Meta’s Metaverse Division Loses Nearly $3.7B in Q3 – Aspen Market Daily

Daily Market Wrap

• Crypto market cap: 996.19 Billion, down 0.05%
• BTC price stands at USD 20,587, down 0.46%
• ETH price stands at USD 1,546, up 0.65%
• Top gainer: Klaytn (KLAY), up 23.65%
• Top loser: Chain (XCN), down 8.51%?

News of the Day?

Meta's stock sinks 20% as metaverse spending spree continues

Why it matters:

• Meta released its third quarter earnings yesterday, revealing a $3.7 billion hole in its balance sheet, bringing total losses to $9.4 billion this year as a result of its spending on the metaverse division
• Reality Labs, Meta’s metaverse business focusing on producing metaverse-related technology, launched the VR headset Quest back in 2019 and its successor Quest 2 in 2020
• While the company works on other metaverse-related projects, such as the social metaverse platform with avatars and the next generation of headsets, Meta’s CFO David Wehner expects “Reality Labs operating losses in 2023 [to] grow significantly year-over-year”

Crypto Daily Spotlight

SushiSwap to create three DAOs in Panama and Cayman in business restructuring

Brief introduction: SushiSwap is a decentralised exchange which offers swaps, lending and borrowing, launchpad, NFT, payment, and analytics services. It forked from Uniswap, and has added liquidity mining and governance features. The native token is called SUSHI and allows its users to participate in community governance or earn a portion of transaction fees through staking.

Why it matters:?

• SushiSwap is establishing three DAOs: DAO Foundation, Panamanian Foundation, and Panamanian Corporation, to ensure the flexibility of its operations as authorities are working on frameworks to regulate digital assets
• The proposal received 100% votes in favour, with the DAO Foundation administering treasury, grants, governance processes; the Panamanian Foundation administering the existing Sushi protocol, including smart contracts and staking; and the Panamanian Corporation operating the gui for the protocol
• This restructuring came after the increased scrutiny over DAOs with CFTC suing Ooki DAO for violating U.S. investment laws and to mitigate potential risks the protocol might face with increased regulations

Daily Sector Tracker

Daily News Roundup

1. Dogecoin Soars as Elon Musk's Twitter Deal Nears Completion
2. Billionaire Quant Trader Donates a Record $1.9M of Bitcoin to a Super PAC
3. DAOs Rush To Restructure To Avoid Legal Liability
4. Swiss Bank SEBA Now Custodies Blue-chip Ethereum NFTs
5. Kazakhstan's central bank to test BNB Chain for its digital currency

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