SS

Time sensitive so quick write-up on a delta-neutral play. Although you could also play this as a straight FLOKI long if you believe memecoins could perform well in the near-term.

TLDR: Long spot FLOKI on Binance and short corresponding perp for $CAT airdrop. Can unwind this trade after 29 Aug 2024.

Thesis

MetaDAO is a compelling liquid VC-style opportunity with limited downside and significant upside potential. It stands out as a category creator, the first ever implementation of futarchy uniquely enabled by crypto.

• First ever implementation of futarchy, a concept that is somewhat niche but has an almost cultlike base of supporters, uniquely enabled by crypto. Hanson, the creator of futarchy theory, calls his idea “the one ring to rule them all.”
• $META is a full-float token with FDV of ~$22M. Valuation seems especially attractive in context of current environment in crypto private markets. The token distribution is already relatively decentralized. Cap table includes Paradigm (invested in July 2024 with a cost basis of ~$550 with a ~15% stake), Colosseum, and a roster of high-quality Solana builders. In the near-term, I expect downside to be relatively protected by Paradigm halo + VC cost basis & narrative + adoption momentum.
• $META has high upside potential due to its pioneering role in futarchy. Historically, projects that create/lead categories tend to trade at a premium given outsized attention and role as “meta leaders”.