GM 👋 This is Seedphrase, hopefully, your favorite crypto newsletter written by your non-financial experts, tweet us today so know you’re real 😀 

📓 Today’s Agenda:

• 🔥 Hot Headlines

• 📉 Crypto Outflow

• 🧧 Airdrop Guide

• 🏦 Infinite Money Glitch

📉 Crypto & The Markets:

• State of Texas to introduce a bill that protects Bitcoin holders, miners, and developers - See how

• The Bitcoin Halving is a year away, and industry experts are already speculating how this will affect the price - Learn More

• Bitmex CEO Stephan Lutz says the exchange has made it through “the valley of death,” and the market is moving in a positive direction - Check it Out

• Sam Bankman-Fried is said to have received $2.2B in payments from FTX - Learn More

🖼️ NFTs:

• BTC DeGods Become the second highest BTC Ordinals Collection by Market Cap, with a floor price of over 1 BTC - Learn More

• Magic Eden continues its cross-chain conquest with the launch of support for Bitcoin Ordinals - Check It Out

• Animoca Brands Chairman Yat Siu says that the Asain markets are heavily embracing Web3 due to greater “pro-capitalists” sentiments regarding NFTs and the Metaverse - Learn More

• CryptoPunks floor price dumps over -10ETH in less than 24 hours, likely due to $BLUR token farming aggressively taking profits - Check it Out

🤯 PRICE GO UP, COINS GO OUT?

I bet you are painfully aware by now, Bitcoin has been crushing the macro and crypto markets, currently up 14% over the last week.

It’s okay; we didn't buy either (not enough at least).

Despite the recent price surge, digital asset products have marked their sixth consecutive week of net outflows, totaling over $424M.

What does this mean? Are we going to dump? Pump? Go sideways?

The honest answer is no one knows, but according to our professional opinion, it's definitely one of those three options!

Yup, so smart.

But in all seriousness, this could be the start of a soon-to-come liquidity exit across various digital asset products. What we see right now is similar to the activity during the COVID-19 pandemic.

I know, flashbacks, but stay with me, soldier!

You also need to remember that the banking system is on the brink of collapse (joking, but not really), which could cause a need for liquidity from the 🐳’s 

So what should you suspect?:

• As prices continue to rise, likely, asset outflows will also increase.

• At some point, the liquidity will catch up to the hype, in which the class of 2023 exit liquidity will earn their stripes.

When should you sell?:

• Whenever you see Jimmy Crammer says buy Bitcoin, you’ll know it's time to get out ASAP.

🤝 TOGETHER WITH TENDIES

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Thought-provoking Opinion pieces dive deeper into topics few outlets cover, and Special Reports provide distilled, institutional quality equity research to our readers.

🧧 FREE MONEY 101

Declaration of Degenpendence: “Time in the market pays more than timing the market.”

Section 2, article 3, for those who are wondering. Yup, we made that up.

Time in the market = airdrops are one of the best, if not the best, examples of how degens can earn free money just by participating in the crypto space.

With that said, here are 3 steps you can take to help you secure a bag!

➡️ By the end of this, you’ll learn:

• Why airdrops happen

• How to get an airdrop

• What to do after an airdrop

Why do airdrops happen? You may be asking yourself, why are these projects just throwing out massive sums of free money? Two main reasons:

1️⃣ Advertising: Humans are simple creatures. We hear an opportunity for free money and come flying like bees to honey.

2️⃣ Value: When a project announces an upcoming airdrop, this usually causes an extreme influx of volume into whatever product or service the project already has. This creates a win-win for both the buyer and the project: The buyer receives the upcoming airdrop + the value of the underlying asset or service, and the project gets the revenue, royalties, etc.

How to get an airdrop? Most often, Airdrops require you to either use a specific product or hold a particular base asset.

Think about it as getting paid for buying or using a product. Yes, I know, this already sounds sketchy, but I promise it's legit (most of the time).

Depending on the airdrop, there may be specific steps you need to follow to be eligible.

For example, you may have to:

• Register on the project's website.

• Complete specific tasks such as joining a telegram group or Discord server, commenting on a forum, etc.

• Hold a certain amount of an underlying currency.

• Use a particular product or service during a specific period of time.

This list can go on forever, but you get the point.

For you degens that have recently joined the space, the following are past examples of airdrops and how they determined eligibility.

• $BLUR: Trade on the Blur NFT marketplace

• $UNI: Swap on the Uniswap protocol

• $SOS: Pay fees on the OpenSea NFT marketplace

• $ARB: Use the Arbitrum protocol

• $APE: Hold a Yuga Labs asset (BAYC, MAYC, or BAKC)

Before you ask, yes, we got paid and it felt so damn good. We’re dropping a guide to airdrops on our twitter so tune in tomorrow for more alpha!

🧑🏻‍⚖️ INFINITE GLITCH

If you are a gamer, I know you have that one friend that swears he grinded all night for the loot that would take the average person days to acquire.

On the surface, you say you believe him. But deep down, you know he did the infinite money glitch that allowed him to cheat ahead.

I know some of you got triggered reading that.

Well, that is happening right now with the traditional banking system, as U.S. regulators are exploring measures to guarantee all bank deposits in response to a critical banking crisis.

AKA: Infinite money for banks

You may ask, how does this affect you and your money?

Let's dive into the pros and cons:

Pros, well for you and I there is none.

Cons:

• Banks will have more freedom to do what they want with your money

• Banks will have more leeway to abuse the financial system

• Money printers go brrrr, as the reserve would need to cover withdrawals in case of a bank run

• Do I need to continue?

Now yes, I understand that this is great for small businesses that exceeded the FDIC limit and got rekt by the banks.

However, in the long term, especially with the launch of the Fed's upcoming FedNow service (basically a digital dollar), this could cause serious consequences for the overall economy.

But Bitcoin is a scam, right? 😭

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DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research.