Iceberg Capital Week In Review (May 23 2022) // Bitcoin Pizza Day – The Most Delicious and Expensive Day of the Year

And just like that, the volatility has disappeared.  After the shake out the majors are trying to figure out where to land and many investors are asking if we’ve seen the bottom.  But despite the relatively quiet week – Bitcoin did post its 8th consecutive red candle, the first time in its history such a thing has happened with the previous record being 6 consecutive candles in 2014. Both Bitcoin and Ethereum fell through psychological levels of $30k and $2k respectively before reclaiming them several times, and ending the week just above them but posting losses in the low single digits.

Yesterday also marks Forrest’s favorite day of the year – in cryptoland, May 22nd is also known as Bitcoin Pizza Day, and yesterday was the 12th anniversary of the historic event.  12 years ago, a Florida man agreed to buy two large pizzas in exchange for 10,000 bitcoin.  While only worth $41 at the time, today those pizzas would be valued at over $300 million. 

ETH 2.0 is coming.  Vitalik mentioned in an interview this weekend that the Ethereum merge to become proof-of-stake is happening in August.  It will definitely happen in August.  Or Maybe September.  Or it could be October.  I feel we’ve heard this song and dance before.  But when this does happen – it should be a very positive event for the number 2 coin.  Ethereum announced a date in June that their testnet will merge allowing developers to work out any bugs before the proof-of-stake officially rolls out.  In shifting to proof-of-stake, where transactions are validated by those who contribute, or “stake,” to the network, Ethereum will become significantly more eco-friendly and ideally more efficient.  Gas fees should come down and will enable significantly more volume on the blockchain.  While ETH sits around $2k per coin now, I have heard some forecast as high as 10k as the coin settles into PoS (note – this is not our firm view, although we do believe it to be a bullish event).


Despite trying to ban Bitcoin to well over 1b people in China, Bitcoin seems to be back in play. Mining data shows that China now accounts for ~21% of the hashrate after falling to 0 shortly after the ban. This puts it as the second largest country by computer power following the US, but well below its 2019 peak of ~75%. In some wonderful Bitcoin news, 44 countries sent central bankers or their equivalent representing a combined population of ~1b people to El Salvador over the past week to participate in the first of its kind conference for governments. The attendees learned how El Salvador has attracted FDI, banked its unbanked, and adopted a more stable asset for its citizens to use. The UK is set to adopt USDT and USDC as legal tender, and Ecuador got its first Bitcoin ATM over the weekend.


Terraform Labs and Do Kwon were called out by the South Korean tax authorities for a reported $78m late tax bill, the second time they have reportedly evaded taxes, and something that they both deny is true. On top of this FUD Kwon is reportedly being called in for closing Terra’s South Korean arm days before the collapse, a suspicious timing that investigators want answers to. The Brazilian Exchange NOX will reimburse its clients on losses they experienced due to the de-pegging of UST. And Deus finance had its algorithmic stable coin collapse to ~$0.60 over the week following fears it would follow the same fate as UST and then experienced flash loan attacks, however their governance token DEUS doubled over this time period.  Alphabet’s YouTube announced that they are hiring a Web3 director to help rollout the video sharing platforms transition to this. Swiss bank Julius Baer said it will offer crypto services to its clients, and Texas Pacific Land Corp. said that it will begin mining Bitcoin.

Final Bullets

  • 93% of sellers in May bought their Bitcoin between Jan21 and Apr22 showing that the majority of sellers were at a loss and short-term holders
  • Binance lost $1.6b on the $LUNA catastrophe, while many other big names are reporting loses between $10 million and $3.5 billion
  • $LUNA and $UST had a combined market cap larger than that of Lehman when it collapsed
  • Vitalik is no longer a billionaire (no go-fund-me campaigns have been started yet, so no need to lose too much sleep over this)
  • NFL player, Alex Barrett, is going to take 100% of his salary in Bitcoin

Good luck trading and join me in cheering for my New York Rangers!  Lets Go Rangers!!