1/ Delphi Labs is excited to announce that @lex_node has joined us as General Counsel

Gabe is a crypto law OG and widely respected as one of the top legal minds in the space having worked with projects like Metacartel, Lido, Yearn, Sushi, among many others
2/ Our goal at Delphi Labs is to push the crypto space forwards by helping projects with whatever they need to be successful

We already have exceptional talent in economic design, product, UX and strategy, but all projects grapple with the legal challenges crypto presents
3/ Unlike some in the space, Gabe applies existing regulations as they actually are rather than an idealised version of what they should be

He’s also written some of the best research out there on the implications of securities laws for token projects: github.com/lex-node
4/ Ultimately, we agree with Gabe’s realistic approach. While we’re hardcore believers in the space, we also feel many use tokens as a way to skirt securities regulations, raising non-dilutive financing and sidestepping SEC reporting requirements

This doesn’t interest us
5/ We think crypto's true innovation lies in decentralisation: using incentive design to encourage disparate, self-interested actors to cooperate in ways that recreate and improve on services currently provided by trusted intermediaries

This is the world we want to help build
6/ Gabe will work with incubated projects to help guide the decentralisation process and liaise with the legal system

He’ll also use his legal background to work with our token econ & governance team as a "governance hacker", helping pioneer new coordination primitives
7/ We’re certain Gabe will add huge value to Labs projects and couldn’t be more pumped to absorb his legal skillset into @Delphi_Digital's multidisciplinary talent blackhole 🕳️🧠

More exciting news coming soon 👀 The world isn't ready for just how ambitious Delphi's vision is

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More from @ZeMariaMacedo

22 Jun
@ConstanteMx Hey ser, unfortunately I haven't found any good generalist resources.

The best way is just to read up on how different token econ models work and think through their tradeoffs. A @Delphi_Digital sub is very helpful here 😉
@ConstanteMx @Delphi_Digital Some"landmark" token models I'd suggest digging into:

@THORChain GOAT token model in terms of pure elegance with built-in security + incentive pendulum
@graphprotocol one of the most creative/interesting token models, creating incentives for curation via bonding curves
@ConstanteMx @Delphi_Digital @THORChain @graphprotocol @synthetix_io how locked staking incentives created the OG DeFi community. Also worth understanding pooled debt model tradeoffs
@CurveFinance beautiful virtuous circle encouraging supply-siders to become tokenholders and vice versa
Read 5 tweets
8 Jun
Why I'm bullish $LUNA 🌒

Centralised stables will be increasingly regulated and restricted. Decentralised stables are the endgame and will grow to become one of the largest verticals in DeFi

I believe $UST is the only truly decentralised stablecoin operating at scale

Thread 👇
1/ Stablecoins have become the backbone of DeFi, with nearly $100b in cumulative market cap

Unfortunately, over 70% of this is in centralised alternatives like USDT and USDC
2/ Centralised stablecoins are IOUs for dollars held in a bank account attached to a legal entity

Not only do users face counterparty risk with issuers, they also face potential censorship by nation states as legal entities can be coerced and bank accs frozen
Read 19 tweets
28 Apr
Yield Farming is underestimated

I believe it represents the birth of a new industry, with farmers becoming a new kind of market participant

@AlphaFinanceLab is the go-to platform for smart farmers and V2 only reinforces this

Thread 👇
1/ But first of all, what even is Yield Farming?

At its simplest, YF involves a project distributing tokens directly to users for taking some on-chain action

It makes sense because it allows projects to reward users for taking actions that benefit the protocol
2/ Seen another way, YF dilutes passive tokenholders in favour of active holders that contribute to the project in some way

Over time, it results in user-owned projects, concentrating token ownership in the hands of MVP community members
Read 19 tweets
15 Apr
We've already received a lot of great entries for the #deficonnected hackathon

In case you're still looking for inspiration, I've put together a wishlist of ideas that no one is yet building on Terra (as far as I know)

Thread 👇
(1)Terra name service (TNS)

Human readable names for the Terra network associated to Terra addresses. Essential infra for mainstream adoption

(2) Terra Push Notifications

Allowing push notifications to Terra wallet addresses

(3) Etherscan for Terra - Self explanatory
(4) Data infrastructure on Terra - Making it easy to query data from the Terra blockchain and major dApps (Terraswap, @mirror_protocol , @anchor_protocol ) and create dashboards. Think Graph Protocol / Dune Analytics for Terra
Read 9 tweets
13 Apr
Crypto is a liquidity blackhole

Everyone I introduce to the space starts off with 0-10% of their net worth invested and ends up with >50%. Even their cash moves to stables

Other than aggressive regulation, I don’t see anything TradFi can do to reverse this trend
TradFi is a government sanctioned monopoly where:

- one entity (central bank) mints the cash
- a few government licensed entities (banks) intermediate the way this cash is distributed to individuals

Like all monopolies, it’s structurally inefficient
TradFi:

- Highest “risk-free” yield available to most people is <1%
- Riddled with frictions like KYC/AML, awful bank UXs and general lack of innovation
- Your money is custodied by bankrupt banks and seizable by insolvent governments
- Opaque
Read 7 tweets
30 Dec 20
On November 10th, @Delphi_Digital put forth a proposal for to fundamentally revise @AaveAave's current token architecture

We received incredible feedback from the community and are thrilled to present V2 of our proposal which incorporates much of this insight

Thread👇
1/ Before diving into our proposal it's important to understand how the current Aave Safety Module (SM) works

The SM is an insurance product which underwrites all risks (SC, oracle and liquidation) for all users of Aave protocol

As an insurance product, it has a few flaws
2/ Because insurance is bundled in with Aave's money markets, it's impossible to compute cover demand, pricing, capacity or how much to pay underwriters

Any new money market added is also automatically insured by the SM, introducing unlimited contagion and systemic risk
Read 15 tweets

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