🧵1/ happy to share my latest article is published in Stanford Blockchain Review (@StanfordCrypto). the article explores a simple question: how does web3 actually increase output?

tldr: it's about
1) Control
2) Liberation
3) Expansion.

everyone is busy so here's a summary 👇 2/ is crypto building something meaningful, or is it just a high-tech casino?

let’s take a step back. most people think of innovation as disruptive: new tech replacing old systems.

joseph schumpeter called this creative destruction. think cars replacing horses or smartphones replacing basic phones. these changes are dramatic, tangible, and easy to measure.

but not all innovation looks like this.

1/ One item highlighted in @VitalikButerin's Ethereum roadmap is Distributed Validator.

What is 𝗗𝗶𝘀𝘁𝗿𝗶𝗯𝘂𝘁𝗲𝗱 𝗩𝗮𝗹𝗶𝗱𝗮𝘁𝗼𝗿 𝗧𝗲𝗰𝗵𝗻𝗼𝗹𝗼𝗴𝘆 (#DVT) and could it be the next big narrative for Ethereum after Shapella Upgrade?

🧵 A thread 2/Since Ethereum’s Merge, we have witnessed the Liquid Staking Derivative protocols like @LidoFinance @Rocket_Pool @fraxfinance flourish.

The rapid expansion of the liquid staking, however, has led to concerns about concentration.

1/ With the recent depeg of @Platypusdefi's $USP and FUD around $BUSD, I dived deep into @y2kfinance, a DeFi protocol on @arbitrum. A thread on the protocol mechanism and the $Y2K token 🧵

https://twitter.com/mrjasonchoi/status/1625902538376757248

2/ One of the roles of financial markets is to transfer risk and allocate it efficiently. But there's a gap in the DeFi world when it comes to hedging against stablecoin de-pegging risks.

🧵⬇️ Crypto loves #trilemmas. I compiled every trilemma I came across related to #blockchain, #web3, and #finance.
Perhaps by addressing the difficult design choices presented in these "tricky triangles", the next killer use case will eventually emerge
michaellwy.substack.com/p/every-crypto… 1. #Scalability Trilemma by @VitalikButerin

1/15
Last month there was an interesting DAO proposal on @LidoFinance by @_skozin. The crux of the proposal argues for introducing a Dual Governance scheme, in which $stETH holders will also be granted governing power in addition to $LDO holders.
michaellwy.substack.com/p/ambition-mad… 2/15
In my latest blog, I explore how the Dual Governance scheme resembles the structure of a #bicameral legislature (with specific reference to the U.S. Congress) and inherits the spirit of check and balance to address moral hazards.