This edition of the newsletter highlights Jambo - Jambo is building an on-chain mobile ecosystem that combines affordable hardware, user-friendly software, and a token-based incentive system to onboard billions of users to crypto, particularly targeting underserved emerging markets where they've already sold over 800,000 phones and created 9 million wallets across 120+ countries. We'll also share some interesting articles, portfolio updates and market highlights.
1. Research Articles
a) Defining tokens
• The article provides a comprehensive framework for understanding seven categories of blockchain tokens: network tokens, security tokens, company-backed tokens, arcade tokens, collectible tokens, asset-backed tokens, and memecoins.
• Each category is defined by its source of value, utility, regulatory considerations, and real-world examples, helping entrepreneurs, consumers, and policymakers better understand the roles and risks of different token types in blockchain applications.
b) LINE NEXT’s Mini Dapps Reach 35 Million Users
• LINE NEXT has achieved rapid growth with its Mini Dapps reaching over 35 million users in just one month, primarily in Japan, Taiwan, Thailand, and Korea, with the most successful Dapp accumulating 1.7 million users and generating approximately $773,000 in revenue.
• The company aims to expand the Web3 ecosystem through its Mini Dapps powered by Kaia technology, which are accessible directly through LINE Messenger without requiring separate downloads, making Web3 services more accessible to mainstream users.
LINE NEXT's Mini Dapps Reach 35 Million Users
LINE NEXT's Mini Dapps Reach 35 Million Users
2. Portfolio Highlights
a) Infrared
• Infrared raises $14m Series A led by Framework Ventures
1,293
b) Pendle
• Permissionless listing process: any protocols can easily launch their own yield markets on Pendle
And we're one step closer to permissionless yield markets.
Introducing the first asset fully deployed externally.
c) BOB
• BoB, a leading Bitcoin L2 solution with $226M in TVL, has established itself as a major player in the space thanks to significant contributions from Solv Protocol ($137.9M), placing it among the top 10 L2s according to L2BEAT.
• Despite market volatility and changing DeFi narratives, BoB has maintained strong performance metrics with 46K unique users and 1.4M transactions in February alone, while consistently processing around 65,000 daily transactions.
ON-317: Bitcoin Ecosystem 🟠
Coverage on Lombard, cbBTC, BoB, Rootstock & SatLayer
3. Jambo - Building the worlds largest on-chain mobile ecosystem
The mobile economy is a growing industry that generates trillions of dollars in economic value each year. More and more people are connected worldwide and rely on smartphones for an assortment of services including communication (messaging and social media), digital finance, healthcare, entertainment and navigation. In 2023 according to GSMA Intelligence, 5.6 billion people globally were subscribed to a mobile service including 4.7 billion people who also used mobile internet (data). Its imperative for crypto companies to have a proper mobile-centric strategy as a means to onboard the next group of potential users for the dApps.
Enter Jambo as they aim to construct the world's largest on-chain mobile ecosystem through both a hardware (affordable physical smartphone that costs $99) and software (in-app ecosystem platform) approach. According to data from Dune, they have sold over 800k phones across 120+ countries and over 9m wallets created so far. In terms of reach, it is safe to say that Jambo is well positioned to be at the intersection of mobile technology and blockchain adoption. They have recently launched their native token ($J) which creates a complete economic system that rewards participation by users and drives ecosystem growth for the project as a whole which makes them in a unique positiom to onboard the (fabled) next billion users to crypto.
The emerging market opportunity
Jambo aims to bridge critical gaps in the market such as the perennial problem of billions of potential users that are excluded from the mobile economy due to hardware, infrastructure, and usability barriers. In their product offering, Jambo addresses 3 critical market inefficiencies:
• Smartphone access gap: approximately 3 billion people worldwide lack smartphone access, primarily due to prohibitive costs - a multi-trillion dollar untapped market opportunity as we have stated in the introduction
• Financial inclusion gap: 1.4 billion individuals remain unbanked globally, requiring basic financial services that traditional banking has failed to provide (this is largely due to credit ratings and lack of KYC)
• Usability Gap: existing crypto dApps and solutions are often too complex for your average participant, particularly in emerging markets where the need is greatest
Data also reveals a significant divergence in blockchain adoption patterns where emerging markets provides the best opportunity to penetrate as countries like Nigeria (84%), South Africa (66%), Vietnam (60%), Philippines (54%), and India (50%) report owning crypto wallets in 2024. Blockchain and crypto are also increasingly viewed as fundamental to the future of digital ownership and monetary systems especially in countries that have bad monetary policy, high inflation and currency instability (study the adoption of stablecoins in LATAM).
While developed markets show measured skepticism to various crypto products/solutions, emerging markets are embracing this technology and infrastructre as a solution to their real-world problems that traditional solutions fail to solve.
JamboPhone - hardware as a solution
The JamboPhone represents a breakthrough in accessible blockchain hardware that is competitive on pricing ($99 which is affordable for most people) and good specs (for the price, it outperforms all competitors in the sub-$100 category). In terms of performance, JamboPhone surpasses all existing crypto-native phones regardless of price point (including Solana Saga, Seeker, and TON's MetaPhone) and can serve as both a crypto-native device while simultaneously functioning as an everyday smartphone. Side note, the $J token serves as the native utility token powering the entire ecosystem that includes questing (earn more $J token) and staking (to access exclusive opportunities and discounts).
Regarding the specs, it boasts a 12GB RAM, 128GB storage, 16MP camera, and a 6.75-inch screen while having 2 software integrations:
• JamboPlay: the main portal for users to explore crypto dApps that they have partnered with, and includes questing campaigns and educational resources
• JamboWallet: their non-custodial multi-chain wallet that has payment and on/off ramp solutions
Jambo's growth flywheel
Their strategy combines physical hardware infra with a robust software ecosystem and a good market expansion strategy to create a self-sustaining flywheel aided by their native token.
• Hardware: Jambo has production agreements with 3 of the 5 largest global factories and established an extensive supply chain spanning 128 countries, enabling streamlined manufacturing processes that maintain the crucial $99 price point
• Software: pre-installed applications that eliminate onboarding friction, intuitive interfaces designed specifically for non-native users, and integrated earning mechanisms that offset device costs (for example, airdrops by partner projects for competing quests which creates a good incentive loop - increased engagement drives deeper ecosystem participation)
• Market expansion: The partner expansion strategy delivers zero customer acquisition costs for partners while providing instant access to a verified user base in a sybil-resistant environment for token distribution. Bot hardware and software integration give rise to a compounding network effect - as more partners join, additional earning opportunities emerge, increasing the value proposition and driving higher phone sales, which enables economies of scale that reduce per-unit manufacturing costs and enable broader market penetration. This virtuous cycle effectively addresses the traditional challenges faced by DePin projects, particularly the persistent issues of high hardware costs and limited distribution networks.
Key focus areas
Jambo takes a specialised approaching, focusing on 4 high-impact strategies that will addresses the perennial problem of global crypto (on-chain) adoption:
• Payments & Finance: try to bank the unbanked through accessible and easy-to-use wallets, facilitating micro-loans and DeFi dapps, while optimising cross-border payments and remittances (transfer of stablecoins)
• Gaming & Consumer: innovative crypto games that has a mobile-first strategy, creating a launchpad for enhanced mobile experiences while integrating rewards directly into gameplay to drive engagement and ecosystem participation
• DePIN: Jambo reduces fixed upfront costs for infra projects, eliminates the need for single-purpose dedicated hardware, and enables critical functions like validator nodes, location services, and data hotspots on its accessible hardware platform.
• Identity/ DID: sybil-resistant verification through hardware requirements, enables projects to conduct targeted airdrop campaigns to verified users, and improves governance and voting integrity across the blockchain ecosystem.
Making the case for Jambo
The facts above point towards success for Jambo if they can pull it off. Already they have good market traction (800k phones sold and 8 million wallets created) and they directly solve fundamental global challenge such as providing banking services to the unbanked while making smartphones affordable for billions. This has a long lasting effect as they are effectively creating economic opportunities in regions with limited employment options, and offering stable assets in countries experiencing currency devaluation.
The narrative is simple - be the "Apple of crypto" through its vertically integrated ecosystem by combining the trifecta hardware (phone), software (platform apps), and economic incentives (token + DePin earnings). The $J token also represents a significant value catalyst with utility-driven demand embedded in a growing ecosystem, expanded use cases through partner integration, natural buying pressure created by the cost-offset mechanism, and strategic supply management through allocations and token burning.
Conclusion
We think Jambo represents the best bet our industry has tackle global crypto adoption through its unique integration of affordable hardware, software to onboard dApps, and tokenized incentives that creates a flywheel effect. By addressing the fundamental barriers of smartphone access, financial inclusion, and usability, Jambo has positioned itself as the "Apple of crypto" with a vertically integrated ecosystem that creates aligned incentives for all stakeholders.
The company's impressive traction (800k phones sold and 9m wallets created across 120+ countries) demonstrates the market demand for its solution. Through its 4 strategic focus areas in payments, gaming, DePIN, and identity, Jambo is solving real-world problems for billions of potential users, particularly in emerging and underserved markets where traditional solution rails have failed.
As crypto follows the mobile-first trajectory that transformed traditional apps that have seen huge success, Jambo's first-mover advantage and self-sustaining growth flywheel create substantial barriers to entry for competitors. With the $J token serving as the economic engine that powers this ecosystem, Jambo is uniquely positioned to onboard the next billion users to crypto while creating sustainable value for participants, partners, and token holders alike. The project stands at the precipice of crypto's evolution from speculative dApps/investments to ones that provide actual utility - bridging the digital divide and empowering underserved populations globally.
*Disclosure: Signum Capital hold a position in the company mentioned above and the information provided on this newsletter is for general informational purposes only and does not constitute professional nor investment advice.
