$YHC - I dunno what he's gonna do w/ this stonk but he's got something planned, extremely high risk given checkered listCo Past

Let me preface by saying a few things:

• ◆Caveat Emptor on the stock, simple desktop research suggest the company is garbage and the management is pretty damn shady. Won’t be surprised by restatements and even wrong audited financial information & SEC may even look into them for wrong-doing. If these guys are scammy they could literally be dumping shares / running ATM right now.
• ◆We blasted some this morning after the announcement. Folius also did a small investment into Superstate (Robert’s current RWA / Fintech startup).
• ◆It’s very possible this is gonna take a long time, I don’t think Robert looked under the hood either — so it could take months if not quarters for anything good to manifest.

That said, let’s take a look at why this is interesting:

• ◆What set this off was Robert Leshner’s tweet (https://x.com/rleshner/status/1944706410345812034) where he filed a 13D acquiring 57% of YHC (most of it at $3.77 per share, so Robert dropped about $2mm USD on this). The company “might” be trading at negative EV and still has some revenue selling liquor. I think it’s obvious Robert bought this public shell with a plan in mind.

• ◆Crypto Treasury Co is all the rage these days — so that’s the simple path; pawn this off to some SPAC and banker to run the Treasury playbook. I don’t have numbers handy but most stonks get lifted big once it announces something. I don’t think he’s gonna do COMP tho. Too simple.
• ◆2 pieces for your background — his current startup Superstate (https://superstate.com/blog/superstate-announces-series-a-financing) and the recent announcement regarding Opening Bell (https://www.theblock.co/post/353344/superstate-unveils-opening-bell-to-bring-sec-registered-equities-onchain-starting-with-solana)
• ◆In particular, the tokenized stock effort by Superstate’s Opening Bell Program is interesting — you can read it yourself at (https://superstate.com/opening-bell) and (https://www.sec.gov/files/ctf-superstate-letter-061725.pdf), but the gist is that any company that’s SEC-reporting (which requires audited financials + K/Q/20-F/Filing) can be onboarded to the Superstate platform, have its shareholder list digitally-mapped w/ SEC-compliant record-keeping, and tokenize its shares to trade directly amongst the investors within Superstate’s KYC/AML ring-fence.
• ◆There’s some added question around whether these “tokenized securities” will be able to trade onchain (on like Uniswap / Raydium) because while a smart-contract whitelist is enabled for these shares, US law dictates that only regulated marketplaces (if not on NYSE / Nasdaq, then on these things called ATS — Alternative Trading Systems) can facilitate exchange of securities. There’s some heated back-and-forth and debate now on whether (a) exemptions can be granted to tokenized securities, (b) whether a ring-fenced sandbox can be set up, and (c ) just how exactly these DEX’s can be regulated. But I think progress is being made there.
• ◆Nonetheless, Superstate is at the very forefront in its “non-wrapper” approach (unlike all the other CFD / Total-return swap approaches that you see say at xStock / Robinhood) and if it bears fruit, could be the 1st of its kind delivering the goods that SEC actually likes.

Thanks for reading all that, so here’s my (definitely guess-work) speculation:

• ◆There’s a pretty high probability in my mind that Robert bought the cheap shell for the optionality in furthering the Superstate business it’s building.
• ◆The few paths would be (a) he and parties in discussion injecting a business into YHC, then forcing it through the process of Superstate to be a example as a “tokenized stock”, (b) him putting Superstate into YHC, or (c) running the vehicle as his own holding company to further both his investment efforts via contribution in-kind / in-conjunction as well as driving business efforts to superstate.
• ◆Or nothing could happen and he just holds onto the shell for a while. I doubt we can ever find out until he does things. But I suppose the next Chopping Block episode will talk about it.
• ◆Regardless though, if Robert Leshner actually executes on anything close to being associated with the forefront effort of RWA / Tokenization, then this may be one of the only pure-play stocks on this narrative at probably the lowest market cap one can find (until others emerge). So I think it’s kind of worth the lottery value.

The risk is obviously significant so I won’t list all of them out. It’s really kind of a lottery ticket but you probably want to follow what he’s up to.