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NVIDIA's quarter shines💰🎇
NVIDIA's rockin' the Q2 charts: thanks to them GPUs. $3 billion. Big wallet, who's this? Storm and Semenov got serious charges. And Shopify ♥️ Solana.
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NVIDIA's latest quarter was all fireworks!
Thanks to skyrocketing demand for its Graphics Processing Units (GPUs) - the powerhouse behind AI and generative AI models.
$13.51 billion revenue, which is - a 101% YoY growth and 88% QoQ increase.
Adjusted Earnings: Soared by 429% YoY to $2.70/share.
The EPS Show: The Q2 earnings per share (EPS) stood at $2.48, which was way above the expected $2.08 - an 854% high from last year.
In less than a year, Nvidia's share price has skyrocketed over 300%, making its market cap touch $1.16 trillion. With this, they've joined the elite 'Trillion Dollar Club,' rubbing shoulders with industry titans like Apple, Microsoft, Alphabet (Google), and Amazon.
What's driving this boom?
The architecture of NVIDIA's GPUs, their networking and switch technologies, and the CUDA AI software stack. They form the pillars of generative AI infrastructure.
Gaming: The gaming division is also on fire, contributing $2.49 billion - a 22% YoY increase, constituting 18% of the company's total revenue.. NVIDIA's GeForce RTX 40 Series GPUs, which are fundamentally similar to their AI counterparts, are making waves in the gaming community.
Data Center: Their data center segment alone raked in a staggering $10.32 billion, all thanks to the highly sought-after NVIDIA HGX platform.
HGX platform, built on the Hopper and Ampere GPU architectures, was primarily fuelled by the creation of vast language models and generative AI.
Founder and CEO Jensen Huang
“A new computing era has begun. Companies worldwide are transitioning from general-purpose to accelerated computing and generative AI. The race is on to adopt generative AI.”
Cloud giants Google, AWS, and Microsoft Azure are incorporating NVIDIA's new H100 GPUs to boost generative AI models like DALL-E 2.
Enterprise IT collaborations have been made, with VMware partnering to incorporate NVIDIA's AI infrastructure into enterprise clouds.
CFO Colette Kress
“Going into fiscal 2024, we already have demand visibility … that takes us into the new calendar year as well. We have tremendous demand, and we will continue to ramp our supply into the next year.”
What happens to AI tokens
AI-related cryptocurrencies, including FET, GRT, AGIX, and others, have maintained their gains after Nvidia reported strong second-quarter earnings, solidifying the bullish outlook for AI.
Tokens such as FET, GRT, INJ, RNDR, and AGIX have all seen gains of over 4% in the past 24 hours, outperforming the overall market. This follows Nvidia's impressive first-quarter results (May) and the increasing mainstream adoption of AI technologies.
A Bitcoin wallet, which rapidly became the third-largest holder of Bitcoin in a span of just over three months, has been the subject of intrigue in the crypto community.
According to BitInfoCharts, this wallet's first Bitcoin transaction occurred on March 8. In a mere three months and two weeks, the wallet accumulated 118,000 BTC, equivalent to $3.08 billion at today's rate.
Speculations: The community was rife with theories regarding the owner of this wallet. Many postulated it might be a cryptocurrency exchange shuffling its funds. A more far-fetched theory even hinted at BlackRock, the American global investment management corporation, being the potential owner, albeit with no concrete evidence.
The Revelation: The actual owner of the mysterious wallet has been identified by blockchain analytics firm Arkham Intelligence as "Robinhood: Jump Trading Custody."
Leading Wallets: Currently, the top Bitcoin wallets, as per BitInfoCharts, belong to Binance and Bitfinex. Following them in the third position is the Robinhood wallet, trailed by another Binance cold wallet in the fourth spot.
Marathon Digital CEO, Fred Thiel, believes the chances are "better than 50/50."👇🏻
TTD Fraud 🦹🏻♂️
Tornado Cash crypto mixing service Roman Storm and Roman Semenov are facing serious legal ramifications.
The primary claim? The duo “engaged in the business of transferring funds on behalf of the public” without registering with the Financial Crimes Enforcement Network (FinCEN).
Charges: Both Semenov and Storm face allegations of:
Conspiring to commit money laundering.
Operating an unlicensed money-transmitting business.
While Roman Storm has been arrested, Roman Semenov remains at large. The DOJ alleges that more than $1 billion in transactions flowed through the Tornado Cash platform. These are severe charges that could carry a maximum sentence of up to 20 years in prison for each of the first two counts and up to five years for the money-transmitting charge.
Tornado Cash's Role: The DOJ and OFAC have particularly spotlighted Tornado Cash’s involvement in laundering money for the Lazarus Group, a hacking group linked to North Korea and also on the SDN list. However, the mixer has also been tied to several other hacking incidents. In total, Tornado Cash is believed to have laundered over $1 billion in unlawful profits, as per DOJ claims.
Alexey Pertsev, the third co-founder of Tornado Cash, was taken into custody in the Netherlands on charges related to money laundering in August 2022.
But Peter Van Valkenburgh, Coin Center’s research director, says:
TTD DeFi ⛓️
Shopify integrates Solana Pay, opening the door for its millions of merchants to embrace cryptocurrency transactions, starting with USD Coin (USDC).
Why it matters
Cutting Costs: Solana Pay's ultra-low transaction fees offer a compelling alternative to traditional credit card fees. These usually hover between 1.5% to 3.5%, whereas Solana averages a mere $0.00025.
Proving Ground: Shopify handles a staggering 10% of all U.S. e-commerce transactions, representing about $444 billion globally. Its volume will serve as the ultimate test for Solana's reliability.
How Does It Work? Customers on Shopify can link their Solana-centric crypto wallets, such as Phantom or Slope, and directly settle payments with merchants in USDC.
Why start with USDC?
USDC, one of the leading dollar-pegged stablecoins, is just the beginning. The integration plans to add more crypto assets down the road. Josh Fried, the head of commerce business development at the Solana Foundation, explained the choice:
"When thinking about this integration, we chose a stablecoin because merchants and consumers "think in dollars,”... ”It creates a much simpler entry point when pricing is in a currency consumers and merchants naturally understand.”
A bit about Solana Pay:
Launched in early 2022, Solana Pay is a collaborative effort aimed at enabling merchants to welcome cryptocurrency payments. Significant industry players like Checkout.com, Circle, and Citcon have thrown their support behind the protocol.
TTD DYK 🤔
While many of us are clinging to our dear Bitcoins and Ethereums, the Gen Z in South Korea are dancing to a different crypto tune.
Yep, according to a report from News1 Korea, 20% of Gen Z investors hold XRP.
Data from Bithumb showcased an intriguing pattern. Young investors in their twenties are leaning more towards altcoins. In fact, a bold 82.5% have chosen altcoins over Ethereum. But the standout fact? A fifth of these Gen Z investors are proudly holding onto XRP.
An earlier report (on Aug 4, by Bitget) revealed that Gen Z makes up nearly half of all crypto copy traders.
The thirty-something crowd in South Korea is still playing it safer, sticking to the tried-and-true with a majority holding BTC and ETH.
TTD Surfer 🏄
Cypher, a decentralised exchange that was recently hacked and lost over $1 million, plans to hold a public token sale to recover from the incident.
USDC is expanding its reach by launching on six new blockchains, including Polygon PoS, Base, Polkadot, NEAR, Optimism, and Cosmos.
Unstoppable Domains has introduced a decentralised messaging service called Unstoppable Messaging - powered XMTP.
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The Token Dispatch is a daily newsletter that takes you on a 4-5 minute drive through the wild west of the Crypto World. Daily in your email inbox @13:00 GMT. Almost always.