ROLLUP: 3rd Week of November

Transcript

if you are looking for the front page of defy look no further than xerion.io xerion is your home base for managing your d5 portfolios xerion offers a central place for you to engage with all of the d5 protocols and assets that you engage with on a daily basis but all in one central spot here you can see i've loaded up a wallet in xerion is giving me the portfolio performance of all the assets in this wallet over time as well as a breakdown of all the assets that i own as well as all of my transaction history that i've ever done in an easy to view fashion xerion also lets you invest right into dfi's best yielding financial opportunities right from their home page xerion also makes it super

easy to access interest in defy using applications like compound and ave in the background and you can also exchange your assets using the xerion app using an exchange aggregator in the background to make sure that you always get the best rates you can even use the xerion mobile wallet to add your metamask or arjun or another ethereum address right into your mobile wallet so you can see your portfolio and engage in defy on the go here i just loaded up my argent wallet and now i'm going to load up my meta mask as well and xerion will do the same thing it will add all of my assets and wallets together all in one space and give me a portfolio summary of what's going on adding wallets is trivially easy if you already have a meta mask you can get it

right into it the xerion app and it can sync with your desktop app as well and the best part is you can also buy ether right into the app itself use the invest tab to look at all the things that you have invested in as well as other opportunities and coming soon to the xerion app is the ability to buy and sell your assets straight from your mobile device as well so download the app it works on ios and android go to xerion.io plug in your wallets and get a historical report of your portfolio over time as well as a comprehensive breakdown of all the assets that you own and how much yield they're generating for you we're also brought to you by monolith monolith is your cool new defy account your defy savings account your d5

checking account except the cool thing about the monolith defy account is that it gets software updates right you actually get to increase the usefulness of this over time so here are some of the features monolith is a smart contract wallet with a lot of the features that you would expect if you've come to know defy and what it is you can you can add money to it you can put that money to work in compound and accessing yield uh but you can and you can also swap through uniswap what was cool with monolith is that they will send you a very sexy monolith visa card that connects to your smart monolith smart contract wallet on ethereum so it's a really awesome tool to live a bankless life with a a savings account that gets software updates so

this is something that you're never going to find out in the real world but you can still do real world things with you know real money and like buy your groceries so that's just fantastic coming soon to monolith actually already here to monolith is now you can buy die and get it sent to your wallet directly right so it's also being an on-ramp so you don't have to go through your centralized exchange like coinbase or gemini or wherever you can just go straight from your bank account right into your monolith checking account smart contract wallet so check them out at monolith.xyz bankless nation welcome to another weekly roll up episode this is the third week of november so here's what we do on these episodes we roll up the week for

you it is friday morning we're rolling it up david always says that fantastic way to start your friday morning grab a cup of coffee catch up on the week that was crypto we take five minutes five topics we try to get through this in 25 minutes first we talk about the market that's gonna be thick this week releases news some hot takes and then we end with what we are excited about this gets released every friday morning on both youtube and our podcast stream david you ready this is the third week of november year of our lord 2020.

let's get to the roll-ups man that's rolling them up all right market time okay uh bitcoin that's had a good week in the really good one i'm gonna share i'm gonna share some price uh data i think you're going to be looking at it in just a second we are over 18 000 my friend what does this mean yeah and specifically over 18 000 but also since there are new bitcoins out into the market since the 2017 bull run the combined market cap of bitcoin is at an all-time high already so in one respect we've already broken all-time high and that actually is the metric right market cap it's not really price can vary because supply gets inflated and increased over time so market gap's pretty reasonable so

bitcoin's at all-time high the total value of the bitcoin network is at all-time high so congratulations to bitcoin it broke through the ceiling it's there and uh yeah i think people are really bullish about how there seems to be clear skies ahead good job bitcoin all right let's talk about bitcoin on ethereum is that up or is that down it's up it's always up it's up by roughly 1500 bitcoins we are at a combined almost 152 000 total bitcoins on ethereum all right what are some other interesting things so new addresses created this is a tweet that glaston put out said the they have just observed the highest number of newly created bitcoin addresses since january 2018 what accounts for this david yeah

part of it has to be new entrances into bitcoin that's when bitcoin price goes up it's largely a result of more people buying bitcoin and we now think because of the macro economic environment that a lot of new people are buying bitcoin and this is how cycles start uh and so uh seeing that a record new address is is now holding bitcoin is indicative of a lot of people coming into this market so uh welcome newbies welcome to the train they're on the network all right uh this was an article from nick carter nine bitcoin charts already have all-time highs so this wasn't only the market cap that we talked about just a few seconds ago this is some other things what were your takeaways from nick's article besides we're having them

on the podcast next next tuesday for state of the nation but uh some takeaways here yeah yeah we're definitely going to peel back all of the layers with uh nick directly on the state of the nation so stay tuned for that uh but the gist of this is is that you know everything is correlated and everything is at all time highs right and it would be it would be different if just price was at all time high and and things weren't things like active addresses weren't at all time high i remember there was that that fake out pump in 2019 where bitcoin jumped to 14 000 and a lot of these metrics were not at all-time highs even though price was right now everything is at all-time high so that's just an intrinsic message to the fundamentals of the network yeah nicos there's some interesting things

that we'll get to on tuesday about open options interest in the cme being at all-time highs even um bitcoin price in the turkish lira is at an all-time high which is an interesting benchmark that he's going to tell us about a little more okay let's get to eath price how's eth hanging in there uh i mean if you we are measuring it against bitcoin it's been falling behind recently it seems to be bitcoin is going through this uh reflexive cycle of bitcoin highs make new bitcoin highs and ethereum and when that happens uh other assets tend to get a little shy uh bitcoin tends to suck the air out of the out of the room and so things kind of just wait and see for bitcoin to calm down uh the belief is that at the moment that

bitcoin takes a breath takes a hesitation the rest of the market will follow a suit and that's kind of where we think ether is at the moment it's at 475 dollars being bring pretty flat it did break its uh it's 20 20 highs of 480 dollars i believe with the d5 summer highs it crept all the way up to 495 i believe uh but it's it kind of it and then there was that crash and now we're holding steady in the mid 470s is that was that a two-year high above uh four four ninety percent yes that is correct yep all right uh let's go back to eth in a second but want to check out the d5 pulse board that is about the same um for now we're up by 0.3

oh okay 0.3 billion we'll take it yep uh that used to matter a lot more in total locked in in d5 but now you know 0.3 billion here or there who's to say among friends um all right this was an interesting chart as well active addresses on ethereum are going through the roof it seems like uh what's your take here yeah same thing just that people are coming into the ecosystem uh active addresses on ethereum are a little bit more difficult to discern just because there's so many more reasons to have an address on ethereum but nevertheless like it's at an all-time high like we don't need like all-time highs are all-time highs we keep saying that okay into the crypto verse so this is our friend ben he put a great post on bankless a while ago but

uh he actually compares ether to bitcoin in like 2015 and 2016. and i mean this guy is one of my favorite folks in kind of ta and it's it's like there's some ta folks that are just like you know painting things on charts and no absolutely nothing yeah drawing shapes ben takes a very uh sober machine learning yes algorithmic um backed take on it and he looks at the long term so what's he saying in this he says this this is sort of extrapolating his models over to 2014 and he he uh says that the next bubble so this bull run that we think we have entered would put eth

price at nine thousand nine hundred dollars that's almost at that road to 10k amount do you buy this what's your take oh yeah the 10k meme is not a meme for just fake memory reasons the 10k meme is a meme because it's real like ethan's going to 10k but we're all going to get it there it's interesting he says the fair value in mid 2023 if you kind of look at his his data model here it's about nine hundred dollars but it ethan is going to be overvalued by 100 because uh bull markets swing they do in the other direction so he he thinks he that this model predicts that it would be nine hundred nine hundred dollars uh nine thousand excuse me nine hundred dollars by mid

2023 that is bullish my friend um that is that is by definition bullish right i mean like i i think his bitcoin predictions have sort of panned out and um i don't know it'll be interesting but good job ben on that um but this is uh another i think interesting data point uh from from cyrus so for folks that um aren't looking at the visual here can you spell out what right what this tweet is about yeah so uh uh bitcoin and ether price december 7th 20 2017 back in the last cycle bitcoin was 17 000 ether was 470 000. now in november 17th two days ago the prices were exactly the same uh and so we've just got three years later

we are full circle back to back to being at the same price as we were three years ago the difference is back in 2017 that was the peak of the bull market and in 2020 it seems to be we are at just the base of the bull market so foundation so what that means david is if you if you held bitcoin from um that date like three years ago by the time and you bought uh ether like it would be the same there's there's no difference between those two assets so like all of the gyration up down up down in the ratio everything all of the bitcoin fighting ether all the fighting all of it was meaningless is that what you're telling me like none of it mattered back three years ago to where we started

yep exactly that's exactly right also most importantly uh december uh is a very hot month for ether and people people will remind themselves that in after bitcoin rushed up to 20 000 ish it kind of fell down to 14 while 14 000 well ether ripped from like 470 all the way up to hundred dollars right historically ether has always done extremely well in december five out of five times its best months are all december and it is uh november excuse me it is november 20th right now so i am getting ready let's see what christmas 2020 brings for the price of eth okay last thing because we're taking a lot of time on market but

a lot is happening in the market to be fair market week d5 is going up as well this is the d5 pulse index that tracks the top uh 10 or so d5 tokens and how much of that appreciate this this week dude yeah it last week a week ago seven days ago it was at 81 dollars it is now at 104 dollars it has a huge huge bump uh people thought d5 was dead uh turns out defy was not dead and last week it outperformed ether very interesting all right david let's get to releases so what got released last week we're really excited about rocket pool and they had a medasha beta pilot essentially a beta participation that just concluded there

does that bode well for them coming to maina i think this post here says maybe a 2021 uh q1 launch of rocket pool on staking on the eth2 main net what would that mean yeah yeah rocketpool just going through mainnet after mainnet the medalla beta main test net just concluded and they're going to roll out another test net after this which integrates the rpl token mechanics that's that's the whole purpose of the next uh test net the reason why we wanted to just get this in the news is let you guys know like rocket pool progress is happening with rocket pool and i'm really excited about rocket pool because it is inherent to ethereum and its decentralization so cool stuff is happening there behind the scenes but also a lot of people don't have 32 eth to state right this allows

them to do it if they have a lot less all right let's talk about something else that's cool so um both yfi the token and bal the balancer token are now available as collateral in maker vaults i'll give a quick take on this i think this is awesome super bullish dude because this is um trustless capital assets on ethereum uh i am getting and was getting uncomfortable with all of the usdc inside like collateral backing die and this is a very attractive alternative because these assets are all completely settled on ethereum there's

nothing in some sort of traditional bank account so i'm super bullish that this these assets are emerging and this collateral can be available to back something like dye what's your take yeah i think that's the exact right take and i think the legacy of defy summer 2020 was the emergence of native assets native defy tokens on ethereum that have value and therefore can them themselves be collateral right and that's how we retain trustlessness and and purity if you will and die absolutely and i i read somewhere that uh i believe um maker the maker contract is now like the the fourth or the fifth largest yfi holder so a whole bunch is getting put in there it's like something like four percent maybe more could be wrong in

those numbers but i think it's pretty close to that all right let's talk about uh another release this is the uh do you remember yam i remember the first uh vegetable farm here we had uh they actually just released something so yam is still alive and kicking they released something called the umbrella protocol which is actually i'm trying to provide protection in d phi assets i say release but they're kind of announcing a soon to be um in like alpha in production alpha essentially but what i found interesting about this is that uh yam is actually building products so they've become it's a dow and they've got i think

something like three million in assets that have been contributed to their treasury just because whenever yam trades over a dollar a portion of um like the proceeds from a rebase go into this this treasury and they're using that treasury to fund interesting d5 projects right um which will probably ultimately have a value capture mechanism to put money back into the treasury i'm sure i'm sure that that is involved with this it's very fascinating it's almost like a new model for some kind of a dow organization but um like different so i guess they're shipping they're still they're still like push pushing things out there um the last thing we should maybe cover

is the ethersync uh ether risk either is risk ether risk okay i've always read it i've never known how to say it um they are delivering something for the real world david do you want to talk about this yeah this is something that i've always thought would be really really cool about ethereum this is one of these sci-fi futuristic products that i'm pretty bullish on ethereum in general i don't know if this is the product that is going to um be the future version that i have in my head but uh prediction markets and risk markets on ethereum uh with in combination with oracles from from chain link can allow people to purchase insurance on real world events that can help them secure their

lifestyle and so the ether risk team and chain link have offered the ability to purchase crop insurance to people in kenya so i'm guessing the way that this works is that like if there's not the theorized model is like if there's not enough rainfall in your region of the world over a certain period of time you can buy insurance against that and so if you are a farmer you can buy against a drought season and something like that is being rolled out by the etheristic team and chain link and so that's just really cool crop insurance in d5 for areas that would previously not have had access to this type of financial instrument that's kind of working anywhere perhaps yeah absolutely all right uh let's let's flip to news if you want to live a

bankless life you need to get a hardware wallet there is no alternative for storing your crypto in a self-sovereign fashion that's why i have four ledgers that i use to manage my different crypto assets using the ledger live account as well ledger live is like your home base for managing your ethereum defy and crypto accounts it does a really good job of aggregating all of your different ethereum wallets if you are the type of person that uses more than one but you can also add other cryptocurrencies like bitcoin or cosmos or whatever your preferred blockchain is and then it will display an aggregate portfolio of all your accounts at the main page one thing that ledger is doing a really good job of is enabling all the money verbs that

me and ryan talk about with the bankless skill cube enabled in the ledger live app so right now in the ledger live app you can buy sell lend swap and stake your crypto assets which is doing a really good job of fulfilling all of the money verbs in the bankless skill cube something that's new to ledger live is ledger swap where you can swap assets one for another directly inside the ledger live application ensuring trustlessness in your financial activity on ethereum and on bitcoin if you want to learn more about what you can do with a ledger go to the blog post the power of ledger live on the ledger website where they share some of the more advanced things that you can do with your ledger that you might not have known about there's a link in the show notes that will take you to the ledger

shop where you can get your preferred ledger hardware wallets i personally like the ledger nano x but i also have both they're both great options when you own a ledger you own your own assets in the way that they have been designed to be held by the user and the user alone so go get your ledger today to make sure that you are as self sovereign as possible the bankless state in the nations are brought to you by wiring wiring is defy's first self-building community run project which i just get really really excited about wiring is a system that seeks out yield in d5 and it does that in a number of different ways a very aggressive way is with the vaults where you can deposit your preferred

asset of choice and different defy experts will come in and generate a strategy for what to do with your deposited token right and so it'll go find ways to get yield in that deposited token in d5 for those who want to just earn yield on their stable coins the urn system is for you where you can deposit your preferred stablecoin and wiring will go and figure out which money market on defy and defy is producing the best interest rate whether it's dydx it's compound or ave it looks around d5 to see where the yield is coming from and it directs stable coins automatically so you don't have to check them out at yearn.finance to get started and also check out the stats page to see what other people are doing all right uh

let's let's flip to news david so what's in the news this is the first one another rich guy invested in bitcoin i've heard this one before yeah all right so who is this rich guy why do we care i don't i don't care actually about who this rich guy is apparently it's a mexican billionaire but like i just add one to the billionaires who bought bitcoin call him that's that's the news well the news is he's has 10 of his liquid portfolio in bitcoin and apparently he's been purchasing from grayscale since 2016 and he continues to purchase and we're just finding out about this i think there are a lot of high net worth individuals who already are in crypto assets and you'll find out a few years from now basically

all right coinbase coinbase went down man that reminds me of 2017. yeah that's exactly right in 2017 coinbase went down all the time and just because 2017 hit crypto companies they blindsided them they were not prepared for like the customer support and just the the load but also coinbase has had three years to figure their [ __ ] out and they haven't seemed to have done that so i can't tell if i'm like bullish because like our biggest exchange is crashing because of demand or i'm bearish because our biggest exchange is crashing because of demands like what what take is there i don't know brian armstrong come on the podcast disregard what david just said there you see it's great yeah that's funny it's it feels almost nostalgic to me and by way when we said went down we just mean service outage

right it's you know we're not talking about price here but um we'll see if that continues to happen all right paypal we've talked about them for the last every single roll-up basically yeah um they are reaching some serious volume in terms of their crypto sales here's a headline that says paypal has reached 85 of binance at least finance in the us volume in their first month this is in crypto sales is that right yeah crypto volume right exactly and so i think that just kind of lends an ear to why getting legacy institutions onboarded into crypto is perhaps even more valuable than building our own alternatives like if we want to reach out to the legacy world we need legacy institutions to come onto crypto right like they have the the network effects

that we want it's just low hanging fruit right there and uh it's going to happen um like the the bullish case for this bull run is that everyone in the world just has like 10 times better access to crypto it's easier to buy crypto now in our final boss series as we call it the nation state uh doing something in crypto um there is a dutch the uh the dutch central bank has told all bitcoin exchanges in the netherlands that their customers must actually prove that they really control their withdrawal their withdrawal address so that means before you if you're in the netherlands before you withdraw uh ex withdraw your bitcoin or crypto from an exchange you have to

do some sort of identification some sort of a test aml you have to test to ownership no other european country requires this i'm actually not sure because i think that uh oh switzerland does there's nick carter thank you yeah thanks dick i knew you'd be there um yeah so uh what's your take on this sort of thing like cr crypto banks are becoming regulated essentially that's what exchanges are and the nation states saying hey you got to know who you're sending the money to we have rules around this what do you think yeah so they're just making uh exchanges cover their own ass with their withdrawals so like if i have a coinbase app and i am buying drugs on the silk road and i send bitcoin from my coinbase app to my silk road address i actually

can't attest to the ownership of that address because somebody else owns that and so like if i need to send it to my own address and then i can attest that i own that address and then if i send that money to the silk road i have a tested or you know insert your criminal activity here i've attested ownership over a bitcoin address that made a transaction that did that was associated with illegal activity so it's really just about the nation state trying to get a grasp on where all the world's value is going and so like we would expect this to come out of the nation state is also perhaps an infringement on privacy yeah it's also to me anyway bearish a little bit on the bitcoin network because if you are scaling bitcoin with crypto banks uh and all crypto banks require aml kyc

identification then basically you're going to turn into a world where you've got some limited activity on jane but all of the real economic activity is all aml kyc no privacy right hopefully that is not the fate of ethereum and uh defy maybe that's why there's so much bitcoin on ethereum maybe so david i think you're on to something because that keeps rising from week to week all right let's talk about something else in the nation-state world uh the sec right chair yeah chairman chairman um jay clayton jay clayton who we heard so much about for the last three years he has stepped down and the headline is the crypto community rejoices are you having a

party about this i i guess so i didn't really have a strong opinion about this but people really think that jay clayton was the individual that was getting in the way of a bitcoin etf and now that he's gone a bt a bitcoin etf is closer and so if that's true then absolutely let's get a big bitcoin etf so people can access bitcoin via the legacy stock market and number can go up you know it's a bull market when we've got game of thrones celebrities talking about bitcoin and crypto assets so this is maisie williams he's asking the question aria stark should i go long bitcoin wow look at these results yeah about that yeah that's pretty funny yeah and the reason i think we want to talk about this is is

signals like this are important like bitcoin is reaching into the mainstream like and the people that are commenting on maisie williams twitter about whether she should buy bitcoin or not are retail right this is how we access retail uh also it's worth to note that like there was a in 2017 in december uh katy perry tweeted out her painted fingernails that were all cryptocurrency themed uh i remember that bitcoin xrp monero and like that was literally the top like when you see celebrities with painted crypto asset toenails and and fingernails like hit that cell button because like it's it's time to get out wow pay attention this is not the top david it's not the time okay we're just gonna see more and more of this as time goes on okay we gotta wait for her to paint her fingernails and then it's the top specifically

fingernails it's fine all right what is on your mind my friend tell me what's on your mind yeah so we released something on the bankless newsletter this week which i thought was pretty cool which is a bunch of memes a bunch of world war ii era propaganda memes and so the claim is that uh the ethereum developers the ethereum researchers have done their job they've built out the network that ethereum needs to be ethereum is built to run on incentives and incentives alone it can survive in any environment that's what it's supposed to do however there's a difference between surviving and thriving and if we want ethereum to thrive it's up to the social layer of ethereum that's you the listener that's me david that's you ryan the social layer of ethereum is the community and

we need to work on our meme ability our are spreading the message or spreading the virus right and this is uh this triggered very quickly a lot of bitcoiners i always like it when i throw out a tweet that gets a lot of bitcoiners in my my dms telling me i'm dumb because i know i hit on a nerve and this triggered bitcoiners really fast and i think that they know that bitcoin is only something that they they dominate in the narrative they dominate in the social layer that's their world and they see uh this as like entrance into their territory and they previously would look on like ethereum developments like look at those stupid ethereums developing their chain don't they know that the fight is in the social realm and now now now we're done developing

and now it is time to get into the social realm and bitcoiners are feeling threatened nicely done sir a little fire with fire uh i mean when we say memes we're not just talking about like gifs and images although that's what these are and pretty effective but we're just talking about like simple easily conveyed viral units of information right the great bitcoin meme is bitcoin is gold right super easy to digest and uh and tell people about so absolutely great improvements on the social layer i think and uh man you're triggering people so you must be doing something right hey we're gonna beat that drama a lot on the bankless program absolutely what's on your mind well i've been thinking about what's the

best way to get exposure to d5 and there's actually some debate about this and this is kind of on my mind and i i want to like talk about it um so i tweeted this out i said which of these provides the best risk adjusted price exposure to d5 specifically d5 specifically on ethereum and i gave three options the first is eth you just buy ether the asset the second is bitcoin and the third is yeah which we talked about at the front the the deep uh dpi defy index so this is like top 10 by market cap or so d5 tokens so um i can share the results 55 of folks said eth is the best way 13 said bitcoiners or bitcoin is is the

best way and 32 said the dpi defi index is the best way so fairly close between if and dpi index what's almost almost two to one eth first dpi index yeah that's true that is true that's another way to look at it um what's your take what's what's the best way to get exposure i think the important parameter here is risk adjusted um and that's going to be eth and it's it's a difficult thing to measure because like we don't even know what d phi is like what are we actually measuring here are we measuring the market cap of all tokens on ethereum outside of eth and how do we get exposure to that and is that ether or is that an index of the tokens because i

feel like the intuitive answer would be an index of a token but i would like to claim that like ethereum and d5 are actually synonymous where like applications are in ethereum their money legos inside of ethereum are ethereum itself you stitch all the contracts on inside of ethereum together and you create a single structure that is ethereum that's what aetherium is like the the superset of structures of ethereum that we call d5 when you add them all together they are ethereum and the value of ethereum is directly reflected in the price of ether and so i would actually expect over over a long time with more maturity in dpi that eth and dpi track each other relatively well interesting yeah and i do think that it

is although dpi is a great product is pretty early to index these things right so the top 10 defy assets man these most of them didn't even exist a year ago dude so like they're going to change on a dime they're going to flop in like come in come out and it's going to take a long time for this to settle in anyway like the s p index has settled right so one one way to look at it is if you're betting on d5 on ethereum um like what's the probability that uh something like say wi-fi it still exists in 10 years and is the reigning champ versus what's the probability that eth is still there and obviously eth is going to be still there because it underpins the security of the

network so um that's also another way to look at it i would definitely wait towards eth though i do think d5 tokens are going to have quite a successful bull run i'm just not sure that an index will capture all of that activity and to your point on a risk-adjusted basis it will either right all right david uh should we talk about what is exciting right now what are you excited about yeah my take this week about what i'm excited about is using excited in a non-typical way which like i'm excited and i'm it's excitatory i'm alert about it but i'm actually it's not very it's not a happy exciting i'm worried about uh the future of uh specifically with covid and

kovid's legacy uh because i think it has it's going to have a very lasting impact upon the world and the 2020s decade uh is bleak it's bleak uh people people think that uh the year 2020 is just a taste of what's to come in the remainder of the decade and it's highly likely that we have a very deflationary decade as things as meaning as things contract right we are seeing the demolishing of small businesses and the absolute growth in equity asset prices of massive businesses if you are a big business if you are amazon walmart target or lowe's or whatever your price your share prices are doing fantastic fantastically if you're a small business you are closing

up for shop uh i think that's just a recipe for dystopia um i think there's going to be a massive contraction in the 2020s decade and like it feels weird to be in crypto because we are in such a polar opposite industry right crypto is hot right now and to some degree the measure of the the contraction of the legacy world is actually a function of how much crypto can expand right in the crypto world we're trying to build this arc so that we can get the rest of the world on to it and we need to build this arc quickly so that we can save as many people as possible there's a flood coming like the reason why we're building an ark is because there's a massive flood coming and that actually causes me a bunch of angst and i'm excited about it in a bad

way it just feels like society is almost cracking at the seams under this under this pressure right so we've got this uh tweet that i put up similar what you said like amazon profit up 100 but small businesses 20 are 21 are closed revenue for the rest down 30 as we go into further lockdowns as we go into further lockdowns like what kind like how can a society um exist with this level of of uh strain i mean there's got to be some form of of social unrest coming our way and i think we've seen some of this in 2020 you're saying that like for the foreseeable future maybe all of the 2020s more of the same i think there's no reason to think as to why the gear 2020

is unique and it's actually rather it's much more rational to think that it is something as just a teaser of what's to come all right that's that's normally what we talk not what we talk about with what we're expecting usually we're pretty [ __ ] bullish it's what you're sober about i guess that's what i'm saying reality of things all right well uh let me flip on something that i do think is bullish maybe bullish for humanity this is uh please need it yeah you want some you want some good news now all right so here's the good news this is maybe one of my the like the best charts i've seen all year and for for those that can't see it um up at the top there is kind of a green line that shows ether balance on exchanges so the total amount of ether that is held in crypto banks on

these exchanges and there's a pink line that is percent of each supply in smart contracts well as of the last like three or four months all of a ton of the ether on exchanges in crypto banks has actually bled out into smart contracts so ether in crypto banks and exchanges down ether in smart contracts and money legos and bankless money systems for the world up that is so phenomenally bullish to me because one of my biggest i love it one of my biggest worries about crypto is are we just creating the system that we formerly left right like new money same system new money like same systems like

new bankers maybe it's it's cza binance and our friend brian armstrong come on the podcast brian and we just created new bankers but they're still the same old bankers right or are we really like for real creating a decentralized bankless money system for the world and this is an indicator that we are actually succeeding that through d5 ether as a trustless story value asset is becoming more decentralized what is more bullish long term than that i'm super bullish about that yeah really excited to see this this is the bankless thesis right and like what what banks are are just like the archetype of an intermediary like we probably would have called this intermediary lists but that's not a very catchy word

and so we just know it's that but uh like we could have seen that we predicted this for forever ago and and i guess all it took was like to be able to achieve yield inside of defy and all of a sudden the ether flowed into d5 right like yes ethereum needs to find ways to make itself useful or else it'll never be adopted and if it does find ways to make itself useful then all the money is going to be in ethereum not on the not on the margins not on the edges not in the year crypto banks but inside of applications inside of defy and one of those defy applications is rocket pool which is where we can stake ether in a in a way that is distributed and decentralized it's not with a centralized staking system and it's

another way to get ether outside from the margins and inside into the world of defy right like we can just build our own internal incentive mechanisms to keep things on the inside yeah exactly we are this this is why you and david we talk we we love bitcoin bitcoin's fantastic i mean both of us are bitcoin bulls especially bitcoin on ethereum bitcoin is great right so but like this is why we talk about ether and ethereum so much is because this is what a bankless money system looks like the the problem with the bitcoin network is it's going to become more and more centralized over time if you want to actually do anything with your like your money with your wealth you have to use an intermediary you have to use a crypto

bank even if it's just sending funds unless you're a whale you can afford big like expensive block transactions right this is the antithesis of this this says like you can truly be your own bank you can trade with you to swap you don't need an intermediary you don't need a coinbase uh and so i do think that is this is the the bankless the bankless thesis exactly in graph form you know uh the the other thing i was thinking about is just the the raw power that we have you know like how um kind of the internet gives you superpowers right or like when you first got a smartphone it's like oh my god like i'm so powerful i can get anywhere in the world through google maps it's just it's almost like a um a cyborg kind of add-on to your your

human intelligence right bicycle for the mind right bicycle for the mind okay steve jobs there so i feel that way about my ethereum address right my ethereum address is a hundred times more valuable than any bank account i have ever opened you know that uh chris dixon thing where like or maybe it's not chris dixon but it's silicon valley saying is if you're gonna build another product can't just be like a little bit better it has to be 10x better that's peter that's peter tl okay so like zero to one okay so um that's what i feel like an ether uh ethereum address is it's not and it's not just 10x in some ways it's like 100x better it is a super power

new dimension i was just thinking about that i've had to do some stuff with traditional banks this week david like wire funds and just like in your transfer right like transfer and they're like no you can't why you can't you know there's a limit to how much you could take out of this bank and put in that bank account and like um it is so um inhibiting compared to my ether dress antiquated like i could do so much more with it and i do think that the 2020s will be a period of time where people start to unlock this potential and realize it as people unlocked like their email address and found out all the cool things they could do with that or like the netsky browser and figured that out or the internet um it will give

you super powers this is like uh yeah anyway that's the other thing i was thinking about and very exciting from my perspective it's also a superpower that we can share like you getting the superpower doesn't actually stop other people from also getting the superpower and that's why you the listener should also go and recruit a friend because you should give them super powers too like well it's actually it's actually better than that because like the more people who are using ether dresses the more like superpowers i have more liquidity in the system more users greater network effect it's like a number goes up log scale everything goes up everything goes up yeah so uh get a accountability buddy and get a friend into ethereum give them superpowers all right so we're talking recruiting this week has been the theme

give your friends super powers bring them to ethereum david i think this has been a fantastic weekly rollup third week of november excited about the future thanks for joining us for the weekly roll up hope you're enjoying your friday morning