**Bedrock: Next milestone of Optimism**

The slogan of bedrock upgrade for optimism is:"Bedrock is the cheapest, fastest, and most advanced rollup architecture.Ever."

How bedrock achieve to be “cheapest, fastest, and most advanced rollup".

Let’s find out 🧵 Image
1/
Rollups is,currently,the major technology for Layer2 solution. Both @arbitrum and @optimismFND use optimistic rollups and took up over 70% of Layer2 marketshare.

More protocols choose to build on the top of Layer 2 seems Let crypto native think rollups is flawless. Image
3/
While, Rollups still has it own limitation.

🔴Gas fee still unfriendly if considering more users will step into crypto world in the future.

A example: During #ArbitrumOdyssey event, without Arbitrum Nitro upgrade. Gas fee is more expensive than Ethereum Mainnet.
4/
How to reduce the fee?

One choice is simply the solidity code.
5/
In bedrock architecture. @optimismFND introduces Ethereum equivalent to simplify code.

It will turn ethereum code into Rollup code.the difference between a geth client running on Ethereum and one running on Optimism will be less than 500 lines of code
6/
While another choice is:

Minimize costs and improve efficiency at Layer 2 transaction process.
7/
The fee is majority costing in data availability (DA) fee for occupy the Layer 1 block space

In currently optimism rollups architecture.Execution layer uploads relevant proofs to Layer 1 in the form of a calldata,to a certain extent,occupy the block space of ethereum mainnet.
8/
In Bedrock architecture. A high efficient compression algorithm will introduce to reduce Layer 1 security fee and reduce 20% of cost in submitting transaction data to Ethereum
9/
But how to guarantee security and decentralization?

That is another problem of rollups solution
10/
The core problem of rollup architecture is the security of chain is depend on upgrade keys. The future rollup have to set a proof mechanism without upgrade keys.

A new fault proof mechanism introduced by @optimismFND and build on the top of bedrock is CANNON
11/
Cannon is optimism’s next-gen fault proof and will become the foundation of optimism in the future.

If you want to know the detail of Cannon. highly recommand read this artcle.
medium.com/ethereum-optim…
12/
Besides security, what about decentralization?

Currently. Sequencers of most Rollup solutions are run by the project itself or a single operator, which has serious centralization problems.
13/
In bedrock, proof diversity and client diversity is key to solve centralization problem.

Bedrock will build up a multi-client ecosystem and client diversity will heavily reduce single sequencer risk and achieve the goal of decentralization.
13/
Next month, Optimism’s goerli testnet will migrate to bedrock. The final step before mainnet upgrades.
14/
if you interesting in rollup after reading, this video give best explanantion.

And if you like the content, please follow RT and like. It will be big help for me

• • •

Missing some Tweet in this thread? You can try to force a refresh
 

Keep Current with CryptoDoctor🦇🔊

CryptoDoctor🦇🔊 Profile picture

Stay in touch and get notified when new unrolls are available from this author!

Read all threads

This Thread may be Removed Anytime!

PDF

Twitter may remove this content at anytime! Save it as PDF for later use!

Try unrolling a thread yourself!

how to unroll video
  1. Follow @ThreadReaderApp to mention us!

  2. From a Twitter thread mention us with a keyword "unroll"
@threadreaderapp unroll

Practice here first or read more on our help page!

More from @0xCrypto_doctor

Dec 22
⚠️ALPHA TIME⚠️

Want to get 60% APR with no directional exposure?🤑

Read below👇
@AuraFinance is an yield booster for @Balancer .
It is similar to what @ConvexFinance is for @CurveFinance .
You can stake $BAL tokens on Aura and get a (projected) 87% APR.
It is paid both in $AURA and $BAL.
Read 8 tweets
Dec 22
DECENTRALIZE INSURANCE THREAD - Part 2🔥

Let’s go on with the analysis of decentralized insurance protocols.

Protocols analyzed:

1⃣ @InsurAce_io
2⃣ @sherlockdefi
3⃣ @EaseDeFi

How do they differ from each other?🤔

Let’s find out in Part2 🧵👇
(1)
INSURACE

It follows the same logic of @NexusMutual with some important differences‼️

**Pricing**🤑

In Nexus, cover pricing heavily relies on the value staked as coverage.
Insurace thinks that this approach fails to properly assess a protocol's actual risks.
It leads cover providers to significantly over-charge users for covers when less funds are staked in their protocol.

Insurace implements a different, two steps approach:

🔸Base pricing
Read 25 tweets
Dec 20
Decentralized Insurance Thread - Part1🔥

Exploits and hacks are a real threat to DeFi adoption.
Almost $6 billions were hacked in DeFi history, with record highs in 2022.
Can we protect our funds?
How decentralize insurance protocols work or could work?

A thread🧵
(1)
In TradFi, a person buying an insurance has as counterparty big specialized corporations, using complex models to price risks.

DeFi insurance wouldn’t honor its name if it didn’t happen in a decentralized way. In DeFi you would buy coverage from other DeFi users.
(2)
We could design a mechanism where anybody can act as a coverage provider.

You could do that by locking up capital in a pool, similarly to what liquidity providers do in liquidity pools.

As a coverage provider, you choose for which events or protocols to provide coverage.
Read 25 tweets
Dec 20
Grayscale Bitcoin Trust (GBTC) reached record 50% discount relative to Bitcoin.

Why is it so, and why does it matter?
Let's dive in 👇
(1)
First of all, GBTC was born in 2015 to give the opportunities to investors (mostly institutions) to have exposure to Bitcoin, without holding it in their wallet.
The fund is publicly traded onthe OTCQX.
(2)
Now the tricky part.

GBTC shares can be created but not reemed, meaning that if hold the shares, you can't go to Grayscale and have your portion of Bitcoin in exchange for the shares.
Read 9 tweets
Dec 20
#NEAR integration in MetaMask is official!


I think that this will bring many new users to the chain.
Are you ready to explore this ecosystem?

Let's take a look in this🧵👇
(1)
The peculiarity of this chain is that there are 3 protocols offering liquid staking for #NEAR:

1⃣ @meta_pool has the biggest TVL, $12 millions. It offers a 9.7% APY and allows the user to withdraw funds immediately, paying a small 0.3% penalty.
(2)
2⃣ @LinearProtocol has $4 millions in TVL, offers a 10.18% APY, and also has an instant withdraw feature.
The penalty fee is not fixed but ranges in 0.3%-3%, depending on the TVL.
Read 10 tweets
Dec 12
ALPHA strategy Megathread!! 🔥

Teach how to find opportunities even in bear market 💵💸🤑

This thread includes:

1⃣Arbitrage opportunities
2⃣ Delta neutral strategies
3⃣Passive income on stablecoins
4⃣Alpha with directional exposure
5⃣Automated vaults
For each category I will explain the principle underlying the strategy and present some detail example.None of these is financial advice

However, I think that reader could among these alpha categories at least one that suits his needs and risk profile.

Let’s begin this journey!
(1)
**Arbitrage opportunities**

1. Funding rates (FR) arbitrage

The logic and mechanics of the strategy was already detailed in my previous content👇

so I will just list the best opportunities I found.
Read 41 tweets

Did Thread Reader help you today?

Support us! We are indie developers!


This site is made by just two indie developers on a laptop doing marketing, support and development! Read more about the story.

Become a Premium Member ($3/month or $30/year) and get exclusive features!

Become Premium

Don't want to be a Premium member but still want to support us?

Make a small donation by buying us coffee ($5) or help with server cost ($10)

Donate via Paypal

Or Donate anonymously using crypto!

Ethereum

0xfe58350B80634f60Fa6Dc149a72b4DFbc17D341E copy

Bitcoin

3ATGMxNzCUFzxpMCHL5sWSt4DVtS8UqXpi copy

Thank you for your support!

Follow Us on Twitter!

:(