Nate

Co-founder__longdotxyz/joinlong
Real world markets.
NFA

[Nate @Natan_benish]

wild. @ArtificiallyInu now has more holders than tokenized NVDA.

35k vs 30k.

understand that stock pairs are a new form factor for stock distribution.

public companies, trading apps and RWA providers are all naturally incentivized to support them these are the modern day stock ads(but with reflexivity)

how many LONG holders became significantly more bullish on the underlying stock?

how many of you started digging deeper into the company after buying a pair?

how many ended up buying the actual stock too?

I did.

you don't need to explain a new viral form factor you can just feel something big changed.

LONG.

[Nate @Natan_benish]

the last time memes tried to proxy a real hyper growing category was during the AI meta.

"sentient memes" were insanely cool as a left/right curve optimum and also a great onboarding layer for AI people. Last time where memes felt relevant to the real world and captured mindshare outside of the trenches.

understand that stock pairs are going to be 100x bigger.

1. real reflexive connection to the largest markets in the world.

2. a relevant form factor for stock traders(the only pool of capital that can scale the onchain eco)

bootstrap NVDA/AI, go net long on NVDA, compound more NVDA shares and gradually swap back. almost like an NVDA dividend.

3. the fastest growing category in crypto since stablecoins.

4. stars aligning with the biggest bull cycle both in stocks and crypto folding right in front of our eyes.

many challenges and bottlenecks ahead.

we will tackle them one by one.

stock by stock.

LONG.

[Nate @Natan_benish]

related.

LONG.

https://t.co/hvz2BnAodH

[Nate @Natan_benish]

Important part here is not just the raw vol but how much vol is captured into generational assets + TVL(10% of the stock TVL on RH) keep in mind in terms of mech and real impact, stock pair with very thin liquidity is as good as just a standard sol/eth meme launched on any platform.

right now any time we hit a new record in daily vol at least one or couple of assets make history.

10x bigger.

LONG.

[Nate @Natan_benish]

The two scarcest resources in crypto are trust + vision.

When you compound them through deep markets generational assets are born.

LONG.

[Nate @Natan_benish]

so THICC.

LONG.

[Nate @Natan_benish]

A few days ago AMC went after @vladtenev and @robinhoodapp.

Now we see it from within. IMO it’s net negative, and whether you support model A or model B for tokenized stocks, it’s better to rally.

Again, respectfully, this is inaccurate. The key words are “it could” and “allegedly”.

Tokenized equities on RH are quite important to me, so I’m giving you a legal rant. Not a legal advice I'm not an expert but I read very carefully and aspire to understand every bit of the stack we use at LONG.

Let’s start by explaining the structure!

There are two important documents regarding stock issuance:

1. Base Prospectus, which represents general terms applying to all tokenized equities (btw these terms are 150+ pages long. I doubt so many have read them, but I did, at least portions).

2. FINAL TERMS, which are terms specific to one product (e.g. tokenized NVDA).

What do they say in the case of AMC that was mentioned?

Tokenized AMC is not some random SPV that issues shares out of thin air. It’s clearly defined as being backed by “underlying”.

The Underlying is not shares of an SPV, cash or options. This is the actual AMC stock:

“The issuer of the Underlying is AMC Entertainment Holdings… The Underlying is a share of AMC Entertainment Holdings, Inc..”

Now, as you know, the stock market is not really 24/7 or even 24/5. During off market hours, it’s hard to trade at size, and price discovery is pretty much nonexistent.

Which brings us to the next point: what needs to be done in order to bridge this gap and enable 24/7 liquid trading or at least better coverage around active mints/redeems

This is where collateral comes in.

Collateral is like a backing that can include cash or other instruments that enables to bridge the gap between the period where mint or redemption of tokenized shares takes place and the next “liquid” period (usually T+1, which is common with every major broker regardless of tokenization).

Collateral is well defined in the Base Prospectus page 10 exactly:

“the relevant Underlying (note: stock)… cash… any Underlyings have been lent… all funds and assets in transit in connection with the purchase and delivery of the relevant Underlying”

In simple words, this is an accounting measure to ensure everything is backed 1:1 before the final stock is settled and held by a custodian(or moving out) + just capital efficiency measures.

Does that mean that somehow a tokenized stock can have 99% cash and 1% actual stock as long as it's N AMC backed by equivalent cash?

NO.

Page 56: “Within the issuance and redemption processes, the Issuer will periodically buy and sell the relevant Underlying (again, stock)… There is also a risk that, in periods of low liquidity or market disruption, the Issuer may not be able to buy or sell the Underlying at the expected price or within the expected timeframe”

Again, the goal is to move from the legacy old rails into something that would be as close to 24/7 market.

The truth is, big portion of the debate around which model for tokenized stocks is more "pure" doesn’t really matter same as USDT VS USDC backing reserve.

UX and price execution are what matter (where I can get the best price for my tokenized NVDA most of the time). @longdotxyz helped to bootstrap lots of the deep onchain liquidity on Robinhood, so I just made a quick comparison during off market hours.

~1m SPCX trade via Jup: -25% price impact

~1m RH SPCX trade via @matchaxyz: ~1% price impact

I’m not trying to say one product is bad and one is good, but simply stating the facts from a POV of a founder running an app that generated $1b in total tokenized volume across many RH tokenized stocks 24/7.

Robinhood is extremely robust! It also provides better security assumptions, as most of this liquidity is fully onchain within DEX pools.

Now let's get back to winning.

LONG.

[Nate @Natan_benish]

LONG is a rare example of a 1st mover advantage (with LOTS of work left!)

Mainly because we are not just about a one trick pony of stock pairs (otherwise we would have been dead already) we have very cohesive vision that’s optimising for stock pairs with thoughtful design + unique distribution and most importantly clear vision.

I respect the pump team for essentially establishing network effects to the point of seeing almost every meta being born there.

But also think for LONG we want to take high convection bets on how to grow the pie instead of running the same generalised launcher playbook pump is running very successfully for years.

More validation and adoption around stock pairs only reinforces how powerful this concept will play out on LONG.

[Nate @Natan_benish]

some users asked me about!

clarification regarding community mode

When we first launched LONG, our fee structure was different. Creators received ~1% on every trade, in both tokens and stock.

During some of our more active days, this led to good assets getting dumped by the original deployer, or a deadlock where people didn’t want to “CTO” the asset because they were afraid the dev would dump on them. It's a very common problem and no one really figured it out without taking a weird PVP approach for CTOs (in some sense OG launches on Pump didn't have any creator fees and I think they were a bit more pure to some extant and creators had to buy a portion and have skin in the game to capture upside vs farming fees)

Since 27 July, we have changed the default mode and all assets launched after it run with:

1. The creator share is much smaller, so there is no central point of failure. CTO just means buying the asset(creator can't get have something wild like 5% of the supply in first 3h)

2. Fees are automatically added to the locked LP through our Uni V4 hook on every trade.

This effectively creates a fully automated community mode. We can add some UI features to make it more explicit and "verify" this mode enjoys similar safety like OG pairs with community mode.

My recommendation: LONG pairs are not just vanilla DeFi vaults. These are community based assets whose value is driven by holder conviction, unique narratives, and memetics. That is much more POWERFUL than quoting stats esp on the small-mid cap range.

LONG.

[Nate @Natan_benish]

Also side note. Building with excellence, take over a new category, provide users what they want(I think pre ipo pairs can be huge on RH) and accrue value back to our og pairs.

Is rly our North Star.

This launch was made possible also because the new factory launcher(front running new pairs can ruin liq) There are many layers to what we do in due time all the pieces will fall in place.

We will get better and better. There is no other option.

LONG.

[Nate @Natan_benish]

innovate on tech -> dominate a new class of paired asset -> accrue value back to our top pairs.

stock by stock. the LONG "flywheel"

[Nate @Natan_benish]

Just understand how locked in we are that it took a msg from a terminal we work with to even find about it.

Many are going to lose all of their aura by doing everything they can to “vamp” or weaken LONG. My suggestion is to join onboard instead.

We will keep pushing for PVE and focus on our inner strength. Till every single holder on LONG will win beyond imagination stock by stock.

[Nate @Natan_benish]

Green* Monday on the Green chain.

LONG.

[Nate @Natan_benish]

My drive comes from one understanding:

If it weren’t for LONG and AI, stock pairs would probably never have existed, or worse, they would’ve been pumped and dumped like almost every other meta we’ve had over the past 2 years.

Laser focus. the mission is too important. step by step. stock by stock.

Longfolio.

[Vlad Tenev @vladtenev]

Tokenization is coming to America.

Thanks to the SEC’s leadership, Americans can start to reap the benefits of tokenization: instant settlement, 24/7 trading, fractionalization by default and more. It’s a good day for US innovation.

[Nate @Natan_benish]

Today more than anything

LONG 🇺🇸

Every public company will have a leading stock based community on LONG.

Stock by stock.

[Nate @Natan_benish]

One interesting feat of @RobinhoodCrypto stock tokens is the way dividends work.

These ERC20 have a “multiplier” which set up the value of 1 tokenised share.

If NVDA grows by 10% over a year (from dividend dist) the multiplayer would 1.1

Btw I think the current dividing yield is ~1% can be significant with the depth of liq

And it’s fully automatic.

LONG.

[Nate @Natan_benish]

wdyt is going to happen when stock traders will find out about LONG stock pairs? new form factor.

LONG.

[Nate @Natan_benish]

tokenized stock liquidity is the moat.

concentration of liquidity and flows into the highest quality assets like AI is antifragility

LONG.

[Nate @Natan_benish]

I want to make something very clear. There is NOTHING that will break my will to grow LONG into a generational platform along with its assets and communities.

No event in my personal life, macro or majors nuking. It's evidently clear to me:

1. RH chain is here to stay and we keep pushing it (with many more other cracked teams focused on diff areas)

2. We will keep laser focus on RWA pairs. No short term side quests. "There is no other meta"

3. We are mission driven and you simply can’t kill a movement

4. We are only getting started

The space is still trapped in a zero sum mindset, believing that one chain, ecosystem, or asset needs to fall for another to rise.

There is a reason why launchers peaked somewhere a in '24 and were not able to scale. With each peak being mostly correlated with mini bull cycles.

It's driven by an excessive focus on who controls existing flows + vol vs how to bring net new use cases and users.

For LONG the focus is on the latter.

LONG eco is still very much in its infancy. I feel everything just like you do. I live and breathe the charts, waking up multiple times each night to check them and monitor sentiment.

From time to time it's like having a baby with a fever, it can be very scary. You have to step in, monitor, and act, but under no circumstances should you lose control (obv not giving up thats not even an option)

On another note, we’ve absolutely cooked up a much improved app experience, from fixing bugs in wallets and the token list to adding new LONG PVE filters. these will be going live soon.

Don’t forget: we don’t just tweet we know how to build and innovate. More next week.

LONG.