Domain Daily: A Black Day for Mirror

The Dose

  • Easier Said Than Done

  • Broken Mirror

  • Good News for Apple

  • Smart Money

Can't Stop Sharing

Netflix's plan to cut down on password sharing isn't going so well. According to subscribers in the test regions of Costa Rica, Chile, and Peru, the policy is confusing and the streamer’s enforcement is lax.

The Point: Netflix is cracking down on rampant password sharing after years of turning a blind eye. But with subscribers fleeing the service, what looked like an easy fix is getting complicated. Users say they haven't been charged the additional $2.99 fee for sharing their accounts and claim the policy is "confusing." It's no surprise to see a company struggle with a strategic pivot. That's why significant changes roll out in test markets first. Netflix still has months to get this right, but given how much they've got riding on the change, it's a situation worth monitoring.

Check Prices in the App

Mirror Mirror

DeFi app Mirror Protocol has been exploited for almost $100 million. $90 million of that was taken in a breach that went unnoticed since October. A second flaw was identified on Monday that has allowed an additional $2 million to be drained from the protocol.

The Point: Mirror is a DeFi app built on the original Terra blockchain that allows users to trade tokens that track stock prices. When someone uses Mirror to bet against a stock, they have to post collateral. Unfortunately, a bug in Mirror's code allowed users to unlock more collateral than they posted. For the details, click here. DeFi has the potential to revolutionize finance, but it's going to take time. In these early days, there's little standing in the way from buggy code making its way into the wild. As always, only risk what you can afford to lose.

What is DeFi?

Better Than Expected

Foxconn, the company that assembles iPhones, said production has fared better than expected throughout China's most recent Covid-19 lockdowns.

The Point: That's a relief. Apple was worried enough about the impact on production that it warned investors it could take an $8 billion sales hit in the third quarter. While it's obviously good news for Apple, it's also encouraging for the broader market. Part of the reason stocks have been selling off is because of factory shutdowns in China. So if the worst-case scenario didn’t come to fruition, a rebound in stocks might be in store.

Stock Market Basics

Money That Works

Japanese banking giant SBI Holdings is setting up a joint venture to create programmable money. Working with the New York-based company Digital Asset, SBI wants to bring smart money to Japan.

The Point: Programmable money is a loosely defined term. Central Bank Digital Currencies (CBDCs) are one example. Tokens that support smart contracts can also be grouped under that umbrella. Details are sparse, but what SBI and Digital Asset are working on sounds like a hybrid of the two. They're tentatively calling the concept the "Smart Yen." That could mean the token's value will be pegged to the Japanese currency. But, obviously, it won't be a CBDC since the Bank of Japan won't be the issuer. So while CBDCs are inevitable, SBI's announcement clearly indicates that private industry isn't waiting for Central Banks to act first. 

Learn About Stablecoins

Domain Money, Inc. is providing this information for informational purposes only. While Domain Money believes that the information contained herein is reliable and derived from reliable sources, it makes no representation, warranty or undertaking, stated or implied, as to the accuracy or completeness of the information. Domain Money expressly disclaims any liability or loss incurred by any person who acts on the information, ideas discussed. The information contained herein is not, and shall not constitute an offer to sell, a solicitation of an offer to buy or an offer to purchase any securities or cryptocurrency, nor should it be deemed to be an offer, or a solicitation of an offer, to purchase or sell any investment product or service.  Investing comes with inherent risks and you should always invest within your means and risk tolerance.  Past performance is not an indication of future returns and you should always consult a financial advisor prior to making investment decisions. Please see important disclosures at

*The content team responsible for the above content uses primary and secondary sources they believe to be accurate, which includes but is not limited to Bloomberg, The Wall Street Journal, Financial Times, and CNBC, among others. 

*  Domain Money Advisors, LLC, an investment adviser registered with the U.S. Securities and Exchange Commission and an affiliate of Domain Money, has (as of this writing) the following assets mentioned in this communication as part of its managed portfolios: NFLX, AAPL, LUNA