Rug Radio Recap - November 13, 2022

gm! Last week was quite possibly the biggest week of the year in the Web3 space and we're here to break it all down...

• FTX collapses after CoinDesk's exclusive report

• OpenSea royalties announcement and community response

• It's Town Hall week! We've got the latest updates about the RugDAO Council & Project Basel (Notes on Mirror)

FTX Collapse & Developments

The full details surrounding FTX's collapse is very extensive and ongoing, so we'll summarize the most important events...

• On November 2, CoinDesk released a report showing that Alameda Research's (a sister company of FTX) balance sheet contained billions of dollars of the FTT token, FTX's native token, and that it was being used as collateral.

• On November 6, CZ, the CEO of Binance, tweeted that they would sell their roughly $2B stake of FTT which caused mass selling market-wide with the price of the FTT token ending the week down 92%.

• On November 8, CZ and SBF both announced that a LOI had been signed with the intention of Binance acquiring FTX and easing liquidity concerns; However, after Binance went through due diligence, the decision to move forward with the acquisition was reversed.

• On November 10, SBF came out with a thread apologizing, highlighting what happened, and what's next for the exchange.

• On November 11, FTX tweeted a press release stating that SBF had resigned as CEO and the exchange had filed for bankruptcy.

• On November 12, Cointelegraph reported that SBF and two other FTX executives were "under supervision" by Bahamian authorities despite speculation that they had fled to Argentina.

OpenSea Royalties Announcement & Response

Last weekend, OpenSea tweeted that they would be introducing a tool for the on-chain enforcement of creator fees only and would be considering what would happen with off-chain creator fees after December 8, 2022.

This resulted in founders, artists, and collectors speaking out strongly against this change ranging from very personal perspectives from Fewocious (with support from Snoop Dogg) all the way to alternative solutions from Gordon Goner, co-founder of BAYC.

Farokh, OSF, and Mando also hosted the CEO & CTO of OpenSea on GM NFTs (skip to minute 35) with many notable people in the Web3 space including Betty from Deadfellaz and prominent artist, ThankYouX.

After nonstop feedback and discussion from the entire community, OpenSea reversed their decision stating that they would "continue to enforce creator fees on all existing collections." The negative impact that this change would have had on every project and artist would have been significant, and seeing everyone come together demonstrates the power of community.

VeeCon, the NFT conference for VeeFriends by Gary Vaynerchuk, announced that the 2nd annual conference would be held in Indianapolis, IN from May 18 - May 20, 2023.

Nick & Pio, founders of Nifty Portal, flew to the Bahamas to document the FTX story.

Frank, the founder of Degods and y00ts, suggested that his ecosystem would bridge to ETH before easing up on the statements.

Elon came onto Twitter Spaces for a discussion about the future of Twitter and advertising with millions of people tuning in.

World Cup collectibles got a lot of attention after Reddit launched a set of collectible avatars and Sorare released Global Cup 22’ ahead of the FIFA World Cup.

Project Basel Announcement #1 w/ nft now👀

RugDAO Council Proposal Passed🎉