Fearless Bulls Ethos Letter

The question of what is an NFT (ie the technical definition) is not as useful as the question of what can an NFT be used for. I also want to point out that what HAS an NFT been used for is a much different question than what CAN an NFT be used for.

Other NFT based projects, DAOs, communities, whatever you choose to call them, raise money to build something whether its art (to pay the artist(s) and support them to create more art, a brand (which is actually a social club that produces branded merchandise, events, and activities), a game or metaverse (which hopes to monetize through entertainment value, sponsorships, or in-game transactions, a utility (which enables other projects to build, enhances the blockchain, or allows markets to operate more efficiently, they monetize by charging for usage), phygital and commerce (where the NFT serves to represent gated access, a share in the venture, or some sort of perk), Gambling (The house always wins, the more people play, the more the law of large numbers takes hold and the good casinos always profit), or financial (They monetize by managing risk and efficiently moving capital, this could be loans, trading, VC investing, or a mixture of these).

Some projects with enough capital and scale can operate across multiple sectors, there may be a few I missed, but by and far you can sort the popular collections into one of the above categories. If you can't sort them, FBC is here to help you.

In order to be successful with building a Web 3.0 project, you only have the financial and human capital to operate in one vertical successfully at a time. We are committed to becoming a financial based project first and we aim to be the best at it.

If and when we choose to mimic the actions of other successful NFT projects, it will be those that closely mimic our intended function. Since we aim to be the best at what we do and we are the first mover in many of these categories, it may often happen that we “ignore the noise” of the latest and greatest meta or project feature. Development, marketing, and community engagement incur cost. We intend to trade to create capital not to outlay it on gimmicky crap. Our vision extends 5-10 years into the future of Solana and Web 3.0, not 3-6 months.

Other projects have treasuries and financial elements, but they (A) usually don't outline how those funds will be deployed, how much, where, by whom, to what end, and how holders will benefit. (B) don't operate with this as the primary tenant of their project so they don't have to. This is what makes FBC truly different and extremely necessary.

Our fund and project ethos is outlined on a few key points:

A. Governance - We provide guidelines and rules on how we manage money, who can touch it, and how we protect it for the good of our holders.

B. Investment (Revenue)- Our strategy is first and foremost, to manage risk in our investments and second, produce positive returns that outpace the market index and the average trader in the long term. Managing risk comes first because even if you can't beat the market in the short term, reducing volatility and creating easy entrance and exit is also desirable. This is why people close to retirement shift from stocks to annuities and bonds

C. Capital Deployment Strategy and Monetization - Our team is also financially incentivized just like our holders. None of us desires to work for free, but we understand that every Solana we pay ourselves directly is one we take away from our holders either through opportunity cost of compounding or direct profit distribution. We align our team incentives to the welfare of our holders and invest in the project by buying $vBLSH and FBC NFTs with personal funds.

D. Balancing Giving Value Back to Our Holders and Compounding - We intend to generate the maximum amount of profit for our holders. Creating permanent fund equity through compounding investments is essential here. We strive to return value when possible but if we give too much profit away, the fund will compound slower and possibly even become depleted if the market turns sour. The bigger the pie, the better.

Also, we understand that by simply compounding equity for our holders infinitely until we all die out, the chain dies out, or we start to destroy the equity that is not of interest to our holders. It's important to strike a balance between compounding and distribution and justify it with our assumptions.

E. Transparency - Tracking and sharing our profitability, mindset, and strategy is essential, we track all of our trades and profit/loss. This is a necessary and ethical approach and something we do well, especially compared to other projects. We strive to streamline and systemize this so we can do it more often, readily, and on demand. This is necessary to build trust and attract additional investment opportunities.

F. Ethics - While everyone’s ethical lens is different, some things are widely regarded as true. We have seen positive and negative karma in play in the business world and Solana space. While they are more guiding principles to strive for, we understand that they are not hard and fast laws. You can be unethical and rich, this is a fact.

However we don’t believe in crawling over the backs of others towards success. Trading and wealth transfer may be a zero sum game, but looking at your team through this lens is a recipe for disaster. The holders of this project and the core staff are a team for as long as they choose to be a part of it. We believe:

Intentionally obscuring information from part of the team for the benefits of others is unethical. While you want to share when you know that you can make correct, factual, and bullish statements and timing and messaging are important, you shouldn’t strive to cover up your mistakes.

Redistributing equity at a whim because you feel like it can be unethical, whether your intention is good or bad

Intentionally manipulating financial markets, even if “everyone else is doing it”, albeit driving up a FP, unsustainable or needlessly complex tokenomics models that are hard to understand, or making promises that are simply untrue or unachievable is unethical

This is a matter of opinion and a few select examples but reflects the ethos of our project. The thing that underlines really successful teams is a shared ethos. We as a community align behind this ethos to ensure the welfare of everyone on the team. Losing holders or team members who don’t align with our ethos and want to leave the team is not detrimental to our overall goal in the long run, no matter who they are or how much equity they hold.

Finally, to close out my thoughts, We have a huge opportunity to be successful in this space. Everyone takes lumps. Everyone makes mistakes. We should learn from them but not dwell in the past.

Web 3.0 needs more teams and communities who understand exactly who they are and what they are striving to accomplish.

All the Best,

LSC, Head of Marketing, Fearless Bulls Club