1/9) NEAR has finally implemented sharding!

The holy grail of blockchain scaling, solving the blockchain trilemma once & for all

Stateless validation was the last missing piece of the puzzle

Giving us massive capacity without sacrificing decentralization, the future is now! 🧵 2/9) Horizontal scaling is the name of the game

Instead of all nodes verifying all state, a fundamentally unscalable paradigm; quadratic growth

Sharding breaks up the workload between groupings of nodes (shards); linear growth

Allowing for unbounded scalability; Ad Astra!

1/9) Frankendancer was announced to be live on SOL mainnet today!

A massive leap in scalability, reliability & decentralization

Putting SOL in the August ranks of chains with client diversity, as they can be counted on one hand

Let's break down why this changes everything: 🧵 2/9) Starting with Decentralization:

Multiple client implementations are critical for achieving true decentralization over the long term!

Without client diversity, blockchains are reduced to single-party systems

As a stakeholder vote, without any real choice, is meaningless!

1/17) Tether is a 118 billion dollar scam; bigger than FTX & Bernie Madoff combined!

No proof of reserves & an audit has never been done; USDT is printing counterfeit money (fraud)

Caught falsifying documents, obscuring identities & lying about reserves

Stop using USDT now! 🧵 2/17) The potential for collapse here is greater than Terra Luna!

Making it one of the biggest existential threats to crypto as a whole

As we have to trust they hold $118B in collateral without proof!

Even after the CFTC fined Tether for lying about their reserves in 2021...

1/12) Most L2s will never decentralize!

All of the proposed solutions require L2s to sacrifice sequencer revenue...

This is a fantasy, as for-profit companies do not act against their own financial incentives, nor should they

The fault lies with ETH for not scaling the L1! 🧵 2/12) L2s are not "extensions" of Ethereum, as they do not inherit its qualities at all

All major L2s can steal & censor user funds; that is not decentralized, so that is not ETH!

It is a lie perpetuated by L2s who are parasitically leeching off ETH for their own selfish profit

1/9) Ethereum is dying while L2's dance on its grave

ETH cannot sustain high fee revenue because it lacks the capacity

At the same time, L2s are seeing record highs in usage & fees while they lobby to keep ETH's capacity down!

That is what makes it a parasitic relationship: 🧵 2/9) Since EIP-4844 (Proto-Danksharding), fee revenue has collapsed!

That is why the fee burn can no longer catch up with inflation, as L2s are taking all the fees instead!

This is why inflation has risen over ETH ever since L2s took over, as ETH has outsourced all execution...

1/25) The two biggest offenders for "fake" TPS metrics are SOL & ADA:

SOL is misleading investors by a factor of 6.5, while ADA does so by a factor of 26.5!

Both are guilty of ignoring industry standards for TPS

Time to break down the numbers & separate truth from fiction: 🧵 2/25) To begin with, here are the facts as they stand now:

SOL has a max theoretical TPS of 10k
ADA has a max theoretical TPS of 18

SOL's current true TPS is 739
ADA's current true TPS is 0.4

Depending on who you ask, you will get wildly different answers for these figures:

1/25) MultiverseX (EGLD) is the technological holy grail of crypto

Capable of exceeding 100k TPS now, as it has fully implemented sharding!

After ETH & others gave up on this goal, EGLD came along & proved them all wrong!

Come with me & explore the cutting edge of crypto: 🧵 2/25) The blockchain scaling trilemma has been effectively solved!

EGLD achieves massive throughput without high node requirements

Thereby maintaining decentralization & security while scaling!

This breakthrough also entirely invalidates the "L2 scaling" thesis; repercussions:

1/9) The biggest innovation in all of BTC is OP_CAT:

An opcode that Satoshi removed from BTC in 2010!

That is what passes for innovation in BTC, re-implementing 14-year-old code!

This might even take years to implement, if ever... Clearly, BTC cannot evolve at all anymore: 🧵 2/9) What makes this even more ridiculous is that BCH implemented OP_CAT in 2018!

Proving that the code is perfectly safe, as it runs without problems on multiple Bitcoin forks now

The hype is also totally unjustified, as it will not bring a wave of DeFi innovation to BTC...

1/38) BTC's security model is broken

It has to double in price every 4 years for a century or sustain extremely high fees!

Just to maintain the present level of security...

Which is impossible, as it would exceed global GDP within decades

Therefore, BTC security is doomed! 🧵 2/38) Each halvening exponentially lowers the security budget; until it is gone!

These halvenings continue after exceeding global GDP for atleast 70 years before running out completely

If you understand exponentials & economics, you should know that this is entirely impossible!

1/18) There is no ETH scaling anymore, only "L2 scaling"

No matter what breakthroughs are made, none of it will be implemented on the L1

That is how committed ETH core devs are to L2s; it has become self-destructive...

The tech behind MegaETH could scale ETH, but it won't: 🧵 2/18) Ironically, MegaETH aims to scale an EVM-based chain to over 100k TPS!

The irony here is that if we implemented this tech on ETH, we would not need "L2 scaling" at all

That is why MegaETH was a glimmer of hope for me, quickly crushed by the realization of its true purpose

1/14) We need to bring ICOs back!

Fundraising in crypto used to be democratized; anyone could participate on equal terms

Now, the market is dominated by predatory VCs instead!

The culprit; regulators made ICOs illegal, as this gave the entire early-stage market over to VCs: 🧵 2/14) It is a dirty game that is being played

VCs get in on the pre-pre-pre-sale at discounted prices, only to sell into retail at inflated prices

Why do we not allow anyone to participate on the ground floor?

This is where accredited investor laws come in to "protect" retail:

1/7) The introduction of ZK compression on SOL is huge!

All of the upsides of a roll-up without any downsides

No bridging, no multi-sigs, no sequencer & no fragmentation!

That is why stateless validation is also on ETHs roadmap, even if that will take years longer to deploy... 2/7) This breakthrough can give SOL up to an x1000 reduction in state growth!

This clearly puts SOL way ahead of ETH in terms of real L1 scalability

Solving one of SOLs biggest existential problems; the ballooning of historic state

Growth is estimated to be up to 4TB per year!

1/5) Solana TXs are working reliably!

Did the testing today & sent over 20 TXs from the phantom wallet & not a single one failed!

Hate SOL all you want, but at least be accurate in your critique

The "TX failure rate" is caused by bot spam & does not reflect the real UX at all: 2/5) People throw around the bottom chart as if it means the majority of SOL TXs fail...

That is far from the truth, as bot spam is doing things like "double spends"

Which the network then correctly marks as "failed"

This is even clarified on the same Dune Analytics website!

1/8) Cardano still has "genesis keys"; a multi-sig that controls all rules!

ADA is extremely centralized, as this is uniquely hardcoded into the protocol

IOG owns 3 out of 7 keys & can unilaterally block anything!

Ironic, as ADA claims to be the "most decentralized" chain: 🧵 2/8) It gets worse;

The genesis keys allow code changes to be pushed out seamlessly without a hard fork!

Only requiring IOG to gain the support of ONE of the two remaining parties; CF or EMURGO

This is an unprecedented degree of centralized control for an L1 chain; shocking!

1/96) Scaling a blockchain exclusively with L2s is a terrible idea:

Horrible UX due to fragmentation, terrible economics & worse trust trade-offs!

Pushing users into centralization & ultimately into scalable L1 competitors!

That is what makes "L2 scaling" a losing strategy:🧵 2/96) L2 Centralization:

Arbitrum, Optimism, Base, Blast, Mantle, Starknet & ZkSync all have admin keys!

This means they can steal all users' funds right now; this is true for all of the top L2s...

If this is considered safe, then we might as well go back to legacy banking!

1/21) NEAR can scale to meet global demand with sharding!

There are six shards delegated to 467 permissionless validators now 🔥

The cutting edge, working on stateless validation & dynamic load balancing!

ETH & SOL better stay sharp as NEAR will eat their lunch otherwise: 🧵 2/21) Even though NEAR sharding is not fully implemented

As all validators still validate all shards, it can still exceed 1k TPS, keeping up with SOL!

In a few years, as the roadmap comes to fruition, NEAR will likely be able to exceed 100k TPS

That is the power of sharding!

1/16) SUI has a great design, except for its token economics:

SUI claims to have a capped supply of 10B, with 52% being "unallocated" till 2030

The problem is that over 8B SUI is being staked right now!

Over 84% of the staked supply is held by founders! SUI is centralized: 🧵 2/16) The founders control the MAJORITY of supply without lock-ins & ZERO legal guarantees!

The legal fine print protects them, as the truth is sobering

That is what makes the below chart published by the SUI foundation a lie:

The staked SUI implies there is no lock-in at all!

1/21) I used to be one of Solana's biggest critics

Covering the fake usage numbers, centralized design, downtime, lies & fraud

In this thread, we go over all my old critiques one by one & explore how SOL has changed:

Let me explain as we pivot for decentralization's sake: 2/21) Starting off with the fake usage numbers:

When I first called this out in 2021, there was very little real usage

This is why SOL claiming a 40k+ TPS at that time was a straight-up lie!

This is obvious now because SOL has, in fact, cleaned up its communication since then

1/14) According to the Ediborough Decentralization Index:

Cardano is by far the most decentralized blockchain in the world!

The EDI is an ADA-backed effort to measure decentralization...

Cherry-picking flawed methodologies has led to this preposterous claim. Do not be fooled: 2/14) The biggest problem with the EDI is that they count all pools as single entities

When in reality, pools are not single entities at all!

Pools represent groupings of stakers, who can easily leave

This is akin to calling a representative in a liquid democracy a dictator...

1/12) The crypto bull market has arrived; if you are new here; welcome

Feeling overwhelmed right now is normal; DON'T PANIC

Start by reading from my hitchhikers guide to cryptocurrency:

To help you navigate this mind-mindbogglingly vast universe of opportunities, scams & memes 2/12) In the beginning, Bitcoin was created

This made a lot of people very angry & was widely regarded as a bad move

As greed & fear have driven speculation to maddening heights of hypocrisy

We are in a boom & bust cycle; never forget that & also never forget to bring a towel!

1/18) What is decentralization & how do we really measure it?

We will rate BTC, ETH, SOL, XRP, ADA, AVAX & TRX at the end!

Too many falsely use decentralization as a shield to justify their mediocracy!

These six principles measure decentralization (the distribution of power): 2/18) 1. Validator distribution

Counting the number of nodes is meaningless, as there is no Sybil protection against node spam

What does matter is the distribution of unique validators (nodes involved in block production)

As they have skin in the game, whether PoW or PoS!