ETH fundamentals, dYdX metrics and more - The Daily Gwei Refuel #118​​ - Ethereum Updates

Transcript

hello everyone and welcome to another episode of the daily gray refuel where i recap the latest news in the ethereum ecosystem i'm your host anthony sosano and today's the 11th of may 2021 all right everyone let's get into it so a bit of craziness going on lately right in the crypto kind of markets here and i did want to kind of give an overview and give some thoughts around this because i'm sure you've all seen it by now but essentially it's these dog coins that seem to be going up a lot and even shiba coin is trending right now in australia on twitter which is which is insane but anyway larry cermak from the block put out this tweet for today showing that some of the top pairs on uni swap by volume are these dog coins so you can see here shib

against eath has one billion dollars a volume leash uh eat 212 uh 10 million akita kishu 100 million elon 34 million so you know obviously a lot of volume flowing through these the biggest being shib and you may have seen some tweets i put some out about people putting in like you know basically nothing into these things and making tens of millions of dollars off of them and you know you might think that's not real but it is real it is real like shibb for example was worth basically nothing up until like late last year for some reason it started um it started getting more activity on it and people started buying it but for most i think like for most of it's live i think it started in august um or at least for a lot of its life august until like later last year

uh it sounded like basically no volume was being traded on it and its market cap must have been like super small like i'm talking less than a hundred thousand dollars or something like that today its market cap is like 30 billion dollars fully diluted so you can imagine just chucking in like a hundred dollars back then and holding it to today that obviously turns into a lot of money now there's not a lot of people that did that it's more akin to winning a lottery ticket than investing um there's not you know obviously most people wouldn't have held it until today there would have been like you know even if they made like maybe a hundred thousand dollars something like that really quickly they would have been like oh well i'm gonna sell now this is insane right because it is insane these things don't do anything they are not you know

they're not tied to any kind of like uh d5 protocol they're not money they're not like they're just i mean some of them are actually just scams if i'm just if i'm being honest um but like whenever people ask me about them and a lot of people have asked me about them i said the same thing i always say it's like i'm not going to give you investment advice i'm not going to tell you what to do i'm not going to tell you that you should buy it or not i will say if i think it's a scam or not but even still you know it's funny because in crypto and this is why it's very hard to even kind of tell people what they shouldn't be in because if you say to someone this is a scam so i don't think you should put your money into this right

even though you're not saying it as investment advice you're saying it to protect them well i mean what if it goes like 100x because for some reason scams pump the hardest in crypto and then they're going to come back to you and be like hey man you told me this was a scam but it's up 100x because apparently like a price rise means that the project's no longer a scam which you know doesn't really make sense um but i know a lot of people are kind of like you know their minds are breaking when they look at this sort of stuff and look at the ridiculous gains that some people made and stuff like that like that and yeah it really doesn't make much sense and there's a lot of transactions actually that larry was tweeting about in another thread where people were actually spending more in gas fees

than they were um to buy the token so they might have spent like 100 on gas fees to buy 50 bucks worth of the token because they actually expect the token to go up another 100x so they don't even care that they're spending more on gas fees which is just like what i don't understand uh and it's just it's confusing right um and you know it could also be some some wash trading some spam activity which is really expensive wash trading but if you're like the mastermind of this if if these things are like legit scams and you're the mastermind and you own a lot of the supply uh you can just basically do like a quick calculation and say okay well if i do some wash trading here it's going to cost me x amount of gas fees but how much profit do i make

from the coin going up for example so a lot of this stuff's going on a lot of it definitely makes you question your sanity sometimes and question your own investments and be like well you know we all should have just put 100 bucks into this ship coin like last year and we would have been fine it's like well you could have put 100 into one other thing that you thought was just like a dead coin but you were just gambling on it and then it didn't go up i mean there's a lot of these things there's literally like probably millions at this point of of tokens on ethereum of erc20 tokens that are just dead and no one's interested in them uh i think shib for some reason got a following um i mean i wouldn't say for some reason i think a lot of it's definitely got to

do with dogecoin everyone's doing the relative dogecoin trade and buying other dog coins because of it and then you know when people see that it becomes like a kind of i guess um a self-fulfilling prophecy where everyone's like oh well this dog coin's gonna pump because this other one pumped and it's dog queen season and then you know self-fulfilling prophecy everything gets beat up it's the same for everything it's not just for this like when people say you know defy season and d5 starts going up and people like oh my god it's defy season i gotta buy d5 see what i mean right it just becomes a self-fulfilling thing no one's really buying it based on fundamentals they're buying it because it's quote unquote defy season and because the the prevalent narrative is that it's defy season so narratives play the biggest part in in

kind of like this type of investing and i would say short to medium term long term when i say long term i'm talking years that definitely plays out on a more fundamental level but i mean during bull markets short to medium term is all narratives marketing i mean there's not much fundamentals going on there um you know for most assets like i believe that ethio's definitely getting priced in based on fundamentals but it also has a very very strong narrative behind it right now with erp 1559 and the merger right everyone knows about that now so that narrative is pushing people to buy because they're like holy i have to buy i have to buy because you know one five nine is coming and the merge is coming so you see how like just it it reinforces itself so from that perspective there's no it

doesn't you know it doesn't surprise me that all these dog coins are pumping but there are diminishing returns to this you know the money is not infinite the money runs out eventually the interest runs out you know every new dog coin or every new fork of a dog coin gets less and less people interested and then eventually you have this kind of thing and i don't know if you you guys have seen it but you can google it this thing called the euthanasia roller coaster where it's like a picture of a roller coaster that goes up and it's like a really big loop-de-loop then it's a smaller one and a smaller one and smaller and it gets like smaller over time that's exactly what these dog things are like the biggest one is shib and then the rest of them are just the smaller ones and then eventually get to

the end and then it peters out and people lose interest that's what happened in d5 season two in the first one where all these like scams were popping up all these food farms and things like that and each one that popped up was just like um smaller than the last there was some outliers like sushi and yam um you know but but most of them were pretty small and then it just became like this ridiculous game of like everyone knew it was a game you'd get in farm as much as you can dump it and get out and then eventually everyone clues into the game and the fresh money runs out and you have you know what we had after d5 sum which was a massive d5 bear market and only lasted for about a month but it was still like a brutal kind of drop

i wouldn't even call it a bear market it was just a brutal drop uh so yeah i guess like the the tl diarrhea really or the summary of my points here is that don't look at these things as investments don't compare them to your investments these are casino coins these are not investments these are gambles you do not invest in dog coins on based on anything except your belief that someone is going to invest in it um because of some narrative or some marketing or like the the dog the the dog coin kind of narrative and stuff like that and that brings me to my final point which that i can't which is that i currently believe there's two distinct markets in crypto and this is very different to 2017 i believe um

so the two distinct markets are one you have the casino coins as i like to call them they are literally just gambling coins like most people buying them are either very new to crypto and just throwing like 50 bucks in like just like you would throw 50 at a casino or something put it all in black right they're just doing that in hopes that they're gonna make some money um and then there's other participants including like you know traders and things like that who are just opportunistic in making and trying to make money here which is all well and good um but no one is really investing this there might be some people that like just are very very new to the space completely uneducated and think that these things are investments but i would say most people are literally just like you know gambling

here and the second distinct the second market i would say is the fundamentals based market i would say that there's very few coins and tokens that fall into this i would say that btc and ether obviously the top two i'm not going to say what others i believe they are because um that might be uh considered an investment advice i don't want to say anything about that but obviously defy tokens i think are very valuable and stuff like that but the reason why i say that is because think about it when people take profits from these dog coins right where are they going to go they're going to go to cash or they're going to go to the assets that they actually want to hold and they actually believe in long term and they're actually investments and you know are actually fundamentally sound

those the only two assets that i can think of right now that have the liquidity to support that as well for bigger traders is btc and eth that's why you've seen after every single time that dose coin has pumped ether is also pumped right you can go look at the chart every big dogecoin pump has led to an eath pump and i'm not going to say that it's you know totally correlated but there is a correlation there of money being made and profits rolling into e this is why you see seasons play out and cycles play out once each stops going up i expect d5 to start moving again right we don't know when that's going to be like no one can tell you maybe it's happening right now i saw wi-fi was up today um some some good amount there but it's the same with like btc when btc is really

going up right eth is going up on usd but it is falling on the ratio and the rest of the market is really falling and like all of it's sucking into a btc then the profits flow to ethan to other things uh and right now you know eth has the spotlight so the profits aren't flowing anywhere but eth and and i think that's a distinct market to the casino stuff and i think that these kind of other coins and stuff like that um these these dog coins and stuff they're bringing in more new people than we could ever even get through normal means right dogecoin brought in millions of new people these other dog coins that we're gonna bring in millions more they're going to use uni swap they're going to learn how to set up their meta mask they're going to learn about each

they're going to have to buy each to pay gas fees they're not all going to leave like a lot of them probably don't really care about this stuff and we'll leave but there'll be a decent chunk potentially hundreds of thousands if not millions of people that will stay and do other things not just with their kind of money and not just like gambling or betting on tokens but actually looking into the technology and getting involved in the ecosystem this is really how we attract people in these manias and these bull markets that's how the crypto ecosystem grows so to me you know i'm very curious to see what metamasks numbers are like the next time they do an update because they know that they have five million monthly active users but i wouldn't be surprised to see that double given how many new people are coming

into this ecosystem and installing metamask not just for ethereum based kind of casino coins but also stuff on bsc because there's a lot of that going on there and i'm actually surprised that this didn't take off on bsc but it took off on eth because of the really high gas fees like as i said people are paying these ridiculous gas fees for an investment of fifty dollars so anyway i think i spent enough of the episode talking about all that but i just thought it was very important to kind of go over that because i've been getting a ton of questions about this from people um and and i've been getting like i've been seeing on twitter a lot of confusion around a lot of people's minds literally breaking then they they can't accept this reality and at the end of the day i just look at

it as it's a gamble it's casino it's it's it's like a casino it is not something that i would have ever put money into and held you know up until making that much money and the chances of you finding the right one that pumps that much is very slim right and putting money in at the right time just think about it like just think about why you bought the assets that you hold you a lot of the time you know you buy them because you believe in them fundamentally if you're more of a trader or you want to make some quote-unquote yellow bets then yeah you'll put some into these casino coins but there's so many of them picking the right one is really hard and that's why it's gambling but anyway i'll leave it at that for now i want to move on to some other stuff here um so token

terminal put out an update today they've got a new dashboard for dydx including the latest l2 trading data here so this is great i'm really excited to see this uh dydx actually put out an update yesterday as well going over some some new stats where they've got almost a billion dollars in volume traded since launch 151 000 trade settled 21 million dollars in open interest uh almost 10 000 unique users and 28 mil tbl with 10 market markets launched and more coming soon really bullish for layer 2 here really really liking that but i think why i'm interested in token terminal's dashboard here is that i get to have some real-time tracking of all these data because diy dx didn't have a dashboard like this before and i was just going to the

website and checking out um the volume manually which was kind of annoying but now they do token terminal is great by the way if you're not using it i highly recommend going and checking it out they have a bunch of fundamental metrics for different cryptos especially d5 tokens and things like that they measure things based on profits to earnings or profits to sales ratios and kind of show you what's undervalued versus what's overvalued um just based on fundamentals alone so definitely go check token terminal out but really really uh glad they released this dashboard this is going to make my life so much easier and and make it much easier for me to track these things and present the information to you guys so thank you to tokyo terminal for that one so i put out this tweet today with a with a table saying y'all aren't ready

for a 2.1 million dollar eighth now this table comes from a spreadsheet that justin drake put together here called valuing eighth now what this basically does is it takes um the long term fees assumes a fee burned percentage right at each at age kind of like interval here um you know takes in the long term eat supply the pa ratio um and the monetary premium factor and gives it price now i think 2.1 million dollars is the most optimistic case for eth it's if everything goes right and it's if it has a monetary premium factor of 16 which is quite high i'm pretty sure he's just multiplying this number by 16 yeah he is so if we just look at this chart though and we

actually see kind of like the best guess section here right long term daily evm fees of 100 million dollars we've had that over the last 24 hours so we've already got that right now this is average fees i think we're gonna get there i mean i've said before i think we're gonna get to billions of dollars in fees one day but i think we're gonna get there 70 percent fee burn right um uh which is like an assumed fee burn which i think is the widely agreed upon um feedback percentage so we're pretty safe there long-term eat supply of a hundred million at the moment it's 115 million or something like that so it's it's saying that like as long as we're getting the supply down to that much by burning lots of fees um then it's gonna get to 100 million here the p e ratio of 50 so basically um

measuring ethereum's price to earnings ratio here and a monetary premium factor of four so that would give a long-term evaluation without a monetary premium of 13k but a long-term evaluation with a monetary premium of 51k now i actually think the monetary premium is bigger than four here i would actually say it's a lot bigger than that um simply because these things as i said just before are valued a lot on narratives beliefs um and kind of like shared shared narratives especially too and kind of hype and and all that sort of stuff and ethe is not only going to get value from its i guess like fee burn it's going to be locked in staking it's going to be d5 it's going to be all this good stuff

right so i would factor that all into a monetary premium factor and i would probably change this to at least 10 or something like that so if i change that to 10 and apply that to this that would get a price the target of 130 000 here and i've said before that i believe is going to 100 000 plus based on everything that i just mentioned so i don't think it's too far-fetched to say that right um so i think yeah this best guess works for all of all of kind of these in these rows but i would change this to 10. i can't edit this sheet um but basically it would mean 130 here now people might be wondering you know how can this fee revenue sustain itself well i've explained it before on the refuel and i've talked about how the fee revenue in the future is just

going to be paid by layer twos and whales it's not going to be paid by end users end users are gonna have like a blissful time on layer two you know near free transactions instant transactions it's all going to be well and good but layer 2 still wants to pay ethereum for its security which it will be doing and we'll be happy to pay you know millions of dollars for and lots of people will be happy to pay millions of dollars if they're making money from the network as well there's lots of whales and and even like doesn't have to be whales right i mean as i said we're already at 100 million dollars over the last 24 hours but that is obviously not long-term sustainable but if you average it out and kind of say okay well some days would be 20 uh sorry some days will be

50 mil some days will be 100 you know some days will be higher and things like that we can get to a point where i do believe truly believe one day we can get to a point that there's billions of dollars of revenue but if we're just taking like a conservative guess here of 100 million um dollars which i actually think is conservative he's got he's got columns here where he says this is conservative but i don't think that is 25 million is basically the baseline fee revenue these days even when their fees were cheaper um like at like even 30 40 grey we're still doing like 15 20 million so you know that i think is is probably um just baseline there uh and as i said we've done 100 mil over the last 24 hours so yeah if we take all those into

into account and this is just based on fee burn and with a monetary premium factor of 10 because you want to factor in its use as collateral and d5 and it's staking use and all that good stuff you get 230 000 just based on this and i think it's going to go higher than that in the long term you know if ethereum takes over the world it's definitely going to be higher than that i i do think that i know it's a bit risky to say this but i do think that long term long long term like 10 years plus i'm not saying it's going to happen soon but 10 years plus 8th could get to a 1 million plus price just based on all this stuff that's going on with it and stuff that we can't even foresee so from that perspective this is one of

the major reasons why i'm not selling my eighth but i did discuss yesterday about how not everyone should do that you should take profits when you need to take profits and want to take them do not wait for a one million dollar eighth do not wait for a hundred thousand dollar eighth because it's going to be a long term thing it is not going to be a short term thing and you know we're going to have bear markets in between it's it's not you know it and it's not even guaranteed it's just like my best guess and you know my kind of like sorry best guess based on the fundamentals and based on a lot of assumptions too i'm assuming a lot of things here even though i believe in them they're still assumptions and they can still not play out i'm assuming that daily fee revenue is going to be in the

billions of dollars i'm assuming that ethereum is going to be the backbone of the entire financial system and i'm assuming that um that the the network is actually going to be in demand that much right and it's actually going to be used by that many people so yeah i'll leave it at that for now but really cool spreadsheet which i'll link in the youtube description you can go check it out for yourself there actually you know i'm not living in at that apparently i had this tweet here that i wanted to go over so i basically saw these kind of like almost 100 million dollars worth of fees over the last 24 hours and i'm like okay if 1559 was active how much ether would we have burned over the last 24 hours well we would have burnt 16 100 eat which is

63 million dollars worth uh if we assume a 70 fee burn over the last 24 hours that's a ton of eth right the current uh issuance rate is four point five percent to miners this would annualize to a five percent annual burn as state dot eth um says here this is insane right because and it's not going to always be like this for the for now i mean maybe in the future it is where we do 100 million dollars in feedback on your day but the current eq insurance rate is 4.5 and post merge it is 0.5 percent even if it goes up to 1 that's whatever so if we annualize it out and we have five percent fee burn each year um and we have

one percent issuance um and that's actually the one percent issuance requires a lot of eighth to be staked for us to get there so if we have that we are net uh deflationary uh four percent so we're burning four percent more than we sorry we're issuing one percent we're burning five percent which means we're negative four percent you know deflationary this is ultrasound money that's insane that's truly insane like these numbers always surprise me i always think to myself like where did 100 million dollars come from to pay the fees right because not only are these people paying the fees they are also buying something or doing something or doing some transaction of value on the network whether that's buying a dog coin or doing like uh or liquidating a position or opening a new position or

taking a loan or putting like or lping or taking out whatever all this stuff is going on now just imagine that getting burned every day that's that's just ridiculous right this is why i think that if all of these assumptions hold and everything that i just went through while going over that spreadsheet hold it is not crazy to say that is going to 100k plus and it is not crazy to say it could go to a million plus one day if all these things pan out because this is seriously just based on fundamental value drivers this isn't even based on speculative stuff um monetary premium does have an element of speculation in there but i would say that uh that definitely um can get trumped by the fundamental stuff and is what drives a lot of that

speculative narrative is the that kind of uh those fundamental narratives of 1559 and the merge and staking and all that good stuff and i'm not even including here the fact that if 30 of the fees go to stakers the staking apy is going to be really high as well which just encourages more people to stake which encourages more eth to be locked up i mean where's the eighth going to be like how much is it really gonna be for people to buy once all this happens um but yeah i'm gonna leave it at that i've spoken about price a lot on on this on today's refuel but that's like you're basically you're um i guess monthly dose of opium that's a lot of opium there but uh i think um when you when when this starts kicking in

and one five five nine is live and we're actually burning this instead of me saying if it was live we would burn this it's gonna hit people and it's gonna hit people hard i think i'm gonna be tweeting about it all the time like just fair warning so um yeah but moving on from that for now so an interesting tweet from james wang today where he basically said sushi swap has returned more cash to token holders in its one year history than amazon has returned cash to shareholders in its 27 year history now while this comparison is fun and while it works to kind of like feed into the d5 narrative i think that we have to kind of put some nuance here amazon doesn't return cash to its shareholders because it reinvests all that money into

its ecosystem to grow the amazon ecosystem and grow the value of the business which obviously grows the share price if you go look at the amazon share price i don't think shareholders care about not getting cash or not getting a yield or not getting a dividend on their shares they are very happy holding amazon shares if they've been holding it for 10 years they're doing very well right but what i think this speaks to is what i wrote about in the daily grade newsletter today about efficient markets and how the entire crypto ecosystem is an incredibly inefficient market and i've spoken about this before but a clear example of this when it comes to d5 is not particularly sushi swap i think that's one example but like an obvious and clear example is make a doubt

maker has pure protocol revenue so 150 million dollars annualized going most most of that going to buy and burn mkr tokens now the mkr price if you look at the chart stayed flat for a very long time for some reason investors just ignored it right most people just ignored it it stayed flat against usd and it created against eth for for a long time even though the fundamentals were right in everyone's faces and everyone that i knew was saying holy crap like how is mkr so undervalued this is ridiculous it is a staple of defy it is the number one default app the die supply keeps growing the fee revenue the protocol revenue keeps growing and it's actually going to token holders it's not like uni swap fee revenue that

gets generated but it goes to liquidity providers it doesn't go to token holders right it doesn't go to uni token holders so i would say unit swap is more like amazon where it doesn't return any kind of um cash to token holders but um they are definitely reinvesting their war chest into certain things not as much as they should be but they are very investing it and they're still building it out and they're still driving value to uni swap so from that point of view from like an efficient market point of view i think that uh the markets in crypto are just not efficient at all there is so much alpha to be had you can basically buy things and if you have conviction on them and you've done your research um years ahead of people actually pricing it in and the clearest and best example

of that is eth i went through it the other day or yesterday actually on my piece where i wrote about each one to eth2 merge dropping that issuance less than one percent i've spoken about how eip1559 was known since april of 2019 and that was pure public alpha that you could have had access to if you had just gone looking for it if you weren't around then fair enough but if you were in the ecosystem and you missed that i mean you can only blame yourself really but um or maybe you act you just didn't come across it you know sometimes that happens but on that note i would say that you had ample opportunity to buy eth between one and three hundred dollars with the knowledge of all this stuff and with the knowledge of d5 coming

and growing and things like that but on that note i would say that picking the alpha and finding the alpha is just one step it's just one part of the journey you need to have the conviction and you need to have the belief and you need to have the diamond hands to hold and to hold on for dear life huddle right because i'll give you a clear example here of something that can go orey the end of 2018 i bought eth what was it i bought ten thousand dollars aud worth of eth at 220 bucks us so i put 10k in and at the time that's all i had left to put in i was like i think 220 is the bottom you know we just came off a massive kind of crash and it kind of settled around there

i was like yeah that's the bottom then eighth dump to 80 bucks like two months later um and actually i believe as soon as i bought it dumped and it kept dumping after that i wasn't back in clear profit until july of 2021 in terms of like actually well above 220 i think if i'm remembering correctly so what caused me to hold and to keep stacking i stacked through 2019 as well and 2020 but what caused that was my conviction and belief and my understanding of ethereum's fundamentals um because if you don't have that it doesn't matter how much alpha you found if you sell because the market is being inefficient and hasn't priced it in yet and then a year later the thing goes 10x

well it doesn't really matter because you missed out on that right so this is why investing is really hard right generally like in a bull market i mean sure you can put money into anything and things are going to go up and or maybe not anything but most things but truly investing like actually investing and actually making like life-changing money is investing in the things that people ignore but still have the very strong fundamentals right the things that are underpriced or not priced correctly relative to the rest of the market a lot of that is done during bear markets the opportunities of a lifetime are done during drink bear markets i mean you had so much time as i said to buy between 100 and 300 if you put all your money that you could spare into that you'd be very happy today if you bought it 100 you'd be up

40 x right if you bought it 300 you'd still be up a a a lot there um you know a 15 x or something like that so and that you know ether isn't the only one there's a lot of d5 stuff as well you know i mean ave like in early 2019 was like five to ten million dollar market cap um now it's like five billion and you made a thousand x if you bought it five million um but yeah i'll leave it at that for now um i think i'm gonna go over time here if i go on too much longer i just thought that was something to to kind of talk about as well i know this this episode's actually been very heavy on the price of fundamental side but i think it's important during this current bull market to kind of keep

your head on you know know the difference between like a gamble or a bet and an investment um and you know kind of like size accordingly based on that sort of stuff as well but again not investment advice just general advice for what i kind of like follow and what i do everyone's situation is different so definitely only do things for your own situation don't do things just because other people are doing them don't compare yourself to other people because at the end of the day if your friend makes you know a million bucks or something how does that affect your life at all unless they're going to give you some money maybe they're a really nice friend but in general that friend's not gonna buy a house for you right that friend's not gonna pay your mortgage that friend's money's not gonna buy you a car whatever

um you know or it doesn't have to be a friend just to be someone you know so there's no point comparing yourself to someone else and i think a lot of people do that and they kind of make bad investment decisions based on that too but anyway i'll leave it at that for now so there was this project i saw yesterday uh they kind of flew under the radar a bit um called magnet so they're beta launched um and what essentially what magnet is it's a workflow tool that makes it easy i mean as i describe it here it makes it easy for a nurse's safe multisig to create and view compensation packages which means you can invest via yearn vesting escrow you can stream via sablia or you can give grant bonuses buy a y gift so what magnet is essentially doing as the name suggests

it's pulling together all of these kind of services for contributors now i use uh sablier for a lot of different things i get paid out sablier tokens and stablio streams and things like that and i know it's kind of hard to manage in the same era um in this sorry i know managed sablier and your own escrow and y gift you know all across um the ecosystem and kind of like you don't have like one kind of inbuilt thing and you don't have an integration with nurse's safe multisig some other time as well so that's what magnet does here brings it all together under one hand one under one umbrella here and makes it really easy for contributors to to kind of get started here and you know i just saw a comment here um it looks like the domino's logo it does

it's even got the red and blue in the right places um that's funny but anyway go check this out if you're someone who you know does a lot of this stuff whether you're a receiver or a mentor or sender of different streams definitely go check out magnet here so sam on twitter put out this interesting tweet thread and i'll just read the first tweet here he basically said if ethereum accomplishes its mission of becoming the base layer of all all the value transactions it wouldn't be surprising that it would lead to wealth transfer at the magnitude and speed that we haven't ever witnessed so again this is really price heavy episode but i think this is important what i get from this and what i was talking to a friend about earlier today

is that this wealth transfer is happening because people don't even know what's happening think about how many people have no idea about crypto still about ethereum about the gains that are happening about d5 about all this stuff a lot of them are the people that already have the wealth and i've discussed this before the boomers right boomers have a lot of wealth you can see this in all the metrics they have most of the wealth they have no idea all of this is going on so by the time this wealth transfers from them to the younger people they're not going and by the time it's done and by the time they realize that it's going to be too late all of it's going to be done and they're going to be like where did all my assets go like where did all the um where did all the money

go like why did all these people make so much money and my kind of like share is is less and it's because younger people generally are more open to new technologies right much more open understand them natively because they grew up with it and are much more comfortable investing in these things directly rather than going to a brokerage firm must you know and they're much more um much less risk-averse because obviously when you get all done you have wealth you want to protect it so you go into wealth preservation rather than wealth accumulation young people are in wealth accumulation mode for like 10 years from 20 to 30 at least and i think well into their 30s um depending on the situation if you have kids in a family and stuff you have to be you know more conservative and on all that as i said depends on your personal

situation but i think to to sem's point here about this being um a very very quick quick uh very quick wealth transfer it will it already is i mean think about how many new millionaires you know deca millionaires and billionaires even that have been minted from crypto at this stage that are going to reinvest this money into uh into places and things that they want to see happen like i saw a tweet from amin today talking about his eighth billionaire friends um looking into life extension research and wanting to accelerate that vitalik's already done that he donated 10 million to a life extension research facility a couple years ago and i'm sure he has other donations and funding stuff that he's done there but that's the kind of stuff that people that are young are interested in they

want to extend their life right as much as they can um and things like that they want to fund world-changing tech they want to fund like all these sorts of things they want to fund space related stuff so when you think about that wealth transfers are not only good for people that you know obviously you know some people want to buy lambos and things like that but wealth transfers are society transfers they are society i guess paradigm shifts it's when you basically go from because you know he who controls the wealth controls the universe because essentially the things that get funded and the things that get built and the things they get research and developed are heavily reliant on massive funding and when the young people don't have the money they can't fund the things that they want to to see happen so by and they can't

affect change through that so by transferring the wealth to the younger people they can affect change and make the world and molded into their vision rather than the vision of generations that have gone past and are really happy with things not changing too much because they're either retired they're just enjoying their retired life and they don't really care about changing things too much they want things to say to to stay conservative whereas the younger people are starry-eyed big dreams dreaming bigger dreams as i like to say uh so they're definitely more interested in uh in doing that sort of stuff but anyway i'll leave it at that for now i want to go over the last announcement here from alchemix who announced today that they're going to be integrating chain link oracles for the upcoming releases of their

al eth al btc um a al and al usd as well so this is really cool i think uh chain link obviously is the best oracle provider on ethereum and you know pretty much any of your network at this stage and i think you know the more oracles the better so kudos to mix well as i've said before one of my favorite projects in this space uh integrating with chain link here i really like that and definitely they get a lot of support from the from obviously the chandler community and the wider d5 community for doing this as chain link secures a lot of d5 as well so that's it for today's episode thank you again everyone for listening and watching be sure to subscribe to the channel if you haven't yet give that video a thumbs up subscribe to the newsletter join the discord channel and i'll catch you all

tomorrow thanks everyone