAIMER: This commentary is not intended to be investment advice, investment research, or a recommendation. Please consult your investment professional for your own circumstances."

Disclaimer: This commentary is provided as general information only and is in no way intended as investment advice, investment research, legal advice, tax advice, a research report, or a recommendation. Any decision to invest or take any other action with respect to any investments discussed in this commentary may involve risks not discussed, and therefore, such decisions should not be based solely on the information contained in this document. Please consult your own financial/legal/tax professional.

Statements in this communication may include forward-looking information and/or may be based on various assumptions. The forward-looking statements and other views or opinions expressed are those of the author, and are made as of the date of this publication. Actual future results or occurrences may differ significantly from those anticipated and there is no guarantee that any particular outcome will come to pass. The statements made herein are subject to change at any time. Arca disclaims any obligation to update or revise any statements or views expressed herein. Past performance is not a guarantee of future results and there can be no assurance that any future results will be realized. Some or all of the information provided herein may be or be based on statements of opinion. In addition, certain information provided herein may be based on third-party sources, which is believed to be accurate, but has not been independently verified. Arca and/or certain of its affiliates and/or clients may now, or in the future, hold a financial interest in investments that are the same as or substantially similar to the investments discussed in this commentary. No claims are made as to the profitability of such financial interests, now, in the past or in the future and Arca and/or its clients may sell such financial interests at any time. The information provided herein is not intended to be, nor should it be construed as an offer to sell or a solicitation of any offer to buy any securities, or a solicitation to provide investment advisory services.