Token-To-Equity Restructuring And Token Model Skepticism
Sources: 1 • Confidence: Medium • Updated: 2026-03-14 12:26
Key takeaways
- Across proposed exploring a move from a DAO to a US C-corp where ACX holders could exchange tokens for equity 1:1 or redeem tokens for a fixed price set at a 25% premium to the one-month average price.
- Coinbase’s strategy of competing directly with traditional market incumbents is characterized as having left it out of major partnership ecosystems forming around tokenized equities.
- Proposed Mastercard acquisitions of BVNK and ZeroHash are speculated to have stalled due to valuation concerns and the high-risk nature of current revenue and customer bases at some stablecoin/payment providers.
- The host ended their Miami living arrangement and returned to New York because they found Miami hindered productivity and had less in-person business activity.
- Ripple is described as running an ongoing equity-holder buyback program about twice per year and conducting a tender offer at a reported $50B valuation with limits on how much holders can sell each period.
Sections
Token-To-Equity Restructuring And Token Model Skepticism
- Across proposed exploring a move from a DAO to a US C-corp where ACX holders could exchange tokens for equity 1:1 or redeem tokens for a fixed price set at a 25% premium to the one-month average price.
- There is concern that token markets can obscure true public float and future sell pressure despite onchain transparency claims, particularly for application-layer tokens.
- Crypto founders and investors are described as increasingly questioning whether launching a token can do more harm than good for otherwise profitable businesses.
- After the Across proposal, ACX was reported to be up about 33% and later traded above the implied buyout/redeem level before falling back.
- The hosts argue that if a company launches a token, it should have a clearly articulated purpose, while cautioning against overcorrecting into an equity-only worldview.
- Across still needs to pass a DAO vote, and the team signaled it intends to proceed with the conversion if the vote passes even narrowly.
Exchange Competition, Regulatory Access, And Tokenized Equities Partnerships
- Coinbase’s strategy of competing directly with traditional market incumbents is characterized as having left it out of major partnership ecosystems forming around tokenized equities.
- Kraken is said to have obtained a Federal Reserve master account enabling direct settlement and reducing reliance on intermediary banks.
- The speaker expects more innovation as OCC chartering becomes more open and stablecoin rails expand.
- Kraken announced a deal with NASDAQ to use NASDAQ as the registry for Kraken’s tokenized stock business.
- Coinbase Commerce is described as a good product but deprioritized relative to other Coinbase initiatives.
- Santiago Roel states a preference to own Robinhood over Coinbase and Kraken over Coinbase based on product and customer acquisition dynamics.
Payments Incumbents And Stablecoin Settlement Migration
- Proposed Mastercard acquisitions of BVNK and ZeroHash are speculated to have stalled due to valuation concerns and the high-risk nature of current revenue and customer bases at some stablecoin/payment providers.
- Mastercard announced a global crypto partner program intended to coordinate collaboration across more than 85 crypto-native companies, payment providers, and financial institutions.
- Visa is described as ahead of Mastercard in stablecoin-related activity, including about $6B of annualized direct stablecoin settlement on its network and dominance of the stablecard ecosystem.
- Mastercard’s crypto partner program is described as light on product specifics and primarily framed as a forum to ease coordination and access to Mastercard teams.
- Visa Direct is described as the fastest-growing transaction business inside Visa, and Mastercard Send is described as an analogous product and possibly larger today.
- Payment networks are expected not to be competed away by stablecoins or AI-driven commerce but instead to migrate significant settlement infrastructure onto stablecoin and tokenized-asset rails.
Geography And Positioning As Productivity/Serendipity Multipliers
- The host ended their Miami living arrangement and returned to New York because they found Miami hindered productivity and had less in-person business activity.
- The host expects to stay based in New York and only reconsider Miami in about ten years.
- Santiago Roel argues investor success often comes more from being well-positioned than from accurate annual forecasts.
- The host attributes lower productivity in Miami to increased temptation for leisure and a social environment that makes flexible deep-work schedules harder.
- The host reports San Francisco has become worthwhile again for them to spend time in post-COVID, driven by a resurgence in fintech, neobanks, and stablecoin activity.
- The host claims that, in the US, only New York and San Francisco currently provide sufficient density for deep work and learning from builders and investors.
Private-Market Liquidity Mechanics And Treasury-Asset Valuation Constraints
- Ripple is described as running an ongoing equity-holder buyback program about twice per year and conducting a tender offer at a reported $50B valuation with limits on how much holders can sell each period.
- Ripple is estimated to hold roughly $75–$80B worth of XRP on its balance sheet, implying the tender valuation is a discount to token net-asset value.
- Ripple’s acquired and operating businesses are estimated at roughly $400M of consolidated revenue, with the remainder of perceived enterprise value largely tied to XRP holdings.
- Crypto treasury vehicles are said to be trading at roughly 20%–30% discounts to net asset value at the time of discussion.
- Ripple is argued to be unable to liquidate its XRP at stated market value, implying realizable value would be materially below the headline balance-sheet figure.
- If crypto markets enter a strong bull phase, crypto treasury vehicles are expected to perform well again due to renewed financial engineering opportunities, though not all will succeed.
Watchlist
- There is concern that token markets can obscure true public float and future sell pressure despite onchain transparency claims, particularly for application-layer tokens.
- The CFTC has begun a process toward new prediction market-specific rulemaking, including a public letter and an upcoming proposed rulemaking with feedback.
Unknowns
- Will the Across DAO vote pass, and what are the binding legal/operational terms (jurisdiction, cap-table structure, SPV thresholds, redemption mechanics, timelines)?
- How many other protocols will actually propose and complete token-to-equity restructurings, and in which categories (apps/DeFi vs L1/L2)?
- What specific institutional partnerships or revenue agreements are blocked by DAO structures today, and do corporate wrappers measurably unlock new distribution or cash flows?
- What are the true effective floats, vesting schedules, and sell-pressure profiles for major application-layer tokens discussed as privatization candidates?
- Are the claimed stablecoin settlement volumes and stablecard dominance metrics for Visa accurate and comparable across networks, and how quickly are these metrics growing?