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Research from Ocular

Ocular is a crypto fund based in Singapore managed by Openspace Ventures, one of the top VCs in the region. We invest in crypto VC and HF funds as well as crypto projects globally. The Ocular team comprises crypto enthusiasts with venture capital and data science background.

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Crypto

Virtual currencies are decentralized, math-based digital assets in which transactions can be performed cryptographically without the need for a central issuing authority. The first specification and proof of concept of Bitcoin, the first widely used virtual currency, was published in 2009 based on a paper published pseudonymously by Satoshi Nakamoto.

<ul><li>There has been a renewed wave of optimism towards web3 in light of recent events, including the approval of the long-awaited spot Bitcoin ETF; and the surge in market activity in the early months of 2024.</li><li>On the regulatory front, we have seen the conclusion of several high-profile court cases and lawsuits, including some of the charges involving Ripple and Binance.</li><li>Beyond the results of the rulings (which many argue are in favour/support of web3), the resolution of these cases in itself has provided greater clarity and stability to the ecosystem.</li></ul>

There has been a renewed wave of optimism towards web3 in light of recent events, including the approval of the long-awaited spot Bitcoin ETF; and the surge in market activity in the early months of 2024.On the regulatory front, we have seen the conclusion of several high-profile court cases and lawsuits, including some of the charges involving Ripple and Binance.Beyond the results of the rulings (which many argue are in favour/support of web3), the resolution of these cases in itself has provided greater clarity and stability to the ecosystem.

<ul><li>In our 2023 thematic outlook, we highlighted that on-chain insurance is a DeFi sub-sector that remains underdeveloped.</li><li>Today, DeFi has largely covered the services offered by TradFi, such as payments, lending and exchanges; as well as central, commercial and investment banking services.</li><li>There is also DeFi insurance<span style="font-size: var(--content-font-size);"> (or more accurately termed as ‘DeFi cover,’ since the solutions provided are more discretionary than contractual; and may not be regulated), </span>but presently it is not being offered as extensively as traditional insurance</li></ul>

In our 2023 thematic outlook, we highlighted that on-chain insurance is a DeFi sub-sector that remains underdeveloped.Today, DeFi has largely covered the services offered by TradFi, such as payments, lending and exchanges; as well as central, commercial and investment banking services.There is also DeFi insurance (or more accurately termed as ‘DeFi cover,’ since the solutions provided are more discretionary than contractual; and may not be regulated), but presently it is not being offered as extensively as traditional insurance

<ul><li>Introduction Over the past few months, we have seen how ChatGPT has taken the world by storm.</li><li>It is estimated that ChatGPT reached 100 million monthly active users in Jan 2023, just two months after launch, making it the fastest-growing consumer application in history.</li><li>The popularity of ChatGPT has reignited conversations on the potential of artificial intelligence (AI).</li></ul>

Introduction Over the past few months, we have seen how ChatGPT has taken the world by storm.It is estimated that ChatGPT reached 100 million monthly active users in Jan 2023, just two months after launch, making it the fastest-growing consumer application in history.The popularity of ChatGPT has reignited conversations on the potential of artificial intelligence (AI).

Convergence of Artificial Intelligence and Web3

Ethereum is an open-source, public, blockchain-based distributed computing platform featuring smart contract (scripting) functionality. It provides a decentralized Turing-complete virtual machine, the Ethereum Virtual Machine (EVM), which can execute scripts using an international network of public nodes. Ethereum also provides a cryptocurrency token called "ether", which can be transferred between accounts and used to compensate participant nodes for computations performed. "Gas", an internal transaction pricing mechanism, is used to mitigate spam and allocate resources on the network.

<ul><li>2022 was a challenging year for web3. We witnessed the collapse of TerraLUNA, the fall of FTX, and several notable insolvencies including Three Arrows Capital, Voyager, Celsius and BlockFi.</li><li>These events deeply impacted the sector, with the crypto market losing <a href="https://www.cnbc.com/2022/12/23/bitcoin-lost-over-60-percent-of-its-value-in-2022.html#:~:text=Bitcoin%20lost%20over%2060%%20of%20its%20value%20in%202022" target="_blank" rel="noopener">over $2 trillion</a> in market cap in 2022 and public perception of web3 turning sour.</li><li>Many suspect we have yet to feel the full magnitude of the contagion effect of these events, as they are still ongoing (e.g. the FTX trial), and we could reach new lows.</li></ul>

2022 was a challenging year for web3. We witnessed the collapse of TerraLUNA, the fall of FTX, and several notable insolvencies including Three Arrows Capital, Voyager, Celsius and BlockFi.These events deeply impacted the sector, with the crypto market losing over $2 trillion in market cap in 2022 and public perception of web3 turning sour.Many suspect we have yet to feel the full magnitude of the contagion effect of these events, as they are still ongoing (e.g. the FTX trial), and we could reach new lows.

<ul><li>The much anticipated Ethereum Merge is upon us - on September 15 UTC, Ethereum mainnet will be merging with the proof-of-stake consensus layer, the Beacon Chain.</li><li>The Beacon Chain was created on December 1, 2020, and has since existed as a separate blockchain to Mainnet, running in parallel.</li><li>This will be one of the most significant upgrades in Ethereum’s history, and took years of research and development.</li></ul>

The much anticipated Ethereum Merge is upon us - on September 15 UTC, Ethereum mainnet will be merging with the proof-of-stake consensus layer, the Beacon Chain.The Beacon Chain was created on December 1, 2020, and has since existed as a separate blockchain to Mainnet, running in parallel.This will be one of the most significant upgrades in Ethereum’s history, and took years of research and development.

The Ethereum Merge: Past, Present and Future

Ocular is a crypto fund based in Singapore managed by Openspace Ventures, one of the top VCs in the region. We invest in crypto VC and HF funds as well as crypto projects globally. The Ocular team comprises crypto enthusiasts with venture capital and data science background.

We started this newsletter to share our knowledge of the latest blockchain technologies, including infrastructure protocols, DeFi, NFTs, and other dApps which are going to reinvent how things work in web2.0. We hope you will enjoy this newsletter and provide us with valuable feedback. We aim to post every one to two weeks.

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Research from Ocular
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Charting the Web3 Horizon in 2024

There has been a renewed wave of optimism towards web3 in light of recent events, including the approval of the long-awaited spot Bitcoin ETF

Ocular

DeFi Cover: An Emerging Sector to Watch

Today, DeFi has largely covered the services offered by TradFi, such as payments, lending and exchanges; as well as central, commercial and...

Ocular

Convergence of Artificial Intelligence and Web3

It is estimated that ChatGPT reached 100 million monthly active users in Jan 2023, just two months after launch, making it the fastest-growing...

Ocular

Ocular: 2023 Thematic Outlook

Many suspect we have yet to feel the full magnitude of the contagion effect of these events, as they are still ongoing (e.g. the FTX trial), and we...

Ocular

The Ethereum Merge: Past, Present and Future

The much anticipated Ethereum Merge is upon us - on September 15 UTC, Ethereum mainnet will be merging with the proof-of-stake consensus layer, the...

Ocular