__[Budweiser](https://robinhood.com/stocks/BUD/) ad en route to the bar…__ Your next __[Uber](https://robinhood.com/stocks/UBER/)__ ride might be #sponsored. Last week the ride-hailer [announced](https://www.wsj.com/articles/uber-to-let-marketers-target-riders-by-destination-11666184402?mod=business_minor_pos7) plans to let marketers target riders based on their destination with “journey ads.” It’s showing ads *in* the app as part of its new media division, and is also piloting in-car tablets (think: __[Expedia](https://robinhood.com/stocks/EXPE/)__ commercial on the way to JFK). It’s been doing ads for years, though most have been sponsored listings on Uber Eats. 

- __5-star potential:__ Uber said its expanded ad biz could hit $1B in revenue by 2024, since ride-hail could pull in way more ad $$ than food delivery. Uber says riders will be able to click to buy a product without leaving the app.
- __*“Cars will become our next living rooms”* —__ Uber’s GM of advertising might’ve missed the WFH memo, but he could be right about growth potential. He said Uber’s ad revenue jumped to $141M last year from $11M in 2020.
- __Faster ETA:__ In August __[Lyft](https://robinhood.com/stocks/LYFT/)__ launched its advertising unit, Lyft Media, adding tablets that riders can interact with to some cars. 

__If there’s an eye, there’s an ad…__ the capitalist take on “if there’s a will, there’s a way.” When it comes to digital marketing dollars, the focus has always been on ad-reliant tech titans like __[Meta](https://robinhood.com/stocks/META/)__, __[Google](https://robinhood.com/stocks/GOOGL/)__, __[Twitter](https://robinhood.com/stocks/TWTR/)__, and __[Snap](https://robinhood.com/stocks/SNAP/)__. Now we’re seeing *retailers* building major ad businesses:

- __All in the grocery cart:__ __[Kroger](https://robinhood.com/stocks/KR/)__ was one of the first retailers to expand its ad biz beyond its own properties, letting brands use its shoppers’ data to target them on third-party sites. 
- __Data in the digital cart:__ __[Amazon](https://robinhood.com/stocks/AMZN/)__ raked in $31B in ad revenue last year, giving it a bigger ad biz than Snap and __[Microsoft](https://robinhood.com/stocks/MSFT/)__. It controls 78% of US retail media ad spend. 
- __US ad revenue__ is expected to surpass a record [$300B](https://www.axios.com/2022/10/19/attention-advertising-everywhere-uber) this year, partly thanks to unexpected players jumping in, from __[Dollar General](https://robinhood.com/stocks/DG/)__ and __[Dick's](https://robinhood.com/stocks/DKS/)__ to __[Petco](https://robinhood.com/stocks/WOOF/)__ and __[Ulta Beauty](https://robinhood.com/stocks/ULTA/)__.

Ad targeting has a new destination (Olly Curtis/Getty Images)

Eyes

__Data is an untapped profit puppy…__ for companies that have historically sold only products and services, not ads. Even __[Netflix](https://robinhood.com/stocks/NFLX/)__ — which renounced ads for years — plans on launching its ad tier next month. By building their own ad networks based on their customers’ browsing and shopping habits, companies can be less reliant on third-party data, which has become trickier to get after __[Apple’s](https://robinhood.com/stocks/AAPL/)__ major privacy changes. Still, the ad push could raise data-privacy eyebrows.

Uber launches in-app “journey ads” as unexpected players build major ad businesses with customer data

__Try putting it in rice…__ Shares of Google, Amazon, Microsoft, and Meta have plunged this year (even more than the broader market) as advertisers cut spending and high interest rates depress valuations. Last week, Microsoft cut 1K employees, adding to the 44K+ tech workers laid off in the US this year. Apple reportedly halted some iPhone 14 Plus production in China as demand cools, while Google’s forecast to have its slowest revenue growth in years. With rates on the rise, analysts aren’t expecting stellar results when techies report this week. 

__Still fizzy…__ Some snacks never seem to go out of style: grocery staples like __[Coca-Cola](https://robinhood.com/stocks/KO/)__, __[Kraft Heinz](https://robinhood.com/stocks/KHC/)__, and __[Campbell Soup](https://robinhood.com/stocks/CPB/)__ have outperformed the market this year as shoppers keep stocking faves like Kraft mac, eating the price hikes. This month snack giant __[Pepsi](https://robinhood.com/stocks/PEP/)__ [raised](https://www.nytimes.com/2022/10/12/business/pepsi-earnings-inflation.html) its annual forecast, betting on continued Cheetos demand through an economic downturn (consumer goods have historically been resilient during recessions). Still, shoppers are starting to swap name brands for cheaper store brands. We’ll see whether that shows when Coke and Kraft report.

Events

Coming up this week...

__The downturn’s in the details…__ At first things looked OK when big banks reported last week: revenue [rose](https://www.wsj.com/articles/jpmorgans-third-quarter-profit-drops-17-on-recession-planning-11665747402?mod=article_inline) at __[JPM Chase](https://robinhood.com/stocks/JPM/)__, __[Wells Fargo](https://robinhood.com/stocks/WFC/)__, and __[Citi](https://robinhood.com/stocks/C/)__ thanks to inflated credit-card spending, beating forecasts. But the fine print was ugly: bank profits plunged as trading and deal-making activity slowed (think: fewer IPOs), while high interest rates plunged loan demand (think: mortgages). Banks expect it to get worse, so they’ve set aside billions to cover potential losses from loan defaults. Chase CEO Jamie Dimon expects an economic “hurricane.”

__The clock’s ticking…__ Millions of Americans will likely lose their health insurance when President Biden rolls back Covid aid policies (current expiration date: January 11). When corona was declared a public-health emergency, the government injected [billions](https://www.usaspending.gov/federal_account/075-0140) into resources like free testing and hiring more hospital workers. But with the emergency status set to end early next year, nearly 15M Americans could lose subsidized programs like Medicaid, which hit record enrollment during the pandemic. With hospitals already facing staff shortages, treatment could be even harder to get.

Zoom Out

Stories we’re watching...

- __[CryptMo](https://snacks.robinhood.com/newsletters/2w4Yz9h0MKqDGCxkVe24sV/articles/U1hsrLoiylS59yYxV4Q6I/):__ Over half of active exchange-traded products that track crypto launched *after* the bear market set in. In other words, institutional investors and tech juggernauts (think: big $$) largely haven't bailed on crypto.
- __[Flex](https://snacks.robinhood.com/newsletters/Ptmyd0tfmIf94osqxOwqM/articles/6FF1JTrkpkIGzakqGsJvJA/):__ Netflix shares popped after it said it added 2.4M subs last quarter, its first gain of the year. Now it’ll stop sharing subscriber forecasts and crack down on password moochers as it laser-focuses on revenue.
- __[Krogertsons](https://snacks.robinhood.com/newsletters/3Hl3mc6sCkfmjzLxurSluj/articles/2ZU99eIEYGaFwEr5tLkHUp/):__ Grocery powerhouse Kroger said it'll buy rival __[Albertsons](https://robinhood.com/stocks/ACI/)__ for $25B. The super-merger is about more than just eggs and bread; it’s also about becoming a retail ad giant.

ICYMI

Last week's highlights...

Uber launches in-app “journey ads” as unexpected players build major ad businesses

Dow Jones

S&P 500

Nasdaq

Bitcoin

Some large spiders keep tiny frogs around because the frogs eat ants that threaten spiders’ eggs

📮 Uber’s ad-venture

__Off the hook…__ __[AT&T](https://robinhood.com/stocks/T/)__ shares had their biggest jump in two years after the wireless giant [reported](https://www.marketwatch.com/story/t-t-stock-gains-after-earnings-beat-driven-by-continued-subscriber-rush-11666263417) surprisingly good numbers. Last quarter the telecom titan added 708K wireless subscribers (100K+ more than Wall Street expected) and had its highest wireless revenue growth in over a *decade*. 

- __Heading out:__ AT&T raised its full-year forecast as pricier phone plans and the return of international travel (see: $10/day pass) help with sales. 
- __Hanging up:__ AT&T is saddled with $134B in debt (after taking a $93B hit on its WarnerMedia spinoff this year) and cut its cash-flow outlook as late payments pile up in its enterprise biz.

__5G energy…__ 5G can power everything from crisper gaming and video chatting to VR and self-driving cars, and has helped boost sales of __[Apple’s](https://robinhood.com/stocks/AAPL/)__ new iPhones. That’s why investors are curious to see how telecoms are making strides with the hot tech: 

- __AT&T__ said it would invest $48B in fiber-optic internet and 5G wireless services through 2023. Fiber can run 20X as fast as traditional broadband. 
- __[Verizon](https://robinhood.com/stocks/VZ/) plans__ to spend $10B upgrading its 5G services, and __[T-Mobile](https://robinhood.com/stocks/TMUS/)__ expects to cover 200M of its users with speed-boosting C-band 5G by the end of the year.

More bars, fewer problems (Spencer Platt/Getty Images)

Bars

__People hate skimping on their phones…__ even if it means cutting back on other expenses. AT&T is the first major wireless carrier to release earnings this quarter (Verizon and T-Mobile are next up). Its results suggest the wider industry could be insulated from inflation-strained budgets. With people spending more time on their phones than on their laptops, demand for 5G is surging.

AT&T shares had their best day since 2020 as Americans splurge on 5G and phone plans

__In the (Birkin) bag…__ Inflation is near a 40-year high and the global economy is on the downturn, but deep-pocketed shoppers are still snapping up $10K purses. Yesterday, luxury retailer __[Hermès](https://robinhood.com/stocks/HESAY/)__ [said](https://www.wsj.com/articles/demand-for-luxury-goods-defies-price-hikes-11666266813?mod=business_lead_pos11) its quarterly sales rose 24% from last year, while Gucci owner __[Kering](https://robinhood.com/stocks/PPRUY/)__ reported a 23% jump. As many industries brace for dwindling demand, luxe retailers see few signs of a slowdown:

- __Opportunity in opulence:__ Analysts expect luxury sales to rise 5% this year as shoppers splurge on Cartier watches, Dior scarves, and “[supremium](https://snacks.robinhood.com/newsletters/2G8tXvkEcBas5VqekX1vse/articles/n1dClWqs3MzZfLu8pFSsf/)” whips like Ferraris. 
- __Fashionably great:__ Last week __[LVMH](https://robinhood.com/stocks/LVMUY/)__ (which owns Louis Vuitton, Dior, Sephora, and Moët Hennessy) posted a bigger-than-expected 22% sales bump.

__A tale of bags and bag-nots…__ Business is booming for pricey products: luxury retailers can often raise prices without losing sales because wealthier shoppers are less sensitive to price increases. Hermès has already hiked prices 4% this year (twice as much as in previous years) and plans to jack up prices up to 10% in January. Chanel hiked the price of its classic purse three times last year — for a $3K total increase.

Ritzy

__The threshold’s higher for high rollers…__ Gucci belts aren’t made for tightening: Hermès expects business to keep booming because its customers aren’t worried about gas prices. Brands that cater to big spenders, like __[Ferrari](https://robinhood.com/stocks/RACE/)__, have recently *boosted* their profit forecasts as the superrich throw down for pricier products. Meanwhile, regular retailers like __[Walmart](https://robinhood.com/stocks/WMT/)__ and __[Target](https://robinhood.com/stocks/TGT/)__ have lowered their profit forecasts as everyday consumers continue to cut back.

Hermès sales soar as wealthy shoppers up their splurges while others cut back

- __🤔 Sus…__ A hacker who reportedly [squeezed](https://fortune.com/crypto/2022/10/17/a-solana-hacker-calls-67m-he-stole-from-the-mango-platform-a-profitable-trading-strategy/) $47M out of DeFi platform __Mango__ said he was playing by the rules. This so-called [financial hacking](https://www.bloomberg.com/news/articles/2022-10-20/-financial-hacking-plagues-defi-in-latest-setback-for-crypto) (think: using a crypto platform's own code to trade against it) is on the rise. 
- __📜 Policy…__ Speaking of which, __FTX's__ Sam Bankman-Fried is sick of big $$ payouts to crypto hackers (aka "[hack to return](https://snacks.robinhood.com/newsletters/3pu2eqXGgxUzOO2TUmyO9U/articles/XJSmBGfRmia6WTOddX2TI/)") and [proposed](https://www.bloomberg.com/news/articles/2022-10-20/billionaire-bankman-fried-tries-to-fix-crypto-s-hacking-problem) a "5-5 standard." Basically: DeFi platforms should offer hackers 5% or $5M (whichever is smaller). 
- __🪙 Coins…__ Proof-of-stake blockchain __Aptos__ launched on Monday and was greeted with a major selloff. Its token [plunged](https://decrypt.co/112368/aptos-token-plummetsapt-airdrop-early-network-participants) 40% on reports of low transaction speeds (4/second) and of devs and investors getting 49% of token supply.

Juiced

The Crypto Catch-Up…

Liz Truss is set to become the shortest-serving British prime minister ever

🤳 AT&T’s 5G-fueled boom

__More twists than “Dahmer”…__ __[Netflix](https://robinhood.com/stocks/NFLX/)__ shares spiked 13% yesterday after investors learned it added 2.4M subs last quarter — its first subscriber gain of the year. Netflix had forecast adding just 1M after *losing* 1M through June. While profit ticked down from last year, revenue was up as subscribers kept bingeing through price hikes from earlier this year. Now Netflix will stop sharing subscriber forecasts as it focuses on revenue:

- __In with the new:__ Next month Netflix is set to launch its $7/month ad-supported plan in a dozen countries.
- __Out with the old:__ Netflix has said it’s going to crack down on the 100M households streaming without an account (no more mooching on your ex's password).

__Checking the Netflix Top 10…__ for show inspo. Netflix still accounts for about 8% of Americans’ TV watch time — more than Prime Video, __[Disney+](https://robinhood.com/stocks/DIS/)__, and Hulu. But as budgets suffer, more US adults have canceled Netflix than any other streaming service, and a quarter of users say they’ll cancel by the end of this year. To keep subscribers loyal, Netflix is splitting up season releases of hit shows (think: “Ozark” part one). Its cheaper ad tier could help too.

Netflix’s upside-down quarter (Beata Zawrzel/Getty Images)

Flex

__Resetting expectations is key…__ 2.4M new quarterly subs may’ve seemed like peanuts mid-pandemic (Netflix added a record 36M subs in 2020), but the reversal bodes well for a post-lockdown future. The company knows the new normal requires moneymakers *besides* subscription growth. By introducing ad revenue and cracking down on password-mooching, Netflix could show investors that subscriber #s aren’t the be-all and end-all.

Netflix ends its subscriber losing streak and shifts its focus to fresh revenue streams, resetting expectations

__Want that $300 North Face now…__ want to pay for it *later*. Buy now, pay later companies like __Klarna__, __[Affirm](https://robinhood.com/stocks/AFRM/)__, and __Afterpay__ help you sport that puffer ASAP and pay in monthly installments. You’ve probably stumbled across BNPL options at digital checkouts, but BNPL companies also have their own platforms to help you discover products and deals from brand partners. Now Klarna has given its site and app a [social-friendly](https://techcrunch.com/2022/10/19/klarna-launches-new-creator-features-and-shoppable-video/) revamp: 

- __Klarna launched TikTok-style shoppable videos__ (think: snappy makeup tutorials). The feature is already being used by Lady Gaga’s __Haus Labs__, __[e.l.f. Cosmetics](https://robinhood.com/stocks/ELF/)__, and others. 
- __It also unveiled a “Creator” app__ for brands and influencers to collab on campaigns.

__Hearting the “Holy Hydration” serum…__ After watching an e.l.f. skincare tutorial, all in the Klarna app. Klarna has 150M users BNPL’ing from its 450K retail partners, but it wants to be more than a payment option on a third-party site like __[Levi’s](https://robinhood.com/stocks/LEVI/)__ — it wants to be a *destination*. In recent years, social titans have been doing the opposite: trying to be more like shopping platforms. 

- __TikTok started allowing [Shopify](https://robinhood.com/stocks/SHOP/) merchants__ to add “shopping” tabs to their profiles and create mini storefronts. It’s also [experimenting](https://snacks.robinhood.com/newsletters/60hXCjH8B3zcyai2pfzMdS/articles/64T6hploVtg6WR7L8ZTm9W/) with live-stream shopping. 
- __[Facebook](https://robinhood.com/stocks/META/) launched Instagram Shop,__ letting businesses set up storefronts on their pages to sell products featured in posts.

Scroll

__Social + shopping = synergy…__ It’s the perfect pairing, but no one has really done it well yet — at least in the US. Social + shopping features are popularly combined on Asian superapps like __[Alibaba](https://robinhood.com/stocks/BABA/)__ and WeChat. “Social commerce” is predicted to grow 3X as fast as traditional ecomm over the next three years, so whoever makes it work could land a big opportunity.

Buy now, pay later darling Klarna launches shoppable video as ecomm players try to be social slayers (and vice versa)

Netflix ends its subscriber losing streak and shifts its focus to fresh revenue streams

In the past half century, animal populations have declined worldwide by nearly 70%

📺 Netflix’s revenue stream(ing)

__Once bitten…__ still not shy. Crypto's going through a rough patch, but that hasn't slowed down major investment firms. Out of 180+ active crypto exchange-traded products (like funds that track cryptocurrencies), more than half [launched](https://ca.finance.yahoo.com/news/cryptoverse-flurry-funds-bet-bruised-051418189.html) *after* the crypto market peaked late last year. So as retail investors ran for the sidelines, Big Money kept playing ball despite crypto winter's chill:

- __Blockpain:__ __[Bitcoin's](https://robinhood.com/crypto/BTC/)__ down 70% from its high of almost $69K last year, and __[ether's](https://robinhood.com/crypto/ETH/)__ down over 70%. 
- __Crypt d'oh:__ 95% of active exchange-traded products (ETPs) focus on bitcoin and ether.

__Team crypto hasn't shrunk…__ it's just traded players. While the public's interest in crypto has declined, big banks and tech titans are filling the void. Last week __[BNY Mellon](https://robinhood.com/stocks/BK/)__ said it's getting into the crypto-custody biz, following a similar announcement from __[Nasdaq](https://robinhood.com/stocks/NDAQ/)__ last month. Meanwhile, __[Mastercard](https://robinhood.com/stocks/MA/)__ said it'll help banks offer their clients crypto trading, and __[Google](https://robinhood.com/stocks/GOOGL/)__ signed a deal with __[Coinbase](https://robinhood.com/stocks/COIN/)__ to facilitate crypto cloud payments (picture: cloud-storage bills paid in __[doge](https://robinhood.com/crypto/DOGE/)__).

Getting down to (crypto) business (Spencer Platt/Getty Images)

Spring

__Once the ball's rolling, it's hard to stop…__ The crypto market's changed radically in the past 11 months (remember: $2T in value lost), and crypto projects coming online today were likely born in sunnier times. So it's unclear if recent ETPs and custody announcements are a sustained vote of confidence in crypto's long-term value or merely the result of lingering bull-market momentum. But if techies, major banks, and credit-card cos keep adding crypto offerings, it could mean they see a crypto spring coming.

As retail investors feel crypto winter's chill, institutional players turn up the heat

__Hashbrowns and hot doughnuts…__ a match made in drive-thru heaven. __[Krispy Kreme](https://robinhood.com/stocks/DNUT/)__ is [teaming](https://www.cnbc.com/2022/10/18/mcdonalds-to-sell-krispy-kreme-doughnuts-in-latest-menu-experiment.html) up with __[McDonald’s](https://robinhood.com/stocks/MCD/)__ to bring its iconic glazed doughnuts to the Golden Arches. This month McD’s will start selling three Krispy flavors at nine locations. [Krispy Kreme](https://robinhood.com/stocks/DNUT/) investors had a sweet tooth, boosting the stock yesterday by as much as 7%. For both chains it’s a rare move:

- __McD’s__ usually doesn’t feature other foodies on its Mc-filled menu. It did partner with __[Beyond Meat](https://robinhood.com/stocks/BYND/)__ to offer a McPlant burger, but some locations have pulled the option from menus as demand fizzles.
- __Krispy Kreme__ uses its 245 shops to bake doughnuts for grocery stores and gas stations, but not restaurants. Teaming up with even a fraction of McD’s 13K+ locations could help it reach its goal of being in 10K locations.

__Sweet ’n’ salty…__ From __[Wingstop](https://www.restaurantbusinessonline.com/marketing/wingstop-give-away-chicken-sandwiches-year-new-york-city)__ to __[Taco Bell](https://www.thrillist.com/news/nation/taco-bell-taco-lovers-pass-subscription-returns)__, fast-food chains are testing new items and promos to attract inflation-fatigued diners. In August, average menu prices were up 8% from last year, and McDonald’s says its customers with lower incomes are spending less at the burger chain. On the flip side: Krispy Kreme’s sales jumped nearly 8% last quarter as Americans kept shelling out for dollar-doughnut delights.

McKrispy

__Part-time rivals can be full-time friends…__ McDonald’s and Krispy Kreme compete on breakfast, but they can complement each other in areas where they lack. Krispy doesn’t have the “anytime meal” appeal that McD’s has. Meanwhile, McDonald’s wants to see how name-brand sweets might enhance its popular McCafé options. If the collab is successful, we could see other fast-casual partnerships (think: Dunkin’ in KFC).

McDonald’s plans to test Krispy Kreme doughnut sales, showing “part-time rivals” could be friends

As retail investors feel crypto winter's chill, institutional players heat up

A recent survey found that millennials plan to spend $225 on Halloween this year, the most of any generation

🏦 Crypto's big-money believers

__Scanning a bean can…__ This barcode has a bigger price tag: on Friday, __[Kroger](https://robinhood.com/stocks/KR/)__ said it was [buying](https://www.cnbc.com/2022/10/14/kroger-agrees-to-buy-albertsons-for-24point6-billion.html) smaller rival grocer __[Albertsons](https://robinhood.com/stocks/ACI/)__ for $24.6B. The super-merger is one of the largest in America’s grocery history. Combined, Ralphs owner Kroger and Safeway parent Albertsons would have 7K+ workers in 5K stores, gaining (super) market share: 

- __The top dog is [Walmart](https://robinhood.com/stocks/KR/),__ which controls a fifth of the US grocery market. Kroger’s #2 with 10% of total dollars spent, followed by __[Costco](https://robinhood.com/stocks/COST/)__. 
- __Post-merger,__ Kroger and Albertsons would have ~15% market share. But the deal could be challenged by regulators. 
- __Not in the bag:__ Kroger and Albertsons are expected to sell stores in regions where they have overlapping influence, to help gain regulatory approval. 

__Add ads to the bagging area…__ The merger could boost profits by integrating Kroger’s and Albertsons’ operations and giving them more leverage in vendor negotiations. But it could also boost their share of the “retail media” market — one of the fastest-growing advertising sectors. You can tell *a lot* about someone from their grocery cart (Red Bulls + ramen = college). By combining their customer data, Kroger and Albertsons could boost their ad-targeting value. 

- __Kroger and Albertsons__ both have a retail ad biz (think: promos on sites), though they don’t break out how much they earn from them. 
- __Kroger was one of the first retailers__ to expand its ad biz *beyond* its own properties, letting brands use its shoppers’ data to target them on third-party apps and sites.

A cartful of data (Brandon Bell/Getty Images)

Super

__Profit puppies aren’t always visible…__ Kroger’s and Albertsons’ moneymakers seem to be groceries. But the real value of this deal could lie in *ads* — which you don’t see on shelves. Companies like Walmart, __[Amazon](https://robinhood.com/stocks/AMZN/)__, __Instacart__, and __[Uber](https://robinhood.com/stocks/UBER/)__ are monetizing customer data to sell ad space across digital properties. The merger would make Kroger-Albertsons the #4 player in the $41B retail ad market, with a 13% share.

Kroger agrees to buy Albertsons for $25B, but the super-merger is about more than groceries

__Doubling down on Dawn…__ __[Procter & Gamble](https://robinhood.com/stocks/PG/)__ is aggressively [advertising](https://www.wsj.com/articles/procter-gamble-bets-inflation-wont-push-shoppers-to-trade-down-11665871386?mod=business_lead_pos1) pricey premium products like Dawn dish soap, even as cash-strapped shoppers struggle with rising prices. P&G, which makes aisle all-stars like Gillette razors and Charmin toilet paper, is running new sustainability-focused ads for Tide detergent that feature stars like Ice-T and Vanilla Ice.

- __Ice ice water:__ P&G’s ads say shoppers will save $$ buying premium Tide detergent because it works in cold water, which is cheaper than hot.
- __Maximizing market share:__ Last quarter P&G’s sales jumped 6% despite its largest price hikes in years. In the past four years, P&G *gained* US market share while raising prices as consumers continued reaching for its famous brands. 

__It’s good to be iconic…__ Leading companies can find an upside during downturns by leaning on their most recognizable brands. During the 2008 recession, consumer favorites like __[McDonald’s](https://robinhood.com/stocks/MCD/)__ and Kraft (now __[Kraft Heinz](https://robinhood.com/stocks/KHC/)__) were some of the market’s top performers. Last week, __[PepsiCo](https://robinhood.com/stocks/PEP/)__ [raised](https://www.nytimes.com/2022/10/12/business/pepsi-earnings-inflation.html) its annual sales and profit expectations on strong demand for fan favorites like Doritos and Gatorade. Pepsi’s CEO said the snack giant has historically done well in recessions.

Gamble

__Even loyal shoppers have a price…__ Detergent divas could eventually turn on Tide if it gets too pricey. P&G has maintained strong growth so far despite decades-high inflation. But more consumers are starting to “trade down” to cheaper options like private labels. Mega-retailers like __[Best Buy](https://robinhood.com/stocks/BBY/)__, Costco, and __[Dick’s Sporting Goods](https://robinhood.com/stocks/DKS/)__ say shoppers are ditching premium products for store-brand alternatives.

Procter & Gamble runs celeb-studded ads to persuade shoppers to pay premium prices for name brands

Minimum-wage workers in NYC would need to clock 111 hours/week to afford rent for a one-bedroom apartment

🥬 Supermarket merger

__Break out the boozy bingo…__ Retirees are getting the biggest boost to their Social Security benefits *in over four decades*. Starting in January, all Social Security recipients will get a record [8.7%](https://www.wsj.com/articles/social-security-benefits-to-increase-in-2023-11665665206) bump, bringing the monthly payouts to just over $1.8K. Every year the US government adjusts Social Security benefits to keep up with the cost of living (see: [COLA](https://www.ssa.gov/cola/)). Despite a nearly 6% increase in COLA benefits this year, the payout hasn't kept up with inflation.

- __Nearly 70M Americans receive SS benefits,__ and nearly a quarter of recipients 65+ rely on those checks for most of their income.
- __Since 1937 nearly every American worker__ (and their employer) has been required to pay Social Security taxes (taken from every paycheck). 
- __The current tax rate__ for people making under $147K is 6%. TBD if that’ll eventually rise because of the bump. Starting next year, the max amount of earnings subject to SS tax will increase to $160K from $147K.

__Goodbye, Boca timeshare…__ The extra cash should be a welcome relief to inflation-strained retirees, since Americans are burning through their savings. Last year, the cost of one of Medicare's most popular coverage plans went up 14.5% to $170/month. Since most older adults opt to have those costs deducted from their SS checks, it leaves them with less $$. Meanwhile, nearly $3T has been wiped from Americans' retirement accounts (think: 401(k)s, Roth IRAs) as stocks have tumbled this year.

A social safety net on the edge (C.J. Burton/Getty Images)

Boca

__Not all benefits are created equal…__ While a bigger check is a win for retirees, it could come at the expense of current workers and future retirees. Gen Zers are starting to [save](https://fortune.com/2022/10/12/gen-z-doesnt-want-to-make-the-same-mistake-millennials-did-with-the-great-recession/) for retirement earlier than previous generations, and they have good reason to: the Social Security Trust Fund (which pays out retiree benefits) is projected to run dry in 2034, leaving enough money to cover only 77% of scheduled benefits.

Social Security benefits are getting the biggest bump in 4 decades, but it could cost today’s workers

__All eyes on [Netflix](https://robinhood.com/stocks/NFLX/)…__ but everyone’s bingeing Tuesday’s earnings, not “Dahmer.” After losing 1M+ subscribers over the past two quarters, Netflix [plans](https://snacks.robinhood.com/newsletters/W96mSXRlwsUwppneoyj5Q/articles/61hgp29nqOK2kkjQpAn8G9/) to launch a $7/month ad-supported tier next month to revive growth — just weeks before __[Disney+](https://robinhood.com/stocks/DIS/)__ plans to launch its own cheaper tier. The commercials, which should average four to five minutes per hour, will cost advertisers big $$ and run on __[Microsoft](https://robinhood.com/stocks/MSFT/)__ tech. Meanwhile, Netflix’s $20B of original-content spending this year could cut into earnings: it expects profits to dip 34% this quarter from last year.

__All charged up…__ __[Tesla](https://robinhood.com/stocks/TSLA/)__ was on a roll last quarter. The EV icon delivered a record 343K vehicles (up 45% from last year) and analysts say it'll likely [report](https://www.marketwatch.com/story/tesla-earnings-are-coming-but-do-record-deliveries-mask-a-demand-problem-11665767452) $22B+ in third-quarter revenue on Wednesday (which would be up 63%). The accelerators: Tesla hiked prices on all models last quarter, upped production at its Berlin factory, and is ramping up in Shanghai. The speed bump: the record deliveries were *below* expectations, and there’s a chance Elon’s baby won’t meet its annual target because of logistical snags and high delivery costs.

__The metaverse doesn’t have legs…__ literally. __[Meta](https://robinhood.com/stocks/META/)__ has spent $15B+ on its metaverse, but Horizon Worlds had only about 300K users as of February, and its avatars *still* don’t have legs. Last week Meta dropped a leg [teaser](https://www.theverge.com/2022/10/13/23403650/horizon-metaverse-legs-demonstration-motion-capture) — but admitted it was made using motion capture (read: fake digi-legs). Meta also launched a $1.5K VR headset and a Microsoft remote-work partnership (think: metaverse Excel). But meta-investments are expected to lose $$ for years. Meta’s cutting staff as growth slows (a first), and shares are down 60%+ this year. Zuck put it best: “Legs are hard.” 

__The gig is up…__ On Tuesday the US Labor Department [announced](https://snacks.robinhood.com/newsletters/6cmbZJrPc5cT50CZ2Nu6wO/articles/16Ww7crfGzhPqg75eHlqHk/) a proposal that could classify millions of gig workers (think: delivery drivers, janitors, and home-care aides) as employees rather than independent contractors. The final rule is expected next year and would likely boost gig workers’ pay and benefits, while hurting the gig-dependent biz models of companies like __[Uber](https://robinhood.com/stocks/UBER/)__, __[Lyft](https://robinhood.com/stocks/LYFT/)__, and __[DoorDash](https://robinhood.com/stocks/DASH/)__. And unlike California’s AB5 bill, this rule would have consequences nationwide.

- __[Spicy](https://snacks.robinhood.com/newsletters/6UzdjLTJSzm7nLmaXC9jKH/articles/7c43OrR1NbjfKSQldOr7gT/):__ September inflation was up a hotter-than-expected 8.2% from last year as consumers kept spending through price hikes. That dashed hopes that the Fed might soon simmer down with its aggro rate hikes. 
- __[TikShock](https://snacks.robinhood.com/newsletters/5fsX1ZBmk9NXxRo6AW3wGi/articles/3kRkQRAcy4rJeec1PiE2SC/):__ A BBC investigation found that __TikTok__ has been profiting from charitable live streams, reportedly pocketing up to 70% of donations to displaced families in Syria. TikTok is no stranger to accusations of sketchy practices. 
- __[Ricall](https://snacks.robinhood.com/newsletters/5JM2yMkOS4Mtkn9RVTNx9a/articles/3aNJ0t6F4xIEFKZ8ORs2h8/):__ __[Amazon](https://robinhood.com/stocks/AMZN/)__-backed electric-truck maker __[Rivian](https://robinhood.com/stocks/RIVN/)__ said it was recalling 12K cars (nearly all the EVs it’s ever built) over safety concerns. While the recall isn’t likely to dent Rivian’s coffers, it’s hurting its nascent rep.

On average, Americans spent $67K last year, up 9% from 2020 

💰 Social Security’s big payday

__Inflation doesn’t take a vacation…__ though investors wish they could buy it a one-way ticket to Cabo. US consumer prices in September were up a hotter-than-expected [8.2%](https://www.cnbc.com/2022/10/13/consumer-price-index-september-2022-.html) from a year ago — a slightly slower pace than last month, but still likely far too steamy to convince the Fed to simmer down on big rate hikes. Plus, that healthy September jobs report has dashed hopes that a Powell pause (#Powse) is coming soon. 

- __Sad consumers:__ “Core inflation” (aka: excluding food and energy) was up 6.6%, the highest yearly gain for core since 1982. 
- __Sad economy:__ This week the IMF cut its global growth forecast, and __[Chase](https://robinhood.com/stocks/JPM/)__ CEO Jamie Dimon said the US would likely enter a recession within nine months. 
- __Sad investors:__ Earnings season’s kicking off, and S&P 500 companies are expected to report their lowest annual profit growth since 2020.

__Still need hot Cheetos, though…__ Inflation is cruising at 40-year highs, partly because Americans continue to spend through price increases. Consumer spending ticked up more than expected in August, even as high interest rates and prices weighed on demand. __[Delta](https://robinhood.com/stocks/DAL/)__ and __[American](https://robinhood.com/stocks/AAL/)__ reported strong sales growth despite spooky fares. __[Pepsi](https://robinhood.com/stocks/PEP/)__ shocked investors with 9% sales growth as shoppers loaded up on Cheetos and Lay’s despite price hikes.

Chip-flation (NurPhoto/GettyImages)

__The Fed moves forward with an old map…__ It’s guiding the economy based on how things looked in the past (like: last month’s inflation), not how they might look nine months from now. If the route changes to a steep downturn, it might be too late to turn back. While the Fed is backward-looking, markets are forward-looking. That’s why this earnings season investors may be more interested in *forecasts* than results from last quarter.

Inflation’s still riding high as earnings season dawns, dashing hopes that the Fed will reverse course

__Nu(clear) kid on the block…__ There’s a new power player in the nuclear biz: this week renewable behemoth __[Brookfield Renewable Partners](https://robinhood.com/stocks/BEP/)__ and uranium powerhouse __[Cameco](https://robinhood.com/stocks/CCJ/)__ [agreed](https://www.ft.com/content/46df2aa9-0963-47a6-881c-f715a18a8527) to buy __Westinghouse Electric__ for $7.9B. Because Westinghouse services about half the world’s 440 nuclear reactors, the deal could revitalize the sector.

- __Big turnaround:__ Westinghouse went bankrupt in 2017 as nuclear demand fizzled. But the company’s sale price is 70% higher than four years ago thanks to renewed demand.

__Fission for compliments…__ Many seem to love nuclear now that Putin has destabilized global natural-gas supplies. The amount of global electricity produced by nuclear energy has fallen from 18% in the mid-’90s to 10%, because of disasters including Chernobyl. But now countries are reconsidering nuclear, which has lower emissions than fossil fuels:

- __California__ recently voted to keep its last nuclear plant open, reversing plans to close it. 
- __Germany’s__ debating whether to keep its remaining plants open, despite plans to close them by the end of the year (even Greta Thunberg wants them to stay open).
- __Japan__ is reopening old plants as part of a bigger nuclear reboot.
- __China__ just approved six nuclear plants and plans to double its nuclear capacity by 2030. — which would give it more plants than the rest of the world *combined*.

Surge

__Renewed profitability offers a path to revival…__ One reason nuclear plants dwindled in recent decades was they were expensive to build, and oil delivered more immediate energy profits. But Westinghouse’s sale shows nuclear’s profit potential: Brookfield Business Partners made a $4.5B profit in four years on its Westinghouse stake. Nuclear investments are expected to continue: experts say nuclear generation must double by 2050 to hit net-zero goals.

Nuclear giant Westinghouse sells for $8B in a sign nuclear power is making a comeback

- 🪙 __Coins…__ __[BNY Mellon](https://robinhood.com/stocks/BK/)__ is getting into the crypto-custody biz. The US's oldest bank said it would [hold](https://www.wsj.com/articles/americas-oldest-bank-bny-mellon-will-hold-that-crypto-now-11665460354) customers' __[bitcoin](https://robinhood.com/crypto/BTC/)__ and __[ether](https://robinhood.com/crypto/ETH/)__. It's not alone: __[Nasdaq](https://robinhood.com/stocks/NDAQ/)__ will also offer institutional investors a custody service.
- 🤔 __Sus…__ Crypto thieves have [looted](https://www.bloomberg.com/news/articles/2022-10-13/crypto-hackers-set-for-record-year-after-looting-over-3-billion) $718M this month alone, stealing $3B+ this year (approaching a record). The weak link: decentralized finance. DeFi is permissionless and ruled by smart contracts (aka: code), making it a ripe target for hackers.
- 🤖 __Techy…__ __[Google](https://robinhood.com/stocks/GOOGL/)__ signed a deal with __[Coinbase](https://robinhood.com/stocks/COIN/)__ to facilitate cloud [payments](https://www.cnbc.com/2022/10/11/google-selects-coinbase-to-take-cloud-payments-with-cryptocurrencies.html) in crypto (think: cloud-storage bills paid in __[dogecoin](https://robinhood.com/crypto/DOGE/)__). The crypto exchange will earn a % of transactions and move its own cloud biz to Google (bye, AWS).

Cloudy

Inflation’s still riding high as earnings dawn, dashing hopes of an early Fed reversal

El Salvador has lost about $60M on its nationwide bitcoin experiment in just one year 

🏖️ No inflation vacation

__Shocking…__ A BBC investigation [found](https://www.bbc.com/news/world-63213567) that __ByteDance__-owned TikTok is profiting from donations on charitable live streams, which have gained popularity. The BBC went on the ground in war-torn Syria, where displaced families living in camps are begging for donations to cover everything from food to medical care — all through TikTok live streams. What the BBC reported:

- __TikTok is said to pocket up to 70% of donations__ collected via live streams. For five months the BBC scraped info from 30 accounts broadcasting live from Syrian camps. Some streams earned up to $1K/hour, but families said they received a tiny fraction of that.
- __TikTok’s response:__ Gen Z’s favorite app said this type of content isn’t allowed on its platform, and added it would take action against “exploitative begging.” But TikTok failed to explain why it’s reported to have taken a cut of the live streams if they’re not allowed. 
- __Doesn’t add up:__ TikTok said the commission that it takes from digital gifts is significantly less than 70%. But a BBC reporter in Syria tested it out and said TikTok had kept about 70% of the proceeds from his live stream. 

__Lions and roses…__ TikTok live-stream viewers can send digital gifts — ranging from roses (which cost a few cents) to lions (which cost $500) — to tip creators or donate to people in need. The BBC found that the Syrian live-stream trend was facilitated by “TikTok middlemen,” who said they worked with agencies affiliated with TikTok in Asia and provided needy families with phones and accounts to go live.

ByteDance’s TikTok faces scrutiny… again (Yan Guolin/Getty Images)

Investigate

__It could be TikTok’s lowest blow…__ The world’s most popular app is no stranger to accusations of [sketchy practices](https://snacks.robinhood.com/newsletters/1XRABkCiKwZJR7JrLA4kpP/articles/1A1qbAnfT0zo8MBTBOy2Jy/) — from boosting harmful content to censoring content at China’s behest. But if the BBC’s findings are accurate, it could be its worst scandal. Over 1B people use TikTok to stay up to date with news, engage with trends, and donate to their favorite causes. This report could permanently bruise TikTok’s reputation.

TikTok is pocketing up to 70% of donations from charitable live streams, the BBC found

__Fall-fit shopping gets less cringe…__ Hollister rolled out a check-out option that makes shopping with Mom and Dad less embarrassing. On Tuesday, the California-style teen retailer [rolled out](https://www.globenewswire.com/news-release/2022/10/11/2531842/0/en/Hollister-Launches-Share2Pay-Retail-Industry-First-and-New-Way-to-Pay.html) “Share2Pay,” which lets shoppers share their carts with parents (no awkward mall trips required). 

- __How it works:__ US and UK customers can text their digital shopping carts to the buyer (aka: Mom and Dad), who can use the link to add or remove items before paying. 
- __How it’s doing:__ After a soft launch, Hollister said customers who used Share2Pay placed orders nearly twice as often as those who didn't.
- __Corporate parent:__ Hollister makes up over half of __[Abercrombie’s](https://robinhood.com/stocks/ANF/)__ sales. But while Abercrombie’s namesake sales jumped 5% last quarter (thank: more jean sizes, fewer logos), Hollister’s fell 15% and Abercrombie reported a surprise loss.

__“Enjoy the bucket hat, sweetie”...__ Gen Z accounts for a massive $360B in disposable spending power, more than double the estimate from three years ago. But with more teens interested in [saving](https://fortune.com/2022/10/12/gen-z-doesnt-want-to-make-the-same-mistake-millennials-did-with-the-great-recession/) for retirement versus splurging, retailers are trying to boost sales by easing friction between the shopper and the *payer*:

- __[Amazon](https://robinhood.com/stocks/AMZN/)__ launched “Amazon Teen” in 2017, letting parents set spending limits and approve their teens’ purchases before paying.
- __[Apple](https://robinhood.com/stocks/AAPL/)__ has an “Ask to Buy” [feature](https://support.apple.com/en-us/HT201089) that sends a request to the family account holder when kids want to buy or download a product.

Mommy

__Abandoned carts are a multibillion-dollar problem…__ Nearly 70% of online shopping carts are abandoned, costing retailers $18B in lost annual sales. It’s even harder for tween-fave brands like Hollister (only half of its Gen Z [demo](https://support.apple.com/en-us/HT201089) has credit cards). Now retailers are targeting a more reliable source to get shoppers to the finish line: their parents.

Hollister will let teens share orders with parents as retailers struggle with the “abandoned cart” problem

TikTok pockets up to 70% of donations from charitable live streams, the BBC found

It can cost more to watch NFL games at Vegas casinos than to attend the games

💸 TikTok's digital gift grab

__The gig is up…__ Yesterday the Labor Department [announced](https://www.reuters.com/world/us/new-biden-labor-rule-would-make-contractors-into-employees-2022-10-11/) a proposal that could classify millions of gig workers (think: delivery drivers, janitors, and home-care aides) as employees rather than independent contractors. Over a third of US workers have performed freelance labor in the past year — and low-income Americans disproportionately rely on gig work. The rule would guide judges and companies, and will be formally published on Thursday, kicking off a 45-day public-comment period (with the final rule expected next year). Why it’s big: 

- __For workers:__ Being misclassified as a contractor means fewer labor protections and potential wage theft. But some business lobbying groups argue that a broad rule would hurt workers who want to have flexible hours and stay independent. 
- __For employers:__ Reclassifying workers as employees would mean higher spending, since hiring contractors can cut labor costs by up to 30%. But the majority of gig workers say they’d prefer *not* to be gig workers.

__Eyes on the road…__ App drivers are synonymous with the gig economy, and __[Uber](https://robinhood.com/stocks/UBER/)__, __[Lyft](https://robinhood.com/stocks/LYFT/)__, and __[DoorDash](https://robinhood.com/stocks/DASH/)__ shares sank after the news. Refresher: in 2019 California legislators passed AB5, a landmark bill that reclassified many of the state’s app-based gig workers as employees. App giants have spent over $200M lobbying for their drivers to be exempt under Prop 22, which [passed](https://snacks.robinhood.com/newsletters/7jMUu1TK8PviqbKCFjQhjC/articles/f06IOakKwXbXOcwTVNbjX/) but was later declared unconstitutional.

Cruising app to app (Jeremy Drey/Getty Images)

__The gig playbook could be rewritten…__ When AB5 passed, Uber and Lyft issued SEC filings saying it would destroy their gig-dependent models. Companies are required to pay employees a minimum wage, provide overtime pay, cover a portion of Social Security taxes, and contribute to unemployment insurance. Unlike the CA law, the Labor Department’s new proposal could have nationwide consequences.

The US Labor Department could grant millions of contractors employee status — and reshape the entire gig economy

__EVs were just the start…__ __[General Motors](https://robinhood.com/stocks/GM/)__ has plans to expand its battery biz. Yesterday the auto giant [said](https://www.cnbc.com/2022/10/11/gm-energy-launches-to-connect-homes-businesses-with-ev-chargers-energy-storage.html) it’s launching a unit called GM Energy that’ll sell “energy management” products, like batteries and solar panels. GM’s investing billions in EV tech as part of its plan to produce *only* electric cars, like the Chevy Bolt and the Hummer EV, by 2035. But it may’ve found another use for its tech:

- __Hard + soft:__ GM Energy will sell hardware (think: home batteries and solar panels) and software (think: tech to link EVs and homes to energy grids) starting next year. Its software could help companies manage efficient charging for entire EV fleets. 
- __Home + office:__ GM is making energy products for individuals and businesses. You could use its batteries and panels to keep the lights on during outages or make $$ selling extra solar energy to the grid. 

__Not exactly leading the charge…__ GM isn’t the first automaker to enter the energy-management industry, estimated to be a $125B to $250B market. __[Tesla](https://robinhood.com/stocks/TSLA/)__ launched its energy-storage division, Powerwall, in 2015 — and last quarter the home-battery biz raked in $866M in revenue. And in June __[Toyota](https://robinhood.com/stocks/TM/)__ began selling its residential battery system to customers in Japan.

Energized

__Rivalries can lead to surprising spinoffs…__ During the space race, NASA’s massive R&D investment led to unrelated innovations, like Lasik eye surgery and memory-foam mattresses. Today the EV race is also yielding successful spinoff industries like energy-management solutions, smart-car software, and data-driven insurance. Another example: last year GM launched BrightDrop, which sells electric vans and fleet-management software to clients including __[FedEx](https://robinhood.com/stocks/FDX/)__.

General Motors launches an energy-storage business, ramping up its rivalry with Tesla

📱 The Labor Dept could grant millions of contractors employee status, reshaping the gig world

Unlike the rest of our solar system’s planets, Venus and Uranus rotate east to west

📱 The big gig shakeup

__Rare [Rivian](https://robinhood.com/stocks/RIVN/) sighting on I-90…__ had to snap a pic. Rivian’s e-pickups look like something out of the future, but the __[Amazon](https://robinhood.com/stocks/AMZN/)__-backed EV maker has built only 15.3K vehicles since starting production last fall. That’s partly why this news hit investors hard: on Friday, Rivian [said](https://www.cnbc.com/2022/10/10/rivian-shares-after-the-company-announced-a-big-recall.html) it was recalling 12K vehicles to double-check that a fastener in the steering assembly was safely tightened. Rivian estimates just 1% of vehicles have the defect, and plans to complete the checks and repairs within 30 days. 

- __Bad news:__ Rivian stock plunged 7% yesterday and is down 69% this year. Since IPO’ing in November, Rivian has fallen short of production targets and disappointed on forecasts. 
- __Good news:__ Last week Rivian reported its best quarter yet with 7.3K EVs built from July to September and said it was on track to make 25K vehicles this year (as targeted). 

__Save a horse…__ drive an e-truck. Rivian became the first to bring e-pickups to customers’ driveways, but the competition’s heating up. In December __[GM’s](https://robinhood.com/stocks/GM/)__ Hummer EV rolled out, and customers began receiving __[Ford’s](https://robinhood.com/stocks/F/)__ F-150 e-pickup in May. This month, __[Lordstown Motors](https://robinhood.com/stocks/RIDE/)__ said it has (slowly) started production of its Endurance e-truck. We’re still waiting on __[Tesla’s](https://robinhood.com/stocks/TSLA/)__ Cybertruck…

Newly minted, slightly dented (Justin Sullivan/Getty Images)

Pickup

__Reputation matters more than money…__ especially when competition is hot. The recall isn’t likely to make a dent in Rivian’s coffers: it had an impressive $15.5B in cash on hand as of last quarter (way more than most of its rivals). But the scale of this recall — plus the fact that Rivian said the fastener issue could, in rare instances, lead to a loss of steering control — has already dented its rep.

Rivian recalls nearly all its electric trucks over safety concerns, denting its newly minted rep

__Blockchain bridges…__ are showing cracks. Crypto bridges let people move coins between different blockchains (think: __[bitcoin](https://robinhood.com/crypto/BTC/)__ to __[ethereum](https://robinhood.com/crypto/ETH/)__) and are a crucial pillar of decentralized finance (DeFi). On Thursday [hackers](https://www.bloomberg.com/news/articles/2022-10-07/binance-coin-100-million-hack-is-reminder-crypto-bridges-are-weak-link) got their hands on $570M in crypto by exploiting a [cross-chain bridge](https://snacks.robinhood.com/newsletters/f8suYXqPD4YTOYUaoKShp/articles/75PhXHd2sIDVNK6TcV8jy4/) between the __Binance__-affiliated BNB Beacon Chain and BNB Smart Chain.

__A crypto cure…__ worse than the DeFi disease. Binance tried to calm hack-weary investors with a statement saying that a majority of the illicit coins had been frozen — hackers did successfully move $100M out of the Binance ecosystem (still nothing to sneeze at). Good news, though, right? Maybe not. The centralized devil is in the details: 

- __Hotchain:__ Blockchains brag about being decentralized and censorship-resistant. It's a big selling point. 
- __Lockchain:__ To thwart last week's hackers, 19 of BNB Smart Chain's 26 validators agreed to pause the entire chain, a rare move that temporarily prevented withdrawals and deposits.
- __Notchain:__ Freezing solved one problem (think: hackers making off with the full $570M), but it raised another: is a chain truly decentralized if a small group of people can suspend it?

CeFi

__Bridges are crypto’s Achilles’ heel…__ Crypto-bridge hackers have snatched over $2B, including $625M from __Ronin__ and $325M from __Wormhole__ earlier this year. But it's not just $$ at stake: hacked cross-chain bridges show that vital DeFi infrastructure remains vulnerable to thieves. And if a fix isn't found, fears of even larger losses could lead to increasingly drastic responses, which threaten to undermine crypto's core premise: decentralization.

A crypto bridge was hit with a $570M hack, which led to a paused blockchain and centralization concerns

Rivian recalls nearly all its electric trucks over safety concerns, denting its new rep

Every year the US harvests over 1B pounds of pumpkins