Ethereum’s strength is also its weakness

It’s ambitious vision means it’s competing with everyone a little bit

It needs to lean into its unique and defensible moat - accumulated L1 state

Make L1 Great Again BTC is better sound money than ETH

Solana is a more performant execution environment than Ethereum L1

Celestia is gonna have bigger faster blocks sooner

EIGEN is finally here, and it unlocks huge new innovation!

The whitepaper introduces EIGEN as the first “universal intersubjective work token”

That’s a mouthful so let’s explain it simply…

https://twitter.com/eigenfoundation/status/1785000100315504776?s=46

“Work tokens” need to be locked up (staked) for workers to be eligible to do some work

For example, you need to stake ETH to be an Ethereum validator

Quick summary thread on my post which definitely didn’t upset anyone

Not controversial at all

How rollups work:

https://twitter.com/jon_charb/status/1662212301016150016

A bunch of people keep arguing that the bridge objectively defines the rollup

They argue that rollup social consensus is powerless, and everyone must always follow what the L1 bridge says is the “canonical rollup”

https://twitter.com/aliatiia_/status/1662303130371997702

Research Day videos are finally out!

Thank you again to everyone involved!

We’re really thankful that so many amazing people made the trip to come together for an amazing day

Individual talks and links below:

https://twitter.com/dba_crypto/status/1662286608907771904

@bertcmiller -⚡️🤖 | Trillion Dollar MEV Questions

Fun talk by @koeppelmann on "The Limits of L2"

Always love people challenging the status quo, but I disagree with many of the core arguments

Thoughts below

https://twitter.com/koeppelmann/status/1631875843751542791?s=20

Starting with the obvious - "rollups" today aren't really rollups

Lots of arbitrary upgrade permissions, lack of proofs, lack of CR mechanisms etc to varying degrees

Strongly agree here, much more work needed in maturing obviously

l2beat.com/scaling/risk

I like visuals, so here's a simple one to help show why validator issuance wouldn't affect a PoS chain's "profitability"

If you consider issuance a cost (to holders), then you must similarly consider it equivalent income (to stakers, akin to MEV/priority fees) Both are subsets of all token holders

I.e., they net out, leaving net token inflows unchanged

For any PoS blockchain:

FEES - ISSUANCE ≠ “PROFIT”

Most ppl seem to still disagree so imma go on a little rant

If you feel compelled to stuff a blockchain into a typical corporate analogy, the below is much better (albeit they’re never perfect) 1) PoW Issuance

Issuance is like if they pay employees in stock-based comp (SBC)

Per GAAP, it’s a non-cash expense deducted from earnings

(Though added back to FCF which is a whole other contentious issue)

This is a detailed functional Ethereum model including long-term roadmap items

Flexible to easily run any scenarios/timing (eg, when 4844, danksharding, rollup data compression rates, staking rates, fees, MEV burn, issuance, etc)

docs.google.com/spreadsheets/d… All the setup is there, you can just make a copy and enter whatever assumptions you’d like to run

“I would say there’s at least 6 orders of magnitude improvement in crypto infrastructure that’s possible” -@sreeramkannan

None of you are sufficiently bullish

Separately it surprises me that most ppl are super excited about EigenLayer, most ppl are bullish ETH, but still almost never hear them brought together

I.e. EigenLayer/restaking is one of the biggest reasons to be bullish ETH if you think it’ll be successful

Woke up feeling violent gm

Time to finally talk about Manifold & FOLD @foldfinance

Founder blatantly shills their token, lies, dismisses any contrary data/opinion w no explanation, deletes, & more

This has been a long & clear pattern btw, no one-off

https://twitter.com/mevtiger/status/1579232925735743488?s=20&t=P9B4Fku71ZkJdGAIbo4TTQ

Basically them in one meme

Sorry was too lazy to thread before

Ik everyones busy rn watching the train wreck on BNB Chain, but now I'm bored so here's my MEV/censorship (kinda the same at this point?) thread

Lay of the land, and how we got where we are

https://twitter.com/jon_charb/status/1578123692982546432?s=20&t=1ga5FnmTs7y2vFCRpRTK9g

Basics for starters

Ya got all types of MEV - some say that some MEV are bad and others are good

I take a pretty neutral view here generally - it exists and we gotta build with incentive alignment

Stuff like sandwiches can give users worse execution

In case you couldn't tell by my twitter feed, I've been looking at MEV lately

This is my first MEV report of possibly several I plan to do ahead

It gives a lay of the land today, how we got here, and looks ahead

members.delphidigital.io/reports/mev-ma… This is some of the stuff I cover, hope you enjoy

My favorite speech at SBC was no surprise - @VitalikButerin’s Decentralizing the Builder Role

I break down and analyze distributed builders

Huge thanks to @VitalikButerin @sreeramkannan @bertcmiller and @thegostep for your review and input!

joncharbonneau.substack.com/p/decentralizi… This isn’t to say the approaches discussed here are even the only options

But they’re super interesting, super important, and it’s great to get the conversation going on this new area of research

🚨Private orderflow & the block builder market🚨

Recent censorship concerns are thankfully waking the community up to some of the threats that we need to build around

But now we need to talk about the next topic nobody is talking about yet - exclusive private orderflow I'll shill this again if you need a succinct refresher on the merge --> MEV-boost for background

https://twitter.com/jon_charb/status/1529447386388496388?s=20&t=lNv2msTrZ5lsSr3GJUISDA

@VitalikButerin gave us An Incomplete Guide to Rollups

I present The Complete Guide to Rollups :)

Ok not quite but gud meme

Enshrined (FINALLY), sovereign, smart contract, recursive… I go deep their tech + economics

Ya it’s long, but tons of memes

members.delphidigital.io/reports/the-co… Ok it’s not *actually* a complete guide, i only cover @ethereum and @CelestiaOrg stacks

86 pages seemed long enough to me though

But the concepts also apply to the stacks that many other teams are working on

It's out!
 
I asked @dankrad and @jadler0 about @ethereum, @CelestiaOrg, and everything modular
 
Both projects are spiritually aligned in their focus on scaling without sacrificing on user protections
 
Notes and takeaways below👇

members.delphidigital.io/media/ethereum… *Podcast notes*

1) Breaking down the modular stacks

Rollups need data availability (DA) - we need assurances that the data was made available for anyone to download

Ethereum and Celestia both provide this

We all hear that "state bloat is the bottleneck for Ethereum"

But what exactly is weak statelessness, and why will it be so important? I'll make it simple in this thread Quick recap on some basics here:

History - Everything that’s ever happened on-chain. You can just stick it on a hard drive as it doesn’t require quick access. 1 of N honesty assumption in the long term.

Everyone is talking about the merge, but what does it actually look like?

And how will Flashbots' MEV-Boost soon play a huge role in Ethereum? Quick thread Today you run one monolithic client (e.g., Go Ethereum, Nethermind, etc.) that handles everything. Full nodes do both:

1) Execution - Execute every tx in a block to ensure validity. Take the pre-state root, execute everything, and check that the post-state root is correct

Bored so here's a really niche thread on the 2D KZG scheme that danksharding will use

Also this is ~1% of open-source Eth report I'll publish in a few days 👀

Ethereum will use KZG commitments to commit to data blobs and prove they were extended correctly However, it won’t commit to all of the data in a single KZG commitment - a single block will use many KZG commitments.

We already have a specialized builder in PBS, so why not just have them create one giant KZG commitment?