Optimism live, YFI drama, Charm on mainnet and more - The Daily Gwei Refuel #37 - 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 sasano and today is the 18th of january 2021 all right everyone let's recap the news from the weekend there is a lot to get through today so i'm just going to jump right into it so the biggest news i think was that optimism is finally live on the ethereum main net in a soft launch capacity they're calling it so i mean i've been speaking about this for quite a while optimism optimism is building uh optimistic roll-ups a layer 2 technology on top of ethereum uh they have been building for quite a while now and yeah they launched their soft mainnet now what this means is basically you know it's on main net you know you

can use it and all that sort of good stuff but there's a lot of uh different kind of defense mechanisms that put in place uh for safety reasons so basically it's not the full and final and finished product yet but it is on main net but there are three main defense lays that they've put in place basically it's currently permissioned contract deployment so it's not you know it's like anyone can just deploy a contract to the optimism network at this point in time you basically have to get permission from the team uh there's authenticated withdrawals so basically uh they have uh they have a check that allows them to investigate pending withdrawals and stop misbehavior before it hits layer one so i mean this means that they can basically you know

stop a withdrawal from happening altogether if they suspect that it's it's not a proper withdrawal and the third one is basically an upgrade key or an admin key uh that lets them basically control uh most of the most of the network and what happens on there now as i said these have been put in for safety reasons and i um i'm fully in support of this right you this stuff is on mainnet but it's not ready to like host every app out there sort of thing but it is ready to host one app which is a synthetics so synthetic staking is now live on the optimistic ethereum layer 2. uh this is the first app that's that's live on optimistic ethereum if you have snx tokens and if you've been staking you'll know what it kind of feels like and kind of like

how on layer one the fees have been very high so you can now do this using the layer two interface and there's a kind of like i'm a whole migration process here and you can read this post to learn how to do it there's a new interface you can go to that looks very spiffy actually i really like the look of it um so yeah you can migrate across here and uh there are a bunch of rewards being paid out and things like that as well for doing so in snx so yeah i'm sure if you're an snx holder you already saw this but for anyone who kind of hasn't yeah you can go read this but yeah this is i guess i think this marks like the the dawn or at least like the age of layer two on ethereum you know obviously i've been talking about

loopering a lot and they've been leading the charge here definitely um and you know other teams as well with with zk roll ups and other kind of things but you know for better or worse optimistic ethereum and optimism have been hyped more than anything else i think and they get more attention than anything else uh the optimism team is full of ethereum ogs literally like og ogs that have been around for for a very long time so obviously a lot of people in the community want to see them succeed um and and they've got a lot of popularity because of that now uh they're live you know zk roll ups are live with diversifier loop ring you know we had zk sync with uh with curves test net we also have it on git coin now we have optimism live uh with optimistic ethereum

and synthetics is live on there so i mean it's all happening right and it's only january i mean this was released on the 16th of january you know today's only the 18th we're still in the first month of this year and uh we haven't seen anything yet i don't think i think there's going to be tons more coming here on the layer 2 front optimistic ethereum i think they hope to get to like a full main net um you know like not just a soft main net by mid gr uh and synthetics obviously wants to be a part of that i think we're gonna see a uni swap uh layer two on optimism sooner rather than later chain link i've spoken about is also going there obviously you need oracles at layer 2 as well so yeah chain link is a no-brainer to get up there

dydx is coming to with their starkware implementation i mean pretty much everyone's going to move to layer 2 at this point um anyone that requires kind of like this massive scale so yeah i am looking forward to that playing out but if you want to play with it right now you can you just have to go to synthetics the staking interface which is found in this blog post here which i'll link in the youtube description uh even if you don't have snx maybe just buy like you know one so you could kind of like play around with that um you know the gas fees getting onto layer 2 is still kind of expensive but if you just want to have a play around with it you can i think there might be a test net as well implementation of this where you can play around with it for free

uh but yeah there's nothing better than just like experiencing it yourself even even if it costs you a little bit of money you're paying for the experience i guess you could say so definitely go check that out so uh ben edgington uh for those who don't know ben he works on ethereum 2.0 at consensus um on the tekku e2 client or teku i think that's how you say it and he writes the best eth2 newsletter in the industry if you want to know what's going on with eth2 you read this newsletter and it's available at eth2.news so basically uh i mean the reason i'm bringing it up now is because he posted the first newsletter of 2021 over the weekend which has a lot of goodies in it so as i said

if you want to deep dive on everything that's happening in eth2 from you know updates on i guess like the beacon chain new research kind of like even even things like linking to to other people's blog posts and stuff like that and explaining different things media i mean he's got everything here it's actually very very impressive how about how much he actually come manages to come across i mean i obviously do the daily refuel i do the newsletter i do the ether newsletter and i still miss things um got to do with eth2 whereas ben seems very very on top of it uh he definitely has a secret sauce that he hasn't hasn't um hasn't shared that allows him to stay on top of all these things but i mean yeah i i pull a lot of the information that i know and how i keep up to date with eth from

this newsletter it has been my bread and butter for a long time and if you're interested in keeping up with eth2 you can go check this out i don't think you can subscribe to it i think you can subscribe to it via rss feed but not like as a traditional kind of subscription to your email or something like that uh but you know i if you follow him on twitter you'll see it on there uh he's a great follow too always retweeting and tweeting about eth2 stuff so yeah definitely go check this out if you haven't already so one of the big things over the weekend was this kind of i guess you could call it drama or a bit of a split with the the yearn community over i guess developer funding i guess is like the umbrella that falls on all these debates

so basically i'll give a bit of a background of how yearn kind of has been developing how have how they've been paying developers in the past and how they kind of plan to do it in the future and i wrote about this more in depth in the delegate newsletter you can go check that out but i'll just give like a summary here so basically there's a vault that collects fees that are generated by the urn protocol now up to 500 000 of those fees so you know it'll fill up to 500 000 that is reserved for the core developers now anything after that traditionally went to people who staked their wi-fi tokens in the governance contract so that was you know basically dividends right so that 500 000 isn't very much and and the the thing is is that i mean

that when you think about like the the the talent that needs to be recruited to work on this kind of protocol stuff to keep driving new features to do all the different things not just developers but like marketing business development all this sort of stuff right um you know a senior smart contract engineer can can fetch 200 000 plus usd uh a year so you know when you think about it it wasn't very it wasn't very much for the developers and on top of that the core developers don't have any alignment with the wi-fi token price going up because they don't have any right wi-fi token was launched in like a quote-unquote fair launch way where there was no developer you know allocation there was no primo no vc stuff right but that means that you know the people

building this stuff don't have the upside who the people who have the upside are the ones who maybe bought a long time ago right or are speculating on the markets and you know the wi-fi price goes up it benefits them but it doesn't actually benefit the core developers at all so what ended up happening is that there was two separate proposals put out of how to fix this issue the first proposal was called buyback and build now what this proposal said was that they would shut off the um kind of staking of wi-fi within the governance contract so there would be no more dividends to people staking their wi-fi tokens and all the fees generated by the protocol would go towards buying back wi-fi from the market and paying it out to developers to you know i guess operational expenses to do better incentive alignment all that sort

of stuff right the second proposal was to print an additional 1000 wi-fi tokens so for those who don't know wi-fi is capped at a 30 000 token supply um so yeah the proposal was to print an additional 1000 which is worth about 38 million dollars at current prices and keep this as a team allocation essentially now obviously the i mean the first proposal caused a bit of controversy but it was you know it made sense the second proposal was the one that caused the most controversy right because for those who are who have been around the the own community the wi-fi community you would know that there was a lot of memes made about the kind of like 30 000 cap right and the scarcity memes and

people are saying you know if you print more tokens it kind of breaks that right i mean i i don't think so i don't think something like a wi-fi token which is essentially an equity kind of token within the the wyoming protocol the urn protocol um i don't think that you know it's money it's trying to be a store of value or anything like that it doesn't need to have some sort of like supply cap like something like bitcoin does for example right to attain value uh you know the bitcoin token doesn't give you the right to a fees on the network right it's not a proof of stake network the bitcoin token uh basically is just it doesn't give you any kind of a controller the miners have get the fees right the miners get the block rewards if you hold bitcoin what you get is the

upside right of speculators you get the upside of the adoption and everything like that um so within the the yearn core developers they didn't have anything anything like this right they don't have any wi-fi tokens in a team allocation and you know the the the urn protocol is not bitcoin it needs to keep evolving like bitcoin for better or worse can apparently exist as it is right with minimal development that can't happen with you you know there's a d5 protocol competing with other d5 protocols they have a whole ecosystem that they're building they need to fund development they need to align incentives and they need to have a war chest to keep themselves going and and you know they don't have that because of that kind of because of the way the wifi tekken was launched right so i think you know it can still be like

and this goes back to like the concept of a fair launch where people were saying you know fair launch means that there's no team allocation no vc allocation none of that right everyone gets a fair shot at getting the tokens whether that be via liquidity mining or buying it on the open market or whatever now to an extent that works but i don't think you should cut out the developer allocation i think you should actually give 10 to 15 of the token supply to developers because without the developers and without the team i guess not just developers but like the rest of the core team actually working on this stuff the protocol is not going to grow the revenue of the protocol is not going to grow and your token that you're holding isn't going to go up in value because there's no value being generated

so why would you care that you know 10 went to the team right and say that that's not a fair launch when the team is the one delivering all the value right the community counts it definitely counts right but the core team who is actually developing the code going through the whole process getting audits right doing the marketing doing it all in a structured way right if they don't get any of the upside what's the motivation for them to do it these people are in short supply a smart contract developer as i said makes a lot of money a senior smart contract developer and they are very hard to find i work with a lot of different teams on on trying to find people and it's not easy because uh it's it you know smart contract development's a very new field uh it requires specialized knowledge

across a range of different things um and yeah just because we're so early there's not many people that can do it yet so if you want to retain great talent you have to pay them you have to align their incentives you have to pay them in the token because if they uh feel like they are sufficiently incentivized via exposure to the token then they're going to do everything in their power to make sure that the value of that token increases via uh the the product so you know i i personally don't have an issue with them printing these additional tokens i don't care about scarcity memes i think it's just like a meme right it doesn't really matter long term the the wider market doesn't give it doesn't i wasn't i'm not going to say it but doesn't really care um so i mean print a thousand tokens put it

in an investor developer fund right recruit the right talent add more value to to your own via that build better products and you'll get you know a higher price wi-fi token from that and then later on you can probably start paying out dividends again right these things are a growth kind of high growth startups they're not supposed to be paying out dividends from day one right think of all the companies in the traditional world that don't ipo for like many years and they're not paying out dividends or anything like that and their investors have to wait a long time to get access to their equity via the public markets but that's when they've grown to a certain extent i think within crypto you know we do it a lot earlier because issuing a token is so i guess like issuing a token is very uh

it's very lucrative right and it's very attempting to do that so people do it but i think you know just because you issue a token doesn't mean you have to put you know dividend rights into it straight away you'd have to put governance rights into it straight away you can basically just put it out there and say you know sometime down the line this token will have governance rights it'll have dividends you know be able to do this that and the other right if you're buying it now it's purely speculative and all that sort of stuff right so i mean you know you can say that people just speculated on it i think that's fine but in general i mean i i feel quite strongly about this because you cannot build a great product without um you know having a great core team and on

top of that a great community so you need a split of tokens between the team and the community you can't just have the tokens being 100 community right because then the team is not properly incentivized a 50 50 split is too much right they 50 to the core team means that they have you know a pretty big controlling share of the protocol if you're trying to be a decentralized protocol that's too much um i don't think you know um yeah just for a number of reasons i think that's too much so 50 uh off the table there but you know 10 15 to the core team to keep them aligned and then like uh getting a wide distribution for for governance and maybe even selling like five percent um to to like some investors right some high quality investors who are long-term

aligned as well i think is fine or even having like a bunch of the tokens in a treasury that is governed by the community that's what we've done at the index co-op actually we we do have a higher um token allocation for the team at 28 percent for set and 2 for default pulse but you know 70 percent was given to the community with the majority of that i think 54 in the treasury so the community can actually choose what happens with that treasury as well so they can say you know where it goes so it's not just like we're giving all the tokens away to speculators we're actually paying out the tokens out of that treasury to people adding value to the protocol so at the end of the day and i know i've gone on a lot a lot about this at the end of the day it's about

aligning incentives between everyone and at the moment there is no incentive alignment between the young core team and the and the young community because the community gets all the upside right the team doesn't the team does all the work and doesn't have incentives in the wi-fi token so to to summarize print more wi-fi i don't think it's going to crash the price i don't think it's going to break any of these scarcity memes that everyone loves to to go on about i think yeon's just going to be just fine um but they'll be able to recruit more talent they'll have a better long-term kind of war chest to draw from to fund development for a long time you know 38 million is a lot of money um and you know it aligns all the incentives correctly so that's i guess kind of my take on

that i'm curious to hear your takes on it like if you want to comment below about your take or if you just want to dm me and have a chat about it i think you know once you explain it to people uh in a certain way they kind of get it because a lot of people kind of see you know immediately oh wow they're printing more tokens it means dilution for holders you know rar everything you know my investment's going to go down but you know you've got to see the bigger picture and see that your investment is going to go down if the core team leaps if the team just says well screw this i can go work for another project they'll give me tokens i'll have better incentive alignment and better upside there i'm not going to work on yearn anymore well if all the developers leave then

yearn's worthless the token goes to zero so your trade-off is print more tokens to fund the developers right enough to fund the ongoing development and to get them to stay and to get them to build this stuff and be incentivized to do it or don't right and have some leave right and then the the value of the token is probably gonna fall because there's not many products coming out right that's bad optics it's all this sort of stuff so yeah i mean i i just think that's that's kind of like the way to go and we'll see what happens uh there's a lot of arguments for and against you can go read the post which i'll link in the youtube description but that's kind of my argument like for why i think that you know the printing isn't a big deal and actually is a very positive

thing so charm is live on mainnet now so charm is another is an options protocol there's a lot of these going live on ethereum right now so even though it's live it's unaudited and experimental so definitely use caution when using charm and if you don't know how to basically buy and sell options i probably would learn how to do that before you use charm because it it it can be quite complex but basically as i said it's a decentralized options protocol uh they're aiming to innovate in a few different ways i think they're letting like anyone create their own kind of options market you know with their own strike price and expiration date and all these sorts of stuff and there's a bunch of different

features in here uh and you know it's it's an amm model so the price is purely determined by supply and demand options can be sold anytime before expiry you can short options apparently it's going to be low slippage so there's a bunch of different features here which i think is really cool because i think a lot of the other options protocols don't really give you this flexibility i know that open for example will issue the options themselves they won't let you just create your own i i think you know on a nice easy to use front end which is what charm seems to be doing but this does introduce a lot of risk because you could create like any kind of option you wanted and if you don't know what you're doing you know you might get wrecked or someone else might get wrecked if they

don't know what they're doing so yeah definitely you know learn about options before you attempt this sort of stuff but yeah just another options protocol live on mainnet there's like so many more coming there's like 10 more of these coming i'm going to be very curious to see which one actually gains traction and keeps it because we've had hedgic right they gained a bit of traction but i think it's losing traction and liquidity at the moment for for one reason or another so it's going to be interesting to see who wins the kind of options race on on ethereum so really interesting kind of uh launch from curve and synthetics over the weekend so there is this thing called cross asset swaps between curb and synthetics that is really great for very very large orders so i guess the simplest way

i can explain this is that it's a curve on their front end here is routing the trade through synthetics and curve so i mean i'm not going to try and explain it here because it can be a little bit complicated but the the best tl dr is from synthetics here in their tweet where as i said this is good for large trades um because it it's it's low slippage on the large trades but what this lets you do is it go it lets you go from die to ren btc but what this does is um it lets you it starts with dye to sust so it does a trade on curve uh tight susd then it exchanges sqsd for sbtc using synthetics

then it swaps that sbtc into rend btc using curve so you can see how i mean if you understand how these protocols were you can see how it works but basically there's a liquidity pool for die s usd on curve which which is the low slippage pool there for the stable coin to stable coin then you can take that susd off of from curve right to the synthetics contracts and use that to trade basically you know no slippage uh for sbtc because they're synthetic assets then you take that sbtc back to curve which has a pool betw a liquidity pool of different bitcoins or different tokenized bitcoins where you can trade the sbtc for rent btc so really you're going from die to rent btc

with extremely um a low slippage uh which isn't possible on on other decentralized exchanges and this i mean this is the it can't be over like this is just mind-blowing right this is this is one of the the actual most um i guess innovative and exciting features to come out of d5 i think in a very long time this unlocks so much in terms of like what these large trades can do with with little slippage by going and playing with all these default legos and and connecting all these things together to do a direct diet to rent btc trade without having to worry about you know say a dioram btc uh liquidity pool on uni swap right you have to worry about how much liquidity is in there that will determine your slippage

but by doing it like this you just have to worry about how much liquidity is in the diet to susd pool because s usd sbtc is they say it's infinite liquidity it's not infinite technically but it's a lot because the um the uh the system has like billions of dollars backing it in snx tokens so you know that is incredibly low slippage uh or likes to net next to no slippage and then with um you know using curves on underlying architecture the the swap from sbtc to rend btc is also incredibly uh low slippage and incredibly favorable because their their bitcoin pool is quite quite large and the way their curve works is quite it's quite good for these trades so yeah this is this is huge and if you want a

more deep dive and technical explanation there's a really uh great explanation here from uh fubulubu i think that's how he says his handle here his actual twitter name is funny he says i'm just a doggy boy i've met him in in real life before he's a real guy he's not just someone's ult account um but yeah he's he's great um he's been working with with yeon for quite a while so he did a really great thread here explaining how this all works step by step you know why this is game changing why this is amazing i'll link that in the description obviously i'm not going to read it but i'll link it in the description and you can go check it out for yourself also from from through blue the same kind of thing here he announced that v2 volts of

of yeon is now live as i said he's worked on your own for quite a while he's actually one of the core developers um and they also launched a redesign you can see here i think uploaded up here yeah so i mean the video is here sorry i'll put the volume off there you can see like they're going for a complete redesign here the video gets a bit distorted i guess i'll link it in the youtube description for you to check out but yeah i kind of like this redesign i i think it it works i think it's more quote unquote normally friendly right we need more of that within crypto we need people that are coming into this space that are new that don't get all the memes and everything to just have a like a familiar interface to what they're used to on maybe one of those fintech apps

that they use like robinhood or something like that or square or whatever so i think this is this is great i mean the waifu memes are fun for people in crypto but you know my my mom's not gonna know what a waifu meme is right maybe she wants some yield on a dollar she's gonna go to to to yearn or one of the implementations and and see this better branding and and be feel more comfortable using it for example i think a lot of people underestimate you know how important branding is within this like for us who are in the ecosystem who are like d5 power users we don't care too much we get all the memes we think it's cool whatever but 99.99 of people don't and won't and think it's like a turn it basically turns them off so i'm really glad to see

this rebrand here and yeah as fubu lubu said here there's a uh a v2 kind of um volts that are now live which is part of the wider v2 redesign of yeon which i am extremely bullish on and i think there's going to be more coming out about this over the next few weeks so matthew feinstein here put out a really interesting tweet today as i've said before matthew works on loop ring so he's got a lot of context around different ethereum layer twos and this was actually a thread about um i think uh different layer twos and like how uh and like different chains and how um you know how they can work and how they can alleviate fees and matthew basically says you know for for an app the ethereum layer twos are

the passive least resistance to scale right they have similar superior performance to the alternative layer ones that are promising all the scale uh and they inherit 100 ethereum security and um ethernet i say 20 collateral value and a similar a single app specific l2 is doing similar transactions to something like avalanche um so i mean this is what i've been having on about two i've i mean i wrote a newsletter about this a while ago and i basically said the exact same thing where the cost and the friction and the switching costs and all that to move to another chain for an app is way way way way higher than it is to move to a layer 2 and ethereum because you just don't have the network effects on these other chains whereas you retain the network effects

of ethereum by going to a layer two so that's exactly why i'm bullish on layer two like because it's just gonna be where all the apps go they're not gonna try i mean some of them will try and go to other chains and good luck but you know a lot of the ones that actually can see the what what's happening here and see why it makes sense to go to a layer two will do like synthetics uni swap all those good you know all that good stuff um so that's not a knock on any of these other platforms like you know they can do what they want i just don't think they're going to get much traction like ethereum's high gas fees are not going to push uh apps and users to other chains because the users follow the apps right they don't go to another chain that has

no apps on it and say well i'll just wait around here to do what i wanted to do no they either pay the fees right or they'll wait until the layer 2 apps come out and then use those layer 2 apps because they just i mean and then at the end of the day most users aren't going to care what technology is under the hood for them uh the people who care are like you know us and the ecosystem as you actually believe in the ethereum mission want to keep this as decentralized as possible but the everyday user is not going to care what technology is under the hood to an extent they're just going to care they get a great experience and they can on ethereum's layer 2 all the liquidity is there on ethereum all the assets are there the best builders in this space are

looking at layer 2s instead of looking at other chains so i think we're gonna see you know as i said i mean i've said it so much we're gonna see more of these projects go to layer two rather than trying to go to other chains they might go to other chains as kind of like you know uh an additional thing they're not gonna like migrate from ethereum to another chain right they're gonna say okay we live on ethereum but we've also got an implementation on this chain and this chain and this chain just for like a market share perspective and like a business perspective where they might think you know if we don't do it someone else will do it and you know they'll they'll take our market share sort of thing if for some reason this other chain gains traction and i totally understand that from a

business perspective i don't blame teams for doing that but in terms of like actually migrating off ethereum completely that's a death death sentence basically like your apple die because you just do not have the network effects on these other chains yet to do that so you know doing it now means your app dies or you have to come back to ethereum and you've just wasted all this time so andre put out this really interesting tweet over the weekend so i'll read out the tweet so quote the amount of things that start clicking together when you stop thinking about separate systems and instead systems as a whole integrating is honestly amazing lending is such a powerful and under-utilized tool the things we can do with it indeed fire about to get scary end quote now he's referencing what cream and yeon

released an alpha finance release last week called the iron bank so what this is it's basically a way for kind of protocols within d5 to talk to each other and to white list each other for under collateralized loans so you could imagine that the cream money market trusts that yearn is good for the money when it comes to underclarized loans and we'll let them take out a loan um with maybe even zero collateral right um but only yearn it won't let anyone else do it it only white lists the yearn protocol to do this so this can be extended to any app that's on the whitelist right you don't have to basically trust individuals you trust the protocol and that sort of stuff so this is going

to unlock a ton of liquidity that's typically been stuck because of the the the intense capital requirements for for lending on on ethereum because of the over collateralization so yeah i think that's what he's most excited about here and i mean so am i right there's so much capital that for for as efficient and like as as fast-moving as the capital is within d-fi and ethereum today it can be so much better because of the fact that there's so much quote-unquote locked in d5 that is not being used that is just sitting sitting there being idle capital right let's use it let's tap into it let's use it in a safe way for sure um but let's get it done right so really looking forward to more stuff coming out about that so jacob franek put out this really great chart over the weekend

that shows it's from the charts from coinmetrix it shows that ethereum has been generating more cumulative daily fees since june of 2020 than bitcoin and you can see on the chart here there was only a dip back i think in november of 2020 the green line is eth uh i'll blow it up here for you can probably see it the green lines e from the red line is uh btc and you can see you know i guess as defy summer began you know we had that big spike there and we've just consistently been been up here in in the kind of like high fee range so this is just saying that there is more demand to use ethereum's block space than there is bitcoins and the funny thing is is that ethereum is actually three to four times more scalable than bitcoin in terms of transactions per

second so we're more scalable but we're still hitting the limits of the chain and we're still generating more demand so that in its is in of itself is amazing and as jacob kind of notes here fees for public blockchains are the most direct and hardest to manipulate measure of the value of block space because you know it obviously costs real money to manipulate you have to pay the fees um and you know it reflects the user's willingness to pay for the block uh the blocks block space which makes ethereum now the dominant chain which it is and ethereum has flipped bitcoin and so many other metrics at this point it's just hilarious that the market caps are still so far away which i think the market will actually correct in time but yeah i mean this is amazing from a long-term

security perspective as well uh you know it's going to be amazing with eip1559 when we're burning a lot of these fees um and that you know it actually goes to burning eth and makes uh maybe deflationary one day i mean i've spoken about this before how this could all work but yeah this is this was a great way of visualizing that and i mean you can see that ethereum is well and truly ahead of bitcoin now i mean bitcoin is trending up too because the bull market but ethereum is just like way ahead uh and i don't think that's going to stop anytime soon because on bitcoin you can only do one thing you're right you can only uh transfer btc from change that from you know address to address whatever exchange to exchange on ethereum you do a million different things right you can

transfer a transfer aic 20 tokens interact with d5 protocols register an ens name you do nft stuff there is so much you can do right everything costs money everything is you have to pay a fee to do it and that's why ethereum is winning because ethereum you can do more it's more expressive and i mean i truly believe ethereum is the better model here but bitcoin and the thing is people might say you know ethereum's different to bitcoin they do different things and that's true but bitcoin actually relies on fee revenue for its long-term security because the bitcoin block rewards are dwindling right every four years they have um and unless the price goes up to match that then you know it's not going to make up for the the lack of kind of um uh actual bitcoin

block reward so the fees are the long-term security model here and ethereum's already beating bitcoin at that so something really interesting to keep in mind something that i watch closely i mean i know fees the high fees hurt i know they're annoying but they are great from an ecosystem growth perspective and as i said before they encourage the adoption of layer twos and all that good stuff so yeah go um go follow jacob actually post a lot of interesting charts because he was he's a co-founder of coinmetric so he posts a lot of these really cool things and he's a great follower so definitely uh go go check him to follow so tim biker loves to drop eip155 knowledge randomly within threads which is which is kind of funny um so basically i

discussed last week how he put out a thread saying that he doesn't think 1559 is ready to ship just yet and he followed that up with another tweet that said uh he thinks it's possible that um that erp 1559 can ship within i guess three months so you know january february march maybe april may sort of thing uh there's no reason to wait six to twelve months to ship one five five nine after the next network upgrade which is called berlin goes in i mean i speculated last week on one of the refuels that i think we can see it in july um because of the fact that the difficulty bomb is going off in july so there needs to be a hard fork anyway to delay that so i think that we might see one five

five nine going then and you know tim's comment here speaks to that uh you know three months from say say we don't include january we say you know february march april and then may right i mean july is obviously like five or six months out but i think you know it's more likely we see it then then then kind of rushed in because we we don't want to do two kind of like hard forks right one two ship one five five nine and another one two to delay the difficulty bomb or maybe we do one that delays the difficulty bomb and ships one five five nine in may or something like that so i don't know i think it's coming way sooner than people think uh and tim's been dropping a lot of these hints so he feels confident and for those who don't know tim is

actually the lead on one five five nine um did the whole effort there so he would know better than anyone so yeah keeping an eye on that for sure all right last thing i wanted to shout out here is that there's a new kind of our bot uh here called l2 dex wars which tweets out l2 decks trading volume from the last 24 hours i think this is going to be really great great to keep an eye on for some reason i'm not following this account yet because i was about to tell you to go follow this account i don't know why i wasn't following it because i love this account but yeah i mean you know the volume here is funny because there are there are actually accounts that tweeted out about um layer 1 dex trading volume right and they've been tweeting out about that

for for years and at the start this was the kind of volume you would see on the layer one dexes and over time it grew and grew and grew and we got to where we are today where we're doing billions of dollars of volume sort of thing right so i think this is going to grow the same way once we get more layer 2s once we get more liquidity on there we're going to see similar volumes to layer 1. so this is really exciting and i'm glad that this bot exists because this is where i'm going to be watching it play out basically all right everyone that's been a very long refill today but as i said lots to talk about but yeah thank you for watching give the video a thumbs up if you enjoyed it subscribe to the channel if you haven't yet join the discord

subscribe to the delegate newsletter and i'll catch you all tomorrow thanks everyone