The BRICS Are Driving a New World Order!

The frontier of the future is starting to emerge. On one side sits the United States and its allies around the world. On the other side a new alliance is forming; one which, as it happens, represents more than half of the world’s population. The BRICS are starting to fall into place.

This unofficial club of nations, largely representing the so-called ‘global south’, is becoming steadily more aligned and assertive. Cementing them loosely together is their opposition to the US-led, dollar-dominated global and financial order. Put simply, they’re increasingly fed up with the US and its allies calling the shots.

Originally, the BRICS consisted of the countries that make up that acronym: Brazil, Russia, India, China and South Africa. But this loose alliance is growing rapidly and, as more nations clamour to join the club, its influence looks set to grow into a serious challenge to the status quo. Indeed, this challenge is already beginning to manifest itself in the form of various BRICS initiatives aimed at reconfiguring the global financial system.

In today’s video, we report on the recent BRICS summit in Russia and reveal what’s been cooking behind the scenes. There are some truly fascinating machinations going on, which suggest that the future could be shaping up to look very different to how we might expect. Make no mistake, the BRICS are rising before our eyes.

You can watch that video here.

📈 Crypto Market Forecast 📈

The crypto market forecast for this week is sunny with a chance of historic, life-changing events (in terms of crypto prices and otherwise). This is of course because of the US election, which is scheduled to begin this Tuesday. The key word here is ‘begin’. For context, the 2020 election took days to call, and weeks to finalise. That’s a recipe for market volatility.

For example, we could have a scenario similar to 2020, where Trump was originally leading, but lost after mail-in ballots were counted. Conversely, Harris could have the upper hand on election night, with Trump eventually coming out on top due to mail-ins. Of course, this assumes that the election will be a close call, which may not be the case given the circumstances.

Take the economy for instance. This is reportedly the number-one issue on the minds of voters. According to a Forbes article from earlier this year, a staggering 78% of Americans live paycheck to paycheck. It’s safe to assume that most Americans would thus be inclined to vote for Trump, as it’s a vote against the continuation of the status quo.

However, this assumes that the economy is as bad as it seems to be. If scary data points like these are due to nuances like Americans going on a spending spree rather than struggling to make ends meet, then most Americans would arguably vote for Harris, because it means the status quo is working for the majority of people. In this sense, what’s on the ballot is the real status of the US economy.

This is fascinating because it could have counterintuitive effects on the market. Consider a scenario where Trump wins in a landslide. This could send a signal that the economy is not doing as well as it seems. This could paradoxically result in a crash rather than a rally, even in crypto, because it could result in a resurgence of the recession fears that tanked the markets in August.

Alternatively, if Harris wins, this could send a signal that the economy is doing fine. This could paradoxically result in a pump, even in crypto, because it would mean that the Fed is cutting interest rates into a strong economy. Realistically though, a Trump victory would be viewed as bullish for crypto in the short and long term, while a Harris victory would be bearish short term.

Believe it or not, it’s possible that a Harris victory would be bullish in the longer term. This is simply because Harris’s biggest donors have reportedly been pressuring her to get rid of SEC chairman Gary Gensler. Obviously, the SEC has been the biggest hurdle to crypto’s success in the US. If Harris follows through and gives Gary his marching orders, crypto could still rally hard. It would just happen later (likely H1 2025).

But back to the Fed. In case this week couldn’t get any crazier, the Fed’s next interest rate decision will be announced on Thursday. This could overlap with the announcement of the next US president, which would only add to the volatility. It’s going to be fascinating to see if the Fed factors in the market volatility around the election into its decision, particularly in US bonds.

For those unaware, the Fed basically has a ‘secret’ third mandate besides keeping unemployment and inflation low, and that’s to keep the US bond market stable. As some of you may have heard, the MOVE index, which measures expected bond market volatility, has been rising. Logically, this is probably because bond investors are uncertain about the US election.

This is a bigger deal than you think because US bonds are essentially the primary form of collateral within the global financial system. Any current or future bond volatility is therefore bad for the markets, as it effectively results in less borrowing, which results in less money being created and spent. And as we all know, crypto is all about that liquidity - money in the markets.

Given this fact, there’s a scenario wherein the US bond market becomes so volatile as a result of the election that the Fed cuts rates more than it otherwise would, or is even forced to step in and start buying bonds to stabilise markets. The former is possible, and the latter is unlikely, but both scenarios should be on our minds heading into Tuesday. It’s going to be wild.

🤖 Sentient Hedge Funds 🤖

Ladies and gentlemen, this week we present to you ‘AI-run Hedge Fund DAOs’ - the latest iteration of the AI agent meta.

As some of you may already know, hedge fund DAOs are typically formed for the purpose of making profits by investing in publicly-traded crypto projects through crowd-sourced capital. These DAOs usually issue a governance token that people use to vote on investment decisions. At the end of the fund’s pre-determined lifetime, or whenever it is liquidated, the funds held in the DAO wallet are distributed equally to token holders based on their ownership percentage

The difference with AI-run hedge fund DAOs is that all investment decisions are controlled by an AI agent. While the token holders of these DAOs are usually provided with opportunities to influence the AI agent’s investment choices, the final call is autonomously made by the agent itself.

There is no voting, no consensus, only belief in a higher ‘intelligence.’ Okay… that’s not entirely true, there is some level of game mechanics here, but more on that later.

Interestingly, this niche rose to popularity after a16z partner Marc Andreessen gave a shoutout to one such project on his official X account earlier this week. The project he highlighted, ‘ai16z,’ is a ‘parody’ hedge fund DAO created using the daos.fun platform (a pump.fun-style platform to launch investment fund DAOs).

We say ‘parody’ only because of its tongue-in-cheek play on the name of Marc Andreessen’s venture capital firm ‘a16z’. Everything else about the project is supposedly ‘serious.’ The goal of the ai16z DAO is to reportedly outperform Marc Andreessen himself.

Given the massive success Truth Terminal and $GOAT saw after a similar shoutout, many are speculating this niche could also see a similar pump.

Before we start digging into the probability of this happening though, let’s take a deeper look into ai16z itself.

As mentioned before, the ai16z fund was created using daos.fun. The AI agent supposedly controlling the fund’s investment decisions is named Marc ‘AI’ndreessen (AI Marc) on X. Both the fund and the AI agent were created by a developer named Shaw. Not much is known about Shaw, except that he previously created ‘DegenSpartanAI’ – an AI agent modelled on the popular Crypto Twitter personality of the same name. So, DYOR before you FOMO into ai16z. There’s no guarantee the dev won’t rug you.

Anyway, according to a recent X space hosted by Shaw, the goal is to make AI Marc able to outperform the actual Marc Andreessen. To that end, it is still a work in progress. The dev is training the AI agent on a model of Andreessen’s previous writings and investment notes.

AI Marc will be in a Discord channel where it interacts with token holders who try to influence its investment decision. It supposedly uses a "virtual Marcetplace of trust" to decide which recommendations to take action on. Specifically, the AI agent will simulate profitability based on a specific user’s previous recommendations. The more successful the recommendations, the higher the user’s score and vice versa. Additionally, the user’s ownership stake in the DAO also influences their sway with AI Marc. A mix of these influence factors is expected to balance the bot’s successful decision-making ability. This is a form of ‘futarchy’, so to speak.

That said, the bot is also not fully autonomous - this is expected to be resolved in the near future. Once that’s in place, AI Marc will be able to autonomously execute on-chain transactions based on the information and recommendations gathered from the community.

At the moment, there are two tokens officially associated with the project - $ai16z and $degenai.

The first, $ai16z, is the official governance token of the ai16z DAO. Holders of these tokens will receive a proportional share of the DAO’s wallet balance when the fund expires on October 25th, 2025. The second token, $degenai, is supposed to be a meme token associated with Shaw’s other AI agent ‘degenspartanai.’ Interestingly, the 8% carry fee (profit fee) mentioned on the ai16z daos.fun profile will reportedly be used to buy $degenai on the open market when the fund closes.

This has introduced a filial price relationship between both tokens, where the success of ai16z inevitably translates to bullish price action for $degenai. Depending on their opinion about the probability of ai16z’s success, market participants could either bet more heavily on $ai16z or $degenai.

For instance, speculators bearish on the fund’s performance but bullish on the attention flowing towards it will be incentivised to bet on $degenai which trades at a lower market cap as a proxy bet. The lack of utility for $degenai also removes any price ceiling and ‘fair valuation’ for the token.

Conversely, speculators bullish on the fund’s long-term performance will be incentivised to bet more heavily on ai16z since it offers redemptions at the end of its lifetime (October 25th, 2025). Similarly, other AI agent hedge fund DAOs could introduce various other forms of value creation and capture.

For what it’s worth, AI-run hedge funds may be nothing more than an inevitable outcome of techno-capitalism – the idea that technological evolution has created a new form of economy devoid of national or ideological barriers. There are both risks and opportunities.

The question is: will you take the gamble?

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🔮 Video Pipeline 🔮

* Solana Update: Any potential in 2024?
* Cat Memecoins: What’s going on?
* US Debt Default: How it could impact you?
* Ethereum Pectra Upgrade: How Ethereum’s value could improve?
* A16z’s State of Crypto Report: What they say!

🏆 What's New at CoinBureau.com This Week? 🏆

* Complete Guide to Bitcoin Inheritance and Crypto Estate Planning
* How to Use Pendle Finance in 2025: A Complete Guide!
* Use Cases, Not Tech, Will Drive Crypto Adoption
* Crypto Taxes in 2025: A Complete Guide

📖 Quote of the Week 📖

There is no university degree that can help you navigate the crypto market as well as the content available online can. Use this resource wisely.

"Formal education will make you a living; self-education will make you a fortune" - Jim Rohn

Team Coin Bureau

Disclosure: Authors may own cryptoassets named in this newsletter. These are unqualified opinions, and a Coin Bureau newsletter, is meant for informational purposes only. It is not meant to serve as investment advice. Please consult with your investment, tax, or legal advisor.