CommBank to support crypto, The Merge updates & more - The Daily Gwei Refuel #244 - Ethereum Updates

Transcript

hello everyone and welcome to another episode of the daily gray refuel where recap the latest news is the ethereum ecosystem i'm your host anthony sosano and today's the 3rd of november 2021 all right everyone let's get into it so ens dropped some more details about their token is their ens token that i talked about yesterday they did this because i think some people figured out the token address and figured out kind of like the token distribution and all that sort of stuff so they have just basically dropped the details officially here now the token distribution is basically here it's a 50 to a community treasury uh about 19 to core contributors 0.5 percent or 0.58 to launch launch advisors 1.2 percent of future contributors 1.2 to external

contributors translators 0.05 percent select integrations 2.5 percent keyholders 0.2 percent active discord users 0.12 now you can see pretty much that adds up to 25 for i guess like i guess like a team distribution right uh i think that it's not that bad to be honest um remember i said yesterday that i thought that uh if it was like too high it probably wouldn't be good for the for the down for the governance process of ens but you know seeing it split out like this makes a lot of sense i mean core contributors you can see the numbers at the top there's 11 of them and these are the 11 that have been around for quite a while now um they've pretty much been around since day one a lot of them actually um so yeah i mean as i said yesterday i don't have any

problem with them kind of like getting an allocation here you'll again notice there's no vcs uh which is really really cool to see no investors nothing uh it's just basically team community and the airdrop uh but then you know in the in the kind of like team allocation you can see it broken down here and see all the different um kind of like places that's going to and the people that it's going to so i think this makes a lot of sense i mean to reward people that have contributed value to the protocol over time not just as kind of like registering an ens name but also as uh kind of like working on the you know the ens ecosystem directly and even they're even kind of like giving tokens to the active discord users as well which they're just over 400 i think of them so 0.125

of the token distribution is going to them as well so i you know i i've kind of gone through this before i don't know if i've gone through it on the refuel or on the discord channel but people ask like how do we how do you get an airdrop right like what what can you do to best position yourself for one of these airdrops everything like use the projects join the discord channels be active like all that adds up and even if it doesn't kind of like eventuate into anything um still doing it and still adding value is is worth your time as well i think and getting noticed and kind of like building up a little bit of reputation if you want to work within the ecosystem is also very much worth it uh but yeah as i said like the community treasury is 50 of the allocation with 10

unlocked on day one and 40 vesting over i think four years and also the team contributions i'm pretty sure investing over four years as well um i don't know about the everything other than core contributors but i know that core contributors are vesting over four years and then there's the airdrop which is 25 of the allocation to over 137 000 ethereum addresses now to be eligible for this airdrop you needed to basically have an ens name and you needed to have an ens name with uh reverse record set basically tying your ethereum address to your ens aens name now those aren't the only kind of requirements there's two other requirements oh not requirements there's two other kind of waitings for the airdrop and that's uh how long ago did

you register your ens name and kind of like how uh long into the future have you registered it so in the uh blog post here actually i've opened it up here there's a formula for it so if you scroll down you can see the formula so basically if you want to work out how many tokens that you'll roughly get the formula is 0.27 times the number of days the account has owned at least one ens name so if you had owned uh a name you can check it on basically i checked mine on etherscan under the erc 721 tab on etherscan you can kind of like go back and check how long ago you bought your ans name uh mine was bought i think like over 700 days ago so i just did 700 times 0.27 to get that number then you add

0.067 times the number of days until the expiration of the last name on the account so i've registered my union satellite till 2060 but um it's an eight year cap so basically i just took like eight times you know 365 days took that number come on can't remember what it was i think was over two thousand uh multiplied that by 0.067 and then added it to the previous number that i got and then i'm and then you and then finally you multiply that total by two if the account also has a primary e s name set which is what i described before i think for me it roughly came out to uh 800 tokens or something like that and 800 ens tokens now obviously we don't know what the value is there's a 100 million

uh total supply of tokens but we don't know kind of what the valuation is going to be out of the gate or anything like that i'm not going to speculate too hard but you know given the state of the market and given what we've seen in the past i don't think it's far-fetched to say that ens could achieve a billion dollar valuation this is a fully diluted valuation which would put each token at ten dollars each so that's a pretty you know pretty healthy uh pretty healthy air drop there for longer term ens holders uh but yeah if you want to work out exactly what your airdrop's going to be or at least roughly what it's going to be you can you can check out this formula here so so yeah i think i thought this was really cool i thought that it was cool

that they basically announced this and didn't wait and didn't wait a week to do so but you're still going to have to wait till next week on november 8th to claim your tokens and then you know they'll be trading and everything and it'll be it'll be go from there so just an update there on ens and the token distribution all right so is the cme group is launching micro ether futures on december 6th and what this means is that these futures contracts are sized at one tenth of one ether now why would they do this because with futures contracts you can't buy a kind of like a fraction of them like you can't like with eight obviously you can buy one eight or you can buy like 0.18 or 0.05 eighth with futures contracts you can't buy a fraction you have to buy a whole contract so you know

eighth price is at whatever it's at right now 4 600 uh and by by sizing it at one tenth of one ether the contract size becomes 460 dollars so it just opens it up to more participants within within the kind of um within the uh the futures contracts here uh i think bitcoin this happened with bitcoin as well uh naturally and and i think that uh this just signals further kind of like institutional demand for eth which is really really cool to see and it also feeds into the other thing that was kind of like uh speculated on today or at least kind of like announced today that uh bloomberg their intelligence team basically stipulates that they think that u.s regulators are more likely to approve an ethereum futures based etf than a fund that holds bitcoin directly and then

there's a quote in the article here that says the sec could approve the ethereum fund as early as the first quarter so i i mentioned when bitcoin's etf went live that etf wasn't far behind it i didn't expect it this quickly and this isn't an announcement or anything like that this is just kind of speculation on bloomberg's part but uh you know i i think for them to be making this statement it could come in q1 etf could come in q1 but again it'd probably just be a futures etf it wouldn't be spot based so it's not that big of a deal i don't even think that it would have that too much impact on on ethan kind of like the short term i think in the longer term it'll have a much bigger impact because it just it further institutionalizes eth as an asset so that i think that would

be the most bullish thing and also from a narrative and kind of like uh a marketing point of view but i guess in saying that too it's funny because like bitcoin had its etf go live it pumped up to what 67k and its all-time high then it came back down and ethe is pretty much in price discovery and bitcoin's still not there so when taking that into account you can kind of see that the futures based etf is not really something to kind of like write home about i i feel like a spot etf would be much better but with when it comes to when it comes to eighth we already have so much demand for this asset and so many people buying it and so and and so much kind of like uh uh supply getting locked up and and burnt with one five five nine and

all that good stuff there that i really don't think that it's a critical thing for for either have an etf it's gonna it's gonna happen right don't get me wrong and i'd be happy when it does uh but i just don't think it's a critical thing uh i think eighth is gonna go much further than what it is now i think it's gonna go to 10 000 and beyond uh even if it doesn't get an etf there's there's no doubt in my mind about that but still cool to see that uh bloomberg thinks it could happen as early as a next year so speaking of institutional adoption of crypto this was a big announcement today so the commonwealth bank has announced that they'll be uh they're going to be adding crypto support to their app which offers the ability to buy sell and hold crypto assets directly in the app now

for those who don't know the commonwealth bank is the largest bank in australia uh i've used them for for quite a while now um this is a huge deal for all the australians obviously listening and watching here i think uh they're they're probably the most progressive bank in australia if i had to say and they're the only one with an app that that actually works like mobile app the rest of them are like really uh really bad um but the app is really really nice they seem to be uh they they integrate a lot of these progressive features much much faster than other banks you know um i like it as well because i have instant deposits into uh into a centralized exchange from my bank account um using kind of like combax features so uh but on that note as well i think the

reason why combank is doing this is because of the fact that uh they're probably seeing on their end a lot of their customers sending uh dollars australian dollars to a centralized exchange to buy crypto so they're probably thinking well why don't we just do this directly in-app why are we losing customers why are we losing literal like they're literally leaving money on the table because all they have to do is add um a kind of like crypto trading desk and then offer these services to customers charge a one to two percent fee which is essentially what the centralized exchanges already charge on fiat on fiat buys and they have a massive new kind of like revenue model and then on top of that they can if they want to later on integrate things like uh define crypto lending services all that sort of stuff and i

think they will i've mentioned plenty of times before that i think the banks are pretty much like done fighting crypto they they know that they can't fight it and the ones that are still trying to fight are fighting losing battle and the more progressive ones are just going to integrate with it and just accept that it's an inevitability it's coming uh it's i mean it's already here and there's huge customer demand for it so this was yeah super exciting i think it's due to go live kind of like um as a pilot in the coming weeks and then pretty much go live to everyone in q1 next year you know i don't think they're late to the party here i think this is actually just right on time for banks i think that they're making the move at the right time and being a pioneer i expect

this to keep happening i saw also a news article that uh there was a bank that's taking a 51 stake in a crypto exchange i think it's some i think it's in thailand or something like that so the banks really are feeling the pin shot because as i said they have the data they can see all the money flowing out of their their banks into centralized exchanges and they can see how much money they're living on the table because of that because because really you can do a kind of like extrapolation here and you kind of say to yourself okay let's do some naive math if you know 10 billion dollars has left australian bank accounts and this is probably on the low end to be honest but if 10 billion dollars has left australian bank accounts in the last few years to go into a crypto exchange then

most likely pretty much all of that was used to buy crypto now if it was a one percent fee on that right if if um if if it was one percent take on on just the buy it it goes both ways as well but just say say one percent that's 100 million dollars of revenue just just there and as i said that's on the low side and that's only for a buy uh that's not including kind of like people who like to regularly trade uh the selling coming out the other way and everything like that so they've obviously done a lot of market research here and basically said well this is a massive opportunity we need to do this right now in saying that i'm not sure if they're going to allow kind of like users to withdraw their crypto uh directly from kind of like their their

service it might end up looking like a robin hood kind of thing but at the same time their target audience is not your uri like we already have a centralized exchange account we've already done kyc we already know how to buy crypto their target audience is literally boomers like and i'm talking the actual generational boomers now not not the um the mindset that i was talking about the other day their target is is is the older generations who um one don't care and don't want to set up a centralized exchange because they trust their bank and they don't want to have to go somewhere else with their money two combat will make it a lot easier at the cost of a higher fee for these people to enter and three these people don't care about removing their assets from from the wa and putting it into

their own wallet they're probably never going to do that or at least they're going to do that very far into the future so that's what combat will be able to offer them that these centralized exchanges may not and that's def as i said that's definitely a huge kind of revenue stream for them um but it also opens the door for them supporting other things like defy and crypto based lending and stuff like that later on uh because i mean there's no reason for them not to be able to do that once they've got things up and running and they're gonna do custody services as well of course and they're to be very very secure because they already have great security practices generally when it comes to securing customer funds and they're obviously already fully regulated to do that so yeah i mean i'm i'm really proud that

australia is taking a not like just as a whole like not just with combat but australia seems to be taking a very progressive approach to crypto and he's trying really hard to be be a crypto friendly nation now in saying that the tax situation is still broken as hell like i i the the um the way cryptos tax in australia i disagree with a lot of it i think it is is far too complex i think that it is far too punishing for for investors and i know that there are some kind of like groups trying to change this but uh it feels like we're kind of in two um two kind of like places right now where on the kind of like tech and adoption side of things we're we're progressing really really quickly but on the tax side of things and on the

legislation around that and and maybe even regulations they're moving much slower which is to be expected but still a bit disappointing so but i'm glad people are tackling this um you know i i should probably get more involved with it to be honest maybe uh maybe offer my kind of like guidance to people who need it there but uh generally i i i am very very happy to see this because uh you know i i i don't plan to leave australia i see people kind of like always talking about oh you can go to this country and get like zero percent capital gains tax and and this and that other benefit and i kind of think to myself well okay that's nice right but like there's a catch like moving to certain jurisdictions to just for tax advantages i mean it's there's so much more to to where you live than

just like how much tax you pay at the end of the day unless you're a billionaire and you have like residences and shell companies everywhere i mean and you live where you want but you ha you kind of like move around in order to maximize your or to optimize your kind of like uh your your taxes there it's just not worth it and and and for me i'm just like okay i'll pay the taxes because i love living in australia i have no plans to to leave where i am so i'm very happy to see more of a progressive stance here being taken by not just uh the the corporations such as the banks but also the uh the government the government trying at least listening to feedback about how to improve the regulatory landscape as well as the tax landscape i think the tax landscape is

the most important um in the short term because uh because of the fact that it affects pretty much like everyone regulations fall into that of course but i think that that that that is probably uh a little bit less critical than than the tax situation because of the fact that uh it you know it affects everyone so so yeah still cool to see this uh i hope to see i mean i i will i think we will see the other banks kind of like jump on board here with this uh but combank's being a pioneer like they usually are actually so yeah cool to see all right so another update from danny ryan today finalize number 30. this update quickly covers uh attacks mitigations and timelines attacks being the attacks uh about the proof-of-stake

reorg uh on the beacon chain um the fix and how that fix is being implemented and uh and the fact that this isn't going to delay the merge now you can check out this post for yourself it's very short but essentially what the bulk of this post covers or pretty much all this post covers actually is this paper that was published the other day by a bunch of kind of researchers around an attack vector that they were able to uh discover on the ethereum beacon chain where you could essentially cause the cause a change split from my understanding uh with very little validators i think that you could do it with only maybe 500 validators or something like that under certain scenarios certain conditions in certain scenarios now there is a simple fix for this of course uh it's it's

already kind of like specked out it's already it's already kind of like gonna go on test nets and it's expected to go live early next year and it doesn't require a hard fork this can just be built directly into clients and it is what's called the fork choice rule and it yeah it doesn't require a um a hard fork but it does require it to be in place before the merge happens which is which is fine it's all happening in parallel what i did want to kind of go over over a little bit here is the amount of fun i saw about this as i've said many many times before and i wrote about this in the newsletter yesterday no matter what ethereum does whether it's good or bad if it's going to get fighted and when it's when it's when it's perceived as something like

extremely negative or it's perceived as something that could be used to tear down ethereum's key innovations like proof-of-stake people latch onto it especially people like bitcoin maximalist which i saw i saw a lot of them spreading this around what i want to make clear here is that yes this attack is serious right if exploited it would be bad but we have a fix for it the uh the ethereum ecosystem is very pragmatic about this it was publicly disclosed it's publicly published there no one's kind of like trying to sweep it under the rug or anything like that the the everyone's been working on a fix they they kind of like identified the issue and uh fix is pretty much going to go live early next year that is what's always been special about the ethereum ecosystem and the ethereum

like uh developers and researchers is that they don't just kind of like throw up their hands and say oh well this is like uh this is this is screwed like you know let's give up or they don't just try and sweep it under the rug and say oh yeah okay there's this issue but it's not actually that big of a deal you can see here that danny ryan literally says these are serious attacks with a formal formerly analyzed technically simple mitigation a fix will be rolled out prior to the merge and will not delay merge timelines in just this couple of these couple of sentences danny basically acknowledges the fact that they're serious says that there uh there's a simple mitigation already in place that's uh that's that's already kind of like being worked on and that this fix will be rolled out prior to the

merge and will not lead to the delay in merged timelines so he's not kind of like brushing anything under the under the carpet here he could have literally said oh yeah this exists but like a fix is in place and who cares let's let's all focus on the merge cool triple harvening yolo whatever like he could have easily done that but he's not going to do that like he's not the type of person to do that and neither is he's pretty much any of the core developers and researchers so i think that uh the fud that you see about this whenever you see that stuff coming from people like bitcoinmaximalist don't listen to it like i'm sorry but like literally do not get your information from people like that it's not going to help you in in any situation or any scenario it's biased as hell and i know

like it's ironic me saying that because obviously i'm biased towards ethereum but you know don't just take one person's word for it the way i kind of like gather information and come to like consensus and come to truth on things is that i look at what the smartest people i know are talking about and what the what they're all kind of like um doing research on and doing development on and and kind of like uh uh putting forward ideas on and i collate that all together and then i form an opinion on it this is exactly what happened a few over the last few months with the modular blockchain design uh that was basically you know polly now was the one who kind of like popularized it but that but they weren't the only person i was like uh uh uh listening to i wasn't just

taking what they said at face value i had already known about obviously layer twos and sharding and and kind of like data availability and execution layers and all that sort of stuff i had known about that myself but even then that's two data points myself from all my own research and polynomial then i was seeing um a lot of the core researchers and developers talk about this and and i talked to some of them and we kind of like agree this is an amazing way to to kind of like uh sorry an amazing road map to focus on and then i went back and saw vitalik was obviously talking about the roll-up centric roadmap a long time ago the layer 2 researchers are already talking about this you know people kind of like echoing uh paulina's comments and work so that's how i came to the conclusion that okay

like i'm not crazy i'm not just being like an ethnicity here i'm not just being biased this is actually the best way to design a maximally decentralized secure and scalable blockchain and that seems to be the consensus now like you're even seeing other ecosystems pivot to this now because it is so i mean it's so in your face about like how uh how good this how good this design is and it's just it's impossible to ignore so it's kind of like i apply that to everything and whenever i'm learning anything i apply that because if you don't what ends up happening if you're only getting your news from one source and again i know it's ironic because a lot of you probably get your news about ethereum from me but like don't just rely on me like obviously look at what other people are saying uh you know go go look at

bank list go look at some of the smart people on crypto twitter and reddit and all that sort of stuff but generally i i just i just don't take anything that one person says as true fact i have to i have to go and like look at it um it's kind of like when your teacher told you not to take what wikipedia says as fact even though there's kind of like references go check out the references right cross reference it see what's what's actually true see um the disagreements about it and see kind of like the um the other side of the argument as well and then you can form a consensus or an opinion around it in this day and age too many people form an opinion about something from just one source and it's what actually causes a lot of divide within the world i believe

and and not just within crypto just in the wider world is that too many people get their information from buyers sources and and just trust it blindly which is not a great great way to go about anything really but anyway i'm going to i'm going to end that little rant there but but seriously um there's a fix in place for for this for this attack uh which as i said is serious it's not going to delay the merge uh and you know speaking of the merge as well terence from the pro labs team shared this document today that there's a new merged test net uh kinsugi i hope i said that right coming in november so uh this merge test net will basically uh bring the all the execution and consensus layer clients together uh up there sorry uh together in november up up to spec perform initial

interoperability exercises and build a series of weekly devnets all of this will culminate in the launch of a persistent devnet at the end of november to observe and possibly break through the holidays so this will probably last till until january right like holidays being december maybe early january period and then we'll kind of revisit then this is going to be following the same kind of uh process that they did during amphora which is during that interoperability week or they had the milestone tracker that i went through on the refuel where you have like milestone 0 through 6. i don't know i don't know if there was a six uh i think it was only a five last time so they've added another one here um called their kinsugi a code released uh okay so that's really cool and um yeah so they're gonna basically be

following uh that through there as well so yeah i mean as i've always saying guys the merger is coming we're just working towards that we're we're getting there um and i mean as i said i don't know if there's kind of like there hasn't sorry there hasn't been any hard time lines given yet still i don't believe that there will be for for some some time but i think that from what i can tell on my own personal opinion we're still on track for a q2 release here so we'll have to see how that all shakes out so ribbon finance announced a new product that's coming soon called ribbon treasury which apparently or is supposed to help dow treasuries generate yield on their native assets using covered calls which are option strategies that let people

sell potential upside in exchange for cash today so what daos can essentially do is that they can as ribbon finance uh describes here finally monetize their native assets which sometimes makes up 90 of a down treasury native assets basically being their native token right like for example i believe the index cops treasuries like 80 index tokens or something like that um and then you know selling calls and receiving premiums in stables helps to diversify that treasury so it's essentially a way for the dow to say okay well we have a lot of these tokens and we know people want them so let's kind of like sell these calls and get a premium in stables and kind of like fund ourselves in stables uh and as reuben says here dows are well suited to uh to sell potential upside because they

own so much of that native asset so uh and and then they say enter the ribbon treasury which is a private ribbon vault built specifically for dowels to run covered calls on their native tokens these private vaults are segregated from the main ribbon vaults and runs a custom strategy for each dow depending on their needs so they're currently looking for pilot partners who are keen on allocating some of their native tokens into the ribbon treasury so if that is someone if that is a project that you know or or you're kind of like ahead of that project or working on that project definitely reach out to ribbon here to kind of get involved with this but kind of like my view on this i think it's a cool primitive i think that it makes a lot of sense uh but at the same time

there was a blog post from haaser the other day um i think he co-authored it with someone else i can't remember the other person's name i apologize but it was talking about how doubt treasuries really the assets that they have in there are you know it's kind of a stretch to call them treasury assets because their it's their own native token right for example they printed it for themselves it's not like they acquired it like like they went out there and bought it they basically printed it for themselves allocated it to themselves and now it just sits there and it accrues value based on kind of i guess what the the dow is doing what the the protocol is doing so from that perspective i think that they said it was better to not refer to them as kind of like treasury assets but i think

that's just getting caught up on semantics here there's still assets that are worth money at the end of the day and if you can sell covered calls on them and basically hedge the risk out and get stable coins for it into the treasury uh that's really positive as well because it also helps to bootstrap um an ability for the treasury to uh liquidity provide too because normally these treasuries have like their native token and then they have to sell that native token for the other side if they want to lp for if if the liquidity on their um on their uh on decentralized exchanges is really low it's really hard for them to sell into the asset that they need in order to provide liquidity themselves so this could help with that of course as well um and i think just generally getting more of those tokens out of the treasury and

into the ecosystem is very healthy as well so cool new product here from ribbon finance so just a reminder here the evm equivalence or the ovm 2.0 upgrade is coming to optimistic ethereum in i think it's eight days at a time of recording now so november 11th uh there will be 46 hours of downtime starting at 10 am pst on november 11th i don't the the thing is is that like there's going to be um there's going to be down time here but it's funny because uh uh this is like a layer two right imagine the 46 hours downtime on a layer one it wouldn't work whereas on a layer two it's fine and you know this is such a major upgrade it's basically pretty much like rewriting the whole

thing at optimistic ethereum but once this is done as i mentioned before the optimistic ethereum or or oe is going to be fully evm equivalent not just evm compatible and costs are going to come down considerably i believe as well that they've mentioned before so yeah just a reminder there for everyone i'm definitely looking forward to this and i'm also looking forward to arbitrary nitro going live hopefully sometime this month as well we'll have to see they haven't given a date on that yet but i'm sure it can't be far behind and i'm also excited to see if optimism will finally remove their white list after this upgrade goes live because i want to see people deploying their apps to optimism without having to go through the whitelist process so we'll have to check that out so we have to see what happens there and i hope it happens sooner

rather than later so there was this tweet here from matthew d ferrante today where he said deploying a smallish contract on ethereum right now costs over 2000 usd insane if gas stays anywhere near this level for too long on r1 it'll mean the end of the era of 8th being a platform of ex for experimentation this is a bigger issue than most realize now i don't think this is an issue at all to be honest and it's a bit sad because matthew is one of the smarter people in the ecosystem um he's been a smart contract dev for quite a while he's in auditor as well but you know me and a few of the other people on here i kind of replied saying you know there's l2 solutions there's a polygon pos chain uh you know anti-pro synthesis said the same thing here um you know a couple

other people said uh you know use a test net but you obviously can't use a test net for some things because there's not a lot of live apps on there um but i think that's where something like the polygon pos chain comes in where there's a lot of activity a lot of live apps on there um yes it's less security than something like the ethereum l1 but you get to kind of like deploy a contract for as mihaelo says here two dollars instead of two thousand now this is a kind of like similar uh thing with ethereum l2 like on arbitrary optimism you can do it not for i don't believe it's as cheap as two dollars but it's not very expensive to deploy contracts there and you can experiment with things not so much on optimism yet because they're still the white list but

on arbitrary definitely right there's anyone can deploy on there um and what i kind of like to take issue with is matthew saying that uh it's a big issue that l1 can't be used for experimentation anymore i don't believe that to be the case at all because l1 is not supposed to be used for experimentation anymore it is a sediment layer now like i'm i got to keep spreading that message because it seems that a lot of people still aren't aware of this even people more involved in the ecosystem but this doesn't mean that we've lost the magic of experimentation it's just happening at different layers now which is which is actually really cool because those layers we know are going to be more long-term sustainable in terms of keeping the fees down whereas ethereum l1 there's upgrades coming you know sharding statelessness stuff like that

but that's probably not going to be in place until 2023 so i don't know i don't think this is an issue at all to be honest and i i was a bit disappointed to see this tweet here uh today and you know one other thing that i actually want to to to just bring up and i i i hope that all of you guys actually spread this message far and wide i'm seeing a persistent a very persistent narrative being kind of like peddled by a lot of people these days that this mythical thing called eth2 which by the way the eth2 kind of like terminology has been retired we don't really refer to um the you know uh the the thing that's coming as eth2 we refer to it in kind of like uh not even in phases really we just say you know there's the

merge and then after the merge is just going to be one ethereum and then we're going to have like statelessness and sharding and all these other upgrades coming but i've seen this persistent narrative that this mythical thing called eth2 is going to solve or lower gas fees on ethereum this is not going to happen if people are referring to the merge as being quote unquote eth2 and that lowering gas phase that is so far from the truth that it's totally wrong it's literally completely and utterly wrong the merge does nothing for gas phase like i want to make that very clear it does absolutely nothing it will not affect the gas phase at all what affects gas fees as usual is network demand and the only way that we're going to scale l1 to meet that network demand is through

sharding and through statelessness sharding scales that horizontally scales uh for layer twos specifically with data sharding and statelessness allows us to basically increase the gas limit or the block size which gives us more room for activities but the merge and this mystical mythical eth2 thing that people keep referring to is not going to do anything and i really need help here spreading that message and fighting back against this pervasive narrative because i already know what's going to happen the merge is going to go through fees are going to be exactly the same and then there's going to be all this fud from people saying like oh i was promised eth2 was going to lower gas fees i was promised like it was it would fix everything no no and i really don't want to get to that point because it's going to be a really a really annoying

time to be in ethereum when that happens um so yes if you guys can help me here i'll just spread that message out there and also uh don't don't spread it in like a negative way but just say no you know actually eth2 or the merge or whatever doesn't fix gas fees doesn't lower gas fees but we have this awesome layer two ecosystem that does do so you can go to like l2b.com check all the apps out on board get on there and you'll be able to have like a really awesome and cheap experience and you can also use things like the polygon pos chain an ethereum aligned a line chain there uh but yeah i really need that narrative to die before the merge happens because if it doesn't it's going to be a really shitty time in terms of the narrative and everything

like that but yeah just wanted to kind of point that out there going over time here so just wanted to get through these updates quickly so loop ring have released their long-awaited l2 block explorer so users can now easily pass through loopering l2 blocks and data as well as download or exploit their own transaction data so you can see here it's a nice little a little design block explorer you can search by block transaction or account id and you can go through and click through and see all the swaps and everything happening here as well so really cool to see another l2 block explorer live here and finally on the l2 front l2b now has a way to donate to them so if you've been enjoying l2b as much as i have you can basically go to their website here l2beat.com donate go to their ethereum

address and make a donation i love l2b i use it pretty much every day i love what these these guys are doing not just from tracking the tvl of l2 but all the information that's there and the host of it there's so much really cool educational information on there um that i donated one eighth to them you guys don't have to do that you can donate whatever you can spare but definitely make a donation if you've gotten value out of l2 beat i think it's really really important but on that note that's going to 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