RAI now live, New ETH ATH and much more - The Daily Gwei Refuel #60 - 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 is the 18th of february 2021 right everyone another day another eighth all-time high uh i can get used to this right i can get used to these all-time highs uh coming at us every day now so basically we i guess peaked at about what 1930 1928 on the chart here come down a little bit to the to about the 1900 level here but yeah a 1900 ether over the last 24 hours that's pretty crazy right i mean you know if you had told me that we would be at 1900 a year ago when we're at 100 i would have said no way you're crazy but we're there right and it just seems

like we're gonna keep going up here uh and it's actually interesting i saw this tweet from uh key from uh crypto quant here where he crypto quants like an on-chain data site and basically on this chart it's showing like the eighth price versus the inflows to exchanges uh so each implose to exchanges and then down the bottom the outflow transaction count for all exchanges now um i i i think you know it's funny because you can look at the inflows here and you can see that uh you know the inflows are flat i guess compared to what they were during uh i guess the end of the 2017-2018 kind of bull market here and now they're like i guess trending up a little bit but not really but i wonder if this is also affected by

the rise of d5 right where each is no longer really you know going to exchanges as much it can be traded on d5 for stable coins right within uni swap and whatever other kind of liquidity pool you want to tap into so i wonder if that's taking a kind of effect here as well i think it is for sure because you know we have like 7.7 million eighth locked in d5 right now a lot of that is in uni swap um but a lot of it is also in maker and compound and rv as collateral too so you know there's a bit of a maybe a bit of investigative work that needs to be done there to see exactly what's happening with the um the ether but still you would expect if people were cashing out you know quote unquote cashing out maybe going to fiat or cashing out a large

amount of eth they might still go to centralized exchanges so yeah it's uh it's interesting interesting to see this and like that chart of just the eighth price is is pretty funny right you see like this massive kind of like collapse and then bear market for like two years and now we're just like skyrocketed back up so it's just funny how like a bear market lasts for like what feels like an eternity right but there's not much that goes on in it like the price pretty much stays like range bound i think in east's case it stayed between one and three hundred dollars for like two years and it only got above 300 once in mid 2019 which was short-lived but you can see like the the vertical ascent here which is what actually scares people you know the price has gone up so fast

within a year it's gone from 100 to 1900 so 19x and you know people are starting to kind of get scared like is this the top like we've gone up too fast and i've discussed on the refill before about top signals and things like that and how i think a lot of them don't work anymore but at the same time it's always good to stay vigilant right and like i like looking at on-chain data and that's why i do the the daily grade data pump once a month on on the channel um because i think it paints a really nice story so that's something i'll be keeping an eye on you know to spot these kind of quote-unquote top signals but at the end of the day no one knows where the top is and i don't think it's something that you really have to worry

about um you know you should just be doing what's best for you at the end of the day and on that note as well uh the number of ethereum addresses holding more than uh sorry holding ten thousand eighth or more which was 18 million dollars last night i think it's like 19 million dollars today but it's now at an all-time high so you can see here on this chart from glass node that the last all-time high i think was you know eleven hundred uh and and thirty i think just eyeing it here and we pretty much reached that uh recently and that's the first time it's been that high since uh you know the end of the last bull market it did get like almost that high again during i guess 2019 here but then it trended way down during

2020 which is funny to see but now it's just skyrocketed back up so i think during 2020 a lot of people were i guess like underexposed to eth uh especially if they were chasing like bitcoin and things like that and then obviously eth kind of woke up towards the end of 2020 and basically teleported to all-time high which was pretty fun to watch right and because of that we've seen like a ton of whales just start buying this up because you know as i said it's about 19 million dollars today you know 10 000 eat or more right this could be not just ten thousand eight this could be uh uh like a hundred uh a hundred thousand eight for example it could be like fifty thousand eight so it doesn't discriminate here it just shows you everything over ten thousand eight or more um but you know and the people who can

afford that obviously obviously whales and they've been aggressively accumulating as i said here over the last three to four months and you can see the price pretty much tracks this as well right so yeah i wonder how long you know this is going to last that we're going to keep going up we're going to come down there's only so many kind of addresses you can have here with a balance this large um because there's only so much eth right and and you know if wales tried to purchase 10 000 ether on straight on market right now um it would it would push the price up pretty not pretty pretty rapidly or pretty high or anything like that but it would still push the price up and taking it out of like i guess active circulation on exchanges and things like that also means that there's less for people to

buy and it pushes it up even more so yeah really cool kind of chart here um i linked it in on the on the tweet here but i'll link it in the youtube description for you to check out as well so reflexor labs have gone live with their rye stablecoin so rye is basically um a stable coin that is using a new mechanism uh called a pi controller to manage its kind of stability and it's backed purely by eth so i think the the point of of rye is that uh i i think the creators were a bit frustrated when maker dao went to their multi-collateral die model where it was basically you know not just eth as collateral anymore there was like you know

usdc and wi-fi now and a bunch of other tokens in there and you know people were kind of upset with this so rye is like saying we're going to do a stable coin that stays kind of like stable based on this pi controller mechanism and we're going to have it just backed by eighth now i wonder how long it lasts like that i wonder how long until they start adding other collateral to it because in reality you can have some collateral types that you can add to it that are just as trustless as eighth i think you know link is a token that's pretty trustless um in terms of like uh i don't think any more could be minted or anything like that but at the same time you know if the chain link team said we're gonna do a token migration that'd probably go

through right because you know the chain link team is still pretty much like the core of it and everything like that is very responsible for it but i don't think that really kind of like matters too much um but yeah i think i i'm curious to see if if right if rye here stays like stable coin only right sorry eighth only backed stablecoin or it starts to go to other kind of um i guess like collateral assets here as well but yeah interesting kind of mechanism they've got going here i'm not going to go through how it works on the refill you can kind of read i guess their launch post and i mean uh who's part of the team also has basically a post here that i think is about 20 minutes long it's on my to-do to read list basically i haven't read it just yet but basically it talks

about you know what rye is basically the history of it where it's come from the history of the mechanisms it's using i mean you can see here on the on the video like the the post is very long and i'm pretty pretty keen to read it because uh um amin has been like an ethereum community member for a long time now he's pretty smart he he knows what he's talking about so very interested to kind of read that but yeah congrats on the launch to to the reflexer labs team here on this i'm curious to see you know how stable this stable coin you know stays and the traction that it gets because we have so many stable coins now right um you know i think there's like i mean there's at least dozens of them we're probably gonna get to a hundred plus of

them by the time all is said and done and i'm not just talking about stable coins in general i'm talking about usd stable coins as well because obviously we're gonna get to like maybe potentially hundreds of different stable coins when we start introducing different currencies into the mix as well not just usd um but yeah very uh very interested to see how this goes uh because mainnet is always i guess the best test for these sorts of things because on testing that you know it's whatever right when you're on a maintenance environment a d5 environment that's like billions if not trillions of dollars moving through it these days that is the real test of uh your project and especially over stable coin i think so the block here uh kind of put out an article that the

swiss canton zug i think that's how you say it uh which is i think the uh the government uh what is it yeah the canton of zug is one of the swiss confederations member states uh they've accepted they've begun accepting btc and eth for tax payments which they initially announced that they'd be doing last september so this is cool right i mean i remember seeing this announcement last september and thinking this is the next step right being able to pay your taxes in btc or eth is amazing i mean i wish i could do that i hate having to go to fiat to pay my taxes i wish i could just straight up paid an eighth right because then i could keep this eighth within the ecosystem and do stuff with it um you know within the five ecosystem and then just pay it with

with pay my taxes with eth and you know pay my bills with eth and things like that so this is just the next step here i mean the the the the canton of zug here basically is what's known as like i guess it's got like a nickname as being uh camera what it's called now like a crypto kind of city or something like that or or a place where a lot of different kind of like crypto companies are um so i mean it's only natural for them to take payments in tax because it is like a haven for for for crypto um so i'm not sure how long it's going to take for i guess like you know the st the united states to introduce this the rest of europe and you know where i am in australia i mean i i don't expect this to happen

in australia for a long time if i'm being honest unfortunately our government isn't very progressive on the tech uh technology front of things but you know i could see this happening in some states i think one of the states in the us is actually thinking about this already uh obviously you know switzerland is in europe so we're probably going to see some other european countries if not kind of like i guess uh uh member states uh kind of introducing this um but i think you know it's it's i don't know if there's any negatives to this i think the government's just going to cash this defeat anyway but it lets people kind of like have a more easier time paying their taxes and it might actually increase tax compliance as well

for crypto because the dirty little secret of crypto is that a lot of people don't pay their taxes or don't pay the right taxes and i wouldn't say that this is all malicious i think within crypto on the tax front there are so many gray areas right like how many things do we do in crypto that no one give you a straight answer on like even the basic stuff like apparently according to some tax laws wrapping eth is considered a taxable event because you're disposing eth for like wrapped eth which to me is just insane right because that that'd be like saying that oh we're going to tax you on your cash that you put into a bank account because you're you know exchanging your your i guess us dollars for jp morgan dollars right because really when you put your cash in a bank

account the bank gives you a digital version or a digital iou of that money and they promise that you know if you want to withdraw your cash later you'll be able to and they promise that they'll always have like your digital version back uh one-to-one with your you know the cash that you've put in so that's not a taxable event so putting your eath into like wrapped eath is shouldn't be a taxable event either it's the exact same asset it's just um a mechanism within ethereum to make a trade like an erc20 token or be kind of treated like any rc20 token and buy the network and you know i i think we need more clarity around this and it's just hard because there's different jurisdictions across the entire kind of world some are more progressive than others you know some tax crypto crypto trades some don't it's

just it's a and like air drops as well like all the little intricacies of d52 like there was talk about you know is putting your eth into compounds and then getting c back as like a an iou asset considered a taxable event and i mean i wouldn't i wouldn't say it is right i wouldn't argue it is because it's like it's an iou right if you have sea eath you can or aid from other that basically gives you a claim on the underlying if and yes you might be earning like a tiny bit of interest on it and that's taxed as income right uh at least three is for for me in australia but i haven't exchanged my eth for another asset like uh c is just an iou token so yeah i i think you know we need more

progressive tax policies in general but i'm great i'm really happy to see zoug kind of accept btc and eat for tax payments hopefully other kind of i guess countries and places around the world follow suit here so instadap announced their d5 smart layer today and they also announced their token so uh in the post here they they basically um kind of go over what this is and it's supposed to be a management layer on top of defy so they kind of describe it in the picture here where users can interface with kind of d5 through the instadot portal you know they can already interface through different daps and wallets and the instadot portal is basically another kind of interface that sits on uh the rest of d5 essentially so with that you can kind of feed into

these different things like managers and and your owners and dows and multisigs and then go to instead up smart smart accounts which tap into uh the different kind of things on d5 which of course are built on ethereum so this is really cool i mean instead that team has been around for a while now they've been offering these tools for a while now just make it easier to use defy both with kind of their kind of smart accounts which they introduced a bit later on but originally they had like different functions that you could use like you could basically recursively go into like a cdp with just a click of a button and stuff like that so they've been building some really cool tools here um and they're also going to be uh working with layer 2 to drive adoption there which i thought was

really cool and finally they introduced their governance token which will kind of like act as governance for the entire platform for you know funding ecosystem development you know fee capture uh voting on which protocol should be whitelisted things like that right there wasn't too much information here basically the distribution is 45 percent goes to the initial team investors and new team members and 55 percent will go to the ecosystem growth including liquidity mining new ecosystem partners developer mining and delegates here so uh they expect the token to launch in march and apparently detailed information is coming soon on that one so yeah i mean i think at this point like people ask me all the time will this app have a token will this thing have a

token will that thing have a token i'm gonna go out on a limb and say that it's safe to assume that every single thing is gonna have a token right and i don't know if that's good or bad i don't know if it's like kind of just a um something that should or shouldn't be done or it makes sense or doesn't make sense i think a lot of it actually doesn't make sense you know if we're looking at it from a 2017 lens of just like pure util utility token right for those who are around in 2017 you'll remember that there are tons of icos with white papers for these tokens that hadn't been thought through at all no one knew what they were going to do they were kind of useless they weren't even governance tokens they were literally called utility tokens but they

had no utility they couldn't do anything and they normally just added friction to to the user experience whereas now we have a lot more than that i think with tokens right we've experimented a lot more we have tokens that are basically i guess like equity um that you would have in like a company right where they have fee capture they have governance rights they have a bunch of different things like insurance pools have um like in arves case they have like a thing where you can stake and you get added to like an insurance pool um and you kind of earn rewards for that so there's a bunch of different mechanisms here for sure but you know i guess like it is the cool thing to have your own token now and i'm not saying the instant app should or shouldn't have a token i think just generally if you're like

people ask me if something's gonna have a token i would just assume yes from now on yes it will have a token sometime in the future most likely they're gonna have an airdrop to past users so go out there and use all the default apps you can right even if you don't get an airdrop for for a while um the fact that you've secured your spot because it's forever on chain i think is worth it i mean i've personally done it just i mean i use a lot of d5 apps anyway but any of the things that i hadn't used too much of i went and just played with it and you actually learn things as well which is really cool right you get to play around with an app that you hadn't played around with before and learn all the intricacies of it and

learn how it works and kind of like um you know maybe you end up as a user of that platform anyway that you might not have used before so yeah definitely smart to do that in this day and age because i can tell you that everything that doesn't have a token right now is going to have a token and that's not me knowing anything kind of like specifically myself i'm just assuming based on what we've seen that you know pretty much everything that didn't have a token has introduced a token and there's only a few things left now i guess among the top defy apps there's only a few left that don't have a token so yeah safe to assume most of them will i think so xerox put out this thread today uh that was really cool going over like the xerox univer universe which

they believe is well which they say is kind of bigger and more liquid than ever which is actually true because i mean i've spoken about xerox before and their traction they're actually like the third or fourth kind of uh decks as measured by volume now they have like an entire ecosystem that they've built around uh matcha which is their uh uh kind of decentralized exchange aggregator which i actually really enjoy using and i really like this picture here so for those of you listening and you won't be able to see this but i really love this like look at that i mean that's just an awesome way to visualize what 0x is and you know you can see down the bottom 0x is like this massive planet of like liquidity that feeds into this api and for those who of you that don't know this um if

you're not a developer an api is just like a um an interface for kind of everyone else to talk to right so the xerox api consists of like the liquidity pools that they've got and like the smart contracts that they've got and all this sort of stuff going on right so that's what kind of developers can interface into and that's what xerox can interface with the other kind of apps with as well so you can see here that they've got the supply and demand site on the supply side they have all the different kind of exchanges on ethereum that they tap into to aggregate then they also have the market makers that they're that they're using as i've spoken about on the roof refuel before xerox has a permissioned market maker kind of platform where they onboard these big market makers that will provide liquidity

and then get paid fees for doing so and then the users get to access this on on matcher which i thought was really cool as well and then on the demand side as i said you have like exchanges like match up but also all these other exchanges that can tap into xerox liquidity as well you have wallets like metamask and i'm token they can tap into this options derivatives portfolio managers right prediction markets like basically anything like uh that can exist in d5 can tap into xerox's api here which i think was really this was a really cool way of visualizing it basically but they've got a thread where they kind of break down what this is kind of their traction here how they tap into different exchanges i mean it's a pretty long thread it's about 19 tweets here

or i think 20 tweets uh yeah 20 about 20 tweets there they've also got like a blog post here you can check out as well so i'll link that in the youtube description of course for you to go check out um but yeah i love this infographic like i i i think that we should have more of these infographics kind of made for ethereum in general because they're just really nice to look at and i think they do a very very nice job of visualizing the entire ecosystem and this is just 0x i mean you could imagine having one of these for each default protocol and how everything kind of connects to everything kind of visualize to make people really understand that everything is kind of like composable with each other right there is no silos like if your protocol is open like if there's

no white list on your protocol for example um you can talk to any other protocol you want on on kind of like defy and then any other protocol can talk to you so i thought you know that is that is like a theorem superpower at the end of the day the composability the money legos and i thought this was a really nice way of visualizing uh visualizing that whole kind of ecosystem there so eth global has announced another hackathon but this is a much smaller one than their scaling ethereum hackathon this is called nft hack and it'll be taking place from march 19th to march 21st obviously nfts are really really hot right now so this is really timely i think it's really great i mean as i said this is a short hackathon two-day uh hackathon open to all creators and builders of course

you can start registering now if you're a developer here um you know i really like this website as well look how cool this is and they've even got 10k ethia i think or maybe not they got 10k available in various prices okay i got ahead of myself but i'm going to say that that's them saying you know it's going to 10k i'm just going to take that one because that's the first thing i thought of but anyway i really like the way they've done this because what if global does is that they don't just like how they hold these hackathons and like kind of boring or whatever they actually create a whole theme around it as well and make sure that the builders feel valued and feel like they're part of like more than just like a hackathon i feel like they're part of a community

too which is something that eth global does that none of the other kind of i think events or kind of hackathons kind of do so i really really like that um but yeah just on the nft note here i mean it's everywhere right now right it feels like it's in a bubble but i don't know if it is because and i was on a clubhouse uh kind of chat today and there was um a guy called whale shark on there and he's basically a pretty big kind of nft collector has a fund of nfts um that i think he has a token for the people can kind of be part of it's like a dao sort of model but he was talking about how you know nfts probably aren't going to follow the bull and bear cycle of of crypto because if you think about collectibles

in real life do they really follow the bull and bear cycle of the macro environment you know whenever we have like a 2008 crisis or a financial crisis or or a covert financial crisis do collectibles you know suddenly become like worth way less than what they were i don't think so and i don't think people are scrambling to sell their collectibles during these kind of boom and bust cycles either like in a bear market for like stocks people aren't really going to be selling their collectibles right like for me with my with my pokemon card collection which i've spoken about before i i haven't sold that during any time like even when i needed money for something i that's not something i even thought about selling uh because i didn't want to part with them for starters and uh because it's just like it's it's

removed from the wider kind of macro environment i think as well so you know i don't know i mean i know there is kind of like a bubbly feeling to this and it feels like people are coming in just making an nft of anything and making money off of it and that's probably not going to last let's be fair here but the real kind of things like i think crypto punks i think kind of hash masks i think axi infinity stuff like that i think they're going to be lasting i don't think like crypto punks especially like f for those who haven't been following that whole thing crypto punks is the first nft on ethereum and was out since 2017 you can't replicate that you can't buy that you can't go back and mint an nft for the first time right or an nft project

for the first time so just based on that it's going to have a lot of value and i don't think people during a bear market are going to be scrambling to sell their their crypto punks uh just because you know it's a bear market so i think whale shark brought up some really great points there um and something that i hadn't thought of previously like i kind of saw kind of bull market playing out with nfts and i'm like wow this reminds me of icos from 2017 i know how this ends but i mean it's very it is different because nfts are not very liquid either so that's another thing to consider where uh they're not very liquid by nature because they're unique they're non-fungible and i know there's projects like nftx that is trying to bring fungi fungibility and liquidity to nfts by wrapping them

but i still think that that's not going to make people want to sell even more so we'll have to see how that plays out but this is the first time i think we've had a bull cycle where nfts are actually at the forefront so i'll be curious to see what the nft space looks like during a bear cycle i think it's just going to be just as kind of like not just as heated with money but like in terms of attention on it i think it's something that is that persists because it is not just a pure market phenomenon it is not just pure kind of i guess speculating on the token right and things like that it's more about like i guess the creators right and and the creator economy and people supporting their favorite creators and and wanting to own something like a

piece of art like a piece of digital art that they really enjoy or wanting to own a crypto punk for various reasons so we'll have to see how that plays out i think it's something important to consider and something important to think about and keep top of mind when you're kind of investing in this stuff and again that's not investment advice and i'm not going to say that things aren't going to crash or whatever but you know if you're buying nfts just know that they are super speculative but they may not follow the bull and bear cycles of the macro environment so if you're trading them you know you might be trading them based on like a different kind of a strategy there but yeah totally up to you how you want to play that one i think all right last up here we have pull

together with their token i was just saying to you how you know just assume that any project that doesn't have a token right now will have a token in the future and that's exactly what happened here uh pull pull pull together this token is obviously called pool uh it was released uh there was an airdrop of course so if you had used pool together before you got a bunch of tokens and you can go trade them if you want on uni swap or provide liquidity and stuff like that uh they've got the distribution breakdown here they have 80 of the tokens actually allocated to the community with twelve point four four percent to advisors and uh employees and seven point five percent to investors so it's actually a really really great distribution here eighty percent to the community is very heavy right uh which i which i really like um so

they've also got so they broke down the distribution kind of here uh with most of it going to the community treasury of course and this is how we did it with the index card we basically put it into the treasury and then the community can decide what happens to it which i thought was really cool um and then they've got like future distributions here next steps i think they have like a liquidity mining program that they might be doing um if i if i read here correctly um as well which kind of makes sense um yeah i think uh what is it this uh no i don't think so i think maybe i guess like the treasury might uh i mean the community might vote for the treasury tokens to go towards a uh a kind of um liquidity mining program which which would be cool to see as well

uh but yeah for those of you who don't know what pulled together is because it's not i guess it's not a project that gets talked about too much um but it's basically a no loss lottery so what happens is that in the pull together kind of uh contracts or in the pool you can put in uh your stable coins for example so say you put in like die that gets lent out on money markets and the interest that's earned on that basically gets put up for like a lottery so each week there's a random kind of um person pulled out or a random address pulled out of that and and each week the person that wins wins the interest so they don't win the whole pool they don't win the diet that you put in the principal they just win the interest that was earned so that's why it's called a

no-loss lottery where you don't lose your initial initial principle you're only technically losing out on the interest you would have earned by not being in here but the interest is like your i guess your your ticket to winning kind of the prize each week so and it's not just limited to stable coins and things like that and prizes around that there's also sponsored pools where people can put in tokens and they could be won as well by by pool participants so yeah definitely a pretty cool money lego that i don't think has been um i guess has been explored too much yet um and i'm just kind of reading here i think five percent of the tokens have actually been distributed to uh all pull together depositors which means this is probably a liquidity mining program here yeah it definitely is so

there's already a program going on which i think you know this is funny like this is very similar to what we did with the index co-op and not to shill it too much here but we we did most of the tokens to the treasury we did a small liquidity mining program to start um the team uh there was no investors but the team got 30 percent so if you add up the team of investors here it's a bit more than that i think um and then the distributions a bit more like they did 14 distribution we did kind of like one percent i think and that's because we did it did the air drop to defy pulse index holders and at the time d5 pulse index was like one or two months old so um but yeah it's cool to see these kind of like

community heavy distributions especially into the treasury i think that's the best way to do it right because if you just airdrop 80 of the tokens to the community all that's gonna happen is that like everyone's just gonna dump it right and the people who buy it up are gonna be these whales and it's just gonna be like very centrally controlled so if you do like a community treasury where the token holders can actually vote on what happens to the tokens in the treasury and get paid out over time i think that's a better way of doing it it's a much healthier way of doing it you get a better distribution like that the price isn't really my isn't too too affected by that especially if you don't have like a pool two or an incentivized trading pool for the token um that can also work too so

yeah uh cool to see this um and yeah i guess i can grab some pull together to getting their token out and as i said more of these are coming so go on you know if you want an alpha league just go on defy pulse go down the list see which protocols haven't had a token yet and go play around with them because you might get an airdrop out of it uh you know uh you never know all right that's it for today's episode everyone thank you again for listening and watching if you haven't done so give that video a thumbs up subscribe to the channel join the daily great discord channel subscribe to the newsletter and i'll catch you all tomorrow thanks everyone