1 year anniversary, 1mil ETH burned and more - The Daily Gwei Refuel #260 - Ethereum Updates

Transcript

hello everyone and welcome to another episode of the daily gray refuel where he kept the latest news in the ethereum ecosystem i'm your host anthony sosano and today's the 25th of november 2021 all right everyone today is a very very special day for the refuel it is the one year anniversary i have been doing this you know every weekday since november 25th obviously the episode name is not number 365 because i don't do them on weekends but yeah i think i've only missed two days in the whole kind of like last year um and then i made up for it on the weekend and did an extra episode there so it has been a very long and uh and and fun journey with all of you uh the channel's you know grown bigger than i thought it would uh the discord channel has grown so big like i

love uh the community that we've been able to cultivate around you know ethereum and the entire ethereum kind of ecosystem and how i kind of like cover it through the daily gray so to celebrate i have a special little thing that i'm going to show a trailer for in a second it's something that i've worked on with a good friend of mine you'll you'll recognize the name in the trailer but i'll come back in a second explain it to you so for now enjoy the trailer hello everyone and welcome to another episode of the daily grey refuel where i recap the latest news in the ethereum ecosystem i'm your host anthony cesano alright everyone let's get into the news another big day in ethereum [Music] all right i hope you guys enjoyed that

trailer as you saw there is going to be an nft that immortalizes this room that i've been in uh you know since doing the refill i mean i've been in this room for such a long time it has been since i was basically like three years old i've lived in this house um and you know when i became a teenager this kind of like study became like my gaming room and i played a lot of kind of video games in here and then ever since then it kind of like just morphed into basically the place where i where i live and i've lived for a very long time now um so you know i contacted kitter who's a really good friend of mine and i said hey let's do an nft for celebrating the one year anniversary it was actually mostly his idea as well i mean he's like

yeah this would be cool to do it on the one yeah because i wanted to do a delegate nft but he said you know this would be really cool to do it on the one year anniversary um and kind of like let's let's make something really really awesome about it so i think it came out absolutely amazing there's so many easter eggs in it i'm going to be teasing it um until kind of like the nft goes live which as you saw in the trailer will be on december 6th uh more details about it will be coming out soon kind of like the mint cost and everything like that but you also saw in the trailer that all of the proceeds are sorry 80 of the proceeds are going to be core developers ethereum core developers now the way this works is that kidney and i did a 50 50 split on the on the

revenue that is going to be generated by this nft and kit is taking 20 as a commission for all the hard work that he did on this nft i mean it took him quite a while to do this you can see the detail in it through the trailer and then once the nft comes out you'll be able to see even more detail about it he worked really long and hard on this so um you know he's taking a 20 cut just for his work but then the other 30 percent he's donate of his share is donating to ethereum core development and i'm donating my entire 50 to ethereum core development i don't want to profit from this i you know i just think it's a fun little thing to do i think it's an awesome thing that uh you know you guys can get your hands on as well to to kind

of like commemorate this this awesome occasion and i really you know as i've discussed in the past before i'm really big on funding heathcore devs and obviously as the pro as the minting is going to be done with eth this eighth is going to go to them directly there's not going to be dollars they're going to have eighth and they can hold on to it and do whatever they want with it um in order to kind of like get further exposure as each increases in price and this isn't going to be the last nft that that i do i'm going to be doing more in the future and and i'm probably pretty much going to donate all the proceeds always to maybe not always core development but other kind of public goods within ethereum obviously bitcoin and stuff like that as well um because that's what i'm super super

passionate about um but yeah with the nft you obviously get an immortalization of this room and another the second thing i wanted to actually announce today is that uh this room is going to be looking a lot more sparse over the next few weeks because i bought a house i'm going to be moving soon into my own house with my own room it's a much bigger room than what i have now this is like a tiny shoebox so i'm super excited about that but uh because of that obviously i have to move all this stuff so you're going to be seeing like figurines disappear behind me you know as the retailers go on for the next few weeks you're going to be seeing the cabinets appear and then pretty much on the last ratio before i move into into the new place this is going to be

like a blank room so this nft works to immortalize this room uh both for obviously myself and for all of you loyal deadly gray fans out there and we decided to do 365 editions obviously for one edition um for each day of the week obviously that's not going to be enough if all of the thousands of viewers wanted uh kind of like to meet one of the daily gray but unfortunately uh you know we kind of i mean not unfortunately but we kind of like went back and forth kid and i about this and we figured you know we don't want to have like too many out there and we don't want to make it too exclusive but we do want the kind of like loyal supporters to have a have a chance at owning kind of like this nf-10 obviously it can be traded on secondary markets

and things like that but i don't expect it to have like a speculative premium it really is just a thing to you know one you get to basically support ethereum core development uh and two you get like an nft that immortalizes and and this room and you basically you know get to get to have like a bit of memorabilia so yeah i hope you hope you um like that um and you know if you want to watch the trailer again you can just go back and rewind the video uh but i'll be posting more details about this on twitter within the next 24 hours and and then as i said i'll be teasing uh kind of like things from the nft on the refuel uh you know over the next few weeks until the minting happens uh so yeah celebrating one year anniversary uh i'm glad to have you all with me and i

hope to have you or with me for another year it's been a super exciting one and i'm sure it's going to be even more exciting as we go into the new year of 2022 so on that note on to the updates from the last 24 hours so we burned a million eighth yesterday so we burned 1 million eight in 109 days which is absolutely incredible i mean right now if we take the price of eight which is what four thousand four hundred dollars around about that that is four point four billion dollars worth of eight that has been burned in 109 days which is you know less than one third of a year basically so we if you annualize that out we're burning over three million each a year right now which is absolutely crazy like that's a crazy amount of eth and then imagine if

we had like the merge already in place uh and it would be like net deflationary all the time which is absolutely crazy so great to see this i know there was a bit of drama you know uh after suzu put out his tweet about like ethereum celebrating the burn and not caring about users but um i thought that was kind of like really stupid obviously that tweet i went over that the other day but the funny thing is is that celebrating the burn and scaling ethereum are not mutually exclusive we're doing both right like we're we're celebrating the burn because of the various reasons we're going to go through them all here but we're celebrating it for various reasons but we're also scaling ethereum we know that the high fees on layer 1 are for end users we've never said they're good for end users but high aggregate fees

are good like high fees generated by network are really really good high individual fees are bad so how do we fix that well we have a layer two ecosystem where the layer one fees are still going to be high so we're going to be high aggregate fees but we're going to have low individual fees at layer 2 and they're going to get lower and lower over time as well as i discussed yesterday there's already a proposal put forward to make it five times cheaper on rollups to do transactions so lots of stuff happening there uh but but yeah it's still cool to see the big 1 million milestone hit in only 109 days it's been a you know since 1.59 went live on august 6th it's been an absolutely insane uh kind of like time i was not august uh august the 6th sorry i think i

was thinking about august 6th um it's been an absolutely insane time within ethereum right and the market uh uh the the market went hot again nfts kind of came onto the scene and i think open c is still the top burner of all time i think eighth transfers and unisop will flip it soon but open c has definitely been a huge burner i think accounting for over 10 percent of this eath burned here not to mention all the other individual nft projects that uh did minting and kind of like burned a lot of eighth but yeah we had that and then obviously the market got hotter and hotter we kept having more and more activity on chain and pretty much like the base way or the average gray price seems to be about a hundred at this point in time it goes uh you know above and below it but

it seems about 100 and uh you know as the market keeps getting hotter and hotter i expect that to definitely keep creeping up on there and especially as l2 start filling block space as well so yeah cool to see a million eighth burned let's see if we can do two million eighth in less than 109 days i don't know if we will depends how you know what the market goes like depends if nfts come roaring back because they chew a lot of uh gas right but we'll have to see what happens there so speaking of roll-ups argent put out this amazing meme uh on on twitter yesterday where it's this picture of a dinosaur on the left and above the dinosaur it's got l1 bag holders squabbling over scaling and then on the right hand side it's got a meteor labeled zk roll ups coming in to

obviously kill the dinosaurs the reason why i love this meme is because it's so simple because while these ones are fighting over their monolithic designs fighting over uh just like absolute you know i guess like dinosaur related stuff like literally you know when someone calls something a dinosaur it means it's like it's really old-school it's really ancient it's just like doesn't fit in with the new world um and then you have this thing called zk roll ups or just roll ups more generally coming in to basically wipe out all of these l ones and as i've said before i think the age of l1 is is over at this point right i just i i i think that this is kind of like the last hurrah it's like the swan song for the l ones i think the evm side chains are particularly vulnerable here

and they're going to get hit hardest as rollups continue to roll out and i think that you know they already are to an extent i think a lot of them really only have usage because they've been subsidized by token incentives which is fine like i've discussed how that's not an issue before but uh once these roll ups really start ramping up you're going to see a mass exodus i think and people are going to go to these roll ups instead and i've actually seen like a a very big narrative shift recently as well like since put out his tweet over the last few days um it's been what five or six days now since he put that tweet out maybe maybe five days um since then the ethereum ecosystem has basically come roaring out and being and people who normally don't get get kind of like involved in these

kind of like twitter debates have come roaring out and be like you know screw you man like screw you all you doubters we're going to scale and you're going and you're going to watch a scale and not only are kind of like there are more signaling from from a lot of the community around roll ups a lot more people like learning about rollups now but also we have these proposals like i mentioned yesterday about lowering the core data gas cost on layer one uh to make sure that we can kind of like offer even cheaper experience uh within these roll-ups so i actually think that uh it's a bit of a streisand effect there for for for suzu like i think that what he you know he was trying to obviously fight ethereum but in reality he just made it so that more and more people probably tens of

thousands of more people are now aware of what roll-ups are and how ethereum is actually scaling which is obviously a net positive so thanks for that sue and thanks for that everyone that's been fighting ethereum and i've actually seen a narrative shift from these kind of like l1 fan people as well or fanboys whatever you want to call them saying oh well rollups aren't exclusive to ethereum and that to me just signals that like ethereum is pretty much like already won there um like by a long shot because when they say this the easiest reply to them is to say well if a roll-up has a choice to settle on the most decentralized and secure base layer in existence or some centralized piece of garbage that hasn't been around for very long and has all these kind of inherent

issues with it what do you think the roll-up's going to choose they're going to choose ethereum every single day like every single day there's no point choosing another chain so they've already lost in my eyes so that's why this meme just so perfectly encapsulates what's going on uh within the within the kind of like crypto ecosystem right now so yeah really like this from argent here so kartik tawa from eth global uh put out a kind of like picture here of eth global's big 2021 and he basically captioned it with probably nothing well obviously probably nothing is used by people in the crypto ecosystem to refer to something that is the complete opposite of that so this is obviously not nothing um and you can see here some of the stats there were nine hackathons

and 18 summits in 2021 run by 8th global with 700 hackers 1.5 million dollars of prizes 1337 projects 450 talks i mean and then a bunch of other stats around here i have judged a few of these global hackathons they're absolutely amazing the amount of raw talent that ethereum is able to bring into its ecosystem is able to attract not just from kind of engineering talent or kind of um a research talent it's like from all kind of like areas and and also like passionate builders passionate and dedicated builders who actually buy into the ethereum mission of decentralization permissionlessness openness all that good stuff there and they come in they build these projects and a lot of the you know a lot of the the top projects

within ethereum today were born out of hackathons and specifically 8th global hackathons so you know really amazing to see that 8th global has had their best year yet and i think that's something going to ramp up from here 2022 is going to be even better i reckon i think that um you know the worst thing that could happen to ethereum is if that we were having a net outflow of builders we're not at all we don't know when we're close to that we're having a massive net inflow of builders like i would say that we're probably on boarding tens of thousands of new builders and builders not just being engineering and research talent as i mentioned but like marketing business development community people all that sort of stuff um tens of thousands of people are flooding into the ethereum ecosystem so we're having a massive net uh inflow and

hardly anyone is leaving and if you know if they do leave they're probably just leaving to go work on another chain um so they're not leaving crypto right so crypto as a whole is definitely having a massive net inflow of of of kind of like builders coming into the ecosystem so it's really great to see that eth global acts as a way to capture a lot of these builders and get them in the ethereum community and building on ethereum rather than some other kind of like ecosystem out there because as much as people like to say we're all in this together especially the other kind of like chain um uh communities love to say we're all in this together you can still say that but the thing is is that the the resources are scarce like there aren't an unlimited amount of builders there aren't an unlimited

amount of good builders uh they're very scarce resources especially things like solidity developers or just smart contract developers in general very very scarce resource um so and you know that that's not the only resource that's scarce right like every resource is pretty much scarce like attention um you know money all that sort of stuff so from that point of view yes maybe the you know the good parts of the crypto ecosystem are all in this together on the same mission but we're still fighting and competing for resources and that's why you see a lot of um the other ecosystems putting forward massive kind of bounties where they basically say hey come build on us and we'll pay you like this grant or whatever i'm not bounties sorry grants you know um and you know ethereum does that too of course but essentially that's the kind of like the way to

entice people to build on these sorts of things but i think ethereum has what ethereum has going for over the other ecosystems is the fact that it entices people not just with money with like a mission an ethos a vision of kind of like uh what this ecosystem can be and can continue to be and to get them involved in it as well so super exciting to see that 8th global is still doing really well here um and you know congrats to them on a massive 2021. so dydx has announced gasless deposits into their layer two uh roll up here so users can now uh if i read the details here so uh dydx will cover the gas costs of all new users who deposit 1000 plus usd on their first deposit or 2 000 plus

uh or on their first deposit or 2 000 plus on deposits thereafter gas free deposits and swaps are limited to once every three days now this is being made possible by by economy to power those kind of gas free deposits there and xerox project as well this is awesome i i i want more layer 2 projects to do this because this is how we speed up the migration to layer 2 not just through centralized exchange bridging but also covering the gas costs for people on layer one because once they're on layer two and once they have like most of their capital on layer two it's all well and dandy unless they wanna kind of like take that capital and go to cash it out you know to a centralized exchange to fiat um or unless they want to go and do something else on chain they don't have to leave

uh the layer two so with ui dex for example if you're just like a pure perpetrator you love trading perps well uh you know here you go you can get a gasless deposit into here into the diy dx exchange you can play around with it you can trade on there you can do everything on there in a gas as experience but it's just getting you on to the the layer two in the first place right onto the platform in the first place where this is really going to shine is arbitrary optimism zk sync you know polygon stockwear uh onto their kind of like generalized platforms and doing gasless deposits and i think they will i think the the funny thing is you can actually do it where essentially uh you can have like a token and subsidize it through the token as well say hey we'll give you a token if

you you know bridge in and obviously do it in a way where it can be sybil resistant it's not that easy but it can be done um and then kind of like that's how you get everyone onto late on to layer two and just get them staying there and then obviously we have binance integrating arbitrary so if you've just deposited into arbitrary from layer one right now you can actually go directly from arbitrary to binary without paying layer one gas fees so this is all coming together in a really great way but great to see you dydx leading the charge here on gasless deposits and great to see them working with uh with other kind of like great projects within the ecosystem like biconomi and xerox uh protocol there so robert miller uh known for uh basically being a big part of the mav

ecosystem uh works at flashbots um put out a tweet today where he said we should do everything we can to lower the barriers to entry for mev it's a marvel and worth fighting for that mav on eth is open transparent and something anyone can participate in a stark contrast to trad fire and other systems so he's obviously referencing the other systems being something like avalanche that i spoke about i think yesterday the day before about how you actually have to be an active validator um to be able to see the mempool to be able to actually participate in mav ethereum isn't like that anyone can see the mempool as long as they're running a full node um and there's no and you can you know because of that anyone can extract mev on on their own they can build their own bots they can kind of like partake

partaking flashbots they can see what's happening in the mempool they don't have to be a validator um and then he's you know he says this is in stark contrast to trad fire and others and and and and other systems but if you look at trad fire the perfect example here is something called payment for order flow which essentially exists in the traditional finance system where companies funds market makers can pay the kind of like brokerage say it's like something like robinhood for quote-unquote order flow which is basically access to the quote-unquote mempool which is essentially what's happening so you know what what stock are people buying you know where's the volume coming coming into can we can we kind of like front run them can we kind of like make a profit on this arbitrage and make

a profit on this spread here and that's all a closed system like completely closed system that's the worst possible system and then you have one that that kind of like um that kind of uh uh get gets close to that but not not as bad but still pretty bad which is the way avalanche approaches mav and then you have one of the best systems uh that we have in all of crypto and it's how ethereum approaches mav where it's totally open transparent and something that anyone can participate in because there's nothing being hidden here obviously you need to be a sophisticated user to extract mav but uh anyone can do it like you can teach yourself to do it if you're motivated enough and and it doesn't cost much money to do it either um it doesn't cost like hundreds of thousands of dollars to set up a

validator to actually just be able to see the mempool so you can do it and you know test it but because you'll be able to see the mempool yourself by running your own full node so from that perspective um you know these are the kind of things that i think people miss these are the kind of like more esoteric things within the ethereum ecosystem that sets a theorem apart from other ecosystems where we deeply care about the values of decentralization and openness and all that sort of stuff and that feeds in from the bottom like up right and that sets the culture that sets everything about what a theorem is and this may take a while to play out but but it's like when we get to that place where it plays out you want to be on the right side of that whereas these other

ecosystems don't seem to be on the right side of it at all and those are the kind of like things that we talk about when we when we kind of like um talk about ethereum's kind of mission culture and values is that we value this sort of stuff we value being able to be open and decentralized and transparent rather than being a close and opaque system because we already have that with tradify we don't need to recreate that that's already there we're trying to completely eliminate that and disrupt that and kill that and you don't do that by just basically replicating the existing system so great tweet from robert miller here today so another thing that sue's tweet uh i guess like maybe not his original tweet but his spat that he had with kane seems to have kind of done is that kane is

pushing really hard on kind of like synthetics related updates so he posted a new update today on the upcoming deadpool synthesis uh which will introduce fungibility between l1 and elf 2 synths with synthetics so for those of you who think synthetics is dead um you know it's been greatly exaggerated since synthetic is not dead it's just been one of those projects that started really early on with a layer 2 migration and they've been kind of like working on this for quite a while but now we're getting to a point where they've where they've kind of like um gotten to a point where they're they're adding a lot of features to the synthetics protocol on layer two on optimistic ethereum and they're adding a lot of um synthetic improvement proposals as well so you can give this blog post a read to see exactly what's

going on how they how they achieve fungibility between l1 and l2 synths which i think is pretty cool because um as i've said before some of these projects especially like make up with dye they need to they need a way to keep kind of like um an eye on the kind of like the supply of of the things that they issue so die is obviously a synthetic asset so it's the same thing as something like synthetics they need to be able to keep uh keep track of where things are and it needs to be able to have fungibility between different kind of like um you know l1 and l sorry the l1 are different l2s dye is doing this through their wormhole feature um and synthetics is actually using oracles to do this like chain link oracles i think so definitely give this a read if you want to learn more about

that so zk sync has partnered with the graph so uh zk sync will be the first zk protocol indexed by the graph now for those of you who don't know what the graph is i'm sure a lot of you know what it is but um maybe you don't know how important it is to the ethereum ecosystem all the stuff that you kind of see a lot of the stuff that you see on the front ends of like d5 apps and and and other kind of like um different interfaces a lot of it is powered by the graph where they return the apy they return the balances a lot of that sort of stuff there are other services that do these but the graph is a big player um so they announced you know i mean zk sync announced today that they will be powering a zk sync to get all that data

too which is obviously critical and important data and you need that um so it's really really awesome to see this i mean zika sync since they're kind of like latest rays have been on absolute tear with these partnerships right and with the marketing that they're doing and as i said the other day they're teasing that they're going to have uh zika as the zkvm on mainnet within three months so i mean 2022 shaping up to be the year of zk guys so definitely don't sleep on it i'm super excited about it uh not just obviously zk synth but there's plenty of other projects out there polygon um working on it as well starkware scroll a couple of others i think out there and don't forget about optimistic roll-ups as well which obviously still very very important and i don't think they're going away any time soon the deaths of

their deaths have been greatly exaggerated as well um or tales of their deaths at least have been greatly exaggerated i think that people really need to realize that optimus develops are a great kind of solution for now and if zk tech proves itself out then uh we can do you know uh kind of like migrations from there as well but for now we need something that works and optimistic valves work very well uh for evm compatibility uh as well so speaking of optimistic roll-ups uh optimism uh shared a tweet today saying that direct fiat to optimistic ethereum uh uh kind of like bridging is now live via a layer swap so you can now transfer crypto from a centralized exchange to optimism by using layer stop service uh so essentially this is a custodial

centralized service um but the thing is the funny thing is is that if you're already going from a centralized exchange to a layer two then you're already using a centralized and custodial service right so there's not too much more kind of like a risk here by doing this obviously you're taking on the risk of layer swap instead of just like the centralized exchange but still i mean this is a cool solution to get from a centralized exchange to uh optimism before they actually integrate kind of like uh do native integrations obviously i've been talking a lot about how important these centralized exchange uh bridges are but these kind of like uh solutions where there's a there's a middle man sitting in between is uh is a pretty cool kind of like short to medium term solution until these centralized exchanges do their own native uh

integrations so finally here we have adidas originals uh put out a tweet where they said we've partnered with coinbase probably nothing and coinbase has confirmed that partnership with this little shaking hand uh emoji here i think they also tweeted about it um uh where is it uh yeah gm added us originals welcome to the party partner so i'm going to assume this is basically for coinbase's nft platform i'm going to assume that adidas originals are going to be doing nfts on coinbase's platform and i'm going to assume that this is not the last big brand that is going to be leveraging coinbase to do their nfts i really would love to know if coinbase is going to be building on a layer 2 if they're going to have their own kind of chain you know how they're doing this i think that

they're definitely going to be building it on ethereum first at least but are they going to be doing it on layer 2 are they going to be doing it on something like immutable x as infrastructure are they going to have their own infrastructure out there i don't know if that's been revealed just yet but they're definitely going to have a lot of big players on board i mean obviously adidas is huge i'm going to assume that they're going to have like plenty more other big players on board for their launch they're obviously going to have like the more ethereum crypto native nfts on there like you know or support for that like cool cats crypto punks board apes all that sort of stuff there but this is kind of like how crypto goes mainstream guys like this is the true mainstream getting these already massive mainstream

brands to do nfts on already massive kind of like more mainstream uh platforms like crypto platforms like coinbase and then from there the funnel kind of like gets drilled down upon because think about the amount of people that are going to come into crypto or into the ethereum ecosystem via coinbase's nft platform and let's say only one percent of those people at least in the short term go and do something else on ethereum well let's say coinbase brings in a million people that's ten thousand people that would go if it's only one percent that's ten thousand people that would go and do something on chain that they wouldn't have done before i think the conversion rate is going to be higher than that i don't think there's only going to be one percent that actually take it deep further especially take a deeper dive especially if coinbase makes it obvious

that people can kind of like do other things with their nfts or kind of like withdraw them to their own wallet and stuff like that which they may or may not do i'm not sure yet um but yeah we're gonna have like so many more new users coming in through this these sorts of things than we otherwise would so i'm definitely very very excited for that but that's going to be it for today's episode for the one year anniversary um just a reminder more details about that nft will be revealed shortly um but i think on that note it's gonna be it for today so thank you everyone for listening and watching be sure to subscribe to the channel if you haven't yet give the video a thumbs up subscribe to the newsletter join the discord channel and i'll catch you all tomorrow thanks everyone