📺 ROLLUP: Inflation | Nike NFTs | Disney & Marvel IMX | CryptoPunk Sale | Ledger Debit Card

like rugged communicates a lot right it communicates so useful in the 2020s so many so many institutions are trying to rug us right now hey bangla station happy third week of december is friday morning you know what time it is david tell him oh it's a friday bank this weekly roll-up time we're we roll up the whole entire week in crypto and i know i say this every single time that it's such a crazy week there's a lot of stuff in this week a lot of stuff got released a lot of cool news happened some cool takes happened

and we are going to go through all of it because that's what we do on the friday weekly roll up so grab your coffee it's going to be exciting we're going to have a fun time uh as we start to wrap up this year in crypto guys a few things that's going on nike is entering the metaverse space for the acquisition of a company also marvel and disney issuing nfts on immutable that's a big story polygon just makes a big acquisition as well doubling tripling quadrupling down on their zk roll up strategy and their roll up strategy in general also ledger releasing a debit card there's so

much we have to talk about but before we get in david man you're doing this on your birthday and i admire that happy birthday to you sir i'm uh i can't believe we're doing a roll up on your birthday just you know the timing worked out that way that shows the dedication that my co-host david hoffman has the bankless community he's willing to do this on his birthday not only your birthday the birthday of beethoven mm-hmm i am told yes yeah me and beethoven share the birthdays and it's just very very fortunate that my birthday landed on a thursday this week or this year because

i don't know the way the weekly roll-ups are i think the most fun thing i do every single week so there's no better way i think i could spend my birthday than doing a weekly roll-up with my business partner here dude that's awesome that's touching wow no wonder this is uh the greatest podcast in crypto there was dedicated hosts that's what i'll i'll do a podcast on my birthday too how about we do that just you know share share it in the burden all right well you know what before we get into it we got to talk about a few things that are going on the first is the permissionless conference it's coming down the pike they just released another tranche of tickets we'll include

a link in the show notes that is a conference that happens in may it's going to be the biggest d5 conference ever not of 2022 ever the greatest defy conference ever assembled so we're going to talk about the metaverse defy regulation institutional stuff you've got to get it nft galleries out the ying yang it's gonna be fantastic yeah no it's gonna be every parties every night's a party every night a party every night every night there's gonna be at least three parties i i'm told i'm you know some of them i will spend in the hotel room but you know some i'll be there for

some of them we're definitely throwing a bankless party as well so hopefully we catch you there grab your ticket they go up every two weeks in price you want to get it early just like crypto you got to get earlier you just fomo in later also let's talk about cash flow so cash flow wanted to uh tell bankless listeners about their service it's really cool so this is like a otc desk for d5 david what's an otc does for people who aren't familiar with that term yeah otc sounds for over the counter so it's kind of like a white

glove service if you have a bunch of money and you are going to make a big trade an otc desk can help you optimize the price that you get and so they they search around it's kind of like order routing but it's manual because this this is coming from the old world and still existing in crypto today but now with cash flow we have a d5 service that does otc like activities but now as a protocol once again software eating the world of finance through defy this is really cool because it's trustless it's non-custodial it's bankless the old otc marketplaces were

completely banked and this is built on d5 so low gas fees mev protection as well so you can use cash flow today for some of your otc trades here's a bit of alpha for you in the coming weeks hash flow is going to open uh liquidity pools so individuals can invest can deposit funds in these liquidity pools and provide liquidity to the hash flow otc desk that's some early alpha for you if you want to get in on that it's going to be yield on your various tokens you can sign up for that for early access

there's a google form we are including in the show notes make sure you check that out i think that's going to be some alpha for you as well uh speaking of alpha david let's turn to the markets is there any alpha to be had in the bitcoin markets today my friend what do we have from a price perspective yeah we started the week at 48 and a half thousand dollars and then got up to the high high price of 50 and a half thousand dollars and then we had what i like to call a big oof candle uh where

which one is that this one yeah it's the one that goes all the way down to 46 and a half thousand dollars and really hung out real real low for a while below the 50 000 mark and then almost tried to reclaim it earlier this week had a little bit of a resurgence yesterday um but overall still down two percent on the week um a big oof to start the week with a small to modest recovery but not yet fully recovered so down on the week two percent crab december crab december i

don't know what santa's bringing us maybe it's higher prices but maybe it's just more crabs what's eath doing eat starting the week at 42 000 hit a and that was its high uh it's oof candle brought it all the way down to three thousand seven hundred dollars dipped a little bit before that but but then recovered and then also had a fantastic resurgence above four thousand dollars so reclaiming the four thousand dollar level reclaiming that mean line um but still overall down eight percent on the week so uh oof oof oof indeed but this is still like look

at this face man this is my i'm not worried at all face mm-hmm like it could have been really healthy yeah it's just this is fine like uh zoom out a little bit actually why don't we do that zoom out to the year wow it looks like nothing looks like we're doing okay this time uh last year actually let's do the the full one year this time last year we're hanging out in the 600 range for ether 638 so a pretty good year all things considered as we reflect and we close things down let's talk about the ratio

how was the year for the ratio look at that on a one-year timescale scale also a big victory for the ratio uh and the ratio during the big oof week which was again this week started the week at uh .086 which was really pretty pretty damn high uh all the youth people were really really stoked it fell down almost below .08 and did not break below 0.08 and now has reclaimed .084 so my mind is like it's it's down on the week but on a oof week it's doing pretty

good uh and so uh held holding the point zero eight again that mean line is really really important and overall really again signs of strength signs of strength doesn't usually do that on weeks like this for sure so that recovery has been important to see and still um indicates a lot of strength in the ratio how about the bankless bed index so that is a third bitcoin a third defy and a third um ether what's uh what's that looking like on the week david yeah start of the week at 143 dollars bottomed at 123

dollars and currently is at 142 dollars so down like one to two percent on the week so flat week so it's it's always a little flatter a little less volatile in the bankless bed index and that is the purpose of the index um a good asset to holding your portfolio i think uh you know it's not a good asset to hold in your portfolio david oh i have a guess ryan tell me it's dollars okay seven percent six point eight percent annualized inflation this is not uh asset price inflation which we talk about all of the time this is the inflation that everybody actually

everybody else actually sees and this is cpi inflation the price of energy the price of rent the price of food at the grocery stores up seven percent year over year on all of these things if you look at the composite uh that's not good man right wages are increasing by you know two three percent max if you didn't get a seven percent raise in the last 12 months you got a pay cut you got a four percent loss right all your dollars went down uh the only way to escape that is of course by holding assets this is um

something we're going to get into a little bit in the macro side but let's first read this take from our friend jim bianco it's basically uh the country knows this is the u.s inflation is hurting them and they're not happy about it there was a cnbc poll yesterday that was bad for biden why because inflation is now the number one concern no longer coronavirus not kovitt anymore wow inflation is number one concern and so jim goes on to say what does the fed do in response to this and there was a fed meeting earlier in the week that we're going to touch on briefly but he said the fed's choices

are both bad okay you either respond to inflation and hike interest rates aggressively increase interest rates of course that is one lever the fed can pull a flattening yield curve says this is what the fed will do uh and they did end up doing that or they indicated that they were going to do that or you don't respond to inflation at all and you destroy your reputation and democratic party not good in a midterm election year that's not an option either being in the party in power right now feels like the hot potato right like the

republicans are totally going to blame the democrats for all this inflation and it would totally happen in reverse if it was the other way as well totally it's like it was going to happen no matter what it happened it's bound to happen no matter who's in charge and and so some quick uh numbers that i got from a friend so definitely double check this these numbers yeah but uh this is talking about how the fed is trapped uh and so just doing the napkin math on our 30 trillion dollars of debt at five percent interest rates if we were to hike rates up to five percent that is 1.5 trillion in interest

payments per year which is about half the annual budget for the us already running at a one trillion dollar deficit per year so when people say the fed is trapped oh yeah the fed is trapped they can't raise interest rates because there's too much debt oopsies that's also what's what we call a big oof yeah and you know you know what so like i feel what's happened is a chain of events has been set in motion that is now like inevitable it's just gonna play out it doesn't matter who the central banker is whether it's joan powell or someone else doesn't matter with his president biden or someone else

they're all kind of active they no longer have control that's what i feel like it's kind of like we're in the jesus take the wheel economy you know it's like we don't even know where this is you didn't even know where this is going right oh my gosh yeah and i i really feel like no one is actually in control and so the fed is in a position where they're just kind of responding and what they did do this week interestingly enough is they indicated this is like you know you got to read the tea leaves and everything jerome powell says but they indicated that they were going to raise the rates three times in over the next year in 2022 and of

course that can change but what was interesting to me david is like the market's reaction to this was like oh cool that's not so bad and then like stock prices resumed their incline all-time highs yet again like right this is the moment where where bitcoin and ether actually like bounced off that floor a little bit exactly that's that was that moment yep so it was like an oof in anticipation of uh jerome powell's speech and then after it's uh it's not so bad uh even though they're raising rates right was kind of does the market believe them is the

question i think tbd on that does the market believe them will they actually yes will they actually raise rates or was this less bad than they thought it's really interesting to me david that um the european union banks they said we're keeping our interest rates at zero percent right go fed the fed can do what it wants so this is um you know definitely not following this is not like global they're not following what happens there uh david let's also talk about this this is a cool speaking of inflation in different class moneyprinter.info this is not what you think

you'd think this was like a jerome powell money printer go burme but what is this actually yeah so this is talking about the network issuance of currencies for cryptoeconomic networks and also as an uh inflation percentage right uh so what we are looking at are the different issuance rates of all the different crypto economic networks and then the dollar value of that issuance so clocking in at 14.19 inflation is ethereum which is issuing 54 million dollars per day uh next up is bitcoin at 1.79 inflation clocking in at

45 million dollars per day followed up by solana at 8.25 or excuse me 7.25 issuance rate at 18.5 million dollars per day you can check these numbers out for yourself they change on a daily basis at moneyprinter.info and overall it's just a nice way to see like how much is the actual monetary unit of each train inflating on a yearly basis and with that inflation how much actual daily issuance which is economic security does that chain actually achieve from that issuance so some nice metrics here

yeah so i think one of the takeaways of this that is really nice is if you start comparing this with a uh another i guess chart that david mihal put together in crypto fees.info so interesting thing about what you said is if you think of a daily issuance that's just anything let's think of these uh blockchains as a as a business for example for a company for example daily issuance is essentially their cost that's how much money they pay for as you said david economic security so every single day

right now as denominated in eth of course but translate that to dollars ethereum pays 53 million dollars or so 54 million dollars in economic security bitcoin pays 45 million dollars in economic security solana pays 18 million dollars in economic security polka dot pays seven million dollars in economic security that's like a cost to the business what's interesting is if you start to contrast that with the revenue that they bring in remember what business are these blockchains in

well blockchains they sell blocks doctrines sell blocks that's the thing what amazon sells everything blockchain sell blocks okay that's the thing that they're selling uh so you can look at the revenue contrast and ether its revenue 36 million dollars in blocks sold that's one day fees that's how you measure it how much fees do this blockchain pull in 36 million dollars you look at bitcoin it's um about 500k 500 000

in blockchain sales if you look at something like polka dot um okay keep going down keep going there it is there it is four thousand six hundred dollars oh okay that's that's the third big oof of the roll-up ryan four thousand six hundred dollars okay so what does that mean if you think about this as as a business all right so we've got daily expense for ether of 54 million dollars that's cost and then you got daily revenue of 33 million dollars so it's operating at a bit of a loss but

if you think of it like this for every 100 spent on blockchain security for ethereum it's making 61 dollars in revenue okay spend 100 get 61 and sold product polka dot 100 spent less than one cent in revenue oof .06 big revenue .006 excuse me less than a cent in revenue uh you're going to be oofing the entire podcast aren't you

uh bitcoin 100 spent one dollar in revenue and the reason i think these metrics are interesting is because i think this is a marker of maturity of health of sustainability of persistence during the bull run of the durability and strength of these blockchain sales how much people actually value their blocks and so i really like these charts that are put together and i think people should be looking at when we talk about

fundamentals these are some of the fundamentals that we consistently come back to how much is your blockchain spending for its product for its economic security how much revenue is it actually bringing in any other thoughts on that david yeah you said this is a sign of maturity and i i think that actually is a really great framing to put on this i actually do think it's appropriate for some of these younger blockchains to be issuing much a lot more because that's we also need distribution right distribution is a very key component of uh

of uh blockchain security of how you get decentralization it's issuing all the currencies into all the different people people of the world is nice and issuance allows that to happen uh in these very very young phases of crypto economic networks we need more issuance than we need capture because these things are so young we need a lot of people to enjoy the fruits of these systems uh and so how these things are actually getting issued and where they're going is also really really important i think it's fine i think it's very appropriate that salon is actually issuing quite a lot right now because it's only like 18

months old something something like like that the other half of the story is where is that money going uh and is that actually becoming distributed into the hands of the users into as many different people as possible that's what i would like to argue and i think bitcoiners would believe agree with me is that proof of work is really really useful for why i'm very happy that proof of work actually is where ethereum started for the first five years um and that what concerns me about uh solana and these other delegated proof of stake chains is that the issuance is actually going into a very small set of individuals which are

the validators which is why ryan and i are concerned about centralized validation because this uh it's all these the new issuance of these networks are being captured by fewer and fewer individuals uh where this is going really really matters uh there's also the con the topic of the the buyback the eip1559 we've seen like roughly a 70 30 eip1559 burn and a 30 tip rate going back to the validators and so this is 70 of the of the revenue for blockchain ethereum fees is getting uh uh

distributed to each holders via the burn right that's what it does and it's democratizing access to protocol income to not just people that are validating but any and everyone that holds east which is an open permissionless thing to do and that allows this income to be democratized off 70 of the income to be democratized off to a broader set of individuals and then 30 percent of that revenue gets added on to validator uh compensation in order to uh subsidize security pay for security and so that's really just the full story here and it does dovetail nicely with like the

inflation conversation of the us dollar uh because the goals for to be long-term sustainable to have long-term equilibrium so that we can enjoy these things and then our children can also enjoy these things and also their children is that eventually all blockchains need to collect in fees more than what they issue or else we get unsustainable inflation over the long term so these are things that we need to be thinking about today because these will be eventually systems that our children and our children's children inherit

absolutely and so i i think not enough people are looking at charts like these and so if you're looking at fundamentals we encourage you definitely to uh to check this out and uh and make your own decisions you know evaluate chains this way as well uh david let's talk about this sotheby's they just netted a hundred million dollars in the nft sales pixel 21. shovels you know what more than three quarters of the nft bit bitters were completely new to sotheby's as well so it's like a new demographic and over half of those were under 40. all right

so sotheby's has got to be like just over the moon excited about the nft mark and its performance how much of their growth was attributed to nfts and this whole new demographic that probably wasn't going to our house auctions previously is now showing up i'm just reminded of the take that we had earlier this year where like a lot of the crypto people were skeptical about nfts but a lot of the rest of the world were they're just going to be like oh we we buy jpegs now okay sounds great that seems to be how it played out totally i think it is guys we will be

right back with the releases of the week and also the news and you can't miss the memes and the takes and everything else we do on the weekly rollup but before we do we want to thank the fantastic sponsors that made this episode possible matcha everyone's favorite decks aggregator has just launched an open beta for gasless trading so if you're trading more than 5 000 in common eath and wrapped bitcoin pairs then your gas fees on matcha are free and that's why you should be using matcha matcha routes your orders across all the various defy exchanges on ethereum polygon binance

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to matcha.xyz bankless connect your wallet and start getting some of the best prices and most liquidity when you trade your crypto assets living a bankless life requires taking control over your own private keys not your keys not your crypto that's why so many in the bankless nation already have their ledger hardware wallet which makes proper private key management a breeze but the ledger ecosystem is much more than just a secure hardware wallet ledger is the combination of the ledger hardware wallet and the ledger live app and if you're used to seeing all of your crypto

services and favorite defy apps all in one spot ledger live is where you want to be not only does ledger let you buy your crypto assets straight from the app but it also hooks into all of the default apps and services that you're used to using ledger live you can stake your ethan lido swap on dexes like paraswap or display your nfts with rainbow you can also use wallet connect inside of ledger live to connect to all the other defy apps that keep coming online defy never stops growing and the ledger live app grows alongside with it so click the link in the show notes to see all of the

defy apps that ledger live has and stay tuned as more apps come online and if you don't have a ledger hardware wallet what are you even waiting for go to ledger.com grab a ledger download ledger live and get all of your defy apps all in one space all right guys we are back with the releases of the week layer two optimism removing whitelist opening floodgates to developers what is happening i think that's happening today so it'll be live by the time people are listening to this what is it yeah this is optimism

removing the whitelist allowing anyone to come build on the optimism layer two so congratulations to optimism for getting this far optimism really differentiates itself via evm equivalence as in if you have something on the main chain you can press a button and then have it work on optimism layer two that's that is the whole and the whole point of what optimism is trying to do and overall i think that it's really going to give it really strong tailwinds just the ease of development that's why we've seen so many um guest forks ethereum client guest forks

spin up and have a lot of outsize success buy an amp smart chain avalanche uh among them uh because it's really easy to port your ethereum thing from one evm chain to another evm chain optimism is making that even easier uh it's you don't get one-click deployment to like binding smart trainer avalanche you do have to tinker with it a little bit but still it's not a complete rework with optimism you can just boom deployed so congratulations to optimism i expect a ton of activity to end up flooding there uh and i'm looking forward to see what happens in 2020 2022 for optimistic ethereum david look

you're quoting this article david hoffman of crypto media outlet bank list described the removal of optimism's whitelist as a one-way decision this is one way right so they don't get to go back from this too don't go back that's what's so cool about this move as well look next year is going to be the year of layer twos 2022 we're calling it now big year for optimism big year for all of the layer twos out there uh we'll keep tracking what's going on there also something to keep tracking eth global they just rolled out their 2022 season six in real life in real life hackathons

10 on online hackathons and 15 summits what's youth global david what's uh why are these events important yeah youth global just uh hosts all these cool different ethereum events all around the world because ethereum's a global network and so we need representation all across the world uh and so there are so many different ways to if you're a hacker developer or just enthusiast to take part in the ethereum ecosystem so check out the link in the show notes uh there is there's definitely something coming to a city or country near you uh they're all in probably every single

continent except for antarctica uh and uh yeah so there's there's options for you to go do in real life stuff if you are not yet completely pilled about crypto go to one of these events because by the time you leave you absolutely will be absolutely uh no love for antarctica though huh okay not enough developers okay balancer they just launched boosted pools what are boosted pools david yeah balancer they did this like v1 of this concept earlier with ave so basically all of the

liquidity that gets deposited into balancer just waits for people to come and trade on it and that's when it gets the fees but like 80 percent of that liquidity in balance or pools are actually kind of stagnant it's really the remaining like 10 to 20 that really matters just to allow the trades to happen so what balancer is doing is they're allowing the stagnant uh liquidity in their pools to be deposited first they did it into avi that happened a number of months ago we did a show on that so check that out if you want to get up to speed but first they would just like lend out the de la cru liquidity into ave in their pool so not

only are they collecting trading fees from balancer but they're also collecting yield in ave they have now made this generalizable so now liquidity in balancer can now be put more than just ave but can be generally tapped into by any protocol and so this is balancer just really becoming uh capitally efficient and this is the theme of device capital efficiency capital efficiency capital efficiency that's what balancer is doing with their boosted yield pool so both getting trading fees and yield and d5 at the same time capital efficiency super fluid collateral speaking of super fluid

there's actually a protocol called super fluid great yeah i know and it just worked out that time okay uh they're excited that they just announced on optimism and arbitrarium two layer twos of course remind us what superfluit is if i'm recalling correctly it's this really neat you know payment type protocol uh payroll to you know pay contractors it's uh yeah tell us about it david it's streaming payments and so streaming yeah so if you if you are an employee of somewhere and you are getting x dollars

per year well you could actually break that down into x cents per second if you really wanted to you could start in getting your income the moment you clock in and have that verifiable on chain uh and that is what super fluid is it's like it's like these plumbings these these the plumbing between different contracts and it's just streaming payments on a person it's like microtransactions do you remember when andreas antonopoulos used to talk about this in like the earlier days of bitcoin being so excited about this use case like now it's here it's happening so it's actually even more granular than micro

transactions it is literally fluid transactions there are no micro transactions implies like a bundle this is more like liquidity this is like more water flowing through a tube it's that's why they call it superfluid uh and so again per second per microsecond payments on l2 so like the use cases for this is infinite like like streaming we don't even know we don't know what all the use cases are right like streaming for bandwidth like maybe you're walking around some city and you need some internet and and you go buy some internet from someone with someone and you just stream them pennies per second

stuff like this yeah really cool automatically withdrawn from your you know your ether dress something like this yeah this is going to be a big primitive in the future i think um speaking of primitives that are big okay nfts are big this is an nft project called forgotten roon runes wizards these wizards that you can collect it's kind of a pfp type project now they have just rolled out an rpg game check this out it's a uh you know a graphic from the the game uh it looks like you're playing your wizards looks like an

accident type of game just like you got little characters you got to fight some people you get some stuff so look at this an nft project now spinning up a game i wonder if this is the future for a ton of different nft projects the direction they're going you can almost see the beginnings of the metaverse this way right it starts with a boring jpeg and then it becomes digital property and then it turns into a game and then before you know it it's immersive and virtual and you become your nft and you're in the metaverse this is how we evolve exactly right looking forward to playing

yeah absolutely um let's talk about bit wise this is cool okay so launching a the bitwise blue chip nft index funds the world's first nft index fund so if you are uh perhaps a baby boomer and defy and nft scares you fear not bitwise has your back so if you want to get into the cool hip new nfts that all the kids are getting with you can get into the bitwise blue chip nft index fund ryan i've actually checked out what's in this index fund it's it's pretty good man this is pretty

good uh yeah so not just for baby boomers like it's for anyone if you're trying if you don't want to custody your own keys all right if you don't if you haven't been fully defy pilled and you're like scared of a lot of things you just want an index of these things but diversified blue chip nft portfolio yeah yeah in your retirement account which is kind of wild so what's in this thing yeah crypto punks weighted at 37 of the total fund followed by board apes at 29 percent uh mutant apes uh v friends auto glyphs fidenzas cyber kongs cool cats and me bits and chromie

squiggles those are the 10 blue chip nfts that are in the bitwise nft fund i think it's a pretty good list i think it's a pretty good list well you like it because crypto punks are at the top that's why you like it right i don't see any turtles here that's that's not an opinion that's just the market cap sir there are no turtles in this blue chip nft fund i refuse to believe this is the market oh my god that's not alpha guys none of this is financial advice all right i just have a turtle fetish uh aztec aztec privacy network on ethereum

layer 2 super cool what is this technology look okay up to 100x gas savings fully private transactions by default all in a rollup private d5 is here i think they're on testnet have they they rolled out their main net yet david uh no i do not i do not think they have rolled out i mean that no just address it's coming yeah so this is like this is a private privacy layer two uh and so think of it like tornado cache that same technology but on a layer two and and also better uh because tornado casts you have to