Humans of Crypto | Jordi Alexander - CIO of Selini Capital

Crypto is a vast space. There are a dizzying number of projects, spanning across different categories and blockchains.

It is so easy to get lost and overwhelmed.

As a relative newcomer to crypto, I felt the same.

I wanted to turn to other OGs and people active in the space, to learn from their experiences and knowledge accumulated over time.

And with that, Humans of Crypto was born.

Humans of Crypto will be a regular series in the newsletter, where I interview folks active in the Web3 space.

This can range from founders, builders, community leaders, VCs, OGs and many more.

We are often caught up in the numbers and money and tech, that we forget that behind each Twitter account and wallet address is a real human.

The goal with this series is simple: To learn from, and build a human bond with folks active in the crypto space.

For the very first interviewee of the series, I am super excited to share insights and lessons from Jordi Alexander, CIO of Selini Capital, Game theorist, and ex-Poker Professional.

In this interview, he offers unique perspectives about crypto evaluation, ponzinomics, bear market strategies and much more.

Let’s start from the beginning: How did you get started with crypto?

I got into crypto initially in 2016 as a speculative trading asset, thinking about things like low unit bias and similar early narratives. 

Being a trader and ex-poker player, I was at the time much more interested in the price action elements than the technology.

Fast forward to 2020, I got in when COVID hit. 

I saw that the Central Bankers were willing to break all the rules and ignore economic gravity, and Bitcoin having a crucial role in the world. 

This led me down the rabbit-hole into all the other exciting possibilities in crypto apart from just hard money, especially DeFi, and afterwards, entertainment/gaming.

How do you evaluate new projects and decide if they are worthy investments?

In general, I like to see something that can last a long time and that means being defensible to quick copycats. 

I would consider this : If me and a team around me were to spend a couple months replicating this project, could we easily do it better than this execution that I'm evaluating? 

I also think about the product market fit - It is hard to know if it will be there sometimes, but we have to try our best on this.

What frameworks and first principles do you use in crypto?

In terms of first principles, I use them both in terms of a) always thinking about what the market capitalization and fully diluted values of the project are, and b) how unique/ unreplicable the code is. 

The sad reality is that with open source code needed for auditing, it also opens the door for constant forks. 

So I focus on the things that can't be easily copied, which are super strong teams and network effects like liquidity monopolies.

Here’s a topic you are very familiar with: How do you identify ponzis in crypto?

Sustainability is the key. 

I think immediately about the end state, the long run equilibrium of the game theory. And I work backwards from there, seeing if there is a sustainable end game that I can work back the steps to the present moment for.

Are you bullish on NFTs? Are they also ponzis in your view?

I am bullish on the idea and technology, though not as bullish on the widespread PFP (Profile Picture) projects. 

I am mainly interested in utility NFTs and how they will unlock ways to transfer value that people care about in the real world.

What is your bear market strategy?

I feel comfortable in bear markets. 

You can easily sell the price rips without being worried about getting too run over. During the times when everyone is super doom and gloom I love to scoop up a lot at the lows.

For someone new to crypto, how would you recommend they learn and not get rekt? Do you have any resources to recommend?

I think overtrading is the main thing to avoid. The other is not getting carried away by marketing hype on speculative projects. They should keep in mind there are dozens of new projects launching every week and very few will make it. 

They shouldnt overestimate their ability to choose which the winners would be early on, and instead make small bets and get involved in using the products themselves. 

I'd recommend listening to as many good quality podcasts as possible, like Uncommon Core and UpOnly.

Enjoyed this interview?

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