Thursday, Feb 8, 2024

“It is what you don't expect... that most needs looking for.” – Neal Stephenson ||   

Hello everyone!

In case you missed yesterday’s email, I’m now inserting an audio version of the newsletter, read by me. This is still on a trial basis, and I have much to learn, not least figuring out how to get everything done faster. Yesterday there was too much of a silence at the very beginning, but today I’ve figured out how to insert a music clip! Small victories, I’ll take them.

You’re reading the daily premium Crypto is Macro Now newsletter, where I look at the growing overlap between the crypto and macro landscapes. There’s also usually some market commentary, but I don’t give trading ideas, and NOTHING I say is investment advice. For full disclosure, I have held the same long positions in BTC and ETH for years, and have no intention to either buy more or sell in the near future.

If you’re not a subscriber, I do hope you’ll consider becoming one! It would help enable me to continue to share what I learn as I work on figuring out where we’re going.

If you find this newsletter useful, would you mind hitting the ❤ button at the bottom? I’m told it boosts the distribution algorithm.

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Note: I’m speaking at BlockWorks’ upcoming Digital Asset Summit conference in London on March 18-20. Normally I say no to conferences, but this is one of the very few worth travelling for. If you’re thinking of going, it’d be great to say hi, and here’s a discount code you can use: CIMN10.

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IN THIS NEWSLETTER

• How the Chinese navy is relevant to crypto

• The liquidity puzzle

WHAT I’M WATCHING

How the Chinese navy is relevant to crypto

Last week, the US Naval Institute reported on the remarkable build-up of the Chinese navy over the past couple of years. Typically dismissed as having only a “green water” navy, which means it can only operate close to home, China seems to be investing heavily in “blue water”, or global, naval capability. Earlier this week, Newsweek shared details of the rapid progress of a new type of Chinese aircraft carrier. CNN recently wrote about China’s large guided-missile destroyers and amphibious assault ships, and Foreign Policy speculated on where China might build its next overseas naval base after opening Djibouti in 2017.

By now, you’re probably wondering what naval power has to do with crypto markets, but hear me out. It is relevant.