Dencun devnet8 live, Scroll Sepolia testnet and more - The Daily Gwei Refuel #642 - Ethereum Updates

Transcript

hello everyone welcome to another episode of The Daily way refuel break up the latest news in ethereum ecosystem I'm your host Anthony 18th of August 2023. all right everyone let's get into it so apologies for not doing an episode yesterday the Meetup that I attended uh here in Melbourne went later than I expected I just got to talking with so many awesome people and I didn't realize the time I think I left the meet up at like 10 30 p.m at night and by the time I got home it was just way too late to record a refill and of course I was exhausted as well but it was a great meet up shout out to everyone that was there that listened to uh that listens to the refuel actually um was on stage and did a kind of AMA of sorts uh all about ethereum and I felt like I was

doing a refill episode anyway like a live refuel episode there should be a video of that going up soon I'll get it to you when I've got the link handy I'll probably just share it in the daily gray Discord Channel there uh but yeah that's why there wasn't an episode yesterday but obviously back today and there is a lot to get through if you are watching the video you can see how many Twitter tabs I have open uh there is so much that happened over the last 24 hours of course we know what happened with the price right I'm going to talk about that at the end of the episode and I don't really have too much to say on it because I'm just going to be repeating myself but I definitely want to touch on that but that'll be at the end of the

episode uh for now I'm going to be diving into I guess like some core Dev updates to start us off and actually before I do that I just want to quickly say that I'm doing a live stream with uh David Hoffman at banklessia we're going to be talking about a bunch of things but predominantly about a new framework that I've come up with in my head around the social layer of uh of crypto uh now it's not just the social air that we're going to be talking about there's a lot of stuff that goes into that but I reached out to David and I'm like hey man like I came up with this framework and I think it's really important like let's do a live stream and we're doing it so this live stream will probably be done before you're watching this the review will probably go out later so uh

this is just a shout out to make sure you go watch it if you haven't um and yeah I'm excited to chat with David uh here all right I'm now moving on uh I guess like this is related to the price action actually this piece of new so I'm going to leave that to the end there I'm not going to talk about that what I did want to talk about was an update on the tornado cash lawsuit or one of the tornado cash lawsuits so you'll remember that a bunch of people sued the U.S treasury Department over the the tornado cash sanctions one of them was the Van Loon versus Department of Treasury case which Preston Van Loon a court of Alpa who builds the prism client uh was part of this lawsuit so apparently unfortunately the I guess Court held in favor of the U.S

government in this lawsuit and there's an explanation of why here in this in this tweet from Bill Hughes uh that you can who's a lawyer at consensus you can check this out for yourself the actual tweet uh but he also said you know what's next after this well the plaintiffs can appeal uh in the uh the fifth circuit uh sorry to the fifth circuit uh and he's going to be monitoring coin Center for more updates and actually I misspoke it wasn't Preston Van Loon that this was the case for it was uh uh Joseph Van Loon here as you can see the plaintiffs in the in in the screenshot here so yeah unfortunately the court actually took the side of the US government in this it's not surprising right it's unfortunate but not surprising because the ofax stick is one of the biggest sticks the US government has to exert

its will and of course you know the courts are meant to be there in order to I guess like uh be a power check on on power abuse from the executive branch in the U.S but I mean it doesn't mean that the court is always going to side with the plaintiff especially if uh it they're not actually meant to side with the plaintiff especially if the the law is clear which I don't think it is but I mean as I said there's going to be an appeal happening I'm not a lawyer so I can't really break this down for you uh in in any kind of like way because I'll probably get things wrong so I just highly recommend you read this tweet from Bill Hughes and there was a bit of discussion in the replies as well for you to go check out so I'll I'll link

that below but related to this and something that I can talk to was people in the daily great Discord Channel today highlighting the fact that if you go to mevwatch.info and you include all blocks we're currently back up to 50 of all blocks over the last day uh being enforcing of our compliance which means that 50 percent of MAV boost relayers are censoring censoring those tornado cache transactions obviously because those are the um the sanctioned uh contracts there now if you go the last seven days it also is a little bit high at 42 I think we you know we we ended up going below 30 at one stage but yeah over the last day it is 50 now people are asking you know why is this the case is that this happened because of the um the the lawsuit kind of update there I I

don't think so I don't think it happened because of that if you actually untick the include all box check box here you can see the breakdown of each relayer and their market share now you can see over the last seven days what the market share looks like it basically looks like um the censoring uh uh relayers have more market share and have been growing in market share and the non-censoring ones have been shrinking now particularly the ultrasound money relay is down a lot now this was at about 45 I believe of all Mev uh kind of like uh boosted blocks here so of all all relayed blocks um uh I guess like maybe a month or so ago last time I gave you guys an update on this over the last seven days it's down to 23 and over the last day it is down to 9.5 so that is a

huge drop off for ultrasound money and that's what's contributed to this uh basically people are stopped sending blocks to Ultrasound money or and they're sending it to flashbots and uh blocks are out regulated which are the two biggest censoring relays now for why this is the case I don't know I'm trying to get more information on this and I remember I did mention uh you know some time ago on the refuel that I didn't like that ultrasound money had such a large market share uh because I was saying at the time what if ultrasound money adult money relay started censoring well then automatically the their whole market share would become a censoring relay right but the flip side as well is that uh they can lose market share and that's exactly what's happened here which means that the censoring relays have gained market share and now

unfortunately we're back up to 50 um of that compliance uh according to Mev watch dot info and this is why I've been pushing for a long time that we need more diversity among these relay players but at the same time running a relay isn't exactly a very profitable Endeavor it's definitely something that is not an easy easy thing to do it's quite competitive and that's why I've been pushing through for these other solutions that are in the pipeline and the ethereum roadmap and educating you guys around them like PBS and and see our lists and stuff like that because those are the real kind of long-term Solutions these Mev booths relay censoring non-censoring stuff this is all short-term stuff this is not long-term stuff that that um is going to be as part of the ethereum network for

you know the next 10 years it's probably over the next two or three years or something like that so yeah just wanted to to break that down for you but as I said I don't think it has anything to do with um the the uh the win of uh of the treasury in that lawsuit because you can see that really the reason why it's up so much is because ultrasound money uh has basically gone gone down a lot for whatever reason that is now I'm going to get to the bottom of that reason I'm sure it's a technical reason something like that uh but I'll keep you guys updated when I have more information on that all right moving on to some core Dev updates so another all core devs call took place and Tim baiko has his usual recap Thread about this uh no major

stuff in here except a kind of recap of devnet 8. so that was also an announcement that was made here by parathos that dencoon devnet 8 is now live uh it's next iteration in the devnets aim to allow clients to test test interoperability with the latest spec and you can also see that uh Terence has a screenshot here showing that it was all going well uh in timbiko's thread he talks about how it was mostly stable there are a couple of bugs here and there that were quickly ironed out and there are two clients I believe right now that aren't part of this devnet uh two execution layer clients I think it's like Aragon and and Basu maybe that will be joining later but this is just running through the normal testing process that we've seen with everything else you know every other network upgrade that has happened

on ethereum and as I said before I expected these devnets to to take place yeah then we're going to move on to the test Nets in uh probably September there is that testnet whole ski that I've been talking about a little whole Sky that's going live on September 15th it's actually replacing uh uh Gurley not sapolia uh I believe or maybe the other way around man I've forgotten someone corrected me on this and I was like you're right and now I've just gotten mixed up again it's replacing one of those test Nets I'm not gonna give a concrete answer because I've forgotten someone corrected me in the comments but um and then that one uh I don't know I don't I don't know if it's launching with the dencoon upgrade or if it's going to be upgraded to denkut dencoon after but I expect you know mid to late

September and October to be the the final test Nets and then we'll get mainnet in in probably November like as I've said before I I thought November was going to be the the time frame here it could be pushed to early December but as I've said before as well December is not usually a time that the core devs like to do upgrades because obviously it's the holiday period so I'm still betting on sometime in November probably towards the maybe mid to late November um it just depends on how the test Nets go and stuff like that obviously but we're getting close guys you know it's already late August or I guess like mid to late August right now time's flying we're going to get Erp 4844 as part of the dencoon network upgrade uh relatively soon so I'm super excited for that now of course everyone's asking the

question okay what comes after dencoon what comes after 4844 what do we have to look forward to so the I guess next upgrade after dencoon I kind of I'm speculating right now I mean no not speculating but it kind of seems like it's going to be an upgrade that consists of eaps that have been pushed out since the merge because there's been a lot of erps that have been pushed to Future upgrades since the merge I haven't made it in yet so uh there's been when dinkoon goes live Den Kun goes live there will have been three Network upgrades uh the merge the withdrawals with shapella and and dencoon without these erps are part of them so I think that the next Network upgrade after dencoon which will probably be in like what April May next year or something like that will be these eips and a lot

of these things they're not really things that have user-facing kind of applications except maybe the EIP that allows for execution layer exits of staking that has a user facing thing but it's not something like 4844 so those things I expect to go into the next upgrade but then after that we have stuff like stateless ethereum and um the vertical trees and The Verge roadmap to look forward to and of course there is a good thread to go with this today uh from Josh Rudolph who who works in r d at the ethereum foundation he has a thread on statelessness are coming to ethereum so basically discussing what statelessness is and I've talked about a lot on the refuel and I've I've said how it is a major upgrade for the network it can allow for more scaling it allows for

a um a better hard and more secure protocol allows for easier thinking of the ethereum chain all that good stuff and Josh's thread here does a really really great job of breaking this all down so I highly recommend giving his thread a read if you want to because I believe that this might be the thing that goes in the next Network upgrade after the one that goes live in like April May next jar it'll probably be uh you know the in late next year or something like November again um next year where we get we get this so yeah this is something to be paying attention to and I'll keep you guys all updated on that of course all right so uh speaking of staking I put a tweet out uh because I've seen a bunch of confusion around the

terminology that people use when referring to the staking ethereum ecosystem now there are five uh I guess words here that I want to just break down for you guys you probably saw my tweet but I figured I would just kind of break it down in the refill for those who didn't so we use the term entity a lot within uh ethereum staking you know we say this is an entity this is an entity this is but like what do we mean by that well the way I've defined it is that an entity is an individual Group Company Enterprise or other cohort of people entities in the ethereum staking context can be completely independent of each other but still be operating under the same umbrella so this is the key Point here and this is where I think a lot of confusion stems from and I use

Lido as the example Lido node operators are distinct and separate entities right um they all are separate companies they uh you know most of them outside of the US they don't uh co-mingle amongst themselves you know they could collude if they wanted to but they're definitely distinctly separate entities but at the same time they all exist under the Lido protocol umbrella they all have the same stf that gets minted right they all are at the mercy of lato governance lato or ldo token holders can add or remove with node operators from the Lido Network so while they are distinct entities amongst themselves as nerd operators which I'm going to break down what node operator means in a sec they are still under the

Lido umbrella and that's where the real risk comes from and that's where the real concerns come from is that the Lido governance is the centralizing force here not necessarily the node operators themselves because they are distinct and separate entities now uh what do we mean by node operator like what does that actually mean when we break it down we'll have to find it here and I said a node operator is an entity that operates full node and or validated infrastructure on the ethereum network node operators have complete control over the infrastructure that they operate but do not necessarily have control over the eth that is staked with that infrastructure so for example the rocketpool network right um the the rocker pull node operators do not have control over all of the eth that is staked uh and and that they're running nodes for that they're running

validate is for like when I spin up a mini pool with eight eth I have control over my own Ethan my own RPL but I don't have control over what was matched as part of the deposit pool right what gets matched or when you spin up a mini pool with with rocket pool uh same is true for something like uh uh uh like stakewise V3 for example if you were to create a vault there and then someone deposits ether you don't control their eighth you don't have access to their eth um but you run the hardware right and you so you run the software on your own Hardware you have control over the infrastructure so that's what a node operator is uh and as I said they they and but but some node operators do have control over the East centralized exchanges who stake to eat on behalf of

their users it's not their age but they have control over it and you're at the mercy of these centralized exchanges if you want to withdraw the uh from them right they have to basically uh uh do it for you there's no way for you to do that yourself not yet at least there might be in the future with that Erp I was talking about for execution layer exits uh but that's a that's a that's a future thing and then I defined exactly what a full node is so a full node is software that is made up of a consent and to Slayer client such as lodestar prism Lighthouse Nimbus all the ones I've talked about before and an execution layer client such as Geth nevermind base to Aragon wrath right it sinks to the head of the ethereum chain so like the current state of the

ethereum chain and is then kept up to date on new blocks and transactions running a full node does not require any eth and only hardware and some basic technical knowledge so you can run one of these nodes on a rock 5B board a Raspberry Pi and it doesn't require that much knowledge that much technical knowledge to get up and running now a validator is distinctly different to a full node a validator is a piece of software a client that performs validator duties attestations block proposals sync committees and more and is rewarded in eth for doing so validators must communicate with a full node and must be collateralized with a minimum of 32 each to perform these duties many validators can connect to a single full note you can have one validator connecting to a full node or

you can have hundreds uh you do not need to run multiple full nodes in order to to run at multiple validators now obviously in the future if we increase the max effective balance from 32 8th to 2048 8th you could basically consolidate those those uh those validators and you would have less um validates on the network overall but it doesn't change the fact that you can still have multiple validators talking to one full node now finally the term Stakeout is also something that I think gets um confused among people and I've just simply defined it as an entity that Stakes eth either on their own as a node operator holding or minting an LST or liquid staking token or staking with a service such as a centralized exchange so there are many different ways to stake here

and there are and and that's how I've defined that there so hopefully that all breaks the ethereum staking ecosystem down for you guys and I'll link the tweet in the YouTube description below of course for you to check out but that's how I kind of view all of this uh and and how it all fits together all right moving on to some layer 2 updates so scroll has launched their beta phase which means that the scroll test Nets apolia test net is now live they say here the improvements for this release fall into three categories uh ZK evm upgrade Bridge upgrades and infrastructure upgrades they said during our girly test net period we finalized more than 2.6 million batches to layer 1 with more than 47 million transactions 9 million wallet addresses and 4 million

contracts deployed the scroll ZK VM was built with battle tested and widely used cryptographic Primitives in the open with the community since day day Zero so yeah this is the second test net that they're launching obviously as they said they had their goalie test net period now it's a sapolia test net I assume mainnet comes after this right like I feel like this is probably the last test net that they're going to be doing before they launch the scroll ZK evm mainnet uh and yeah congrats to them for getting this out of the door here this is great and a disclosure of course I'm an investor in scroll but I mean I've been following their Journey for quite a while now um to be very very bullish on their technology because they have been really heads down grinding when it comes to the tech side of things they are

trying to do as many things as they can right before launching on on mainnet and there's actually been a debate in the community about this lately I'm sure you've seen it on Twitter between the L2 teams about launching uh you know too early and basically launching as a central eye a completely centralized thing such as what optimism has done with OP stack and they don't have fraud proofs whereas other teams have delayed their launches because they wanted to make sure that it was Secure even though there was like a multi-cig or something behind it they wanted to launch with the proper Security guardrails in place and there's a whole debate around that I'm not actually going to get involved with that debate because honestly I think a lot of it is pretty toxic I think a lot of it is pretty noisy as well because a

lot of these things are just going to get solved on their own I I have no doubt in my mind that optimism is either going to implement fraud proofs on the op stack soon or they're going to skip over fraud Crips and just go straight to validity proofs um but the criticism doesn't really I guess talk about that and more falls into the more falls into the category of optimism shouldn't have launched and promoted themselves and built op stack and gotten all this traction without anything in place and you should you know any of these security guarantees in place which I can agree with I mean I do agree with that and I have warned before this is a reason why I don't keep most of my money on these l2s because L1 is the safest place to be and l2s can still have their a lot of them still have

their centralized points of value which will be removed over time but it's all well and good for me to say they'll be removed over time until it actually has to happen right before I'd feel comfortable putting a lot of my money on these things and that's that's the way it should be honestly that's the way you protect yourself it's the way you stop yourself from getting blown up but yeah as I said I don't want to dive too deep into that discussion there um but yeah if you want to check out more details of Scrolls apolia launch you can check out the blog post here I'll link it in the YouTube description below all right so arbitrary more off-chan Labs has announced today that they've made it easier to launch arbitrim orbit any trust chains you can now use the orbit documentation and tools to create

a devnet any trust chain that hosts evm compatible smart contracts so if you're a developer and this is something that interests you you can go check out the blog post I'll link it in the YouTube description below but great to see that arbitrim is continuing to iterate on this kind of like orbit product that they have which is basically their answer to like the op stack and the ZK sync stack and the polygon supernet stack and all that sorts of stuff that's their answer here and they're taking a bit of a different approach where it's like building l3s on top of the arbitrim l2s rather than building more l2s so as I said before I love the expressivity here of the l2s where they're not all just essentially copying each other they're all going down their their own paths and they're all coming to different conclusions about how to build

things and how to manage things I don't know that that stuff gets me really bullish so so yeah this one is for Debs though so you can go check this out if you are a Dev I'll link it in the YouTube YouTube description below all right speaking of Roll-Ups and l2s coffee here has introduced a new data set on doing analytics covering the on-chain costs and revenues of all l2s now he has a new dashboard here or an updated dashboard called roll-up economics where you can I've shown this before but basically it's been updated and you can see all the things like the on-chain profit these Roll-Ups or the tracked Roll-Ups are making uh the costs that they're publishing transaction data to L1 uh all that information that I've gone through before on the refuel you can go check this out for yourself but

you can see the growth here has been just insane look at this this year the on-chain profit of each of these uh I guess like Roll-Ups has skyrocketed I mean if we look at I guess this is August so if we look at July because we'll get a full month if we look at July you can see here that base uh obviously um wasn't live officially in July but they still generated 675 000 of of profit uh ZK sync generated 4.6 million dollars of profit op mainnet almost a million and arbitrimp at 1 0.1 million dollars now that as I said was just the full month of July it was actually more in it I think it was more in total in uh in uh May and June or uh uh April and May sorry I should say uh and then you

can actually see the costs of publishing transaction data to L1 cost of uh publishing transaction data to L1 and this is going to be really interesting to monitor because once once you have 4844 and once these Roll-Ups integrate 4844 into their stack we expect these costs to pretty much plummet right because 4844 blob space is going to be a lot cheaper than than uh transaction data uh on L1 but at the same time like it's not actually that much because if you look here and this is measured in US Dollars the biggest month was May and the total I believe was uh by just eyeing it maybe let's just say 20 million USD was published to to ethereum L1 so in May I I think that the ethereum

uh I guess like total fear of a new for the whole one not not just um the l2s publishing their their data to L1 but like all of L1 activity I think that the L2 is probably made up five percent of that or something so it's not going to be a substantial thing when they switch to uh blob transactions they're still going to be paying obviously but it's not going to be a substantial drop-off because as much as people you know well not just people but we all say you know the people are going to move from L1 to L2 and L2 is where the majority of users are going to sit that is true but there's still going to be a lot of activity happening on L1 there's still going to be a lot of people on L1 and those people are just going to be the

ones that can afford it at the end of the day right there's a lot of liquidity on L1 still there's going to be a lot of bridging there's still going to be a lot of Mev so I don't expect Fair Avenues to come down for quite a while there but it's going to be interesting to see the transition from L1 to L2 over the next few years because l2s I mean unless I'm missing something that there really isn't a reason to do Mev on L2 transaction data and L2 proofs um unless you're doing some kind of extortion attack on the blobs which I don't think is necessarily possible because I mean I haven't kept up with the latest on it but there were some concerns around that but they're alleviated because one reason or another so if everyone just moved to l2s and no one was using L1 and L1 uh no one was

using L1 directly and L1 was only used for l2s well you would think logically that the l2s were doing so much volume that it makes up for the the fear Revenue that the L1 lost from people doing stuff on L1 uh but it remains to be seen if that's going to be the case but yeah I think L1 is going to be used for a long time still it's not like everyone's just going to abandon L1 and go use L2 but you can go check out this roll up economics dashboard I'll link it in the YouTube description below all right moving on connects has announced when their token is going to go live so a disclaimer here I am an investor in connects as well just just to get that out there but essentially they're going to be doing their first distribution of the next token in I

believe early September here so uh you'll be able to claim this uh token on multiple chains you'll be able to claim it on arbitrum One op mainnet the polygon POS chain and gnocious chain the only page to verify your eligibility for the airdrop is at airdrop.connects.network as I said it is happening on early September actually they've got an exact date here September 5th at 1pm UTC which I believe is what two and a half weeks from today or I guess like 17 days or something from today so but you can check your eligibility right now as I said at airdrop.connects.network only click the link in this tweet thread uh here which I'll link in the YouTube description below uh but yeah I found it interesting that you were able to claim this airdrop

on multiple chains and that's because it is a cross chain airdrop I think it's the first cross-chain airdrop and that's because connect is a cross chain protocol um that I you know I've been talking about for a long time now on on the refuel uh and it is a very unique way to to kind of uh do a um do an airdrop here so the next token is actually not an erc20 it is an xerc20 which is a cross-chain native token um that connects has actually made here and they say here at launch next will be used to govern the connect style which is responsible for allocating funding for the ongoing development of the protocol and connects ecosystem and in the future next can additionally be used to further decentralize the network by making activities such as routing chain

support and token listing permissionless via next staking subject to Dow approval so the standard stuff you know we see from tokens here but yeah you can check your eligibility right now the link is in the YouTube description below for you to do so right an update out of the liquidy ecosystem today so this is all about oracles and how they are picked for liquidy v2 so they start off this tweet by saying given that given the oracle's pivotal role in providing reliable timely and tamper-proof external data choosing the right Oracle for liquidity V2 is of Paramount importance and they say let's break down the key aspects to consider when choosing the right Oracle for v2 and contextualize them with the incumbent providers in the space now there's a whole tweet here that explains

all of this which of course I'll link in the YouTube description below but what they also have is a matrix yard where they looked at each of the most popular Oracle providers such as chain link and Teller and obviously uni stop V3 t-wap uh Redstone Python and and more and then compared them based on a bunch of different criteria such as is there admin control uh what change do they support what are the trust assumptions that sort of stuff there this is great I haven't actually seen a a breakdown like this before uh and it's pretty cool to see like which kind of oracles uh fitting what criteria and you can see they're color coded here green is good uh you know yellow is acceptable orange is concerning uh there's not that much orange here which is great and there's

only one I guess like uh deal breaker they're in Gray and that was from teller where the latency is 10 to 20 minutes so yeah that I mean I guess it guess definitely is a deal breaker uh but you can see here that I like chain link obviously being the most popular they've got a lot of green uh and obviously a lot of yellow here but they also break down exactly why there's there's yellow so in the um admin control immutable immutability section uh chain link has an upgrade control over um over the chain link protocol chain link Labs uh uh here and then you can see like is it permissionless uh no there's whitelisted nodes but uh that's just for chain link but with telol it is permissionless um and it's fully immutable and then they just break it all down here I'm not

going to dive into every single one but you can go check this out for yourself I'll link it in the YouTube description below but yeah kudos to liquidy for putting this together and actually putting a tweet out about this as well with the description of how they've come to these conclusions because this is something that should be on actually our website you know imagine an l2beat.com for oracles that'd be really cool maybe liquidy can uh can can spin that up now that they've done the research maybe they can create a site uh that actually lists these things like Oracle beat or something like that or maybe channeling can do it like uh you know chain link obviously is um is is the biggest player in the Oracle space it'd be cool to see them do something like this or maybe it already exists and I'm not aware of it

if it does already exist please let me know but you can go check out this full tweet I'll link it in the YouTube description below all right cow swap had a big announcement yesterday they have uh integrated t-wop orders or time weighted average price orders into the cow swap protocol so t-wop orders let users split their trades over time while benefiting from Cal's signature Mev production protection and best prices so it's available for safe wallets today and you can check out this blog post I'll link it in the YouTube description below but essentially you know people asking you know why would you use tiwap orders well Cal swap answers this they say t-wop orders smooth out Market fluctuations reduce the need to set higher slippage tolerances and spread out the price impact of your trades now the this might

not apply to smaller trades right it depends on the token as well but let's just say you're doing a big trade you're doing like a million dollar trade or something like that your size is size and you see that okay if I do a million dollar kind of like a market sell right now my slippage is going to be 10 because there's not that much liquidity for this token and I'm gonna eat 10 of my market selling slippery just means I'm only gonna get 900k I'm not gonna get the full million okay well obviously you're not going to do that then you could do limit orders okay do a limit order but then a limit order you can you can set the prices with the limit orders where essentially you you have uh an order at one price and or another price and maybe it's like a 50 difference

between the prices depending on what you're buying um and and then you can do that as well and and Cal swap supports that okay that's cool but like let's go beyond that and let's do a t-wop order where it basically smoothens all of this out and allows you to get the best possible execution uh for whatever you want to be selling and and and and now that can be done within cow swap which as I've mentioned before is one of my favorite exchanges to use on my favorite decks is to use uh so kudos to them for for launching this today so you can go check out full details about this in the blog post and tweet thread which I'll link in the YouTube description below uh but yeah I just wanted to put that on your radar because I know a lot of you guys

use a cow swap all right a protocol that has kind of exited stealth today uh is zaros so zaros is a project that I actually am an investor in as well I should I should note that there as a disclosure um but they describe zaros themselves as zarus is a groundbreaking protocol that empowers liquid staking tokens or LST holders to boost the rewards by lending the liquidity for the creation of perps markets the protocol introduces usdc and lst's collateral vaults and an over collateralized skable coin called zrs USD so basically a new product that is going to be launching on layer twos uh and you can check out obviously what how this all works under the hood in this tweet thread here I'll link it in the

YouTube description below but I think that on-chain perps are uniquely being enabled Now by layer twos and obviously xaros isn't the first protocol to do this there's been synthetics doing this for a while and there's obviously GMX and stuff like that but I think that we need more competition in this space we need more innovation in this space and we need it all to be happening at the l2s because it just doesn't really work at L1 because you you definitely want to have low latency trading with this sorts of stuff you definitely want to do things like order books and stuff like that right which just really isn't possible at layer one in any kind of like um in any kind of fashion that is similar to a centralized exchange experience so that's where layer two's come in and uh and zaros is coming out

with a unique value prop of being able to use kind of lsts and as collateral for these vaults uh and augmenting their own uh stable coin which is zrs USD here so as I said I'll link the Tweet thread in the description below for you to check out all right fire the app or the extension that I've talked about before that allows you to see exactly what's happening with your transactions I remember I showcased it on the refuel where essentially it would be like a sister extension to metamask for example you would assign a transaction and it would show you exactly what you were signing uh they have announced today that they are creating their own wallet so this I guess was inevitable and you can join the uh the wait list to get access to it uh by entering your email

on the website but essentially this is going to be an all-in-one solution so no longer will the extension pop up a lot along metamask you'll just use the fire wallet and it will all be inbuilt into the wallet itself and you know there has been a bunch of new extensions or new web kind of like sorry extension wallets coming out recently you know rainbow has one there's Rabbi there's uh there's another one that I'm it's eluding me right now they're all metamask competitors of course but they're doing a lot better than metamask to be honest and I know the bar isn't high but I've said before that I don't think metamask is going to evolve much it really just is that kind of like robust um Old Faithful wallet that you know is like super secure I've been around for a while has that Lindy effect but it

doesn't have the bells and whistles it doesn't have the things like what fire will give you it doesn't have the things like what rainbow will give you with the really pretty nft displays and stuff like that um so and and the other the other wallet was frame it doesn't have the stuff that friend frame has you I think frame is more of a power user wall to be honest there's a lot going on in frame but yeah metamask is definitely That Old Faithful kind of thing I mean I still use metamask with path pass through with my Hardware wallets um but generally I I think for me it's more of a fact of I use metamask on desktop but on mobile I don't because on mobile I want a better experience than what what metamask can give me uh and I I haven't really said it on what wallet

I'm using yet but I do enjoy using rainbow because it gives me nice pretty pictures and stuff like that but uh but yeah I think the wallet race is still it's still to be run but if you want to join the early wait list for the fire wallet you can I'll link it in the YouTube description below for you to do so all right to round out today's episode let's talk the markets so I put out this tweet just before where I said the market can remain detached from fundamentals for longer than you think I learned this the hard way in 2018-2019 and even 2020. time-based capitulation just simply takes time have patience focus on the long term and the market a market might just reward you so obviously we had one of the biggest

dumps we've had in a while uh overnight I slept through the entire thing it was amazing I went to sleep either 1700 I woke up it was 1700 again and I then when I checked the price I was looking at my trading view app on my phone I hadn't actually looked at the chart yet I'm like oh okay another sideways uh overnight who cares and and then I and then I looked at the chart and I'm just like oh oh he's about to 15 40. uh and then went back up I'm like what the hell happened so I jump on Twitter of course and I look and I'm seeing everyone kind of like panicking and I'm like okay did anything actually happen or did leveraged Apes just get blown up and of course they did right leverage Apes just got blown up there was some headlines

that people pointed to like apparently SpaceX or Tesla sold their Bitcoin but then they didn't sell it they just wrote it down to zero or something I don't know there was just like all this stuff happening and then there was a headline which I had up before where the SEC uh you said the green light each Futures ETFs which I don't think is actually new news I think it's actually old news that's just been recycled so there's just a bunch of like for lack of a better term going on in the you know overnight while I slept and uh yeah I quite literally slept through it all but the the thing is is that as I said at the start of the episode I don't have anything new to say here guys I've said it before and I'll say it again the rest of this year is a write-off it is

literally just sideways in our defined range that I've shown before between a thousand and two thousand it seems like that range is even getting tighter lately where it's like between 1500 and 2K right I just don't expect much to be happening this year but when volatility like this happens and when things tend to bounce off like high volumes from a not just a Trader perspective but from like a long-term investor perspective you look at that okay there's demand there right the the price bounced back up because people were willing to buy now where did that demand come from was it investors waiting to buy the dip you know were they sitting on some cash in there finally like oh my God you know here's my opportunity to buy or was it Traders basically saying okay well this is a nice scalp I'm gonna buy here and then just sell it instantly

because there's like been a massive move because obviously Traders live or die based on volatility and for a long time now there hasn't been much volatility so they're obviously taking advantage of this move here uh or are we just gonna like sit sideways for a little bit from here and then continue up again because all the leverage was cleared out at the end of the day depending on your time frame it's going to be a different answer for me my time frame you guys know is many many years into the future I I do not care about the short-term stuff I know you guys doing and I know that a lot of you guys are first cyclists or even second cyclists that still are going through these sorts of stuff so that's why I talk about it but I look at today and for me it's like

it's a one it was a buying opportunity I bought some more eighth of course you know but but also I look at it and I'm just like this is just how these things go this is just how these things go until as I said before unless eighth goes below a thousand dollars or you know and closes below a thousand dollars like let's just say it's below a thousand for like a week or it's above two thousand for a week at least I'm not really gonna start getting excited or panicking right and and maybe panicking under a thousand not getting excited under a thousand I mean I would be excited for like the two seconds that I get the opportunity to buy eighth under a thousand dollars again and then if each sat there and didn't move up for like a week I'd be like oh okay what's

what's going on right so for me all these movements are just like yeah whatever uh but as I said before rest of the year I expect sideways movement and and this sort of stuff going on uh this as I said uh and then next year I'm definitely predicting a more more positive yeah but I could be wrong on that guys like I know it's become a meme now that uh people are saying well everyone's expecting the 2024 20 25 years to be a bull market that's why it's not gonna happen but not everyone's expecting that because when you have people that are saying that that's not gonna happen well then uh it's basically not everyone's saying that it's gonna happen because you have people that don't believe it's going to happen as well so if everyone believed it was going to happen you wouldn't have those

people so really it's just a kind of Battle of time frames I think as well where people don't understand that things can things can change quickly and they can change quickly when they've already uh when it took a long time for them to change now that might be confusing let me let me put that in the context so what typically happens is that you have what's called a wall of worry where the price starts going up this wall but it's a wall of worry everyone's worried they're like oh is this the bull market you know they're in disbelief they're like is this a bull market like do I buy here or am I going to get dumped on it's going to crash again is it going to new lows and there's like a worry wall there now the more the the longer the the wall of

warrior gets climbed right the higher the price just trickles up and it goes up slowly at the start and then it keeps going up and then it starts hitting those kind of Milestone prices that you haven't seen in a while like for BTC it hits 40K we haven't seen that in ages for either hits 3K haven't seen that in ages then the wall of worry starts slipping away and then you just basically have the wall of optimism everyone starts getting excited right and then eventually hit like an inflection point where everyone's like oh okay and they forget about all the worries the fears nothing and everyone who's still singing cash is like oh I need to buy and that's why you typically see the slow grind up and then boom we just go straight away right and then obviously all the retail investors Pile in and everything just starts going

crazy and it plays out exactly the same way every time and it's really just based on human emotions I mean markets are just a reflection of human activities and it really is just a reflection at its core of human emotion and that's why you can basically map it all out and I saw a tweet today actually from DC investor who said three years of hell for one year of euphoria well yes because I mean three years of bear Market crab market because people uh get absolutely just wiped out and scared and one year of of euphoria because people get way too greedy so typically the bear markets will last longer than the bull market but I look at it a different way I look at in the sense of three years of a quiet building and accumulating and then one year of getting rewarded for

that quiet building and accumulating that's all you have to do to play it really is that simple guys like I know me saying it makes it sound simpler than what it is but it really is that simple but the thing is is that I think that a lot of people need to I mean I needed to do this you need to experience the the whole thing you have to experience a cycle or two in order to get that because I can tell you all of this but you know a lot of people won't believe me they'll be like now you're wrong you know you're wrong it can't be that easy it's not that it's easy it's just that when you think about it rationally over the long term you give yourself more leeway if I tell you if I try to tell you what the price is going to be at any

given day I have you know more I have a pretty high chance of being wrong but if I try to tell you that okay in you know this year the rest of this year is going to be crab Mark and I've been saying this since the start of the year right I mean by I remember at the start of the if you go back to the refuels when I talked about the price I said that the bubble that we're not the bubble the the price action that we're having right now where we're just pumping is because we had such a bad year last year now we're just reverting to the mean and then I said to you guys that the meme of the echo bubble is just that it's a meme right it is something that was pushed by Traders and we played that out and then

I said that yeah the other thing interesting would be happening this year and that's exactly how it's played out but that's because I gave myself a whole year for that prediction to play out I didn't say that something was going to happen one day and happened another day and if you look at crypto Cycles they're four year Cycles typically so that's a long period of time and as I said in my tweet time-based capitulation just simply takes time it's in the name right um but yeah anyway I'm I'm ranting now I'm raving you guys know I'm preaching to the choir you guys are all smart enough at this point I think if you if you've been around for a while so I don't think I need to lecture you but uh but yeah anyway just wanted to end on a more positive note for today so that's

gonna be it thank you everyone for listening and watching be sure to subscribe to the channel if you haven't yet give it a thumbs up subscribe to newsletter join the Discord Channel and I'll catch you all next week thanks everyone