8 million ETH staked, Layer 2 growth and more - The Daily Gwei Refuel #237 - Ethereum Updates

Transcript

hello everyone and welcome to another episode of the daily gray refuel where recap the latest news in ethereum ecosystem i'm your host anthony sosano and today is the 25th of october 2021 all right everyone let's get into it so 8 million each staked on the beacon chain this is a lot of eight i think it's over 30 billion dollars worth of eth around six seven percent of the current supply uh which is pretty crazy right uh now i think that uh at time of recording it's just almost eight million actually staking because i was looking at the deposit contract when i tweeted this out and the difference is that when you deposit to the deposit contract you basically go into the deposit queue and then you're not staking straight away you have to kind of like wait if there's a queue to get your deposit in so technically that that

is not being staked but it isn't is in the queue and it will be staked and then there's also kind of like um validators that have been uh slashed right and then they get kicked out of the validator set or they've been offline for too long and they get leaked out they will also be shown in the deposit contract but they won't be shown as kind of like validating and staking so there's different ways to kind of look at this you can look at the deposit contract itself and see how much eight has ever actually gone into the deposit contract which means it has been staked at some point in time um and then you can uh look at uh kind of like how much is actively staked right now uh i just look at the deposit contract on ether scan like i just go i

google like eth2 deposit contract go to the go to the contract on etherscan and see the number in there and then i also go to beacon chain so beacon c-h-a-i-n um which tracks which is like a block explorer i guess for the beacon chain oh it's a validator explorer and it'll show you how much the active stake is there it's one of my favorite places to look at but the reason why uh i look at the deposit contract is because it's for the for the total you know each stake ever is because it's a one-way bridge right now you can't actually withdraw from that from that contract at all you can't withdraw from staking the only way you can stop staking is either like stop sticking as in get kicked out of the validator set and not be able to re-enter is if you kind of get slashed

or if you kind of get leaked out um right now uh if it i mean i don't think this has been changed i haven't looked at this in quite a while but i think it remains the same if you go offline for long enough for your balance to bleed down to 28 so obviously you start at 32 8 or above right if you've earned some eighths say you started 33 because you've earned some but if you go offline for long enough and then you bleed down to 28 which takes a while but if you get there you'll be automatically ejected from the current validator set and you won't be able to restake because of the fact that uh there's no withdrawals or deposits or anything like that you can't move the funds around um so you'd have to kind of like do a fresh new 32-8 validator um

but that's just temporary until the withdrawals are enabled after the merge and things like that uh but hopefully that gives you extra context a lot of people ask me about this i just wanted to provide some context there but how cool is it that i mean that's a lot of eth like you know it's funny sometimes people will say oh there's other networks that have like 60 70 percent of their whole value kind of like staked and i do want to stress a couple of things here one all the other networks aren't running ethereum's proof of stake they're either running uh distributed proof of sorry delegated proof of stake which is depos uh which is very different um and also they're worth a lot less like eight percent let's just say sorry eight million eighth right being worth 33 billion dollars i think at the

current prices um is worth much more than some other network that has like a 10 billion dollar total market cap but 80 is is staked right if 80 is staked um then it's 8 billion dollars uh uh whereas 80 for 8th would be much more than that and i actually expect i don't know if eve is going to get to 80 stake or anything like that but i do expect you know once the the merger is done once withdrawals are enabled and all that sort of stuff and once the kind of like unburnt fee revenue is going to stakers instead of going to miners right now i do expect that eatstake to keep kind of crawling up you know it's probably going to settle around 20 or 30 million there are people who have this thesis that all eighth is going to be staked because you'll be

able to get staking derivatives so something like an st token and it just makes logical sense for all if to be staked and everyone just used the um a kind of steak token but i don't think it's going to be all of it all of the eighth for various different reasons uh but and even if it is the majority say it's like seventy percent or eighty percent of eighth it's going to take a very long time to get there i believe so we're gonna have to see how that shakes out but it's still really cool to see that eight million has been staked given that uh it's a one-way bridge right now uh for for most steak i mean there are ways around this you can have you can just go through lighter and you can still get st yes it's not you know validating on your own it's not fully

decentralized anything like that um but you can still do that and there are some exchanges that will offer you instant liquidity as well i mean i think most exchanges do but in terms of like the eth actually being locked in kind of like the deposit contract it's all locked there doesn't matter if they give you if the service provider gives you early liquidity or not so hopefully that gives you a bunch of context around uh this kind of like number here and you know it could only be up only right now in terms of going into the deposit contract in terms of actually being actively staked that can vary as i for the reasons i mentioned but i i'm pretty sure like 99 of the 8 that has ever gone into the deposit contract is is um actively staking right now or is in queue to actively stake i i don't think

there's been that many slashings i don't think there's been that many people kind of i don't even know if there's actually been anyone who has been offline long enough to get down to 22 28 east to get kicked out of the active validator set uh maybe they have i haven't checked but i haven't heard about it so it might be something worth looking into for sure all right a tweet here from jane uh mentioned wong who leaks or maybe works for twitter but leaks a lot of new twitter features uh uh here so she put out a tweet yesterday saying twitter is working on collectibles profile on collectibles profile tab nft view and nft details view so this is twitter just i guess embracing nfts more than what they already have you can see here that there's a collectibles kind of like view when you go to like your profile and you

can kind of see the different i guess collectibles in there there's an ape cryptopunk and you can click in and see you know if it was verified on openc a description uh the creator the properties collection so i guess this is their way of um kind of i guess working around like fakes because people were kind of debating about uh being able to kind of like set a fake nft as your as your profile picture when twitter rolls out are putting nf putting nfts as your profile pictures um natively people saying well you can just fake it if there's no way to i guess um check the authenticity of it well this fixes that right so you can check it there'll probably be a link to like eat the scan or to open c directly or somewhere else or you can actually check if that person actually owns the nft

that they have as their profile picture so cool to see that and it's just generally really cool to see that twitter really is leaning into uh these these kind of features it's i mean it's funny because like they haven't just got it with ethereum they've got it with bitcoin as well i mean they integrated bitcoin for tipping through some custodial lighting network thing uh i'm sure the theorem will be will be coming along those lines as well and they're obviously doing nfts which ethereum is is pretty much a big part of us as well so it's just cool because none of the other social medias have done anything besides reddit they did like a small experiment with um with the donuts and with like the the bricks i think it was for two different subreddits and they've also kind of um said that they're building out a uh i

kind of like scalability solution for that using arbitrary tech but other than that i mean facebook instagram snapchat like any of these other social platforms are not integrating crypto in any way right now i'm sure they're thinking about it like it makes a lot of sense for most of them to do nft stuff like it actually makes total sense for instagram to integrate some nft marketplace where people can just um essentially create nfts out of their their work sell them to people directly and then uh instagram will take a cut from that i'm sure they're looking into that i'm sure they're gonna work on that but they're they're lagging they definitely are on twitter just seems to be embracing it at a much quicker pace and it's not because twitter i guess you know is that much smaller than a lot of these things maybe smaller than

facebook of course but twitter has a lot of users right like hundreds of millions of monthly active users uh and it's been growing like crazy uh over the past couple years everyone used you know i mean not everyone but a lot of people use twitter to keep up with things especially if you're in crypto like you can't be in crypto and not use twitter i know there's bad sides to twitter and it gets annoying at times but generally it's where everyone kind of congregates for better or worse so so yeah it's cool to see twitter leaning into the nft stuff more here so justin drake put out a chart here which he called ultrasound exponential which is basically showing the daily ethereum fee volume over time now actually i'm trying to get like a bigger picture up here for you guys to see i guess it's just the bottom left that's

cut off by my camera but you can basically see that over time the daily ethereum fee uh kind of like volume has only been increasing now uh you know a lot of you watching the refuel the types of people to say oh isn't this bearish because like it's pricing users out because you guys know that we have the layout took a system to scale ethereum i actually think this is incredibly bullish and as i've said before i expect this this is a logarithmic chart but i expect this to go kind of up to a billion dollars daily fee revenue at one point um it's probably not going to be consistent consistently that for quite a while but the trend is up and i don't think there's actually a ceiling here i think that as the kind of like users get more high value as there's more uh kind of like um is

there's more people kind of like playing with the network trying to extract value out of it you're going to get people willing to pay almost the entirety of the economic value that they're extracting out of it as a fee so for example if you need to pay the entire like say you're doing an arbitrage and you need to pay 99 of the profit as a fee you're still going to take that bet because you still get one percent profit at the end of the day and that adds up over time like for arbitrage transactions they're happening all the time so you're more than happy to pay 99 right or close to maybe not 99 maybe if somewhere between 95 and 99 you're very happy to pay that in fees to extract that that one to five percent worth of worth of actual profit from it and this happens all the

time it's not just uh arbitrage it's also front running and sandwich attacks which is part of mev which obviously is is not great it's kind of like toxic but it still happens at the end of the day um and you know just given that and given the fact that there's a lot of actors on the network as such as layer twos that are happy paying whatever fee they need to to get their uh kind of proofs on chain to get their batches of transactions on chain and their data they're gonna be happy to pay that but at the same time this is all just on kind of like one one chain one eth1 chain or one each kind of like shard right now when we do have sharding implemented in probably early 2023 when we have 64 x the capacity especially uh for layer twos you're going to see in

aggregate the transaction fees go much higher but it's not like these l2s are going to be having to pay like 50 000 per batch or something crazy like that they're gonna have much more room to kind of batch on on chain and the fever the fees that they pay may only be a few dollars to start with but the thing is there's going to be lots of these l2 there's going to be lots of these kind of like other actors that take advantage of this extra space and that's going to i guess get this fee volume up even more so i fully believe in the next five years we can see daily fear when you go to a billion dollars and when you think about it that's that's quite crazy because that uh that's that's like what seventy to eighty percent of that is going to be burned right as as eighth

now of course eath could be fifty thousand dollars in five years for example right so um the amount of eat being burned will be less than these today if we had the same kind of like fear revenue in dollars because it's obviously denominated in eighth but i mean the trend is up and i just given the amount of economic value that's on a fear and the amount of economic actors there are there are people playing there especially the fact that like wales don't care about fees at all like uh i've never met a whale that's ever complained about the fee um sometimes you'll see actually remember some people that i know whales have kind of like said you know even as a whale the fees are annoying but it doesn't matter if they're annoying they're still paying them like there are people out there that most people out there that aren't

whales that is both annoying and they're both they're actually priced out as well they actually can't pay these fees and as you guys know we're we're scaling via layer one i sorry layer two i should say and layer one will just be the security and settlement layer and that's totally fine i i think layer twos are already having i mean i'm gonna talk about layer two's growth later on but they're already having such amazing growth given how early we are and i think that layer one um you know all the new users coming in now or most of them are not touching layer one ethereum anymore they go into these layer twos which is exactly what we want and i actually believe that it's good that the fees are high uh because of that as well i mean it means that users don't actually have to ever

go to layer one ethereum so they they don't like for example imagine a new user today coming in and imagine if the layer one fees were low say it was like under five gray or something like that and then they went on layer one they did all their stuff there but then the fees spiked up to 50 way well now that that user may be stuck right or maybe trapped we don't want that for new users at all so the fact that they get to start on layer two uh where everything is just like really really cheap compared to layer one and they're not going to get trapped because those layer 2 scale a lot better and you know in their final form the current l2 is in their final form and this form is final um as the tech currently stands it's not final

long term but in their current forms across all of them we could have four and a half five thousand transactions per second we're not going to hit that any time soon on these on these l2s uh not not on the generalized ones at least the ones that need that much tps but we're going to go um as kind of like a a single app chain something like the odx or something like that uh but uh you know from that perspective i'm really glad that the fees uh i i mean it's funny because like but if i say i'm really glad that the fees are pricing people out of layer one it may sound like i'm really glad that people can't uh um kind of interact with ethereum layer one but i'm really glad that it's happened now so that the you know when we do have kind of like i

guess more of the i mean right now in the early adopter phase when we do have the mass adoption phase happen which hasn't happened yet i i we we will know when it happens but it's not yet but when it does happen i want all those users going to layer two i don't want them getting trapped on layer one i don't want them having to experience high fees or anything like that um and i'm sure none of you do either so that's what i kind of like think about from that perspective as well but let me run from that for now got a bunch of other stuff to get through so uh i guess i should start with this uh no no i should start with this tweet so this week from immutable there's two here that's why i was getting confused between the two but um they announced

that uh official officially uh i'm sorry artists and developers can now officially start launching their own nft drops by using the super farm platform on immutable with zero gas fees 100 carbon neutrality and world-class user experience all powered by immutable x built on starkware secured by ethereum the holy grail guys you know i mean i know immutable x is not a roll-up or zk roll-up it is a volitium but it's still better than kind of like these side-chains and things like that so really really glad to see this really glad to see that people can just like um easily launch their own nft drops now because as i've said plenty of times before nfts are the thing that are going to bring the most people in we need them on the most scalable ecosystems asap we

don't want to wait around and we don't want to push more people to kind of like layer ones because nfcs are actually really expensive on layer one um but yeah really cool to see this and the second thing from immutable is that uh they've processed nearly one million gods unchained nft trades on immutable x uh 885 000 trades exactly average cost of trading uh is 0.018 the average gas fee of trading in nft in gods and chain alone the l2 has saved users 8 838 or 37 million dollars all with each security that's i mean that's insane right like when you really do quantify the numbers around how much gas is being saved by batching up all these transactions on layer twos it is just

crazy it's it's seriously crazy and the thing is is that you guys know that this is part of the modular architecture where we take execution and computation off chain because that just has no um real reason to be on on chain on layer one it's incredibly inefficient to make all nodes throughout the network process these sorts of things and it's incredibly expensive as well as we've seen but just quantifying it and putting actual dollar values towards it and and each values on it is is crazy because i mean 37 million dollars that's what right now that's pretty much what the daily fear revenue is for ethereum and this is just one uh one app so if all of these trades were done on layer one it would have cost 37 million dollars in gas fees now you could argue that these trades would never have even

happened and that's what we mean by layer two is unlocking new economic activity is that there was no way that you would have these trades happen on layer one it doesn't make sense because most of the gods unchained cards are not actually worth that much um you know they may be worth way less than what the gas the gas fees are required to pay so immutable x is actually unlocking this latent economic activity that people have quite literally been priced out of doing which again is is worth to me it's worth even more than than the fees because it means that we are basically creating new value instead of just uh taking the existing value from layer one to layer two and that's what i'm most bullish on about the layer twos is that they're creating new value new economic activity they're not just taking the activity off layer

one and putting it on layer two and that's another reason why i've i've kind of said in the past before that even if most users migrate off of layer 1 to layer 2 it's not going to significantly decrease the gas phase on layer 1 because we're going to both be unlocking new activity and new economic activity and we're also going to be replacing layer one user transactions with layer two roll up trends uh uh transactions such as the proofs and the batches and and the call data uh sorry in the data um and then from that point of view you just can view layer 2s as users but they're much more efficient users they batch their transactions they process them off chain they they do bls signature aggregation on them in order to compress them so from that point of view the layer 2s are just a much better

much more efficient user of ethereum block space than you or i are like we can never be that efficient it's just not um something that we can do we could do it if we started our own layer two but then it doesn't really make economical sense because uh we we'd still have to be paying kind of like those those fees the minimum fees as cool data and it will still be too expensive for individuals but l2s act as i've said before as a user rapper and they're like a super user essentially which which i think is a really cool way to think about it but i'm most bullish on these l2s unlocking new economic activity for ethereum rather than extracting it from layer one i'm putting on layer two some of that will happen but it's more that 90 plus percent of the activity that happens on l2's uh

will be new economic activity i think so speaking of uh layer twos and what i spoke about last week about world coin i did talk about what technology they're using which is the hubble optimistic roll up and in this tweet thread from bar tech he goes through how hubble actually differs from other optimistic roll-ups such as optimism and arbitrary now i have said before that i think there's only going to be two generalized optimistic roll-ups that actually succeed long-term um and i think that those are optimism and arbitrary um of course because i mean there are other teams out there but they're forks like there's um metis nami and bobber network um i i'm not 100 about nami but i know the other two actually just forks of

optimism um and i actually believe that uh that that um nami is as well but uh i'm i'm kind of like uh i mean i'm kind of like bullish on like the non-forks right and and the ones with kind of like more of an ecosystem and more of the apps deploying to them which is what optimism and arbitration have right now but in saying that the hubble optimistic roll-up is actually payments focused so that's why again like as i mentioned last week they can have cheaper fees than the other the other optimistic roll-ups but they also do a bunch of other things as well which you can actually read in this thread from biotech i'm not going to go over this um i want to get through the rest of the stuff i have today but definitely check out this thread i think it's really cool that this is happening i

think it's really cool i mean this is the only thing about world coin that i actually like i actually hate everything else about it as i explained last week um but like the fact that they're using ethereum and they're using optimistic roll-up is cool they're innovating there but uh the rest of world coin yeah leaves you know leaves much to be desired that's for sure all right so another banger post from paulina and this isn't about really modular blockchains here this is about what polynomials calling the transaction quality trilemma and they on twitter they shared the post by saying with low transaction fees we have a transaction quality problem with bots and spam infesting these networks there doesn't seem to be a solution other than increasing fees or is there highly highly recommend giving this post a read

of course but essentially the trilemma is this kind of like triangle and each edge of the triangle you have um censorship resistance low fees and spam you can only have two or three this is kind of similar to the the scalability trilemma so essentially if you have um low fees uh uh you'll have a and spam you can't really have censorship resistance um and and then you know i mean you can pick any two here and then it kind of like makes sense from there um but then in this post polynomial basically goes on to explain like you know what are the networks that have kind of like experiences before what are the trade-offs what can we do to preserve all three is it solvable all that sort of thing all that sort of stuff and they use the example of the polygon pos chain

which as i mentioned i think a couple weeks ago they increased the gas fees on the network to 30 gray now this is way measured as as the matic price not as the eth price so 30 grey for matic price is considerably less than than um in each price because obviously matic is like under two dollars eighth is over four thousand dollars so it doesn't make sense to compare the two um but that was still 30 times higher than before so if your transaction fee was like one tenth of a cent your transaction fee is now three cents right because it's 30 times more more more expensive now the reason that they did this was because of spam there was so much spam on the network because it was just so cheap to transact on it that they had to do something to to kind of like alleviate

this and by increasing the gas price is up this alleviated that now obviously that is not the ideal solution but it is one solution and i actually think it's probably the best solution i've said before that i think there's a sweet spot for fees at the end of the day i i don't think you can have uh basically like transaction fees that are so low that it encourages spam and dos attacks because you get what happened with uh solana the other day right they basically suffered a dos attack where the network went offline for 18 hours because it's just so cheap for for bots to spam the network that they had a flood of like 400 000 transactions during one of these i think it was an nft drop or maybe a i think it was like an ico or an ideo or something like that but they had a flood

of these transactions in and it basically uh adopts the network and kicked and kicked some validators off which made the network kind of like got halt and go offline now the way that they've mitigated that from what from my understanding i don't know if it's currently in place but i think it is is that they actually do a quality of service where they drop transactions that they that they actually suspect as being spam now if you're doing that i mean it's it's kind of subjective right like you can use different heuristics to see what transactions are spam and which are not but at the same time like you're taking i guess i mean this goes this goes beyond the technical stuff now you're you're basically choosing what what transactions get to go into the network or not now um this is obviously not great for censorship resistance because

essentially if your transaction is being dropped because it's suspected of being spam it may not be direct censorship because it's not someone basically saying well i know this transaction isn't really spam but i'm going to drop it anyway and flag it as spam there may be some instances of that but most of the time it's not that um but essentially you're indirectly being censored here and that's not what we want what we want either so there is a happy medium which i think paulina um discussed in here but but still it's there's a trade-off no matter what way you go about it i actually don't think there's a perfect solution here you can have ultra low fees um and not have to a and still and and kind of like have spam or you can have like higher fees uh less spam but a worse user experience because i have to

pay a little bit more fees it's just it's very hard to get all three yeah maybe we'll figure it out in the future but it is definitely uh not easy to do so now layer two's actually have a better uh actually sorry layer two's actually suffer from the same problem as something like a solana where their transactions are like really really really cheap um and you know the layer 2 can fall over as well you can dos this if there's only one sequencer you can dos it and you can send it offline because of the fact that uh you're flooding the the kind of like um the sequence of with transactions because it's just so cheap to do it and they just kind of go offline from there so again you need this healthy balance um and you know another way to do it is

to decentralize the sequences as well i have many people running them but again if they're publicly known you can just dos all of them essentially if you want to so i mean i recommend giving this piece a read but it's another thing to think about and it's actually very important and this is why i've said that i think that layer 1 is fine being expensive because it actually mitigates this completely to dos ethereum right now um by doing like a transaction flood i mean it's stupid expensive you can't even do it like the cheapest transaction you can do on ethereum is a um is it transfer and even that's expensive right now right i think it's like uh i mean last time i checked even it's a few dollars at 50 grey good luck dosing the network by uh by spamming with eighth transactions uh

it's not gonna work because it's just so much um it's so expensive to do and also the network is is conservative because of that because the gas limits lower than what it can be so there's always a happy medium a happy kind of like medium here but the way i would prefer it is that layer one stays i mean i guess like expensive right it stays maximally decentralized and secure and because of that it's expensive to use but we don't we don't we won't suffer from dos attacks we won't start suffer from spam bloat or kind of like a really really bad state bloat and we make it we keep it easy for people to run their own nodes which is critically important in my eyes then we can handle all these kind of like uh uh other stuff at layer two which is just much better a much better

path to go down in my in my kind of view here but when you guys know i'm basically a l2 maximalist at this point so i'm not going to try and convince you further there but going moving on um a bit different a bit of a different kind of like tune here so manifold announced a kind of new service called royalty registry which is uh basically a service to make on-chain royalties really simple so they say here royalties are a big part of the nft ecosystem but they can be confusing and painful to manage and that's what they aim to change with this new service they've collaborated with opencv foundation nifty gateway wearable and super rare to simplify this entire process so what they launched on uh i guess october 23rd last week a set of smart contracts that act as a registry to

manage and look up on-chain royalties and a contract and uh on a contract and per token basis a website that will allow everyone to configure and manage royalty info for all smart contracts and tokens the registry provides a central lookup location along and standardizes the lookup for the myriad of different royalty specs and implementations any market will be able to look up royalties and pay out accordingly this is really cool i mean obviously a big i guess portion of nfts or a big draw of nfts especially for artists or like creators is that they're able to simplify the royalty process and get royalties for their work as well but if there's no standard i guess kind of like royalty process here then what ends up happening is that this just becomes a mess right there's no kind of like uh registry there's no kind of like central

place for you to look up these royalties and things like that so i thought this is a really cool release from manifold here uh onto l2s again so arbitram announced that they now have their permissionless bridging is now open on their arbitrary one network so essentially by default any erc20 token on l1 that isn't registered to a gateway can be permissionlessly bridged to the standard erc20 gateway which is the standard kind of like um i guess l1 bridge for arbitrary in and you can kind of like read more about the technical details here and how this all works but what this really means for i guess like end users is that you don't have to worry about your token not being supported by the gateway or the bridge now everything it can be permissionlessly supported so you can have like any token going from

from anywhere which i think is really really cool all right so another thing that was introduced uh last week is something called sisma or seismo which describes themselves as a way to build up your ethereum profile or your ans with anonymized attestations created from your other accounts so essentially they're using zero knowledge proofs as far as i know here to basically do this uh and i guess like the way it works uh and they've got like a bunch of use cases here but the way it works is that uh seismo issues badges non-transferable nfts to your public ethereum profiles or ens name they are zero knowledge attestations of facts imported from other accounts ethereum accounts as well as twitter or github you can aggregate your reputation with confidentiality to

your public profile this is really cool i mean this is again what i consider web three and how i i said that we're still in the early stages of web 3 but there's a lot of really cool innovations here that are coming especially around ens around signing with ethereum around nfts and zero knowledge proofs and all that sort of stuff and you can see the use cases one of them is accessing a token gated communities privately another one is advocating a defense score like i'm sure some of you have seen like the dj's score before another one is better governance as well so uh in this example uh taking the other community as an example you can mint via seismo a zk badge and avec community member badge corresponding to someone that holds more than 100 are there voted on 10 plus proposals or created a proposal

you can use it on twitter by displaying your eath name on the rba governance forum when proposing or in custom snapshot voting strategies it will prove you have skin in the game and reveal no more than that which in layman's terms is really cool because it basically means that you can prove that you have more than 100 are there but you don't have to have to actually show the address that that 100 rv is on which i think is you know is really really cool it means you can keep your addresses separate but still prove things which which is obviously there's a lot of use cases for so really really cool uh uh thing here from seismo all right finally tvl it's an imperfect metric i've talked about it before how i don't like it to kind of like measure anything other than vanity but still i

put out a tweet today and that it's nice to see it layered two zone ethereum crossed the four billion dollar tvr mark now i got this from l2beat.com one of my favorite websites for tracking all of this growth you can see here that arbitrary still accounts for the majority at 2.47 billion locked dydx is at 955 million so almost a billion there optimism coming in third at 273 million loop ring with 125 million and then the long tail here this is going to keep exploding up in tvl i mean obviously in kind of like fees on the networks as well uh which arbitrary optimism is still hovering around 100 000 every 24 hours uh and and then you've also got like um the transactions on the networks the users they're all trending up like you can go check out the stats

i'm gonna go over them on the next data pump i'm gonna try to do the data pump this weekend i know i've promised that like for so often but i'm going to try and do it do it this weekend but still cool to see this i know a lot of people are going to view this even though i think tvl is an imperfect perfect metric people are going to view this and think that well okay l2's are legit i'm going to go use it i'm going to import i'm going to bridge my assets across or i'm a developer i'm going to deploy my project on you know one of these networks so i think that as a vanity metric it works really well but beyond that eh not really because the tbr is going to go up with the prices going up and if you can see here there's a lot of eth in

in these l2s right now i mean i think if i'm reading this correctly there's a million eighth in these l2s so if eighth goes up ten percent well the tbl is going to go up uh uh probably 10 as well since most of the value is is eighth so from that perspective and that doesn't have to do anything else like the networks don't have to grow in volume in users in transactions it's just purely kind of like a numbers game which is fine but as i said it's an imperfect metric that's why i don't really like using it too often but still cool to see l2s continuing to grow no surprise there of course uh but on that note i'm gonna leave it there 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