Ethereum roadmap, Uniswap product update and more - The Daily Gwei Refuel #166 - Ethereum Updates

Transcript

hello everyone and welcome to another episode of the daily gray refuel where recap the latest news in the ethereum ecosystem i'm your host anthony sosano and today's the 16th of july 2021 all right everyone the 16th of july that means today is my 29th birthday uh i'm spending my birthday in lockdown unfortunately i had a bunch of weekend plans and then about a day ago or a couple days ago some covert cases started popping up in melbourne where i am and we have gone into a five-day quote-unquote snap lockdown so really sucks because it was the first time i'd planned something in a while to basically just go into the city with my fiance and you know do a bunch of things over there but i am stuck at home and no and eth can't even pump for my birthday so that's that's depressing as well but it's okay uh i i

think you know i've got plenty of stuff to keep entertaining playing some uh some video games and things like that but anyway i'm not gonna bore you with the details there just uh kind of wanted to to mention it there uh and say that obviously i'm gonna keep doing the refuel and everything and my newsletters and stuff like that uh that's not gonna change and i'm probably gonna be more active in the discord because like i'm stuck at home and not be able to do anything else so i definitely joined the discord if you haven't yet there's a lot of great conversations happening in there um but with uh that out of the way i'm gonna move on to the kind of news from the last 24 hours so i think the biggest bit of maybe not news but drama and this is probably going to be a

little bit of a rant not not as much as yesterday's rap but a little bit of a rant um jack the co-founder ceo of twitter and square announced today on tw twitter and he said square is creating a new business joining seller cash app and title focused on building an open developer platform with the sole goal of making it easy to create non-custodial permissionless and decentralized financial services our primary focus is bitcoin its name is tbd uh so to be determined uh its name is not actually tpd um he just described the theory m right i mean i quote tweeted it and said ethereum you're building ethereum now it's no secret that jack is pretty much a bitcoin maximalist he has not really ever kind of like had

said anything positive about ethereum in the past i doubt he even really knows what's going on um within the default ecosystem he's very very focused on bitcoin i mean you can see in his buyer it's just bitcoin here he's been doing a bunch of different things in in that ecosystem and i guess that's fine but it just frustrates me when i see this because it's like instead of going and starting and building your own thing and trying to build on bitcoin which is impossible by the way you cannot build defy on bitcoin you can build it around bitcoin you can build it as kind of like side chains to bitcoin like liquid or something like that but that's a totally different thing um and you can do some limited stuff on on the lightning network but you know the adoption there is is after so many

years is still pitiful so i i don't know what they're gonna do here and i feel like it's just such a missed opportunity for jack to be a bitcoin maximalist because he could be building on ethereum or building with ethereum and doing like so many other things with ethereum and it just it hurts to see this because this is just classic tribalism at play right now the fact that he's so tribal about bitcoin and just has zero interest in ethereum for whatever reason um is just means that he's not like kind of interested in building on it and not putting you know any resources from square or twitter or wherever into ethereum and they don't even support eighth on like the cash app they only have bitcoin on there from from from memory which is it was just it's insane to me it's like it doesn't even make business sense to

do that so i mean it just gets me a little bit frustrated when i see this kind of stuff happening and when people with like money and influence go out of their way to kind of i guess ignore something that they're basically describing like literally non-custodial permissionless and decentralized financial services that is literally defy i mean there's not even any ambiguity here that is exactly what d5 is and instead of kind of like i guess embracing ethereum or kind of like even mentioning ethereum in this tweet thread they essentially just kind of like said their primary focus is bitcoin now i don't know how much of this is just jack's little pet project or if it's got like other bunch of people involved with it i'm sure you know it's not just going to be him building it i'm sure there's going to be other people involved with

it too but yeah i mean as i said it's really disappointing and you can see in the comments like everyone's saying the same thing like chain link god saying so you're recreating ethereum mahalo saying the same thing it's like it's not possible to build this on bitcoin um and it already exists on ethereum of course uh and you know other people like ethereum ethereum ethereum and i'm glad people are calling this out because it it is total kind of crap that um you know uh he's saying this without uh i guess um uh mentioning ethereum even once and he has actually the only time i ever see him talking about ethereum is when he's replying to someone to kind of like throw shade at ethereum when someone says oh you should support ethereum and then jack kind of like says no i i just don't get it and it's so tribal

and you know i know that i can be tribal at times of course obviously i have been in the past but i think that when it starts affecting like business sense and kind of like clouding your judgment of things and you're trying to build things and whatever and you're kind of like not even thinking about ethereum and they're even looking and researching that ecosystem about you know based on what you're trying to build i think it just becomes a pretty big issue now i think it's totally fine that jack maybe he's not even interested in ethereum maybe all he cares about is bitcoin that's fine but from my experience a lot of these people who say that they're only interested in bitcoin they haven't actually done any research into ethereum they they honestly don't even know the surface level stuff about ethereum they've never even used an ethereum wallet

from my experience a lot of these people are i kind of like that so if you are saying i'm only interested in bitcoin not interested in ethereum you know at least go and have a look at what's happening in that ecosystem like personally obviously i've said many times that i'm only really interested in following ethereum but i've looked into other ecosystems i've used all of the other chains at least the popular ones i've tried them i've tried their wallets i've tried to see what they're doing what they're building i've looked into them if they're you know i'm centralized or not if they actually kind of i guess share the same ideals and and and and mission statement that ethereum does and most of them don't i mean i've mentioned before how i'm a fan of things like cosmos which i actually think is a pretty cool design and i

actually think the ethereum layer 2 ecosystem is going to look very similar to what the cosmos ecosystem looks like except a few key architectural differences there uh and you know i really respect the people building on that ecosystem they're definitely in it for the tech and they're definitely trying to innovate um but a lot of the other ecosystems are really just cash grabs at the end of the day and a lot of them aren't going to go anywhere a lot of them are decentralization theater all that sort of stuff but the thing is is that i i feel like a lot of bitcoiners won't even touch ethereum because they just kind of think that ethereum is the same as everything else when in reality i actually think ethereum is essentially what bitcoin should have been and i i you know i'm not afraid to say that because

i think that bitcoin ossified way too soon i think that uh it limited itself way too soon and you know that that was fine for what they want to do i guess and what they want to become but if ethereum didn't exist i think this space would be infinitely more boring if if we didn't have a smart contract platform because bitcoin does one thing and to be fair it does it well and that's b this kind of like uh story value where you can have pretty good confidence that nothing's going to change on it and uh you can just basically buy it and hold it and do whatever and that's what you're into that's fine but you can't really do anything else with it and and you can't even do payments with it i mean as i said the lighting network is still kind of like i mean its adoption is

basically flatlined and i don't see that kind of like skyrocketing at all anytime soon um so you know really all you can do is hold it set it to it send it to each other i guess if you want to but it's it's so slow i mean you have to wait at least 10 minutes for a block uh sometimes it happens fast i mean 10 minutes is just a probabilistic outcome but sometimes you can wait much longer so even just not even looking at ethereum and kind of like digging into it and seeing what it's all about i think it's just a really poor way to go about doing things anyway i'm not going to make this rant as long as yesterday's uh her rent um but i just kind of like was really disappointed when i saw this and i wasn't surprised because i don't expect jack to embrace

ethereum at all at this stage but i was just really disappointed that they basically he basically said the you know this kind of kind of whole thing here without even kind of like alluding to ethereum which is just insane to me because he knows about ethereum he knows about d5 i just think that he's got surface level knowledge of it he thinks that it's probably all a scam or probably all kind of like centralized and he's probably just written it off without even doing research into it and you've seen this play out plenty of times like i'm i'm sure a lot of you have seen this on twitter with other kind of like big name people i mean i remember lynn alden um there was a threat that they did and uh it was about kind of like d5 ethereum and they were learning in that threat

they obviously hadn't done their research yet um and you know everyone was kind of like uh really kind to them and kind of like teaching them and everything like that but you can tell a lot of these hardcore bitcoiners just haven't done their research they haven't looked into it if you had done your research and determined that it wasn't for you and you don't like it that's fine but you can't not like something just on the surface of it you have you have to actually dig down and do research so that's my opinion at least anyway and i think that a lot of people share that opinion but but still unfortunately a lot of people either don't want to can't be bothered have how tribalism gets in the way whatever it is so i'm gonna leave it at that for now i'm gonna move on to some more positive

stuff trent van epps put out an updated ethereum upgrade path a kind of like map here which i thought was really really cool so you can see here i mean most of it you can see on screen i think the bottom left is cut off but essentially what this shows is the journey to full proof of stake to the to the merge and to data sharding which is essentially i guess like the bulk of the um these two's major features now on the bottom left you can't see it on my screen because the camera is blocking it but uh it says december 1st 2020 the beacon chain launched now this is the proof of stake uh kind of like a path here which is in green and then proof of work you can see at the top which is in red and you can see that the deposit contract was

deployed to that proof of work chain which is eth1 obviously in the proof of stake chain is eight two uh august fourth uh london and eip1559 go live uh and then next up after that um you have the altair upgrade on eth2 which is q3 2021 there then the merge and that's when everything merges together and we have a full proof of stake chain there's no more of this kind of like what eth1 is two it's just one ethereum and everything's well and good running proof of stake no more proof of work and then on the right hand side you have uh data sharding which is due late 2020 to early 2023 which i've sp i spoken about a lot before about how layer 2 is going to be able to tap into these shards for extra scalability and then after that i mean i've showed

vitalik's big road map of ethereum upgrades before there's plenty of stuff coming i mean it's not just charting and that's it there's so much stuff coming and and and at the kind of protocol right here i think at the consensus lane execution layer um but it's not on that's not the purpose of this chart i think this chart is mostly just showing the major upgrades chart i mean image is showing its major upgrades uh and the kind of like the journey to the merge so i thought this was really really cool from trent um you know i think there's a bunch of kind of like feedback given in in the comments and things like that from from people and still i noticed a bit more confusion around this as well people like they a lot of people still don't know that uh the merge is when eth1 is gonna

be uh put into eighth two they don't even know when it like they think it's um i actually saw a lot of people saying that they thought it was coming on august 4th with london i don't know how this happens i don't know how this kind of like information asymmetry manages to manifest itself uh to a point where people are that confused about things um obviously they're not listening to the daily way they're not watching the daily way but just generally i just don't know how these narratives spread i mean it's insane to me because i don't see anyone saying on twitter in my kind of bubble that august 4th uh when london goes live that means the merge is live so i don't know where people get this idea and i don't know if they're intentionally being misleading to try and pump the price

i don't think they are i think people are just misinformed and get kind of confused because to be honest when you look at this me looking at this as who i you know who i am like deeply ingrained into your theory maker system i look at this and i'm like yep yep i understand all of that i understand what's happening there blah blah i already knew that if a new person relatively new person who is just getting started with ethereum or essentially have been even been in it for a couple months they look at this and like whoa whoa okay what's going on here i don't understand what's happening here uh what's this merge what's what's this like london thing you know what's the deposit contract all these sorts of stuff what's altair um the e2 upgrade so i i can i can forgive people for that

but at the same time i don't know i just it just seems weird to me that i haven't seen anyone say that august 4th is going to be the merge so why does that kind of like narrative um form and why does that disconnect happen and i think we just need more and more education and and more education in the form of like beginner-friendly stuff i know the refuel episodes are probably for more the the more involved users and people who aren't total beginners because i really do um i guess like go deep into things i don't kind of like stay at the higher level but there's tons of other channels out there i mean i mentioned yesterday justin brams channel that i did a live ama on he does a lot of beginner-friendly stuff there's also defy dad of course but i think they're primarily focused on

defy uh what i think we need and i wish i had more time to do this i've been trying to do it for actually you know many weeks many months now trying to find the time to do it but i wish that we had someone who was covering this sort of stuff in an easy to digest kind of way from a beginner levels thing not like me who dives deep into it from a beginner level thing where they literally make videos and they say okay let's explain the whole kind of let's explain this whole graph base or this image basically and let's explain each part of it in terms of people can understand because i think that would be a very valuable kind of thing for the ecosystem so i mean if you're out there right now you're wondering how to add more value to the ethereum ecosystem that is a

no-brainer absolutely no-brainer just simply start doing beginner videos on things like this you know d5 i think is pretty much saturated at this point we have so many people covering dfi already um but we have hardly anyone covering the actual ethereum protocol development which is just as important in my eyes and you know what it doesn't even have to be the protocol stuff you can start covering other things like dows um nfts like there's so much happening that uh and there's really not enough people doing videos about this sort of stuff and as i said i wish i had more time to do it because i think it's very important but there's a gap there to be filled and if you're looking for ways to get more involved with the ethereum ecosystem i can't think of anything better honestly so maybe one of you guys

watching will take take that kind of offer up and don't worry too much about getting things wrong or anything like that or kind of making errors you can always correct them later but i think that i want to kind of encourage people to do that i think it's really important but anyway i'm going to leave it at that i'll link this in the youtube description you can go check it out um you know check out this image and everything and read the comments as well so i was just speaking about altair which is the first eth2 upgrade or network upgrade um so the devnet one uh that the eth2 researchers developers put together forked from phase zero to altair successfully with all main net clients here so you can see the fork happened at epic 10 not without hiccups yet but finalizing um and you can kind of see it in the

chart here that it all happens so these are essentially like the first kind of like very first test nets that's why they called devnets like developer networks before we go on to i guess testing these kind of like upgrades on test nets and then putting it on mainnet i've gone over the altair upgrade before most of the things changing with altair have got to do with essentially accounting things so basically making it so the penalties are actually at the expected values for um eth2 right now they're actually neutered because they wanted people to get comfortable with eth2 they didn't want them getting punished too much for being offline or being slashed but those levels are coming back up and there's a bunch of other kind of like upgrades coming in efficiency upgrades and a lot of technical stuff happening at the protocol level but that's going to happen as i said

probably after london um it could happen in august probably september or something like that but at the end of the day you know eth2 is still just the beacon chain still just staking there's no user activity on there just yet so a lot of this stuff is probably not something that you really care to keep an eye on unless you're really into the ecosystem but still i think it's cool to kind of like keep an eye on it see how it's going hopefully you know it goes all smoothly i mean and that'll be really cool if it goes smoothly um from i guess like the first kind of uh network upgrade uh on on eth2 so yeah i'm keeping on it for sure and i'll keep you guys updated with it so cad labs on twitter has put together a new open source ethereum economic model

uh implemented using a cad cad created in collaboration with ethereum's robust incentives group so this group's been around for quite a while they have done a bunch of research into things like eip1559 the ethereum uh uh staking kind of like rewards and stuff like that um and basically what this is is essentially similar to what i showed yesterday on the ultrasound money website where you can play around with the different toggles and and see how much easiest stake how much will be burned all that good stuff there but this i think goes a lot deeper so this is modular customizable extensible based on the official alter spec um and an an analysis and online courses available at this github repository here so there's tons of information in here

actually i didn't expect there to be this much but you know you have all of this information here all these um different kind of python scripts and things like that if you're a developer you can jump into that uh this is definitely not for end users this is definitely for developers but it's still good to see that these tools are available uh for us to kind of test our assumptions on the economic side of ethereum i think that the economic side of ethereum is just as important as the technical side and i really do believe that we need more kind of people working on it as i said there's the robust incentives group group out of the ef which is doing a lot of good work there's a lot of independent researchers and and developers doing a lot of good work but essentially uh this is a a pretty

awesome suite i mean you can see this kind of chart they put together here which is basically what you can do it's as i said it was similar to the ultrasound money chart where you can basically set your assumptions and things like that but this chart it goes even deeper and it shows you the uh supply of ether over time at each kind of like point uh from genesis so you had frontier uh which was uh kind of like the genesis block here and then you had homestead and then the the pink pinkish line here shows the the eighth supply uh sorry the the issuance rate percent per year then you can see it went down we have byzantium and then i mean i'm not going to lay more of them all the rest of the the kind of forks here uh and then you can see what happens

when one five five nine goes in uh and then proof of stake goes in and then you can see there's like an inflationary line and a deflationary line and i explained this yesterday how post merge we are definitely going to be deflationary i mean i don't as i said like at current amount of eat steak you only need tengwei to be deflationary as the minimum and i i really do believe that tengwei plus is going to be the norm i mean even during this kind of crab sideways market tengwei has been around about like the average during the quietest parts of it and then it's it's been more like 20 or 30 or 30 lately so we're definitely getting a deflationary eighth post merge i mean i don't see it not happening like that but still uh cool to see these tools out there if you want to go play

around with that i'll link it in the youtube description as i said this is more for developers that know how to play around with python scripts and set up local development environments with things like docker if those words mean nothing to you then you can learn about it of course but if you don't have the time to then this probably isn't um something for you to play around with but this thread still gives you a great overview of what's happening and kind of has a bunch of nice pictures for you to look at as well so definitely go check this out if you haven't already so colby here from uh starkware i think he works at starkware or maybe he's just a big fan of starkware um he announced this thing called star drop today which is an experimental project to distribute rewards in a

private privacy-preserving manner running on starquay's starknet planet's alpha and he says here i wanted to learn what stark net is all about so i created a small i don't know i don't know what this stands for vo prf based protocol that experiments with privacy so i don't think he works for starkey i think he's just a fan um but there's a blog post here explaining what he's done it's very heavy with math and technical jargon so uh obviously if you want to jump into it just just be warned about that uh and just be one that you might get a little bit confused i mean i skimmed through it before and i was like okay yeah i mean this is like going way over my head at this point but i think i'm still going to point it out because what i wanted to talk about was the fact

that i've been talking a lot about privacy lately and how different protocols are coming online with different kind of like privacy tools and the fact that starkware or stark west technology has already being experimented with for privacy stuff uh is really really positive i really like the fact that um that uh more people are focusing on privacy especially at layer two because i think at layer two we actually have like a another chance to essentially um uh get default privacy on ethereum i think layer 1 as i said later on it's not going to be the end user layer i've said that plenty of times in the long run it's going to be you know layer 2 proofs and whales and stuff like that but i i think that layer 2 is obviously going to be the end user layout so if we can do proper privacy at layer 2

i think it's going to be really really important and positive going forward so glad to see someone kind of experimenting with it here but you can go check out the blog post to learn more about it so immutable uh is teasing the projects that are building on immutable x so you can see here uh there's a i guess like a um a a graphic here showing kind of like which uh projects from gaming marketplaces d-file collectibles are building on immutable x there is a ton here i mean there's some big ones like animaka brands uh guild of guardians god's unchained which is a mutable's own game here lucid site then you have collectibles uh there's rtfkt uh uh momentous epics uh the marketplaces i mean open c is going to

be on there token trove uh i mean there's so many kenguin which is huge actually penguin's a very big service and then super farm on d fighter i actually don't know what that is uh maybe it's big maybe it's not i don't think it is if i haven't heard of it uh but still this is a really cool ecosystem as i have mentioned a few times in the past immutable x isn't permissionless yet but they're going permissionless very soon there are layer two built on ethereum using zk roll ups uh and i think that they're going to be the uh i guess roll up of choice or or at least scalability solution of choice for nfts and for gaming and stuff like that alongside polygon i think polygon has a pretty good moat there as well with gaming and nfts they're doing a lot of good stuff there

so really cool to see immutable kind of like i'm getting more and more partners here and i can't wait to see these projects go live because you know if actually infinity's growth is anything to go by this is going to be a massive kind of sector probably probably bigger than d5 no i would say for sure bigger than d5 uh i think gaming appeals to so many more people than than financial services do i think that's okay because i put a tweet out the other day or reply to someone's tweet where i said um nfts in the front uh defy in the back ethereum at the base and that's exactly what it's going to be i think people are going to onboard be on board through nfts they're going to be using d5 without even knowing it and they're going to be using ethereum without even knowing it

which i think is really really cool so i was asked to cover this sushi phantom troop strategic raise here so the trdr is that uh sushi is aiming to raise up to 60 million dollars by selling 25 of the developer treasury um to a bunch of funds and uh community members now there's been a bit of drama around this where essentially they're going to be the people buying it are going to be getting a 20 to 30 percent discount to the 30-day tiwa price of of sushi um and then also uh there's a bunch of like funds uh kind of participating in this as well so you can see here i mean you'll recognize a lot of these names uh like just going into the list

here spartan polychain pantera three ac various capital multi-coin capital you know cms holdings and um the drama is surrounding the fact that people thought that sushi swap was supposed to be a i guess fully community owned platform with no vcs being involved because that's what it originally was it was kind of a reaction to uni swap having a vc heavy kind of like um allocation uh until unisop did their kind of airdrop um uh this because the shop launched before uni swaps airdrop um and then uh now they're kind of it seems like they're kind of going back on it with offering such a large amount of sushi to vcs and they they did say that like 10

million of it of the 60 mil uh 60 million they're going to be selling is allocated to community members but that's like one-sixth of the of the kind of like sale here now there's been a lot of discussion in this thread 123 comments i'm not going to go through them all obviously but there's been a lot of drama kind of surrounding this and people kind of saying this is unfair these vc's are just going to dump the coins when they've done vesting because the investing is where is it here six month cliff followed by 18 month linear investing what that means is that there's a six month lock up after the sale is done so no one can access any of their tokens for six months and then after that there's an 18-month linear vesting which means it would vest on a block-by-block basis over 18 months

the full amount that they're owed and they can claim at any time and sell it anytime they want what they've vested up until that point in time this is quite generous actually one of the more generous generous vesting terms i've seen um but still i mean there's a six month lock up which which is okay i guess but still they're buying it at a 10 20 to 30 discount as well and uh you know people these days don't seem to trust vcs too much or funds too much because they know that a lot of them uh well not a lot of them but like there's some of them that are really in it for themselves the end of the day um and they don't really care too much about um keeping something sustainable and growing it and there's definitely a lot of funds like that but there are a lot of funds

that are very long term aligned and definitely do care about projects and don't want to just like pump and dump projects and stuff like that uh but it's hard to tell at times because there's some funds that will do like a spray and pray approach where they basically invest in everything and they don't really care if they lose out on like 20 different things if one succeeds and they get like a thousand x on that one then that's enough to pay for all the other ones all the other losses that they incurred that's like a traditional vc strategy where it's essentially you know if you have a 10 hit rate you're doing really well because you're essentially making up for all your losses um so there's a lot of that kind of that's been going on i mean that's been going on forever in in vc

uh and then but then p you know i discussed the other day on the refuel how i actually over the index co-op um kind of raised where i said that i thought it was really positive that these kind of like backers were on board because they can provide a lot of strategic um i guess uh stuff to the project such as marketing um business development hiring all that sort of stuff and they can and i think the in the the people and the funds that index card brought on are definitely uh fall into that bucket but it's a fine line it's a fine line between you know how how helpful all these kind of like funds going to be and vc is going to be versus are they just going to buy it and then in six months start dumping it and and that's it sort of thing so um

but as i said i think the real crux of the issue is the fact that people feel betrayed by sushi swaps original mission because of the fact that sushi swap is supposed to be a fully community owned thing and selling to vcs kind of goes against that um so yeah that's kind of like my i guess high level overview of that i mean i haven't read through this whole thread i don't know most of the arguments for and against but i think that uh that's the crux of why people are upset um i'd love to hear your thoughts on this you can comment on the on the video if you want or join the discord channel and discuss this with us there uh but generally yeah i would side with the people saying that this goes against the ethos of what sushi swap is supposed

to be um giving vcs and funds you know 60 million dollars worth of sushi which is a quarter of the develop uh developer treasury uh while that's good for the sushi developer you know um treasury and development team they'll have 60 million dollars um of kind of like i guess stable coins to to play with i think it's probably not bad for the project because a lot of the community will feel hard done by and probably probably exit the community you know you just protest and you say okay well you know this project failed what it was supposed to do i'm kind of getting out of here so you know that might happen might not we'll see what happens this has only been live for about a week now but this as i said there's tons of discussion going on here all right so uni swap labs put out their

first product update here so they said over the past few weeks uh we spoke with traders lps devs and other community members to learn about their experience interacting with uni swap we're excited to share our learnings and improvements in the first of a regular series of updates so they've kind of like put together these blog posts here which you can go check out but they summarize it in this tweet thread where they said to simplify the the process of adding liquidity the pool ui now auto selects the fee tier with the most liquidity advanced lps can manually edit feed tiers but this improvement should help guide new lps to the most active markets so essentially what they're doing is um user research to see how they can improve the uni swap platform what can be better you know what's bad currently and what needs to be changed and all

that sort of stuff i think this is really cool i think more projects need to be doing this especially out in the open and they need to kind of like be doing reports and updates on i guess um how they kind of took that feedback on board and what they did to improve it because it will help other teams do it as well and help other teams avoid making the same mistakes so if you want to read this full post it's uh it'll be linked in the youtube description you can go check it out all right finally here a tweet from frank shapiro from the block who says the total stable coin supply has crested above the 110 billion mark so it's actually still at all-time highs i mean you can see here on the right side of the chart that it kind of like i mean it stopped going

up as fast but it's still trending up and that means that there's new stable coins being minted still now i don't want to say that this means that it me that people are loading up on stable coins to kind of like buy the dip and we're gonna go back into a bull market like really soon and everything like that i think too many people attribute uh things like this to um you know bull market momentum and stuff like that and it's not just this there's a lot of other on-chain metrics i see plenty of people thinking that stable coins going into exchanges means that it's going to buy crypto it's it's not the case like i hate to break it to you but that's not the case because stable coin is going to exchange as like a big amount of stable coins not just like little amounts but like

say a hundred million dollars goes from one exchange to another uh or or goes from like someone's wallet to an exchange that can be going for a number of reasons it doesn't have to be oh okay that's going to exchange so it's gonna market by btc and eth no that's not how it works that could be going to cover a position that they've already taken out that could be going there because they they basically want to um they want to hedge a position or do something with it they want to kind of lend out their assets or whatever they could be doing arbitrage between different exchanges they could be hedging on one exchange and then hedging on another exchange and doing stuff between that i mean there's so many complex complex things that trade uh traders and market makers do i mean they could be

market making too they could just be market making on the stable coin pairs for these kind of assets so when you kind of see these things happening i think take it with a grain of salt these kind of like exchange deposits and withdrawals and even for the volatile assets like people will say oh wow you know ten thousand eight just left in exchange it's bullish because like that eighth is not going to get solved uh hello we have d5 on ethereum that each can go straight into a d5 protocol that that it can get sold straight into decentralized exchanges like i just i feel like um sometimes when i see this it's like people are trying to push a narrative and they're saying okay well maybe if we convince people that this is actually what's happening even though it's not the truth if we can convince enough people that

this is the narrative then maybe we can actually you know pump up the price uh or dump it like the other way around and a perfect example of this is like the gbtc unlock from grayscale where everyone's kind of like shouting from the rooftops oh my god this gbtc unlocks coming it you know all this btc is going to be market dumped and we're going to go to like 20k i think people are pushing a narrative more than kind of like saying what's going to actually happen because no one knows what's going to happen when it unlocks there's no guarantee that that btc is getting market dumped it could go otc it could not be sold at all those people who own that btc could have hedged already and that's the reason why we already went down there's so many things that can happen and i think people taking like the black

and white view of the markets is not the right way to go about it and markets are inherently incredibly complex beasts and you know so much psyops going on as well like people know that people are watching the chain and all these whales know that people are watching the chain so if they want to cause some fud this actually happened a couple months ago where there was a massive kind of bitcoin on-chain movement uh that happened and it turned out it was just an internal transfer within an exchange but the price actually dumped because of that because someone and someone thought that i think it was like a billion dollars so the bitcoin was about to be dumped or at least the market thought that was that was the case and then nothing happened that what ended up happening was that there was an internal transfer done on

an exchange and people kind of like i guess believed that just because everyone was pushing like a narrative around it so when you kind of look at those things you need to kind of take a step back view it objectively and view it with a bit of nuance you can't just take the black and white approach to it at least that's what i think but anyway i'm going to leave it at that i think that's it for today everyone i'm going to go and enjoy the rest of my birthday so thank you 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 next week thanks everyone