ROLLUP: OpenSea Arrest | Optimism OP Airdrop | Kanye West NFTs | OpenSea Arrest | Solana Halted | ETH 2.0 Merge | Velodrome

Last Week of May, 2022 ------ 📣 METAMASK | The Easiest Buy in Crypto https://bankless.cc/MetaMask ------ 🚀 SUBSCRIBE TO NEWSLETTER: https://newsletter.banklesshq.com/ 🎙️ SUBSCRIBE TO PODCAST: http://podcast.banklesshq.com/ ------ BANKLESS SPONSOR TOOLS: ⚖️ ARBITRUM | SCALED ETHEREUM https://bankless.cc/Arbitrum ❎ ACROSS | BRIDGE TO LAYER 2 https://bankless.cc/Across 🏦 ROCKET POOL | DECENTRALIZED ETH STAKING https://bankless.cc/RocketPool 👻 AAVE V3 | LEND & BORROW CRYPTO https://bankless.cc/aave ⚡️ MAKER DAO | THE DAI STABLECOIN https://bankless.cc/MakerDAO 🦁 BRAVE | THE BROWSER NATIVE WALLET https://bankless.cc/Brave ------ Topics Covered: 0:00 Intro 4:45 MARKETS 5:08 BTC Price 5:45 ETH Price 7:15 FTX Surpasses Coinbase https://www.theblockcrypto.com/linked/149654/ftx-surpassed-coinbase-as-second-biggest-centralized-crypto-exchange-in-may 9:19 Gemini Layoffs https://decrypt.co/101881/gemini-lays-off-10-staff-prepare-crypto-winter 11:00 NEWS 12:00 Optimism ($OP) Drop https://app.optimism.io/airdrop/check 16:11 OP Price https://www.coingecko.com/en/coins/optimism 18:04 Recapping the Airdrop https://twitter.com/optimismPBC/thread/1532110295421829123 22:45 Burning https://twitter.com/sassal0x/status/1531915789103599616 25:10 Fee Revenue https://twitter.com/sassal0x/status/1531814581932158977 26:58 Coinbase Supports $OP https://twitter.com/coinbaseassets/status/1531754747321262080 27:35 Controversial Governance https://gov.optimism.io/t/users-who-sold-the-initial-op-airdrop-should-become-ineligible-for-all-future-airdrops/2143 30:34 Cobie’s Response https://gov.optimism.io/t/extended-ineligibility-for-future-airdrops/2249 34:14 Velodrome Airdrop https://stakingbits.medium.com/velodrome-finance-velo-airdrop-is-live-heres-how-to-claim-43e65c5c18f2 37:05 L2 Fees https://l2fees.info/l1-fees 39:32 OpenSea Front-Runner Facing Charges https://www.justice.gov/usao-sdny/pr/former-employee-nft-marketplace-charged-first-ever-digital-asset-insider-trading-scheme 45:08 Front-Running https://twitter.com/Dogetoshi/status/1532052263375708162 49:20 ETH 2.0 Merge https://blog.ethereum.org/2022/05/30/ropsten-merge-announcement/ 52:08 Pooly NFT https://blockworks.co/pooltogether-flocks-to-nfts-to-raise-legal-defense-funds/ 53:50 Kanye West Yeezus https://www.theblockcrypto.com/linked/149745/kanye-wests-yeezus-files-for-nft-trademarks 55:35 Risks of Liquid Staking https://twitter.com/dannyryan/status/1531383030786314240 1:00:00 Battle for the Apes Avalanche: https://forum.apecoin.com/t/aip-idea-otherside-as-an-avalanche-subnet/6369 Immutable X: https://twitter.com/NorthRockLP/status/1530491299727556609 1:03:25 AVAX vs Immutable X https://twitter.com/NorthRockLP/status/1530491299727556609 1:03:51 Solana Down Again https://twitter.com/solanastatus/status/1532043450107015168?s=21&t=OD7ahgCknAnOgQClUhELIQ 1:05:44 Jobs https://pallet.xyz/list/bankless/jobs 1:07:30 RELEASES 1:07:45 Bankless DAO Tax Guide https://twitter.com/TaxDroid/status/1532036819189129218 1:09:10 Zerion Mobile Wallet https://zerion.io/blog/announcing-the-zerion-smart-wallet/ 1:10:40 Voltz Protocol https://twitter.com/voltz_xyz/status/1532029218518876161 1:12:52 DeFi Saver L2 https://twitter.com/DeFiSaver/status/1531299975661068288 1:13:50 Immutable IMX Staking https://twitter.com/Immutable/status/1531081329865269248?s=20&t=kCTh4dBgrmptze-ut3gS3Q 1:14:30 Lummis Crypto Bill https://www.theblockcrypto.com/post/149186/heres-a-full-draft-of-senator-cynthia-lummis-landmark-crypto-bill 1:16:18 Binance $500m Raise https://techcrunch.com/2022/06/01/binance-labs-closes-500m-fund-to-focus-on-web3-and-blockchain-adoption/ 1:18:00 Blockspace Demand https://twitter.com/frogmonkee/status/1532092154037907457 1:22:50 New Use Cases https://twitter.com/cryptoversidad/status/1532099747783159808?s=20&t=KcDR2bM8-9ajrtWT4AOaWg 1:26:30 TAKES 1:27:08 Understanding the Merge https://twitter.com/0xfoobar/status/1531710201639882756?s=20&t=YP7GlgRatNiU0azz-leO4g 1:28:26 DAO Human Trilemme https://twitter.com/owocki/status/1531728875335524352 1:32:50 EVM https://twitter.com/sassal0x/status/1532198738927579137 1:33:30 What David’s Bullish On 1:36:00 What Ryan’s Bullish On 1:38:10 MEME of the Week https://imgur.com/4KCMNLA ----- Not financial or tax advice. This channel is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. This video is not tax advice. Talk to your accountant. Do your own research. Disclosure. From time-to-time I may add links in this newsletter to products I use. I may receive commission if you make a purchase through one of these links. Additionally, the Bankless writers hold crypto assets. See our investment disclosures here: https://newsletter.banklesshq.com/p/bankless-disclosures

Speaker names marked ? are inferred from speaking time and the show’s known hosts — they are not voice-verified.

• 0:00David Hoffman?

  Yet we persevere nonetheless through the beer, the The beer market?

• 0:08Ryan Sean Adams?

  Bankless Nation, it is the last week of May. David, what time is it?

• 0:12David Hoffman?

  It's the Friday Bankless Weekly Roll-Up Time, Ryan, where we cover the entire news in crypto, which is always an ambitious endeavor, yet we persevere nonetheless through the beer, the The beer market?

• 0:25David Hoffman?

  No, I was gonna say bear market, but then I remembered it's actually a build market. And it always will be a build market. And so, yeah, we're persevering, Ryan.

• 0:34Ryan Sean Adams?

  What a great intro, David. Guys, we come out with these every Friday. This is the fastest way to get your fix in crypto, get your ingestion on what's going on in the markets, the releases, the news, the price action. We cover it all here. Remember, grab your morning coffee, enjoy this with us, because it comes out every Friday morning. David, we got some hot topics this week. What are we gonna cover?

• 0:56David Hoffman?

  Yeah, some stuff happened this week, Ryan, and we're gonna talk about it, because that's what we do every Friday. The optimism token is live and trading, and that's what gets everyone super excited. So of course, that's what we're going to talk about. Did you get your OP tokens? Did you get your OP tokens, Ryan?

• 1:10Ryan Sean Adams?

  I did. As many as I could find. I'm still scouring wallets.

• 1:14David Hoffman?

  I still have a couple of extra wallets to check, yeah. So we got the metrics comparable to the uni airdrop in size. So we're gonna compare the optimism airdrop to previous airdrops, as well as some other airdrops that have come hot on the heels of optimism. So there's not only the optimism token airdrop to check, there's another one, which we're gonna talk about after that. After we get done riding the highs of the optimism token, we're gonna ride some lows of a former OpenSea employee who got arrested for insider trading. This is the same story that came out like months and months and months ago, but this individual actually got arrested and faces up to a maximum of 20 years in jail, which is ridiculous. Yeah, what's your quick take on that one, Ryan?

• 1:58Ryan Sean Adams?

  Well, you know what? I'm gonna tease my take, okay? So you'll have to listen to my take. Midway through the roll up to hear what I think about this issue. So I'm not, no spoilers. All right, David. We're also going to talk about the, the merge update. Are we there yet? Is everyone in the backseat of the car that Justin Drake and Vitalik are driving asking, are we there yet, guys? When are we going to get the merge? Is it coming in August? Is it coming in September? We're going to talk about that too. Also Kanye West doing some trademark stuff with NFTs. Kanye West has entered the chat. Yeah, he's coming. As always, make sure you like or subscribe to this. Of course, if you're watching on YouTube, make sure you subscribe. Hit that like button. If you're listening on the podcast, thank you for doing that as well. Rate and review.

• 2:43Ryan Sean Adams?

  Don't forget to do that, whether it's Spotify, Apple, wherever you listen to your podcasts, leave those rates, ratings and reviews, ideally like five stars, you know? As high as you want to get bankless, but I feel like, you know, we put these on every Friday. So we deserve something. We deserve at least above four. At least above four. There's only one option above four. There you go. All right, guys, before we get in, wanted to tell you a little bit about our friends at MetaMask. Of course, everybody uses the MetaMask wallet. I use this on the day, on a daily basis, right? Just used it to claim my OP airdrop tokens. But did you know, David, this is a button I hadn't seen very often in MetaMask just because I'm doing other things.

• 3:24Ryan Sean Adams?

  But there is a big blue buy button in the middle of MetaMask where you can actually refill your wallet with ETH with any crypto asset you so desire. It's a much faster way to get crypto directly into your MetaMask wallet because you don't have to do the thing where you got to connect your bank account to an exchange like Coinbase and then transfer all of that back to MetaMask. It's like a three, four step process and it gets really costly. It was, you know, go the ACH transfer, it takes days and then you like do the Coinbase exchange and then by the time you're in MetaMask, like you didn't even know why you wanted the ETH in the wallet in the first place. So this is a handy buy button. I'm going to click this here.

• 4:06Ryan Sean Adams?

  You can use transact, you can use Moonpay, you can use Wire. I'm told this also works in mobile. I have not used it. Look at this, David. Put in your credit card, put in your Apple Pay, put in your Google Pay and just get your ETH right embedded in MetaMask.

• 4:22David Hoffman?

  And I actually use this a lot when I want, when I just need some gas, especially for like claiming airdrops on old wallets that I haven't touched in years, but like I gotta go claim an airdrop and I need to get gas into that wallet, but I don't want to dox my wallet. So this is actually when I use this. I also use Apple Pay to get that 2% cash back on your ETH buy, which is nice.

• 4:38Ryan Sean Adams?

  You know what's crazy, David, is I haven't even noticed that button, which is probably why MetaMask wants us to spread awareness that the buy button exists. Super handy for wallets, old wallets where you're claiming airdrops. You don't have any ETH and yet you need like, you know, $20 worth of ETH in order to make that claim. So one click, buy in MetaMask. Of course, you can navigate to MetaMask at banklist.cc/buy, download the MetaMask app and use that buy button next time you need some ETH in your wallet. David, let's get to markets, man. What's Bitcoin price telling us?

• 5:11David Hoffman?

  Bitcoin up just a smidge, up 2% on the week, started the week just below 30,000 and is ending the week just above 30,000. So 29,500, ending at 30,270. Sweet.

• 5:24Ryan Sean Adams?

  Okay. Anything about, anybody, anything above 30K, I'm, I'm feeling okay, I guess. ETH price.

• 5:30David Hoffman?

  Last time we said that, that was 40K.

• 5:32Ryan Sean Adams?

  I know. It's just, is it gonna hold? And the last time I said it about ETH, it was above 3K. I'm feeling good. So I'm still not, I'm not feeling good under 3K. It's definitely a B market, right? Build market below, but what are we hitting on ETH this week? We up or down?

• 5:47David Hoffman?

  ETH took a, took a little bit of a hit this week. Started the week at 1950, ended the week at 1820. So sad ETH noises this week. So down 6% versus Bitcoins up 2% on the week. Some kind of funny counting just on the timing of these things. If it was like a one day shifted, it would be a different number. So that's how I'm coping this week.

• 6:08Ryan Sean Adams?

  Well, how are you coping with this ratio? What are we looking at on the week?

• 6:12David Hoffman?

  Keep it like, yeah. So like we got the 30,000 line for Bitcoin. We got the 2,000 line for ETH and we got the 0.06 line for the ETH BTC ratio, which is where we are at right now. 0.06033, keeping its head above water.

• 6:27David Hoffman?

  Allegedly.

• 6:28Ryan Sean Adams?

  This is, look, this is a great bear market predictor, I feel like. Are we in a bull, are we in a bear? If, if the indicator is if the ratio's down, if it's low, we're more likely to be in a bear market. If it's, if it's high, we're more likely to be in a bull market. And look, this is off of May. We've certainly dropped quite a bit from 0.076 range all the way down to 0.06. So I guess that tells us everything we need to know about the current market conditions, David.

• 6:58David Hoffman?

  Sad ETH noises. Total crypto market cap is flat at 1.3 trillion last week to 1.3 trillion this week. So overall, the market did nothing.

• 7:10Ryan Sean Adams?

  Nothing. I'll take it. I mean, a flat week is better than a down week, right?

• 7:14David Hoffman?

  I'll take it.

• 7:15Ryan Sean Adams?

  Did you know this? FTX just surpassed Coinbase as the second biggest centralized crypto exchange. That just happened last month. FTX was always gunning for number two. Binance, of course, in first place. But now it's Binance, FTX and Coinbase in third. What are your thoughts on this? Do you think this will last?

• 7:35David Hoffman?

  Yeah, yeah. I mean, FTX's trajectory has always been gaining more and more and more market share. And to be honest, I kind of don't really count Binance. Maybe that's just like my Western United States citizen bias. But like Binance is not going to like play nice with regulators in the long term. And so I kind of have discounted the value of Binance in my head. That's definitely probably bias. But for all, all the regulated onshore exchanges that are US regulator approved, now FTX is number one. And so that's kind of how I count things in my head.

• 8:07Ryan Sean Adams?

  Yeah, you really got to hand it to SBF, right? I mean, he's built this business like over the past three years. I mean, it's not very old. FTX is not very old at all. And here it's taking the number two slot from Coinbase.

• 8:18David Hoffman?

  I mean, look at that, look at that chart, like going from July 2019, that blue line just going up, up, up, up, up, up. That's crazy.

• 8:25Ryan Sean Adams?

  Yeah, look at this market share of legitimate volume spot exchange.

• 8:29David Hoffman?

  So I'm not the only one with this stuff.

• 8:32Ryan Sean Adams?

  Yeah, right. How about this next thing?

• 8:35David Hoffman?

  Wait, also, yeah, for the record, they did not have Binance, they only had Binance US in there. They did not have actual Binance in there. And so it looks like the block shares my opinion as to the illegitimacy of Binance.

• 8:47Ryan Sean Adams?

  Let's see, the dominant player in the market is still Binance by far, which is 64%, followed by FTX 10% and Coinbase 9%. Look at how dominant Binance is compared to the others.

• 8:59David Hoffman?

  64%, that has got to be wash trading, right?

• 9:02Ryan Sean Adams?

  I don't, look, man, Binance is a juggernaut outside of the US, like, it is absolutely massive. And so, I mean, I discount some of this as maybe wash trade or, you know, something different, but like, not all of it. Binance is definitely a juggernaut in the space and expanding everywhere, too. Coin, excuse me, Gemini, another exchange, I guess they would come in number, like, would they come in number four, number five, something to that effect?

• 9:28David Hoffman?

  Gemini, light blue, that is, yeah, I think that's third.

• 9:32Ryan Sean Adams?

  The Winklevoss twins, Gemini, they are laying off 10% of staff right now. And the headline is "To Prepare for Crypto Winter." Here's the quote on Gemini's blog, "The crypto revolution is well underway and its impact will continue to be profound," the Winklevoss brothers wrote, "but its trajectory has been anything but gradual or predictable." These are seasoned vets who've been through a few bear markets in crypto, and they're getting ahead of this by actually cutting some of their staff now. What do you, what do you make of this, David?

• 10:02David Hoffman?

  Yeah, so Gemini is a very saturated company, right, it's been around. And so it's not like any of these newer projects that still have a ton of growth potential. So it makes more sense for it staffing to like follow the whims of the market, right? Just because like it's already hit like its saturation point. So when the bear market does come, there does have to be cutbacks. I mean, there should be cutbacks all the time, like, we got to cut out the fluff of all companies. So, I mean, only 10% in comparison to 2018 is a big improvement.

• 10:32Ryan Sean Adams?

  Yeah, I do think we are seeing some belt tightening in specific areas in crypto. Certainly, there's a ton of hiring still happening, but in other locations, we're starting to see belt tightening.

• 10:42David Hoffman?

  Newer stuff, hiring and newer stuff, layoffs and other stuff.

• 10:46Ryan Sean Adams?

  We've got a lot more to cover, guys. Coming up next, we're going to talk about that optimism airdrop. It feels like that airdrop is kicking off airdrop summer, which is happening now. Also, the OpenSea insider trading story. Want to cover that. Does the crime fit the punishment? It's the big question in our mind. We're going to get to both of those stories. But before we do, we want to talk about the sponsors that made this episode possible.

• 11:11David Hoffman?

  Rocketpool is your friendly decentralized Ethereum staking protocol. You can stake your ETH with Rocketpool and get our ETH in return, allowing you to stake your ETH and use it in DeFi at the same time. You can get 4% on your ETH by staking it with Rocketpool, but you can get even more by running a node. Rocketpool is the only staking provider that allows anyone to permissionlessly join their network of validating nodes. Running a Rocketpool node is easier to set up than running a solo node, and you only need 16 ETH to get started. Why would you do this? You get an extra 15% staking commission on the pooled ETH, so your API is boosted. So if you're bullish ETH staking, you can increase your API and get some extra tokens by adding your node to the decentralized Rocketpool network, which currently has over 1,000 independent validators. It's yield farming, but with Ethereum nodes. You can get started at rocketpool.net and also join the Rocketpool community in their Discord.

• 11:56David Hoffman?

  You can find me hanging out there sometimes in the chat, so I'll see you there. The Layer 2 era is upon us. Ethereum's Layer 2 ecosystem is growing every day, and we need bridges to be fast and efficient in order to live a Layer 2 life. A cross is the fastest, cheapest, and most secure cross-chain bridge. With Across, you don't have to worry about the long wait times or high fees to get your assets to the chain of your choice. Assets are bridged and available for use almost instantaneously. Across bridges are powered by Uma's Optimistic Oracle to securely transfer tokens from Layer 2 back to Ethereum. A token proposal is being deliberated as we speak in the Across forum, where community members will decide on the token distribution. You can have your part of Across's story by joining the Discord and becoming a co-founder and helping to design the fair, fair launch of Across. If you want to bridge your assets quickly and securely,

• 12:40David Hoffman?

  go to across.to to bridge your assets between Ethereum, Optimism, Arbitrum, or Boba Networks.

• 12:48David Hoffman?

  And we're back and also diving into optimism airdrop summer. People got their tokens. Ryan, you're showing an address. Banks.ETH got 827 optimism tokens for being a donator to get coin grants on layer one and also a Dow voter. So good job, Ryan. Congrats on your tokens. So the optimism token is launched with a total supply of 4.3 billion tokens inflating at 2% a year and the airdrop of 215 total million tokens went to almost a quarter million addresses. 248,699 addresses. For comparison, Ryan, Uniswap was just 2,000 more addresses larger eligible addresses larger than optimism coming in at 251,500.

• 13:32Ryan Sean Adams?

  That is fantastic. That's great distribution, right? To get half a million ETH addresses in this thing. It's just like, you know, second in size to Uniswap and from a distribution perspective.

• 13:43David Hoffman?

  Yeah. And so people who checked their addresses a couple of weeks ago might notice that they actually got more than they were previously quoted because optimism went through the whole airdrop or excuse me, the airdrop farming. They scalped the farmers. So like, oh, they identified all the farmers, just like hot protocol did. They pruned them. And so then they redistributed what was going to be given to the farmers to the rest of the community, which just makes sense. You got to reward the actual true humans, not the farmers. And so as of right now, 62% of all OP tokens have been claimed with 120,000 addresses having claimed. Okay, this happened in the last like day, Ryan, the last 24 hours from the time of recording, 120,000 addresses, not necessarily people, but like probably 100,000 people, give or take.

• 14:28Ryan Sean Adams?

  These are bank accounts? Yeah.

• 14:30David Hoffman?

  Right. They've claimed tokens. So like the participation rate is crazy. And so if we wanted to compare the claiming of optimism versus Uniswap, Uniswap has had 90% of all addresses that were eligible claimed the Uniswap airdrop. So 10% were like lost to history, probably. And so if optimism were to reach 90%, that would be 223,000 airdrop claimers. Right now we are at 120,000. So we have a lot to go. But where Uniswap beat optimism by 200 or 2,000 eligible addresses, optimism still has room to be the largest airdrop by how many actual people claimed the token. So that's a good number I'm going to be watching moving forward.

• 15:14Ryan Sean Adams?

  Do you know what's awesome about this is not only claiming the token, you're also like claiming it on optimism. You're also claiming it on a layer two. And this reminds me, you know how we always talk about like, you know, going out west and settling and finding new lands and new opportunity. You know, like in the West, in some of the new horizons in the US, they used to just give out parcels of land to individuals to settle there. Right. It's like, it's the frontier. No one wants to live here. It's going to be a rough life like, and but here's some land to make it worth your while. Here's why you should move from the East Coast and settle into this new land. And that's what's happening with these layer twos. It's essentially you're getting free property. If you, if you settle, if you move from the Ethereum mainnet Manhattan,

• 15:58Ryan Sean Adams?

  and you cross the bridge and you settle on the other side, they're giving you free voting rights, responsibility tokens in the form of OP in order to settle here. And the OP tokens have some value. We should note that. What is OP trading at right now? And what is the fully diluted market cap?

• 16:15David Hoffman?

  Yeah, at the time of recording, it's at $1.57. Yesterday it peaked at $2.20 at the height of the mania, also dumped down below 60 cents. So we're still in price discovery mode, ranging somewhere between 60 cents and 200, or 200, $2.20, currently at $1.57. Fully diluted valuation. If you multiply the price by the total number of four, 4. something billion tokens, the total supply of optimism tokens, here's a trivia fact for you, is 2 to the power of 32. That's the total supply. And I guess I can actually just read that out since it's on the screen. The total supply is 4.294 billion tokens, coming in at a fully diluted valuation of $6.7 billion.

• 16:58David Hoffman?

  So $6.7 billion, this guy just created out of thin hair. And comparing, comparing that to Matic, I think Matic is somewhere in the same ballpark. I think Matic was like, actually, can you look up the Matic tokens?

• 17:11Ryan Sean Adams?

  Yeah, while we're here, why not?

• 17:13David Hoffman?

  Yeah. Matic market cap, $6.8 billion. Right, oh, excuse me, that's total lux value, $6.1 billion. So optimism is higher than Polygon, which is nuts. Which is nuts, because like, okay, to Polygon's credit, they have done an insane amount of just like adoption and onboarding and like business development. So like, people are pricing in a lot of optimism into the optimism market cap.

• 17:37Ryan Sean Adams?

  That is true. Now, I will say, there's a lot more supply, circulating supply, out in the market for Matic and Polygon versus optimism. The circulating supply is still very small at this point.

• 17:49David Hoffman?

  Right. And part of that story is because there are many, many more airdrops for optimism coming. That's a part of this conversation. But yeah, this is just airdrop number one. Airdrops two and three and N are on the horizon.

• 18:03Ryan Sean Adams?

  That's super exciting, man. The claim process, by the way, was so easy. I did this with a couple of wallets.

• 18:08David Hoffman?

  You're only saying it's an easy claiming process because you didn't try and claim it literally at the same exact time as everyone else. There was an actual, a bunch of drama with the clogging of not the optimism network, but the RPC endpoint, which is a new place to get clogged. We'll talk about that a little bit. But optimism released an airdrop recap thread, which we will go through because it's got some cool stats, some, some cool metrics. They say yesterday was an absolute whirlwind. It wasn't without the hiccups, that's reference to the RPC thing. But to much excitement, OP was born. We'll have an extensive retro on the drop day next week. Meaning, meanwhile, we want to share some stats coming out of the launch. With over 50% of drop one now claimed, let's dive in. Optimism hit a cup, a couple of major high watermarks yesterday.

• 18:50David Hoffman?

  In terms of transaction count, hourly rate peaked at 12 transactions per second, averaging about 10 transactions per second, matching Ethereum, while consuming less than 5% of Ethereum's gas. So Ethereum's level of scale, which wasn't like, it didn't even come close to completely congesting optimism, while consuming less than 5% of Ethereum. Hourly rate peaked at 12 transactions per second, but spiked to 22 transactions per second. So people were claiming optimism tokens at a rate of 22 transactions per second, plus doing other things like basic Uniswap trades. Okay, here's where the like the drama came in, Ryan. Remote procedure calls, RPCs, hit an all-time high of 20,000 pings per second.

• 19:32David Hoffman?

  And so, they write, "Simply put, these are requests to read network data." And this chart shows our free community endpoint. This includes not just the claims, but Uniswap reads, bridging on hop. Basically, anytime, if you've ever loaded up the Optimism RPC endpoint into your MetaMask and then used the actual official Optimism link, which you probably did, it's in there by default, you're using the Optimism-sponsored, supported RPC endpoint.

• 19:57Ryan Sean Adams?

  And that just means a whole bunch of servers out there, whether it's hosted by Infura, infrastructure provided, or hosted by Alchemy. These are servers that are for reading the archival data, the history of Optimism. So that's what powers all of the user interfaces, right? And so you can set that up in MetaMask. And you're saying the default, the Optimism default RPC endpoint, the one that they sponsor, was having some trouble keeping up, right?

• 20:25David Hoffman?

  Right, exactly. And so they just run their own server or endpoint to Alchemy. And people were trying to... So whenever you load up your MetaMask into a website that is connected to the Optimism data, and it needs to collect Optimism data to feed you, some of that data would be like, "Do you have an airdrop to claim?" Is like some of the data that is relevant here. Or just like pinging Uniswap on Optimism for what is the price of something? Like, all these things read the Optimism chain. That's what got blocked. And that is Web2, Ryan, which is crazy. And so all the D gens who wanted to claim their Optimism tokens broke Web2. And so you're talking to Jing about the details on this so we could get this right for the roll-up. And Jing gives us this funny story.

• 21:09David Hoffman?

  Where she was working at the time, where the Optimism team was working, happens to be in the same building as Alchemy. And so she ran downstairs to the Alchemy offices and hammered on the door. And it's like, "Hi, I'm from Optimism. We're releasing a token today, and we need 10,000 F cups." And then apparently the Alchemy team was like, "F cups? What the hell are F cups?" And then she was saying was actually FCPUs.

• 21:37Ryan Sean Adams?

  CPUs, yeah.

• 21:38David Hoffman?

  But Carl Florish is apparently dyslexic. And so he told Jing, we need 10,000 F cups. So Jing goes running to the Alchemy offices and knocks on the door. He's like, we need 10,000, 100,000 F cups. You need 100,000 F cups. And Alchemy is like, what the hell is going on? Anyways, as soon as Alchemy figured it out, they spun up the nodes and that was all fixed. And so people caused a bunch of drama. I'd be like, oh, I can't get my tokens. Like all the token claimers were clamoring as they do. But once the extra servers from Alchemy were spun up, everything was fine and everyone could claim their tokens.

• 22:09Ryan Sean Adams?

  Yeah, it's important to note, like, obviously, Optimism did not go down. None of the smart contracts actually went down. There was the ability to claim tokens if you knew how to do it outside of the user interfaces. It was just the kind of the Web2 infrastructure dependency of like serving the data up, the archival historical data up. That's the piece that needed some additional juice and some additional servers. And if you knew a different RPC endpoint, you could still claim as well, it sounds like. Well, that's cool. I mean, I got, as I said, a few of these, but I'm still on the hunt for more. Did you do your claiming yet, David?

• 22:44David Hoffman?

  I did my claiming, yes, I did. And also my delegating. I delegated one. I have two addresses that I claimed to Optimism. One I delegated to David Mihal, the other one I delegated to Paulinaia. Here's an Anthony Sizano tweet saying, "Pretty cool to see Optimism coming in fifth place for the amount of ETH burned on layer one today." So this is what happens when you get a token. All of a sudden, you just get a bunch of economic activity. Optimism yesterday burned 102 ETH. And so putting it ahead of USDC and Uniswap V2, not ahead of Uniswap V3. So it goes OpenSea, basic ETH transfers, Uniswap V3, Tether, and then Optimism, the Optimism Layer 2, burning the fifth place for the amount of ETH burned.

• 23:27Ryan Sean Adams?

  And then in seventh place is Thick Friends, the NFT.

• 23:31David Hoffman?

  My favorite NFT.

• 23:35David Hoffman?

  And so like I was like, I went to some Dune analytics dashboards just to see some of the activity that was going on on optimism. And so I put that into a tweet. When you pull this up, Ryan, find, find the airdrop, point to on the screen where you think the airdrop happened.

• 23:49Ryan Sean Adams?

  Oh, my God. This is transactions per day for people on the podcast absolutely spiking on May 31.

• 23:57David Hoffman?

  All time highs.

• 23:58Ryan Sean Adams?

  Yeah, like tripling, quadrupling, something like this from, from normal and definitely all time highs and addresses per day. Look at that rocket up all the way up. This is transacting addresses per day or active addresses per day. That is the token effect on layer two.

• 24:15David Hoffman?

  Yeah. And the, the number of first, I think if you scroll down, I like, I put some numbers on the first time addresses that, that we're transacting. Yeah. 45,000 first time optimism users yesterday. And this graph is really, really cool where the black line is the order, orders of magnitude times cheaper optimism is. And then the, the transactions is the number of, uh, number of transactions there are. And so, yeah. So you did see like a little bit of congestion in optimism, but like not, not to like, it didn't actually like saturate the whole entire blockchain. What happened is it's just like, as it gets heavily, heavily used, uh, it becomes lesser orders of magnitude, more scaled than Ethereum.

• 24:58David Hoffman?

  But again, that is before EIP 4844. That is before more like optimism, optimizations come to optimism. Um, but, but pretty cool.

• 25:06Ryan Sean Adams?

  People don't know, they still have the throttle on basically. They still have the governors. Um, so it's, it's not going as fast as it will be going and as efficiently as it will be going. This is a tweet from Sassel too. What's he saying here?

• 25:17David Hoffman?

  Yeah. He goes, friendly reminder, the OP airdrop is going to generate a lot of fee revenue on the optimism network with the proceeds from this fee revenue later being donated to retroactive public goods funding, turning D gens into regens. This is a crypto economic future that we're all here where we take our externalities and we funnel them into public goods. Uh, and so this is optimism, retroactive public goods funding innovation. We did a show on this called the layer two, the trillion dollar layer two. Opportunity, part two, although part one is definitely worth listening to.

• 25:47Ryan Sean Adams?

  Something else people always talk about with um layer twos is that this thought of it being parasitic to layer ones. So will all of the transaction fees kind of evaporate from layer ones? Will that migrate to layer twos and where layer twos essentially steal the economic activity and the chain revenue for layer one? This is David Mihal kind of responding to that criticism. Optimism was responsible for 1.6% of all fee revenue paid on Ethereum yesterday. That's hundreds of thousands of dollars of ETH burned in just a couple of hours. Airdrop didn't start until late in the day. Who says layer twos are parasitic to layer ones? Who says that indeed? I I've never understood that argument.

• 26:28Ryan Sean Adams?

  It's like saying the state of Texas or the state of California is parasitic to the United States. Of course, it's not. These are taxpaying states. They're contributing to the GDP of the Ethereum economy. That's what a layer, that's what a layer two essentially is. It's part of the united rollups of Ethereum. So it's definitely not parasitic. We're starting to see that reflected with optimism, as you said, being number five on the burn leaderboard, the taxpayer leaderboard, if you will, uh, happening just this week.

• 26:58David Hoffman?

  And speaking of network effects, this is or a token effects, excuse me. This is Coinbase announcing that Coinbase will add support for optimism on the optimism network only. And so uh OP is trading on Coinbase. But in order to, if you want to trade your OP on Coinbase, you have to send your optimism tokens on the optimism network to Coinbase, meaning Coinbase now supports the optimism network. So I think we can see further integrations with optimism over time, especially now that the tokens there and all the economic activity there. I expect USDC, DAI, other asset deposits straight onto the optimism network. So uh, we've been clamoring that for that for a while. Coinbase finally delivered. And a part of this whole saga, part of this whole story comes with this very controversial governance post

• 27:43David Hoffman?

  that's titled, uh, the optimism governance post titled, "Users who sold the initial O Beach airdrop should become ineligible for all future airdrops." And so uh, this, the zero X of John on the optimism forum post saying, "I've seen a lot of wallets claim the OP airdrop and then set swap it straight to Uniswap. These accounts are not playing a constructive role in optimism governance." And so. He makes a claim that people that just claimed and then dumped their OP token should be ineligible for future OP tokens. Controversial post. There was a bunch of replies.

• 28:15Ryan Sean Adams?

  He actually named some addresses here. None of these are your addresses, are they, David?

• 28:19David Hoffman?

  I did not. I did not claim 32,000 OP airdrop tokens.

• 28:24Ryan Sean Adams?

  I also did not sell. I mean, there's some airdrops that I sell, like automatically. This, to me, is definitely a keeper. I mean, optimism has a bright future ahead of itself. But why is this so controversial? So what was the back and forth?

• 28:38David Hoffman?

  Well, it's a conversation about like, how do people get rewarded? Because we're rewarding people for their behavior and their activity and their engagement on the optimism layer two. And so like, if you reward people, but you also restrict them from selling, are you really rewarding them? Because like, you know, if you report people, like, they need to put food on the table at some point, right? They gotta pay rent.

• 28:59Ryan Sean Adams?

  But they're not restricting from selling. They're just saying, next time around, you shouldn't. You could sell, but like, next time around, you won't get the reward.

• 29:08David Hoffman?

  It's an implicit statement that says you can't sell because then we won't reward you in the future.

• 29:11Ryan Sean Adams?

  I kind of, I don't hate it, honestly. It's like, what are you trying to incent towards? You're trying to incent towards the settlers of the community, those that will stick around and actually govern and actually contribute. You're not trying to incent to the people who are like, just dumping. And so, you know, I don't know. I definitely see the argument for this as well.

• 29:31David Hoffman?

  But what if they are taking the optimism token, selling it for USDC? And then they keep the USDC on optimism. Like, then we're still having USDC liquidity on optimism, so that's still useful.

• 29:42Ryan Sean Adams?

  I think that's something, but it's less useful than like, holding the OP token, actually contributing towards governance. And so, like, there are degrees of utility to the network and what you want to reward. And I'm not saying like, maybe this is advocating a complete, like, blacklisting of these accounts or something like that. I don't know that I'd go that far, but it is interesting thought process to say, hey, if you did sell versus if you kept. The people who kept, the people who are actually settling in this land should be rewarded more next time. You know, and there should be some dis- Incentive towards just trying to flip your tokens on on day one. I understand both sides of the argument, I guess, but I'm probably more in favor of like,

• 30:24Ryan Sean Adams?

  let's try to incent the network towards governors and towards settlers and away from the traders and liquidity locusts and that sort of thing. So I can definitely understand this governance post. Our friend Kobe did not, or at least I don't think he did. He responded with a governance post of his own. I think this is like a satire, maybe some tongue in cheek.

• 30:44David Hoffman?

  This is definitely satire.

• 30:45Ryan Sean Adams?

  Okay, what was he saying here?

• 30:48David Hoffman?

  Kobe goes, I recently saw this proposal on the optimism forum that we should be restricting airdrops to people that sell. And so he goes and takes it even further, right? He goes, however, I'm unable to support this proposal in its current form. My lack of support for this proposal is not because I disagreed with the sentiment. On the contrary, it's because this proposal does not go too far enough. So he has created some extensions to the proposal. He goes, in addition to canceling the airdrops of OP sellers, we should also consider a wider net of eligibility for airdrop slashing. And so he talks about the ways to do that. I propose that we, the optimism collective, cancel the future airdrops for anyone that has sold any token in the last six months. These people have a pattern of undesirable

• 31:31David Hoffman?

  behavior and we can consider them potential future sellers. I think I speak for everyone when I say, do we really want people that might one day sell in the governance group? No, we don't. So he says, increase the severity of the punishment. Is canceling a future airdrop good enough? I propose that the punishment for disrespecting optimism's governance price should be significantly harsher in order to dissuade future bad actors. Two ideas we have is we issue a debt token to the sellers and instruct local debt collecting agencies to collect the debt from these people. Bonus is added revenue to optimism. And part B, we consider physical violence against the sellers. Nobody will take us seriously unless we are willing to fight for what we believe in. There's precedent here. Most governance groups have an active army, for example, the US government. I think this is a good

• 32:16David Hoffman?

  area to get creative. So I request my fellow optimism collective governance groups colleagues to also suggest preferred punishment ideas. Also cancel the

• 32:25David Hoffman?

  The airdrops of everyone that bought OP since the airdrop. Everyone that has bought the airdrop has also sinned because they have interacted with the sellers. This is bad enough. The OP tokens they hold are tainted sold tokens. Basically Kobe is just making a farce out of the governance post saying, you know, people are allowed to sell their tokens and not get punished for selling.

• 32:46Ryan Sean Adams?

  Yeah. And then I also think the governance community is allowed to like respond to that and be like, but we want incentive incentive holders and settlers. And so I, I kind of see both sides of it. I, I do think Kobe's point is taken though, right? Like there's obviously a way to take this way too far and be super punitive on people who are just like, I mean, it's worth 6.8 billion dollars, guys. Like that's a lot of money. And maybe you want to cash out some amount of that.

• 33:15Ryan Sean Adams?

  I, I see both sides. I don't know if this, how, how this has progressed in the community, but it's definitely turned up some interesting debate back and forth on

• 33:24David Hoffman?

  Right.

• 33:24Ryan Sean Adams?

  All of the future airdrops, because that's really what governance is, is determining. Now the existing token holders get to figure out what criteria future airdrop should be, you know, how they should be awarded and who should get them.

• 33:37David Hoffman?

  Yeah. And I think the interesting thing here, this is like, this is how Kobe actually engages in governance. Like, I know it's satire, but this is a legitimate governance post that Kobe is making a very legitimate point on.

• 33:48Ryan Sean Adams?

  Right.

• 33:48David Hoffman?

  And, and it's discussion, it's creating a lot of discussions. So like the way that Kobe chooses to engage in governance is like, pretty interesting.

• 33:55Ryan Sean Adams?

  It's pretty clever. It's pretty cool. Well, I mean, what's exciting about this though, David, is this is the kickoff to maybe airdrop summer, layer two summer, right? It's like, I think there's going to be a ton of these sorts of airdrops in the future and it's not just layer twos. It's also applications on top of the layer twos. I, I haven't followed this. I think that's where we're going next. I want you to actually tell me about this, David, because you put it in our, in our agenda to discuss. VeloDrome Finance, Velo airdrop is live. What is VeloDrome Finance? What is that airdrop? Should I actually claim it? And where can I do that, sir?

• 34:32David Hoffman?

  Yeah, so Velodrome is a liquidity protocol native to Optimism that airdropped their token in following of the Optimism token. And so they literally start their post saying, "It's Optimism airdrop season, baby. This time Velodrome Finance, an AMM inspired by Solidly Finance, is launching its protocol with an airdrop of Velo tokens." So what is Velodrome Finance? It is actually a project that got spawned on Phantom. This is an old Andre-inspired project. It had like a bad start on Phantom, but the team has like fixed their problems and then taken the project to Optimism. It's basically like a Curve, except it's not fixed to like-for-like assets. And so it's more like Uniswap where you can trade Ether for USDC or volatile pairs.

• 35:17David Hoffman?

  Curve is also working on this, I think, in Curve V3. And so it's like Curve in the sense that it has that custom Curve, AMM Curve, but it also has like VE tokens, so there is VE Velo. And so they gave out their V Velo tokens to a bunch of people that did various different things, one of them being people that are repeat Optimism users, people that have Curve wallets that have staked Curve for the maximum amount of time, 1,450 days, Convex Protocol Lockers, VLCVX, Treasured DAO Genesis Mind Magic stakers, Platypus Protocol stakers, redacted cartel

• 35:55David Hoffman?

  participants, and Eminence Finance wallets, and who are not affected with EMN. There's backstory there. Anyways, the whole point is that like, right on the heart of the heels of the Optimism airdrop is the Velo airdrop for this application, brand-new application coming to Optimism. And so the takeaway is that it's airdrop season. So like, stop being depressed about the market, like, pick your head up and go start exploring, because like, there's so many airdrops left, not only Optimism airdrop #2, #3, #N, but there's also the application tokens. And so if you want some of these airdrops, you gotta go be on the Optimism land, because that's where the surface area is for all the airdrops.

• 36:35Ryan Sean Adams?

  Guys, crypto pays you to learn about crypto. Crypto is literally paying you to go bankless. All right, that's what's happening. That first criteria for the Velo airdrop you listed, addresses qualified as repeat optimism users. Are you a repeat optimism user? That has some criteria. That's how you qualify for these airdrops. Really cool to see, and I think this is a great way to kick off June, David, is to have this airdrop happening. David Mihal also rolled out a really interesting site where we can start to see all of the taxes paid by the Layer 2 community. This is a layer2fees.info. And the question he poses-

• 37:18David Hoffman?

  Not IRS taxes.

• 37:20Ryan Sean Adams?

  Exactly.

• 37:21David Hoffman?

  L1 security payments.

• 37:22Ryan Sean Adams?

  L1 security taxes. I should clarify. I'm talking bankless speak here. How much are rollups paying for Ethereum security? And this goes through the one-day security costs in one day. So I guess that would be the last 24-hour time period at the time of recording. Optimism paid almost $200,000 for Ethereum security costs. Arbitrum paid $80,000, ZKSync $11,000. A total of $313,000 was paid for Ethereum security. Again, what do blockchains like Ethereum sell? They sell block space. The new purchasers of block space are not actually going to be users on the Ethereum main chain. They're going to be Layer 2s.

• 38:04Ryan Sean Adams?

  Here they are ramping up their block space purchasing. And that is how we are scaling the Ethereum economy. It's really exciting to see all this come together.

• 38:14David Hoffman?

  Yeah, and if you scroll down, Ryan, you can see the chart. And if you go to percent of total L1 fees, you can see we just recently hit an all-time high. That's L2 percentage of total L1 fees. Bam, right at the very end. 3.2%, 3.1% at the peak. That is an all-time high for Layer 2s consuming Layer 1 block space. And that number is up only, just like Layer 1 gas is up only. Because you're going to be competing. If you're still on Layer 1, you're competing with Layer 2s for block space, and you're going to lose that fight. So you might as well just capitulate and migrate to Layer 2.

• 38:48Ryan Sean Adams?

  The other thing is, you know, the alternative Layer Ones are actually competing against these Layer Twos as well. And the killer advantage that Layer Twos have, in addition to security, is they don't actually have to mint their token to pay these fees. They essentially get Ethereum's defense budget for free as part of it. And so if you want to go dip into the economic case for Layer Twos and the significance, the impact that has on Ether and the Ethereum economy, go listen to that episode. David referenced earlier, that's the trillion-dollar case for Layer Twos. Is that what it's called, David? Something close to that.

• 39:26David Hoffman?

  Trillion-dollar case, trillion-dollar opportunity on Layer Twos.

• 39:28Ryan Sean Adams?

  There you go.

• 39:29David Hoffman?

  Something like that.

• 39:29Ryan Sean Adams?

  It's got trillion in the name. David, let's talk about this next thing. What is going on with this former OpenSea employee? I know we mentioned it in a roll-up. This was months ago. And the employee at the time got fired. OpenSea put out a statement. It was some sort of an employee by the name of Nate Chastain, who I believe was a senior product manager at OpenSea. He was caught front-running. He was caught front-running. This was a Twitter post. And now this has made its all of its way to the US Attorney's Office in the Southern District of New York. And they've put out, I guess you call this a press release? It's labeled under press releases, but it's an indictment announcement

• 40:10Ryan Sean Adams?

  that this Nate Chastain has been indicted, and he is facing charges. What do you make of this, David?

• 40:19David Hoffman?

  Yeah, so just to recap the story, Nate Chastain, he had information about which NFTs were about to be featured on the front page of OpenSea. And so he would go buy these NFTs before they were featured on the front page of OpenSea. And then the price would like jump 2X, 4X, 5X, and then he would sell them. So he used that insider information to know which NFTs are about to be displayed on the on the front page. And then he would front-run retail that would just like buy the shiny thing on the front page. He collected $67,000 for this activity.

• 40:51Ryan Sean Adams?

  Wow.

• 40:51David Hoffman?

  And people found out because like they just found like just saw him.

• 40:55Ryan Sean Adams?

  The ledger's transparent, guys.

• 40:57David Hoffman?

  Well, and he was kind of. dumb about it and sent it sent it to a wallet that owned his own CryptoPunk like it might as well be called like Nate Chastain dot ETH. Uh, and so like people found out just by like watching the blockchain. So like kind of a dumb move. But also what he is being charged with is, uh, I would call egregious, uh, in relation to $67,000 of like insider trading. Uh, and so for he hasn't been charged with this. He hasn't been sentenced to this, but the one count of wire fraud and one count of money laundering, each of which carries a maximum sentence of 20 years in prison. So if he gets the worst of it, it's like 40 years in prison. Uh, if he, if he the worst possible, I can't imagine that he would get the worst of it.

• 41:40David Hoffman?

  Um, and so, but this is what like crypto Twitter and just everyone has really been alarmed about that. It's a super serious, yeah. Like the guy has to actually like hire a lawyer to not go to jail for $67,000 of like front running retail. And like, again, it's, he shouldn't have done that. That was a stupid thing to do. Also definitely dishonorable and it's super guilty.

• 42:00Ryan Sean Adams?

  unethical.

• 42:01David Hoffman?

  Of 40 years of jail time though?

• 42:04Ryan Sean Adams?

  It seems like.

• 42:05David Hoffman?

  I don't know.

• 42:06Ryan Sean Adams?

  I mean, definitely a crime, but like now you have to ask yourself, does the crime fit that the punishment, of course, we don't know what the final punishment will be. But just the fact that like the maximum sentence is 40 years potentially in prison for doing this. I mean, like all sorts of people in crypto front run other people all of the time based on insider information. It just happened then Nate was actually caught doing it from a Twitter thread. That's how bizarre this is.

• 42:33David Hoffman?

  This just feels like, uh, he's getting Ross Ulbricht. Again, he hasn't been charged and so he might just like not, this might actually turn into a nothing burger. But everyone's being very alarmist is what this could turn into where they could make an example out of Nate Chastain and say like.

• 42:46Ryan Sean Adams?

  That's what they're trying to do, right? Make an example. What they're trying to say is, is hopefully which is good, which is insider trading is not okay in crypto.

• 42:53David Hoffman?

  Right, right. The fact that he was put into handcuffs and arrested for $60,000 of front running, uh, is a little, a little egregious. Uh, there's a way better ways to like solve this grief, this grievance. Um, and so like what I'm worried about is. That he actually does go to jail for like a really long time, kind of like how Charlie Shrem did. Charlie Shrem, he's like, he was faced with like a lifetime in prison. So he took like a plea deal and spent like three years in jail or something. Ross Ulbricht was not able to get out of like a double life sentence. So he is still in jail. And so like this was, this is like the red flag that people are worried about is like, do they just make a case out of this individual? As a warning shot to the rest of the crypto industry to like, you know, tough, like get your shit in order.

• 43:36Ryan Sean Adams?

  Do you think everyone at centralized exchanges right now is just like sweating bullets?

• 43:39David Hoffman?

  Probably.

• 43:40Ryan Sean Adams?

  Like they're just like, yeah, I mean, they're going to have to button things up for sure.

• 43:45David Hoffman?

  Iggy, right.

• 43:46Ryan Sean Adams?

  You know, compliance is going to be a big issue. The thing I love about DeFi, at least when you get into kind of the, the permissionless levers of DeFi is because no one decides, no one is a gatekeeper on what asset gets listed on something like Uniswap. Anyone can list an asset anytime. There is actually no such thing as front run information about which asset is going to be listed. Because anyone at any time has the ability to spin up an asset. That to me is the world that we are trying to get to, a completely permissionless world. Where there is no insider information. Everyone knows at the exact same time because there are no gatekeepers.

• 44:26Ryan Sean Adams?

  OpenSea is not that, of course, because they're kind of a, call them a web 2.5 type of company.

• 44:33David Hoffman?

  A centralized front end with a decentralized back end.

• 44:36Ryan Sean Adams?

  Exactly. And so there is actually insider information as far as what NFTs might, might hit the, the front page with a Coinbase or an FTX. It's also which assets are we going to list? That's information that can be traded on. And in those cases, David, it does make sense to have regulators, you know, take a peek and enforce this sort of thing. Now, again, here, 40 years is absolutely crazy for, for this kind of event. But we'll, we'll have to see and we'll be following the case on bankless. Here's a hilarious meme though, that I think sums things up. What is this, David?

• 45:12David Hoffman?

  Yeah. Doge Toshi tweets out crypto Twitter VCs right now, excuse me, crypto VCs right now. And this is a scene from Kevin from the Office. I actually don't remember the scene, but Kevin is saying, I had Nate explain to me three, three times what he got arrested for because it sounds an awful lot like what I do here every day. So, pretty big knock on VCs in crypto and of course, not all VCs are bad. Some VCs are very bad. But yeah, using privileged information that the rest of the market doesn't have to front run opportunity.

• 45:44Ryan Sean Adams?

  Well, isn't that the line we say at the beginning of bankless?

• 45:46David Hoffman?

  Opportunity, but we're talking about like buying ether before the TradFi does like, so that's not insider information.

• 45:53Ryan Sean Adams?

  This is, this is, this, I think this meme though, does sum up like, what is actual front running? What is actual like insider training? What does that actually mean in crypto? And I think a lot of that has to be defined, but certainly where there are centralized vectors, where there is like, where there are permission to gatekeeping, that sort of thing has the potential to expose front running as we've seen in kind of equities market. But like, the more diffuse we can make this information, the more transparent, the more on-chain, the less ability anyone has to kind of front run or do insider trading because we can all be there. No one has informational advantage. There's no informational arbitrage. Everyone gets

• 46:37Ryan Sean Adams?

  access to it at the same time if you're like watching the chain. So that is the world we are looking to get to, but it does call into question what front running actually is and what insider trading actually is.

• 46:48David Hoffman?

  Yeah, yeah, that's right. Wish the best for Nate Chastain, even though he did commit a crime. I hope he doesn't go to jail. I hope he just has to pay a fine. The thing is like, on the blockchain, he could literally just pay the people back. Like there is, he could, there is verifiable people as like who he sold those NFTs to at the marked up price and he can just pay them money. That makes much more sense than going to jail. Anyways, that wraps up that. Guys, we got so much more left to talk about. We've already gone on for so long. Coming up next in the second half of the show, Nate, Kanye West enters the chat. So we'll talk about what Kanye West is doing with Yeezus dot ETH and also the fight over the apes. Ethereum layer two is going head to head with alternative layer ones as to where the apes need to migrate to

• 47:31David Hoffman?

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• 49:29Ryan Sean Adams?

  All right, guys, we're back. Want to start with some merge updates. This, of course, is the Ethereum Merge, the biggest event we expect of this year. Robston was just announced. David, what are we looking at here? What is the announcement? This is an Ethereum Merge testnet, and it looks like that is moving along. What was the milestone that was hit this week?

• 49:49David Hoffman?

  Yeah, so we have a bunch of test nets around the Ethereum ecosystem. There's Robson, there's Gorley, there's a few others whose name escaped me at the moment, and each one of those is going to go from proof of work to proof of stake as Ethereum in the future will. And each one of those is going to have its own like merge, its own like practice merge. So Robson is getting merged the 8th of June, then there's going to be like, ah, two, if everything goes well, two to three weeks for the next one, which is going to be Gorley, I believe, and then two to three, maybe more weeks for the next one, which is Seplo. Yeah, I didn't even know that that was a test net. Covin's also coming up. And so, yeah, so June 8th, the first major Ethereum test net merges, and then we have a few more test nets after that, and then we actually merge. It's in a race right now to beat

• 50:33David Hoffman?

  out the Ice Age coming in late August. And so there is conversation about how if we get, do get to late August, we are going to have to hard fork without the merge to cover, to get the transaction fees from the Ice Age back down to 12 seconds because 20 seconds might become untenable. It's actually like almost halving the total block space supply of Ethereum at that point. And so, merge timing is still up in the air.

• 50:56Ryan Sean Adams?

  Are we still gonna do, I think the big question is, are we still gonna do August? Is that still in the cards? And I'm gonna say from like last week to this week, I think the probability of hitting August has decreased, at least in my mind. Maybe like last week I was thinking, okay, 80% ish. Now it's probably down to like 50%. And I'm thinking more of a September, like September, October, November kind of time horizon because they're still having some issues with Shadow Forks. We'd hope that that would be done right by now, but there's still some additional testing that that needs to be done. So I wouldn't be surprised if it slipped into September, October, maybe November. What are your, what's your take here, David?

• 51:39David Hoffman?

  Yeah, that that sounds about right. Each each merge represents a variable. And so it's, yeah, variables stacked on variables. Still feeling good about September, at least.

• 51:53David Hoffman?

  But we keep on kicking it out now, don't we?

• 51:56Ryan Sean Adams?

  Are we there yet? Are we there yet, Vitalik?

• 51:57David Hoffman?

  Are we there yet? Vitalik, please. Anyways, that's that. Not too much more details than that. As each test night gets merged, we'll have more and more details as things go along. All right, Pooley update. Pooley, yeah, this is the, the latent, latent Q-SAC is getting sued because of the whole like $5 into pool together, turning into a quarter billion dollar lawsuit. Chris Dixon from A16Z goes, we just bought a 75 ETH Pooley judge to support latent Q-SAC and pool together. Again, this is an attack on pool together, but it's actually an attack on DeFi, which means it's an attack on you personally. If you have not minted a pool together to, a Pooley to help support pool together against their egregious, frivolous lawsuit, please do that. There's a link in the show notes.

• 52:39David Hoffman?

  You know, A16Z is the only crypto VC to have minted a Pooley.

• 52:44Ryan Sean Adams?

  Look, man, I, I think they deserve a hand clap for that.

• 52:46David Hoffman?

  And they do. I saw, I'm so sorry, Chris, I don't have my soundboard. I triggered the applause button, but here's the applause.

• 52:53Ryan Sean Adams?

  Good job, A16Z. I, I hope some of their VCs step up and, and do this. This is definitely how we support, support this industry and support DeFi. And so far, David, it looks like they've pulled together, NFTs have raised close to 500 ETH.

• 53:05David Hoffman?

  Uh, yes, that number's actually old. They've raised like 580 ETH, I believe.

• 53:10Ryan Sean Adams?

  Fantastic.

• 53:10David Hoffman?

  Yeah.

• 53:12Ryan Sean Adams?

  So they said the goal is to raise about 1.5 million dollars of ETH and it looks like they're doing that. So, uh, that's great news.

• 53:19David Hoffman?

  They still got a lot, a lot more to go. They have raised 515 ETH at $937, uh, $37,000. They're looking for $140,000. So they have like almost $500,000 left to go. So we still need help, still need to help.

• 53:33Ryan Sean Adams?

  You're, you're thinking that ETH is still going to be below 2,000. So I'm calculating that ETH is going to be 3,000.

• 53:39David Hoffman?

  I'm not accounting that.

• 53:40Ryan Sean Adams?

  You just make the difference. That's all we have to do. We've already raised it, guys.

• 53:47Ryan Sean Adams?

  All right, Kanye West getting into NFTs. At least he's filing trademarks for NFTs. And I think this is kind of interesting because the last I heard from Kanye West and NFTs, he was actually like pretty cold on it. I think he put out a Instagram message, just like a handwritten message, saying something knocking NFTs. "My focus is on building real-world products in the real world." And about NFTs, he said, "Ask me later." So he's previously been pretty cold on NFTs, although he deleted this Instagram post.

• 54:21David Hoffman?

  I saw that earlier this morning. Click on that link.

• 54:24Ryan Sean Adams?

  Yeah, it's deleted.

• 54:26David Hoffman?

  Oh yeah, he did delete that. That's weird.

• 54:27Ryan Sean Adams?

  Yeah, he deleted it. So a little cold on NFTs, saying, "Hey, no, I'm gonna focus Yeezus stuff on the real world." But now filing a whole bunch of trademarks, it looks like.

• 54:37David Hoffman?

  Not only that, but he also bought Yeezus.eth, Ryan. He bought Yeezus.eth for 4 ETH.

• 54:43Ryan Sean Adams?

  Wow. For 4 ETH? That's it?

• 54:45David Hoffman?

  For 4 ETH, yeah, right? Well, 4 ETH, that's a lot of ETH, dude.

• 54:49Ryan Sean Adams?

  I mean, but if Yeezus.eth, I mean, what's it worth to Kanye? It's gotta be worth more than 4 ETH to this guy.

• 54:54David Hoffman?

  Well, yeah, but the guy who, oh, excuse me, 5 ETH. I mean, the seller probably didn't know he was selling it to Kanye West. Actually, undetermined as to whether this is Kanye West.

• 55:05Ryan Sean Adams?

  Oh, yeah, okay.

• 55:06David Hoffman?

  Yeah, we actually don't know that. So Yeezus.eth got purchased for 5 ETH.

• 55:11Ryan Sean Adams?

  Okay, we don't know whether Kanye West has it or not. Maybe he doesn't.

• 55:16David Hoffman?

  And Zachary Dash makes a funny tweet, retweeting this news. He goes, "Web 3sus."

• 55:23Ryan Sean Adams?

  Look, man, I think NFTs are just prime for somebody like Kanye West, who's very much all about like kind of the brand. And so I fully expect Kanye to enter the metaverse, as with all of the other luxury brands out there. So only a matter of time. So David, update me on this. There's a lot of talk these days about liquid staking derivatives, LSD, I guess. And this is coming from some concern, some fear that Lido actually has a large distribution of all of ETH stake. It's over 30%, I believe, at this point in time. And so this is Danny Ryan, writing an entire post on why liquid staking derivatives cannot safely exceed consensus thresholds. What is the discussion going on in the Ethereum sphere about this?

• 56:09David Hoffman?

  Yeah, basically, if a staking derivative token, which we assume all future staked ETH will likely be a part of a staked ETH derivative token, that's Lido's staked ETH, that's Rocketpool's R ETH, and all the future ones that are coming. If there is just too much centralization inside of one single token, and the way that that can emerge is like, instead of you, maybe you have dollars, and you go, but you want to have upside to staked ETH. Instead of buying those dollars to buy ETH to go stake that ETH, you can just go to Uniswap and buy R ETH on Uniswap, or stake ETH on Uniswap. And you're probably going to buy the most liquid one, because that's what you want, the one with most integrations in AVE. You want to like have financialization around your staked ETH. And so you just buy the most liquid one.

• 56:50David Hoffman?

  And that has like positive feedback loops, like it can just like, the MEV, if the more and more stake you have, the more and more MEV you can get, and so the yields will be higher on the one with the monopoly. And so Danny Ryan writes this post, "Risks of LSD: Liquid Staking Derivatives." And he just makes it claim that if a liquid staking derivative protocol exceeds critical consensus thresholds, which are at 1/3, 1/2, and 2/3, crossing each threshold enables powers to that organization, be it Lido, or Rocketpool, or whichever organization gets too successful, it kind of gives them control over Ethereum. And so he makes a post illustrating all the risks here.

• 57:32David Hoffman?

  And basically, we cannot allow any liquid staking derivative token to get larger than 1/3, and Lido right now is at like 32%. I did an episode with SuperFiz from the Rocketpool/R ETH Finance community. It's coming out on Tuesday if you want to hear more about this. I'm not necessarily worried in the long term, there's yet to be a problem that Ethereum, the Ethereum community hasn't solved, although it does need direct attention. So I wrote a tweet right before we did this. "Lots of clamoring about Lido's staked ETH dominance lately. Staking as a service apps, sorry, there's a few staking as a service apps that are yet to come to market: Swell Network, Obol, Alluvial, which got announced that permissionless, plus Rocketpool, I think is about to see a lot of inbound ETH. Still very early in the competition landscape for staking derivatives.

• 58:16David Hoffman?

  However, we do need to ensure that the monopoly of staked ETH derivative tokens does not emerge."

• 58:23Ryan Sean Adams?

  Yeah, I agree with that. I think there's a lot of more competitors that are about to enter the game for sure. Also, like, once withdrawals happen, that'll totally describe as like shake up the snow globe and things will settle down after that. I do think the answer to you, Lido having too much stake is actually for competitors to emerge. And also, I think there's some interesting answers in the form of things like Obel network that allow some, you know, the sharing of staked private keys and can add some additional resilience and additional decentralization a bit like earlier in the stack, more like closer to the client level, closer to the protocol level. And that cryptography has not yet

• 59:05Ryan Sean Adams?

  emerged. But I think, David, we'll probably be doing some stuff with Obel in the future, where we talk about this technology called Shared Secret Validator Technology, SSV, which is super important and yet to really emerge. I think it'll it'll help some of this. So it's still very early. There's lots of clamoring. I am concerned about it, but I'm not I'm not at the stage where I think this is a long term existential risk. I do think as a community, technologies, the cryptography that's going to emerge. And like, we'll have to just let these things settle before we hit the panic button too hard on this.

• 59:39David Hoffman?

  Yeah, I definitely agree. There's the Ethereum auto or the Ethereum immune system is definitely showing up to like tackle this problem head on. SSV also, I think it's been rebranded as DVT Distributed Validator Technology. It's definitely very, very promising to help democratize some of the monopoly power that a monopoly staked ETH derivative token might might have. Anyways, moving on to the fight over the apes. So we have two competing blockchains submitting proposals to the ape coin DAO to have the have ape the ape ecosystem be on boarded to a particular blockchain.

• 1:00:15Ryan Sean Adams?

  This is the board apes you're talking about?

• 1:00:16David Hoffman?

  This is the board apes. Yeah. So the other side, Mint of the virtual land, clogged Ethereum. They also had a very unoptimized like NFT contract, a bunch of failed transactions. So on the heels of that, Avalanche comes to the ape coin DAO and submits their proposal for the other side. Metaverse to become an Avalanche subnet. And so they make the proposal, do all their incentives. Here's like all the things that we can give you.

• 1:00:41Ryan Sean Adams?

  And Avalanche subnet is kind of like an Avalanche sidechain, as I understand it?

• 1:00:45David Hoffman?

  Yeah, yeah. The Avalanche ecosystem says these are competitors to Layer 2s, but that triggers the Ethereum community because like they're just fundamentally different constructions with weaker split security. And so like where Ethereum Layer 2s share Ethereum security, Avalanche subnet split Avalanche security. And for the security maximalists and decentralization maximalists out there, we don't really like that. And so, but Avalanche anyways, they come and say, hey, make your ape ecosystem, your ape DAO, an Avalanche subnet. And so that's one blockchain competing for the ape ecosystem. And the other is Immutable. Immutable X has also submitted a proposal to Apecoin's DAO Trusted Layer 2 Scaling Partner. And so we've got two blockchains fighting for the Apecoin.

• 1:01:28David Hoffman?

  And the links in the show notes are going to the, will be in the forum posts. So if you want to see this firsthand about the reactions to this, you can go into the comments and scroll down. The brief time I scrolled down and read the comments, the immutable proposals were very, very overwhelmingly positive. And then the Avalanche were extremely conflicted and controversial. Kind of what you would expect if you're a decentralization maxi. So I like what I see because again, immutable is a DK roll up on top of Ethereum, doesn't compromise on security. Avalanche kind of, kind of compromise on security ecosystem. It's why I kind of resist that.

• 1:02:04Ryan Sean Adams?

  What's kind of cool too is like Ethereum has never done marketing well or like business development very well. Like you can't, it's a protocol. Like how does TCP IP do marketing or business development, right? And Ethereum is much more in the vein of TCP IP versus like a company. It's something that alternative Layer 1s have done very well. Like they do good outreach, good partnerships, good business development. And so that's, that's why you're seeing Avalanche in these governance forums like fighting for market share. But it's funny because Layer 2s do not have that restriction. So many of these Layer 2s are becoming Ethereum's marketing and business development arm and onboarding arm essentially. So. It is back to something we were saying that people didn't believe so much last year is

• 1:02:47Ryan Sean Adams?

  that many of the alternative layer ones are going to find themselves not competing with Ethereum directly, they're going to find themselves competing with layer twos. And here's an example of that. Avalanche and Immutable competing for the board apes in these governance forum posts.

• 1:03:04David Hoffman?

  And you can see in the forum posts, like Avalanche has like, hey, we have this $290 million incentive program. Immutable is like, yeah, we raised $200 million. We also have our incentive program. And so like, you know, this is the Ethereum application layer fighting for the best interests of the Ethereum protocol, which I think is just fantastic. Halpress, he tweets out, "Both AVAX and Avalanche and Immutable have made proposals to move Apecoin to their chain. Community response could not have been more different." This is the comments I was talking about. "Strongly against the Avalanche and pro the Ethereum layer two. Interesting that users would rather have assets backed on Ethereum layer two than an alt-EVM chain." Again, if you are curious to see the response for yourself, you can go to the link in the show notes and review the comments.

• 1:03:51Ryan Sean Adams?

  We got more, David. What are we looking at here?

• 1:03:53David Hoffman?

  More alt-layer-one things. This is the Twitter, the Twitter account Solana Status. "Block production on the Solana mainnet beta has halted. Validator operations should prepare for a restart in MV validators on Discord." So Solana down, once again, closed for business hours. Take from Frog Monkey goes, "Validators check Discord is the most janky-ass Web3 shit I've read all day. What happens when Discord goes down too? LOL." And so, yeah, it's consensus by Discord channel, not the best version of consensus. And so I tweeted this out, I was like, "If people are starting to make memes about Solana being down, it's starting to get pretty bad." And so here's the Solana is down starter pack. "Solana mainnet beta intermittent

• 1:04:35David Hoffman?

  issues. Validators, please come to the Discord. It was a simple software bug that in no way reflects badly on our design choices. Not down. Blocks just delayed indefinitely. Engineers are investigating. Update your nodes now. Nakamoto coefficient." If you're not following the Solana leaders on crypto Twitter, you might not get some of these jokes. But yeah, memes, memes about Solana being down is not exactly what you want to see.

• 1:04:59Ryan Sean Adams?

  Yeah, and look, I think that there's some necessary accountability. I mean, Solana is saying it's a Layer 1. It's also saying it's in beta, but it's like a multi, like many billions of dollar beta, right?

• 1:05:11David Hoffman?

  Most expensive beta I've ever heard of.

• 1:05:13Ryan Sean Adams?

  And like the one thing that Layer 1 chains are supposed to do is stay up, maintain censorship resistance, and maintain uptime. And if it's not doing these things, then I do think the crypto community is right to sort of call it out and raise attention, raise awareness. I mean, a lot of people didn't do that with the Terra ecosystem and kind of look what happened, right? It really costs the space over the long run. So we're going to continue to talk about these things because we think they're important. But David, another thing we're going to continue to talk about every single week is a job.

• 1:05:49David Hoffman?

  Jobs. Get a job.

• 1:05:49Ryan Sean Adams?

  We want you to get a job in crypto. Absolutely. There's companies that are hiring, even at a faster clip, there has been no decrease in the amount of jobs on our job boards. I'm going to read a few out to you. A tech lead at Swell Network. David, is that one of those?

• 1:06:05David Hoffman?

  Staking as a service company.

• 1:06:07Ryan Sean Adams?

  That's what I thought. A tech lead at Swell Network. Solidity developer at Unlocked. Senior product designer at Streams. A business development lead, Goldfinch. Marketing manager, Wanderverse. So many of these positions were non-technical already, David. An associate business operations. Chainlink Labs. A developer evangelist at Arjut. There's so many more. Go sign up to receive these jobs in your inbox. Thebanklist.pallet.com/jobs. Also, if you haven't done this, do this. Go submit your resume. Make these projects come to you for the talent. We have a talent collective where you can go do that. A lot of energy in the Bankless talent community these days, David. I think there was like a Twitter Spaces earlier this week about this.

• 1:06:47David Hoffman?

  Yeah. Do you know how many people went to, so the Talent Collective team at Bankless, Joni and Michael hosted a Twitter Space with some other companies in the space, all about just like kind of a job workshop, like how to get a job in Web 3, how to stand out as a candidate.

• 1:07:00Ryan Sean Adams?

  These were like employers that came as part of the panel. Yeah, it's part of the Twitter Spaces.

• 1:07:04David Hoffman?

  And so, do you know how many people came up to that Twitter Space, Ryan? Like, how many people showed up?

• 1:07:08Ryan Sean Adams?

  How many? Tell me.

• 1:07:09David Hoffman?

  1500 showed up in my Twitter space. I shit you not, dude. Like 1500 people. So there are 1500 people who showed up for basically what is like a virtual career day.

• 1:07:20Ryan Sean Adams?

  A Twitter job fair?

• 1:07:21David Hoffman?

  A Twitter job fair, yeah. And so, again, the job market is hot. Like that tech lead out of Swell Network, $100,000 to $200,000 a year. That's a nice paycheck. And so, like, yeah, I know Gemini is laying off people, but like, again, the newer people, the newer projects are hiring and they're hiring Bigly.

• 1:07:40Ryan Sean Adams?

  Absolutely. So make sure you get in on this if you're interested in working in Web 3. And why wouldn't you be? David, a few releases we gotta cover. Number one, did you see this? The Bankless Dow, good old Bankless Dow, they just released the Global Tax Guide. All right? I love that they did this. This is a global tax guide.

• 1:07:58David Hoffman?

  Do you hear the enthusiasm and riots right now?

• 1:08:00Ryan Sean Adams?

  Man, is this the most? Why didn't we lead with this in the roll up? I'm sure.

• 1:08:03David Hoffman?

  Big news of the week.

• 1:08:04Ryan Sean Adams?

  Triple views. Yeah, big news of the week.

• 1:08:07David Hoffman?

  Right ahead of the optimism airdrop.

• 1:08:08Ryan Sean Adams?

  Yeah, forget about the airdrop, all right? The Global Tax Guide from Bankless Dow is here. This is the most up-to-date information from the US, the UK, Portugal, Spain, Australia, Poland, Russia, Brazil, Germany, a whole bunch of other jurisdictions. So it's international. Again, something that Bankless HQ could have never written. Did you see this? You know how to get this guide?

• 1:08:27David Hoffman?

  Yeah, you mint it. That's awesome.

• 1:08:30Ryan Sean Adams?

  You minted an NFT.

• 1:08:31David Hoffman?

  Dude, the Dow's kicking ass right now.

• 1:08:33Ryan Sean Adams?

  Look at this, man.

• 1:08:34David Hoffman?

  Yeah, of course, they also have some art to go with it.

• 1:08:37Ryan Sean Adams?

  IRS filings that like scribbled over. And I wanna, I wanna make this bigger and actually see this.

• 1:08:42David Hoffman?

  You're gonna have to click on the one, I think.

• 1:08:44Ryan Sean Adams?

  Some of these are hilarious. Anyway, go check out the Global Tax Guide if you are, I don't know, thinking about taxes. Wondering where you should go next.

• 1:08:56David Hoffman?

  Actually, if you're thinking about taxes, you might not need to mint a tax guide. If you are not thinking about taxes, you might need to go mint the tax guide.

• 1:09:03Ryan Sean Adams?

  That's so true. You probably need this or at least get your CPA on this or something.

• 1:09:07David Hoffman?

  Give it a present for your CPA.

• 1:09:09Ryan Sean Adams?

  Another, man, every single week, we've had more wallets to announce. And this is a wallet from Zirion. Zirion, of course, is a fantastic DeFi aggregator. It's kind of like a mission control center for all of your DeFi wallets. And they've just released a mobile wallet. I don't know all the details, but I think this thing is.

• 1:09:28David Hoffman?

  Oh, I've got the details, Ryan.

• 1:09:29Ryan Sean Adams?

  It's not custodial, right? So that's good. So it's still bankless. But what else does this puppy do?

• 1:09:35David Hoffman?

  Oh God, here it goes. I'm going to run through this. Smart trade routing through every major decentralized exchange. Multi-chain support for 10 networks, including Solana, when it's up, Polygon, Avalanche, Arbitrum, Binance Smart Chain, Optimism, Gnosis Chain, others. DApp compatibility with Wallet Connect, you'll love to see it. Sign transactions on any Web3 app with your phone. Fiat on-ramps, we love Fiat on-ramps. Multi-seed phrase management, so you can have multiple seed phrases. And so we also love that. And also Zirion DNA, which is an NFT, generative NFT that evolves with you as you use Web3. So I'm getting something like a Tamagotchi pet or something? A Tamagotchi NFT that like grows up with you as your DeFi.

• 1:10:16Ryan Sean Adams?

  As you do like degen activity across your wallets, it kind of adapts and molds to you.

• 1:10:21David Hoffman?

  And of course, like Ryan said at the beginning, non-custodial, AKA bankless. Do you think we can just like stop getting people to use the word non-custodial and start using the word bankless? Do you think?

• 1:10:30Ryan Sean Adams?

  Oh yeah, it's just we released a bankless wallet. That'd be amazing. I think you guys should do this, Zirion. The other thing is, this is all mobile first, which is fantastic because we need some more mobile wallets rather than just browser extensions. Here's a, another release this week is Voltz's Protocol. What are these guys doing?

• 1:10:47David Hoffman?

  Yeah, Voltz's Protocol, interest rate swap mechanism, which is apparently like a bajillion dollar total addressable market.

• 1:10:55Ryan Sean Adams?

  Bajillions of bajillions. It's so big.

• 1:10:57David Hoffman?

  Yeah, and we're not joking. 300, the actual number is 372 trillion dollars in the world is interest rate swaps. Because this has to do with bond markets, right? Bond market yields and then people can like control and hedge their interest rates, blah, blah, blah. Anyways, Volt's Protocol, live on mainnet, alpha launch, a cap of $1 million per pool. So it might actually already be fold, but full. But they trade, you can trade rates with leverage. So you can trade interest rate deviations with leverage and earn market neutral yield and also build the future of finance, they tweet. And so this is also the DAO that lobbied Uniswap Governance to allow them to use Uniswap V3, the Uniswap V3 license.

• 1:11:41David Hoffman?

  Uniswap V3 license is controlled by the Uniswap DAO for like three years or something. So Volt's gave the Uniswap DAO something like 1% of tokens to be able to use Uniswap V3 code inside of the DAO. So pretty cool.

• 1:11:52Ryan Sean Adams?

  This kind of stuff is going to be great for something we talked about last week, which was like the determining what the ETH staking yield curve is going to be in the future, right? I mean, that's why, that's why interest rate swaps are such a large market in the traditional space, like $370 trillion, just the most massive derivatives market in existence. And now, as we've said so many times, David, we are speedrunning the history of finance. Now, I don't know, we're 1950s, 1960s, at least getting these interest rate swap derivative markets up and going on DeFi. I think this is going to be an absolutely massive sector and it's just getting started.

• 1:12:30David Hoffman?

  This is, the part of the story is the financialization of Ether, the asset, and all the other yield on Ethereum, but like the one that we really like is Ether, the asset. So that is becoming more and more financialized. Voltz Protocol is doing it. I'm talking with Simon, founder of Voltz Protocol, to come on an Alpha Lake episode so we can explain this thing in depth, because this is like beyond my brain for comprehension. So that episode will come out sometime soon.

• 1:12:53Ryan Sean Adams?

  DeFi Saver as well, they've just announced that they are live on Arbitrum and Optimism. So they are live on both the Optimistic rollups. If you haven't used DeFi Saver, it's just a way not to get liquidated. It's kind of like it wraps up your, your loan, whether it's an AVE loan or whether it's a Maker loan, and it makes sure that you don't get liquidated. And, you know, the DeFi Saver team was really key. Do you remember in March 2020, and all of those CDPs and ETH dropped to like $80, so many people were getting liquidated. DeFi Saver saved countless millions of dollars, countless liquidations from many of its community, and they've just been continuing to build. So I really love what this team is doing. It's a really useful product.

• 1:13:35Ryan Sean Adams?

  If you haven't checked it out, go to DeFi Saver and see what they're up to. Or just with those new Optimism tokens and the new exploration they're doing on Layer 2s, you can go see it on Optimism and Arbitrum as well. David, what else we got, man?

• 1:13:51David Hoffman?

  We've got protocol fees from Immutable. So protocol fees are live. Of course, every single blockchain needs to charge fees. If they don't, something is up. So as Immutable has announced that their protocol fees are live, and they tweet out, "This is the final step before launching IMX staking and will allow the next generation of Web3 games to reach planet scale with cheap, reliable, and incentive-aligned pricing." Link in the show notes. But if you're into the whole Immutable ecosystem, the IMX staking is what you're excited about. And so with protocol fees, when you actually stake your IMX, you actually get the fees. That is the idea there.

• 1:14:27Ryan Sean Adams?

  That's awesome. On the regulatory front, there's some things happening. So Senator Cynthia Lummis, she has just released a full draft, a very early preliminary draft of a landmark crypto bill. And of course, she in the past has been, she's a senator who's been very crypto-friendly. So it's good that this is coming from her. An early draft was sort of leaked, and the block did a report on that. And you can look at the 70-page draft if you want. Lummis has said, yeah, but Lummis has said it's not the full draft, right? It's just something preliminary. It's changing a lot. And so the real announcement is going to come on June 7. So it's coming right up. But I think one of the things that

• 1:15:11Ryan Sean Adams?

  I hope it does, and it seems like it's going to do, I've not read all 70 pages, David, is add some clarity as to where the CFTC starts and stops, and what jurisdiction the SEC has. And that's really what we have wanted from our legislators all along in the US and in other jurisdictions, is just give us some clarity. Okay, like, we don't actually know what the laws in the country are pertaining to crypto, whether it's tax clarity, or whether it's commodities and securities clarity. That's what we're looking for. So hopefully, this injects some of that. And hopefully, it's not something that would squelch, but it's something that would foster innovation in the US if this sort of thing passes. So

• 1:15:54Ryan Sean Adams?

  TBD, wait for the 7th, wait until after, until this gains some more steam. And then, of course, it has to actually get through the Senate, which is maybe the hard part, the Senate and the House, before it actually becomes a law, and Biden's signature and all of these things. So we're a long ways out, but something is happening.

• 1:16:11David Hoffman?

  Yeah, we are fighting the fight. And so, thank you Cynthia Lemus for making sure that fight gets fought in Capitol Hill. All right, one big raise of the week, and it is indeed a big one. Binance Labs closes $500 million fund to focus on Web3 and blockchain adoption. Pretty run-of-the-mill headline, $500 million, that is a large number. So, Binance Labs, funding more shenanigans. I love to see it. Cool.

• 1:16:35Ryan Sean Adams?

  Guys, there's a lot more we want to cover. First of all, questions from the nation, our new favorite segment that we end with. There's at least two questions that we've heard from the Bankless community that David and I will attempt to answer. And then some hot takes from crypto Twitter, as usual, including this take, "No one actually understands the Ethereum merge." Kind of agree with that, but we'll dig into all of that when we get back. Before we do, we want to thank the sponsors that made this episode possible.

• 1:17:01David Hoffman?

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• 1:17:45David Hoffman?

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• 1:18:29David Hoffman?

  to crypto or a seasoned pro, it's time to switch to the Brave Wallet. Download Brave at brave.com/bankless and click the wallet icon to get started. And we're back. Questions of the week. If you want to get your question into the questions of the week, every Wednesday, a tweet goes out of bankless asking, do you want to get your question of the week into the question of the week? So that is what you respond to. We prioritize questions with the most likes, also the slightly ones that are also the most interesting. And so this is that segment, questions from the nation. Frog Monkey asks, will an eventually L2/L3 world reduce demand from a net block space? What does this mean for demand for ETH and supply? And also EIP1559. And so I've answered this question in the

• 1:19:11David Hoffman?

  form of another tweet that I found. And this actually came out of the Bitcoin block size debate in 2016. And so this is a tweet of like, I think Texas highways, or maybe China or something. And there is like, it is like a 20 lane highway going in both directions. There's lanes on lanes on lanes, and they are all congested. And the idea, the concept here is something called induced demand, where if you increase the size of lanes, you will increase the just the usage of those lanes. So you don't actually scale anything. You're not solving traffic by making more lanes. You're just making more usage of those lanes. So people will just like have, will drive more cars. And so this concept of induced demand was at the very center of the block size debates of Bitcoin in 2016, before Bitcoin,

• 1:19:55David Hoffman?

  the Bitcoin block size wars forked Bitcoin into Bitcoin with small block sizes, AKA small lanes, and Bitcoin Cash with big block sizes, AKA many, many, many lanes. And we all know what happened to the Bitcoin Cash versus Bitcoin. It was like, been down only ever since. And so this is also at the heart of Ethereum scaling strategy. Rather than scaling Ethereum at the layer one, we're going to make, instead of more lanes, more highways, more highways going in different directions to route demand elsewhere around the layer one. So instead of inducing more, more demand at the layer one, we just create layer twos, which keeps the layer one safe and secure. And so Frog, to answer your question,

• 1:20:37David Hoffman?

  what does Ethereum like burning rate do in a layer two slash layer three world and demand for ETH? I expect, and especially as we're talking about earlier, as layer twos become bigger and bigger and bigger, they're actually going to Like bully people out of the layer one because they're going to price them out of the layer one. So it's the it's the layer twos that are going to be these big massive buses, these convoys of buses on the very, very low lane highway of the Ethereum layer one. But it's going to be transporting a lot of people because it's like buses or trains rather than individual cars. And so, and the adoption of layer twos is going to, in the same way that we saw immutable X fighting for like the board ape ecosystem, like all

• 1:21:20David Hoffman?

  these layer twos will create demand that Ethereum out layer one will never have been able to do, like highways going into new cities that Ethereum layer one wouldn't have been able to build and attract more demand. And so I see layer two slash layer threes as Ethereum increasing its surface area for the ultimate demand of that very small constrained block space at the layer one. And so it is, they are not parasitic. They actually are net generative because they enable new economic activity, new places to go for the Ethereum layer one via routing to layer twos and layer threes. Anything you want to add to that, Ryan?

• 1:21:54Ryan Sean Adams?

  Yeah, I would just say, we're never going to have enough block space is the thing. In the same way, we're, you know, your computer will never have enough storage, enough memory, enough processing power, because as soon as you get more storage, more memory, more processing power, you will have applications that start to consume more of those things.

• 1:22:12David Hoffman?

  Chrome.

• 1:22:13Ryan Sean Adams?

  It's very much like, yeah, like Chrome, like Chrome tabs. I get a new laptop and all it means is, you know, so I could have more Chrome tabs. And all it means is like the apps on my laptop in the future are going to like continue to consume more system resources. Very similar to bandwidth too, right? Think of layer twos as like adding bandwidth to trustless transaction space, trustless block space. It's really what we're doing. And will the world ever have enough bandwidth? No, because we'll just create more applications that use more bandwidth and we'll continue to use it all. I think that's similar to what's going on here. All right. Here's the next question, David. What do you think is one of the most useful use cases of Ethereum that we have not deep yet

• 1:22:56Ryan Sean Adams?

  deeply discovered, but that will be very big in the next 10 years? So most useful use case of Ethereum not discovered that will be very big within 10 years. What do you think, David?

• 1:23:09David Hoffman?

  Yeah, so the funny thing is while we were prepping this agenda, Ryan and I came up with our answers independently and they were the same answer, which is how you know that we're on to something. Identity, verifiable credentials, off-chain identity, decentralized identity. How do we get like, this is like non-financial use cases of Ethereum. How do we get like a self-sovereign identity system built into our crypto systems that can attest to who we are and what we do as humans in ways that is also private and secure. Tomorrow, I'm actually recording with Vitalik Buterin and Evan McMullin, because we have a debate on our hands. And this is actually Ryan, the first time I've actually disagreed with Vitalik about something. And I actually feel like I have the evidence to back it up. We're gonna see how well I do.

• 1:23:52Ryan Sean Adams?

  I don't know how that's gonna go for you, David.

• 1:23:55David Hoffman?

  I'm not the one debating, however. And I also, I also don't know if this is gonna be a debate. We are literally going to just figure out what you do with a soulbound NFT versus an off-chain verifiable credential. And so, to answer the question, identity and decentralized verifiable credentials, rather than just like Harvard giving you your, your credential of you graduated as a piece of paper, we can have, like Vitalik says, a soulbound NFT, or Evan McMullin says, an off-chain verifiable credential. How this emerges is TBD, but there's consensus on this is the next big thing in Ethereum is decentralized identity, credible attestations as to who you are, kind of like your DGEN

• 1:24:36David Hoffman?

  score. Just like, yeah, you have done the things and therefore you have this like, a DGEN score is like a new Web 3 version of like a credit score, right? Like, you did all the DGEN stuff on Ethereum. Like, people have hired other people, like, funds have hired people based on their DGEN score, because it's an attestation of their experiences and who they are and like how, how well-informed they are. And so, like, Bankless DAO issuing a credential as in you have been an active governance voter. Like, Compound saying you've kept your ETH in here for like over two years. Here's that credential. Like, we can have a more illustrative, like, expression of our identity with these types of credentials that can unlock use cases that we can't even dream of at the moment.

• 1:25:18Ryan Sean Adams?

  Yeah, I think like if you if you zoom out and think about what crypto does is it, these are just basically trust computers, trust machines, right? And so what sort of applications require trust? Well, number one, we did the money thing. That's super important, right? Money requires, you know, some some level of decentralization, a trust computer in order to create on the internet. So we've done that. We've also done banking and kind of finance. We've also done, you know, property. The next major thing that requires a trust machine, a trust computer, is identity. And that's the thing that we have yet to solve, has not been a breakout use case at all for crypto yet, but we're starting to see that germinate.

• 1:25:59Ryan Sean Adams?

  And that is going to be massively impactful, probably as as the poster asks, a very big thing within the next 10 years that is not yet deeply discovered. If, you know, I put, I definitely put a lot of money on identity being a breakout transformational use case. I don't know where the investment opportunities are in that, by the way. I think they're going to emerge. But as far as like transformational application that blockchain is is uniquely positioned to give us, that's like a thing that is going to be absolutely huge. And if you think about it, it's like, where do we get our identity today? Is passports the nation state issues, right?

• 1:26:39David Hoffman?

  We are giving it to by the government to us.

• 1:26:42Ryan Sean Adams?

  Exactly.

• 1:26:42David Hoffman?

  They tell us what our identity is.

• 1:26:44Ryan Sean Adams?

  Exactly. So we have to change that. And this is going to be very important for our digital freedom going into as we continue in the 21st century.

• 1:26:51David Hoffman?

  All right, man. I will say that there are going to be like DeFi yield farming, for example, was a blowout use case in 2020. No one saw that coming. So in addition to identity, there's going to be like 17 other massive use cases that no one's going to see coming to. We just don't know what those are.

• 1:27:06Ryan Sean Adams?

  Yeah, exactly. TBD. All right, let's get to some takes for the week. This is a take from Foodbar. Foodbar, you want to read this?

• 1:27:13David Hoffman?

  Yeah, Foodbar says, quote, "The merge is already priced in. The market must be discounting execution risk." And then he more seriously follows up with, "My friend, the market doesn't even know the difference between Robson, which is an Ethereum testnet, and mainnet." And so that got that got a bunch of likes. This is after this Market Meditations Twitter account goes, "Breaking Ethereum merge scheduled for June 8th." No, that's the Robson testnet merge.

• 1:27:37Ryan Sean Adams?

  Market Meditations, I subscribe to that. What are they doing?

• 1:27:41David Hoffman?

  Mark Baylin follows up and says, laughed at this for a solid minute at the tweet and kept scrolling, but holy crap, you're actually right. This bear market is going to be a lot of fun. Yeah, the degree that people don't know what the actual true details of the merge are, are is like, I hope, I hope Bankless listeners know, uh, cause like, we've been hounding it for a very long time now. People that listen to Anthony Sazano on the Daily Way, they definitely know. Beyond that, Ryan, I'm not yet convinced that many people know and understand what the magnitude of the merge actually is.

• 1:28:10Ryan Sean Adams?

  I agree. Well, it's, it's bullish. You're front running the opportunity, aren't you? Not in the Nate Chastain way.

• 1:28:15David Hoffman?

  And in the good way, in the way you won't get arrested.

• 1:28:17Ryan Sean Adams?

  In the way where you're not going to get arrested. This is what investors should be doing is front running this informational arbitrage that they have, uh, by educating themselves. David, here's a tweet from Kevin O'Walkie. I feel like he's laying out a new mental model for us. This is the Dow human actor trilemma. Uh, and what we're seeing is of course a, like one of these famous triangles with a, a trilemma here. And I want you to explain this, uh, to, to us, but you have to choose two of three, either shared action, shared context, or shared consent. So all of these things are shared, but you can either choose shared action, shared context, or shared consent, and I

• 1:29:00Ryan Sean Adams?

  only get to pick two of these three. What is he talking about?

• 1:29:03David Hoffman?

  Right. He's talking about DAOs and their difficulty of scale. And this is really the big DAO problem. Kevin O'Walkie, big DAO thinker, kind of knows what he's talking about, definitely from experience as well. Uh, and so if you have shared consent, as in everyone in the community agrees, uh, that this is the right thing to do, and you also have shared context as to why you are doing it, you are likely going to be missing shared action, which is going to be what he calls legitimate inaction, as in the choices are, that are, that are being made are legitimate, but the direction that they're going in are illegitimate, as in like, we got that wrong. Uh, and then you can combine shared action, as in like, all the, all the DAO is working towards a shared goal, and also shared context

• 1:29:45David Hoffman?

  is the reasoning why we are working towards that goal. So if you have those things, you have illegitimate action because You forgot to have shared consent, as in people made choices without the rest of the Tao. So then the risks for that are like what he calls consent debt, as in some parts of the Tao don't feel heard. People will fork off the Tao and make their own Tao. And then you can combine shared consent with shared action. And so everyone in the Tao agrees, everyone in the Tao agrees where to go. But they are missing shared context. And so you have misdirected action, as in the Tao is agrees that they need to go somewhere, but they forgot to figure out the right direction to go towards. So share, and he goes, shared context takes time, full context harder in complex systems.

• 1:30:28David Hoffman?

  And so this is like the trilemma of Tao is like, it's really hard to get all three. It's not impossible, but getting all of these is very, very difficult.

• 1:30:36Ryan Sean Adams?

  Yeah, this is, this seems like a problem because we either get misdirected action, which is kind of bad in our decision making. Or we get legitimate inaction, which is bad because you're not actually doing anything. Or you get illegitimate action, which is bad because a whole bunch of the community doesn't actually agree.

• 1:30:53David Hoffman?

  Yeah, you are doing something, but people forgot to agree on it.

• 1:30:55Ryan Sean Adams?

  Okay, well, I always hate presenting a problem without a solution. Does this thing have a solution right now?

• 1:31:02David Hoffman?

  I think the solution is to follow Kevin O'Walkie on Twitter and wait for him to figure it out.

• 1:31:07Ryan Sean Adams?

  We're experimenting with Tao's, right? We're trying to figure out how to solve the trilemmas as we're solving other trilemmas in crypto. But I

• 1:31:15David Hoffman?

  I bet you solve it with technology.

• 1:31:17Ryan Sean Adams?

  Yeah, well, I don't know. I mean, can you solve governance with technology?

• 1:31:21David Hoffman?

  Yeah.

• 1:31:23David Hoffman?

  Yeah, you can share information better with with technology. Yeah, these are, this is like the crypto way. It's like, if we have a problem, we'll just write code until we fix it.

• 1:31:31Ryan Sean Adams?

  I, I do think, you know, that the point that we made on the Mark Andreessen Chris Dixon podcast of like crypto's speedrunning, not only finance, but it's also speedrunning human governance, right? Like some of the things I've been doing is like looking back in history. It's like that book, that book recommendation list that Mark Andreessen recommended. I've been starting to go through that. And like one, one of the books on his list is A Conflict of Visions. And it like goes through the history of like all of these great philosophers. Philosophers and political thinkers in the past, like the Godwins of the world and the Hobbes and the Rousseaus. And I've been probably underexposed to many of these thinkers, but it's so striking to hear them articulate like

• 1:32:15Ryan Sean Adams?

  they're contemplating the best structure for a free nation state, right? And at the very early stages of the nation state, now here we are at the very early stages of of the crypto digital nation and wrestling with many of these same problems, only with a slightly different context. So sometimes it's it's helpful to actually go backward in time and, you know, hear the original forum posts, listen to the original forum posts and arguments of the philosophers. Yeah, there can be some answers there as well. And I wonder if we might find some.

• 1:32:47David Hoffman?

  Yeah, we've all, we've been here before. Humanity has done this before.

• 1:32:51Ryan Sean Adams?

  Totally.

• 1:32:51David Hoffman?

  All right, last tweet of the week, Anthony says on it goes Ethereum, EVM, EVM, EVM, EVM, EVM. And he is tweeting out the daily transaction fees on day one of David Mihal's crypto fee site. And it goes Ethereum, actually Ethereum, Binance, Smart Chain, Optimism, Arbitrum One, Avalanche, Polygon, which correlates to actually Ethereum, then EVM Chain, EVM Chain.

• 1:33:11Ryan Sean Adams?

  It's all EVM.

• 1:33:12David Hoffman?

  It's all EVMs all the way down. So I know people might call me an Ethereum maxi, but if you're gonna do that, get it right and call me an EVM maxi, because that's what that's the actual epicenter of the crypto world.

• 1:33:24Ryan Sean Adams?

  Oh, really? You're an EVM maxi?

• 1:33:25David Hoffman?

  Yeah.

• 1:33:26Ryan Sean Adams?

  Is that what you are?

• 1:33:27David Hoffman?

  EVM.

• 1:33:27Ryan Sean Adams?

  I'm neither, sir.

• 1:33:29David Hoffman?

  Yeah, you're a decentralization maxi.

• 1:33:30Ryan Sean Adams?

  Yeah, that's me.

• 1:33:31David Hoffman?

  What are you bullish on, David? Same, same. I am bullish. Well, first off, I'm very, very bullish on Brooklyn because I'm going there. I'm in this space between apartments, hence why there's a space background this week. But this Sunday, I go, I go out to Brooklyn. But overall, what I'm bullish on is just like the sheer amount of surface area that is coming on to Ethereum. We got the optimism layer two plus its token now. So like now it's real. We have like Connects and HOP bridging between Arbitrum and Optimism and all the other layer twos. We have the ZK rollups of immutable, which have as a layer two, but then there's layer threes on top of that. And so like GameStop is getting built on like a layer three on immutable. And so all of these things are going to create an insane Amount of surface area, which is perfect for what we need in a bit in a build market,

• 1:34:16David Hoffman?

  which is surface area to build on. And kind of like we were talking about like Avalanche versus immutable. Just surface area is onboarding area, surface area. So there's, and so like, also at the same time, we have so many protocols going live. We had Volt go live this week. We have like all these other applications go live this week. The amount of things that are going live over the next like 12 months is absolutely insane. And I know these because I'm talking to some of these founders. And so like, the reason what I'm bullish on, what I'm bullish on, Ryan.

• 1:34:46Ryan Sean Adams?

  Are you saying it's the build market again?

• 1:34:48David Hoffman?

  It's the build market, but no, like, the beautiful thing about like all these protocols going live is like, we have shit to talk about.

• 1:34:54Ryan Sean Adams?

  Oh, yeah.

• 1:34:55David Hoffman?

  So I'm bullish on like bankless podcasts because there's so much left to talk about over the next year.

• 1:35:01Ryan Sean Adams?

  I kind of, weren't we always talking about like, hey, when the next bear market comes, we'll go take a vacation? I don't think that's gonna be possible. Cause it's not like a bear market where it's quiet, like, you know, in 2018, where people were just debating back and forth and there were some buildings. Like, there's so much to talk about because so much is getting built. It's really, it's different this time. This time it's different, okay?

• 1:35:23David Hoffman?

  This time it's different. There's a tweet that did make it into the takes. I think it was from Vance Spencer, where like, you're not supposed to count your net worth from like, so like, my net worth from the peak of the 2017 bubble to the peak of the 2022 bubble was one number, but he tweeted out the the actual thing that you should count is like your net worth from the bottom of the bear market to the bottom of this bear market.

• 1:35:44Ryan Sean Adams?

  Oh, cool.

• 1:35:45David Hoffman?

  Yeah, right? Like, interesting, interesting perception, right? And when my net worth hit zero, so I am up an infinity amount of percentages since the 2017. Anyway, some perspective there. But yeah, like this bear market, different this time.

• 1:35:59Ryan Sean Adams?

  I think that's a good take, definitely.

• 1:36:01David Hoffman?

  Yeah. Ryan, what are you bullish on?

• 1:36:02Ryan Sean Adams?

  I gotta say optimism. What a fantastic airdrop, right? It's like the second largest in history in terms of, like, almost the first largest in history.

• 1:36:10David Hoffman?

  Potentially first largest, yeah.

• 1:36:12Ryan Sean Adams?

  Potentially, and this does something that Uniswap didn't do, which is it incents the migration to Layer 2, which means it's incenting more building, incenting more, you know, public goods, incenting less congestion on Ethereum main nets, like actually solving the scalability problem that we've all wanted solved for a long time. And it's like, and it's here and it's working. And man, I've just been using like optimism and Arbitrum 2 and other Layer 2s, and they just work really well. It's just like, I'm blown away by how well all of this stuff works at this point in time. And again, back to the this time it's different. Last time during the B market, all we had were vague promises of scalability, okay?

• 1:36:55Ryan Sean Adams?

  Like, there's this thing called state channels and the rating network and like Plasma and like Loom and all of the, and then sharding might be on the horizon, but it was so distant. It was, it was a lot of vapor, to be honest. This time we actually have it. So I'm excited about that, David. And I'm excited about airdrop opportunities because I would far rather communities start to give away this land right now during the bear market when it's a bunch of settlers, not a bunch of liquidity locusts that are jumping from chain to chain, like when it's relatively quiet and when the true community has stuck behind to actually start building on these things and settling on these Layer 2s.

• 1:37:39Ryan Sean Adams?

  So I'm actually glad that all of these airdrops are happening now because it's happening to, I guess I would say, the true community and not the, you know, the speculators and the traders of the world. So optimism is here, airdrops are here, Layer 2 summer, even though it's happening during a bear market. It's better that way.

• 1:38:01David Hoffman?

  It's still summertime.

• 1:38:01Ryan Sean Adams?

  That's what I'm excited about, yeah.

• 1:38:03David Hoffman?

  It is still summertime.

• 1:38:04Ryan Sean Adams?

  That's right, that's right. So that's it, man. You want to hop to the meme of the week?

• 1:38:09David Hoffman?

  Meme of the week, let's do it.

• 1:38:11Ryan Sean Adams?

  All right, what are we looking at here? This is your meme. I thought this was hilarious, but maybe for different reasons than you did.

• 1:38:16David Hoffman?

  Yeah. This is like a CNBC poll on Twitter and it goes, is inflation infecting your family? So Americans were polled and 100, yeah. Is inflation affecting your family? And 122% of Americans said no, and 195% of Americans said yes. I thought that was pretty funny.

• 1:38:35Ryan Sean Adams?

  This is on CNBC?

• 1:38:37David Hoffman?

  I mean, no, this is, I'm pretty sure this is Photoshop. I'm pretty sure this is edited.

• 1:38:41Ryan Sean Adams?

  Okay, so this wasn't actually, didn't actually happen? All right, the reason I think this is so funny is because it's just like, hasn't the world gotten so asinine? Where you like, look at this and you can actually like, this could be a poll that somebody runs. I don't know. The 2020s just feel...

• 1:38:55David Hoffman?

  This was like, oh, like you actually didn't realize it was fake because the 2020s are just surreal?

• 1:38:59Ryan Sean Adams?

  I don't know, or it could be fake. Like, the question of the 2020s is like, whether it's fake or not, does it matter? Does it even matter? It's like this, there's just such an absurdist undertone to the, like, the 2020s and all of our existing, you know, structures and institutions are kind of eroding and becoming untrustworthy. So this question almost like, the answer to this question almost makes sense in the 2020s. Maybe I'm over analyzing the meme, David, but like, that's, that's the way it hit me.

• 1:39:27David Hoffman?

  Yeah, yeah. No, that, that's right. That's right.

• 1:39:31Ryan Sean Adams?

  That's all we got, man. Hey, next time, are you gonna be in your new place when you do this roll up?

• 1:39:35David Hoffman?

  Maybe, I need to figure out, I won't have a desk there yet, but I could go buy a desk and then put it there. So TBD, TBD. If there's a nice brick background...

• 1:39:45Ryan Sean Adams?

  So if you don't have a desk, though, you'd like, do it in a studio somewhere? Did you find a place?

• 1:39:49David Hoffman?

  Yeah, I'm subletting a friend's room. So maybe subletting an apartment and so, because that's where our bed is. Still won't have a bed, but like, I still have my apartment. So I'm gonna put my shit in the apartment and we'll go from there. So TBD.

• 1:40:00Ryan Sean Adams?

  All right, so next week, guys, the first roll up, David broadcast from New York City, from Brooklyn. That'll be hitting you next week. Of course, as always, guys, none of this has been financial advice. Eth is risky, crypto is risky. You could definitely lose what you put in, but we are headed west. This is the frontier. It's not for everyone, but we're glad you're with us on the Bankless journey. Thanks a lot.

• 1:40:21David Hoffman?

  Hey, we hope you enjoyed the video. If you did, head over to Bankless HQ right now to develop your crypto investing skills and learn how to free yourself from banks and gain your financial independence. We recommend joining our daily newsletter, podcast and community as a Bankless Premium subscriber to get the most out of your Bankless experience. You'll get access to our market analysis, our alpha leaks and exclusive content and even the Bankless token for airdrops, raffles and unlocks. If you're interested in crypto, the Bankless community is where you want to be. Click the link in the description to become a Bankless Premium subscriber today. Also, don't forget to subscribe to the channel for in-depth interviews with industry leaders, Ask Me Anything's and weekly rollups where we summarize the week in crypto and other

• 1:41:06David Hoffman?

  fantastic content. Thanks everyone for watching and being on the journey as we build out the Bankless Nation.