📺 ROLLUP: TikTok x Audius, Penguins & CryptoPunks, Robinhood ETH BTC Volume

hey guys happy third week of august it is time for your weekly roll ups the most exciting time of the week friday morning i hope you are ready david are you ready to dig into the week that was crypto absolutely like always there is always so much news to talk about and unpack so much drama happened this week so much happened in the markets and we are going to go through all of it in the friday weekly roll up oh man i'm excited uh david uh before we get into it we should talk about tracer dow there's so much going on in the

bankless world too david we had a hot panel about dows earlier in the week the best dow panel i've ever heard i think with our with our panelists there's also opportunities for folks listening to bank list to get involved in dallas we've talked about the various styles that bankless is running and other things our friends at tracer dow they're trying to launch a perpetuals product that's coming out in september and they are looking for dow contributors dow governors if you are interested in getting involved in the early stages of a doubt that's building out a new d5

primitive you should check that out there's a link in the show notes just click it it'll take you to the tracer doubt discord and you can figure out how to plug into that project if you want to get in at the very ground levels of a brand new dow which is it which is adding financial tooling onto almost any single uh erc20 asset on ethereum so long as it has a price feed uh tracer dow is the dow for you so if you want to be sort of a founding member an early member of tracer dao get involved all right david are you ready to get into the markets absolutely starting with the

bitcoin price which started the week at roughly forty six thousand five hundred dollars immediately on the the monday or tuesday of this week jumped up to forty eight thousand dollars and then lately has fallen down to forty four thousand five hundred and then back up to 45 600 where we are right now so a little bit down on the week with bitcoin down on the week it was up last week though a bit so we're sort of i guess maybe flat on the two week ish something like that uh let's talk about eath price more or less the same story started the week at roughly thirty three hundred

dollars it didn't peaked a little bit higher than that early in the week but has fallen down has flirted with a sub three thousand a dollar level for ether a couple of times in the last couple days but right now we have our head right above the three thousand dollar market three thousand fifty dollars three k and above i'm feeling okay on the price of eth it doesn't feel like uh anything bad is happening uh we'll see where this continues i guess more crab market season we're almost at the end of the summer too david so i wonder what september will bring we'll have to see um how about eath bitcoin the ratio

what's that telling us continues to range between that .08 and .055 level currently coming in at point zero six seven uh so higher in the middle area of that range uh ether reclaimed point zero seven earlier this week but is currently uh below that at the very moment um but definitely just a crab season again at this higher plateau uh from on the eth btc ratio what's all-time high for each bitcoin ratio it's like about 0.14 huh

if you look at coinbase yeah 0.14 0.15 i think other exchanges have it as high as 0.155 but again it was just a flash and a pan for a brief moment right so the ratio would have to essentially double to be close to all-time high range it hasn't done that since 2017 june of 2017. so that would be i mean we're coming up on uh you know over three years um so we'll see how that plays out how about uh defy so let's talk about total locked value in d5 this

is going up lately um in the 80 billion mark last week i guess now where are we david for the excluding this week the four weeks prior total locked value uh in d5 has gone has done really really well it started at the low of roughly 55 billion dollars and then climbed all the way up to 85 billion dollars we've traced a back a a little bit back down to 79 billion dollars locked in defy but still has has claimed reclaim some really high territory with total value locked in d5

are we flirting with all-time highs here i think we are pretty close pretty close uh i mean we definitely need some asset prices to go up to really reclaim all-time highs but we are definitely within striking distance that is for sure all-time high around 88 billion and uh we're pretty close to that so wouldn't take much to get to 100 billion david um let's talk about defy tokens as measured by the d5 pulse index how are we looking on the week yeah started the week at around 370 380 maxed out at 440 dollars in the middle

of the week and now we are back down to roughly 395 dollars per dpi token uh so a week of volatility with the dpi but we're kind of back to where we started maybe a little bit higher let's take a look at this ratio that that reveals whether we are in d5 season or whether we're in each season and uh what's this ratio showing this week david yeah coming in at point one two nine five five really annoyingly teasing me with being right below my 0.13 number i will i will say below below yeah i

know you i i didn't have to say it i already said it um uh emphasize that blow it's definitely nft season lately and dyc's defy um the d5 arena of ethereum has definitely taken a back seat um but i would like to remind people that when things are quiet it's definitely in in theory when you would want to be allocating because you don't want to allocate into loud things you want to allocate into quiet things so if defy is being like kind of back burnered or

forgotten about and this is the low mark of uh dpi versus eth coming in at you know point one two point one three uh again i feel really good about uh my almost bottom call the the i think what david's telling you is you don't buy nfts anymore buy some defy tokens right these nfts are too hot is that what you're saying are you saying both nfts are really really frothy but we have also learned that like you can we i thought chain links can always get frothier i thought chain link was frothy at two dollars i thought

train link was frothy at five dollars i thought chain link was frothy at ten dollars and then it got up to fifty dollars and it was really frothy um like to some degree like it can get frothy and stay frothy for a really long time um so you know to me david defy tokens at least the good ones are buy and hold for the long run they fit the classification of bitcoin and eth in my book which brings us actually to the bed index which is essentially that combination of long-term holes bitcoin a third eth a whole a third and dpi a

third what are we looking at on the bankless bed index on the week up or down clocking in at 142 dollars it's a down on the week but on the month it's up two percent and like we say oh no excuse me it's up two percent on the week on the month it is up uh a fantastic amount like almost 55 percent on the month uh it started eighty four dollars and then it maxed out at 188. and we are coming in at 142 dollars for the bed index again the best index in all of crypto

that's your buy and hold don't even have to worry about anything else you say in the show um david let's take a look at this l2 beat is pretty hot these are these are some metrics we're starting to include in the market section because this measures how much value is locked inside of ethereum layer twos and what we mean by it uh layer two is um genes that are completely secured by the ethereum network and using the economic security of the asset so this wouldn't include right now anyway polygon things like that but uh looks like we're up up

lately this is the 90 day here's the 30 day still up on the week almost 770 million locked in layer two that's kind of a good sign yeah and again this is definitely riding on the back of the dydx token which really incentive incented a lot of activity uh and there's also some new players which i had never even heard of nah me which is a layer 2 project that i have no i've never heard of that before all of the tvl the million dollar tvl is actually their own

token so it's not really the best signal i would discount that one i would definitely discount that one but look at optimism clocking in at 12 growth on the seven day uh seven days breaking a hundred million dollars deposited into optimism so congrats to the optimism team i bet you i have a my gut take is that's probably a lot of uh uniswap uh tvl being captured there but there's definitely room to talk about synthetics as well um but overall you know l2 is really starting to gobble up some value

diversify had a good week too up um 33 on layer two so we'll continue to monitor that of course uh optimism hasn't gone fully generally available so it's just in sort of this limited beta season same thing with arbitrom i can't wait until arbitram enters the ring last i heard david they said sometime in august august well look third week of august how many more weeks we got like we got one more week man we'll see um they're gonna they're they're gonna excuse my language they're gonna buzzer beater absolutely it's gonna be the last

day of august yeah why not um anyway so more layer twos are entering the the ring i think this is just the start of maybe layer two summer just sort of expanding we've been saying that when does summer end yeah september summer summer ends when you don't layer two like value yeah it goes over five billion let's say we'll say that uh i don't think we're that far away though to be honest um all right let's talk about this burn man i can't get enough my favorite website on the internet right to be honest and do you

see what they added right uh simulator yeah yeah yeah have you been playing with them i'm yet to press that button and have it not be negative oh i thought you were going to say i'm yet to press that button i was like what are you with how do you not how do you wake up and do it so anyway for for folks that can't see our screen this is basically a button on ultrasound.money you can press it and basically it simulates as if the merge was here if proof of work was turned off as we believe it will be q1 q2

next year sometime 2022 what would each issuance be and it turns out if you take the burn and you set some parameters and like again choose your own parameters but these are some fairly conservative parameters 20 20 gray 10 million each we'd actually be burning negative 1.1 eth on an annualized basis that my friends is ultrasound money that's what we've been talking about the whole time and that would be the case given the amount of eat we are burning these days

um at a 1.7 million eat per year burn rate pretty impressive 1.7 million burn rate with a 0.4 million issue rate so a global net deflation of 1.1 percent and then if you are also an individual who is staking eth you also get your 5 to 8 percent of new eth on top of that while the global supply is reducing by 1.1 percent this has always been my long-term retirement plan ever since i figured out what this whole ethereum thing is and so

it's real nice to see a plan come together you're not really ever going to retire dude producing content i'll talk about it though [Laughter] do you know what's you know what uh if someone wants to understand eth you know what i think they could just do is just go to this website right and like every single one of these gauges and dials if you don't understand what they do what they mean what they are why they're important learn about that read the faqs if you understand everything on this website ultrasound.money then you

understand eth you understand why we're saying like 10k eth is like just the start right you understand why we're so busy short-term price target come on i just think the reason ethan's not already 10k or higher david is because there's a very limited set of people who actually understand this website yep yep that's the secret goes good job ultrasound money folks if you can explain ultrasound money like the amount of edge you have over just the universe is pretty insane

edge over the universe all those aliens out there speculating the best asset in the whole entire universe yeah not galaxy universe david's stopped short of the multiverse so you know being conservative there um all right gas price estimated from a hundred thousand blocks because there's ether and other multiverses by the way okay okay thanks for adding that i'm sure people are curious um less volatility now that we have eip 1559 what explain that to me right so eip1559

in addition to all the things that it does one of the things that it does is it helps gas price estimation uh and the moment that eip1559 got included into ethereum we were actually able to see that with on-chain data and so what we're looking at is we are looking at gas prices to get included into a block and on the left before we have eip1559 the ranges for estimated gas prices would range from anywhere between like at the lowest two to five way up to the highest which is 1200 gway uh and then

as soon as eip1559 got introduced all the gas price floor got elevated to about 20 uh great gas and then a significant amount of the gas price ceiling got chopped off and got somewhere between you know 80 to 100 grade there's definitely some spikes up to uh up to the on the upside but like everything has gotten condensed into a much more narrow band of gas price inclusion and it's very important to note that this is before a significant amount of uh eip1559

type transactions are even yeah we're rolling 20 or 30 now aren't we yeah metamask just finally rolled out eip1559 support and so i expect a significant number of transactions to now be the of the eip1559 type but the data that we are seeing here is before that uh and so as we approach like a hundred percent of transaction eip159 transactions uh this band is going to get even narrower and narrower that's good less choppy good this is good ux right volatility yes

that means like uh you're paying 20 way for for gas right now and an hour later maybe you're paying 25 gray something like that rather than what we have seen in the past is like super choppy suddenly it's in the hundreds although i will say there still are these spikes upward david in fact you like screenshot it this crazy spike upward i don't think i've ever seen like if we pre eip 1559 if i saw gas price exceeding 2 000 gray i'd be like oh red alert

crisis what's happening you know cdps are being liquidated oh my god exit all markets yeah crypto's dead well so this is actually just a nature of what's going on in ethereum at this present moment and so i took it i happened to take a screenshot at this moment this nft drop happened uh it was i hadn't even heard of the nft drop um it all it sold out in under like five minutes or i think i think it's something as small as like 15 blocks or something and so there was an insane amount of demand and congestion in a very acute

amount of time and if you remember our eip1559 uh podcast with hazu he was talking about how the uh how block size can increase at twelve point five percent uh per block so if if the block becomes completely saturated base fee goes up by twelve point five percent uh and what he was talking about with that uh is that that 12.5 percent can compound really really quickly so in the space of just a few blocks gas fees went from like you know 50 up to 2500 uh because that 12.5 percent

compounds really really quickly and so while we do have um volatility dampeners in block inclu gas fee inclusion you can still get these spikes if there is all of a sudden an insane amount of demand for some reason really really quickly and so like nft drops are a very concentrated amount of demand and you see the flexibility in in the base fee um by the eip15599 metric uh taking taking uh shape here so you still do see these spikes but they settle down they settle

down faster right look at the volatility difference it's just like we still get the spikes but we get some settlement a little bit quicker david let's talk you said an nft drop man uh nfts it's nft season nfts are hot look at this nft monthly volumes in january 2021 there were 17 million okay respectable look 17 million we would have been pleased with that in january and i think we were nft monthly volumes in august 2021 848 million

month is not over yet the month is not over yet okay this is going to exceed a billion like wow that's crazy that's 848 million on the 19th or excuse me the 16th of august so just one day over halfway through the month we are like doing a 3x on like the previous month's volume uh and so like where are we going that wasn't even including the drop that we were just talking about just now right or all the other drops um yeah the the volume on nfts is absolutely insane uh and that's kind of why i was saying

earlier that nfcs do feel kind of frothy but also what i was saying in the market monday this morning is this like nfts are such a simple concept to think about if you don't think about it it's like oh humanity just trades pictures now like oh okay i guess we do this and so it's such an easy subject to get behind if you don't think about it and i think a lot a large portion of the world is just not going to think about it and they're just going to go on to open c and they're going to see a picture normal and they're going to see a price tag and then they're just going to hit by yeah it's it's like technology just makes weird things

normal that's what happens right like it's like the you know getting in a stranger's car right that's freaking right bat crazy like how crazy would that be in the 90s no don't talk to strangers don't go in somebody else's car you don't know no don't pay 100 000 for a jpeg yeah don't uh but now it's normal right that's the thing nf nfts let's talk about openc because that's a huge nft story here's the headline though david is open c has now recently passed etsy

etsy in volume 100 billion so far in august 1 billion in august 1 billion sorry not 100 billion that might be next august 1 billion in august bigger than etsy uh nfts are rapidly catching up to all of ebay wow web 3 starting to challenge web 2 in cummins people didn't see this coming how fast that like this is happening open c is sort of like the ebay for nfts and man a billion in one month it's insane and it's in the

comparisons to real life companies like etsy and and ebay are really really nice to kind of get an anchor point but we also have to remind ourselves that like the reason why it's so easy for openc to get so much volume is because like they don't have any inventory people on etsy have to ship things the last thing i bought on etsy were like these massive table legs that came from europe and cost me 150 in shipping and it took two weeks c is just transferring a digital asset from one ethereum address to another so it's natural that these things can scale

way further and so like while that while openc is like finally competing in volume with like these legacy kind of like akin platforms i actually expect openc to be like many many orders of magnitude larger than these things just by the nature of the ease of trading digital assets i think people see this ascent and many people outside of the industry like will dismiss it as a bubble as they always have with crypto maybe it is maybe it is but like the bubble come back the bubble comes back right it's like a real bubble is

something that doesn't come back like everything's tulips i mean tulips never came back they had like the you know their pop and then as financial assets yeah right exactly there was never another tulip bubble but uh nfts crypto assets just keep coming back so even if this is a short-term bubble like nfts are here to stay it's pretty impressive all right man that's it for markets guys we will be right back talking about releases talking about the news talking about the hot takes for the week getting to the meme of the week which i know you're waiting for but before we do we

want to thank the sponsors that made this possible living a bankless life requires taking control of your own private keys not your keys not your crypto that's why so many in the bankless nation already have their ledger hardware wallets which makes proper private key management a breeze but the ledger ecosystem is 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 d apps all in one place ledger is where you want to be not only does ledger let you buy

crypto assets straight from the app but it also hooks into decentralized exchange aggregators like paraswap which makes sure that you are getting the best prices on your trades without your assets ever leaving your control defy never stops growing and the ledger live app grows alongside with it so click the link in the show notes to see all the defy apps that ledger live has and stay tuned as more and 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 your ledger download ledger live and get all of your d apps

all in one place bankless is proud to be supported by uniswap uniswap is a new paradigm in asset exchange infrastructure instead of a cumbersome order book system where trades are matched with other humans uniswap is an autonomous piece of software on ethereum which is what ryan and i call a money robot no human counterparties or centralized intermediaries just autonomous code on ethereum input the token you want to sell and receive the token you want to buy something brand new in the uni-swap

ecosystem is the uniswap grants program is now accepting applications for grants we have been saying this for a while and will say it again dows have money and they are in need of labor if you think that you have something to contribute to the uni-swap dow apply for a grant to uniswap just look at the size of the uniswap treasury it's almost 3 billion this mountain of capital is looking for labor do you have something of value to contribute to the uni swap dal no matter how big or small your idea is you can apply for a uni grant at unigrants.org

and help steer unit swap in the direction that you think it should go that's exactly what we did to get unit swap to be a sponsor for bankless and you can do the same for your project thank you uniswap for sponsoring bankless all right guys we are back with the releases let's start here david uh d5 is one inch that is the one-inch aggregator across centralized exchanges gives you some great pricing on assets they just launched on optimism so we're getting sort of a the d5 money lego primitives now we're getting the aggregators that sit on top of them on

layer two pretty cool uh absolutely and the interesting thing is that i'm sure one inch is also going to deploy itself on other l2s so we're gonna have the same aggregating teams with aggregators on different l2s i want the listener to question ask themselves what happens next when aggregators are on different l2s i have an answer to this yeah tell me we need an aggregator across all of the ltu's don't we an aggregator aggregator yeah

we need a layer 2 aggregator i wonder if they'll get into that space i know there's a lot of it requires a bit of different technology right requires some things that like connects and hot critical are doing with state channels this sort of thing but we're going to end up there i wonder what on one inch plan what their plans are for this yeah it's definitely coming that's for sure let's talk about this balancer launches two things meta-stable pools number one and the second they uh launched a partnership with uh lido lighter like fido on um a

metastable pool incentive program okay break this down for us what is balancer up to right okay so two separate announcements in the same post so we're going to cover them both this first is their meta stable pools which is basically a basket of various yield bearing dollar instruments and interestingly yield bearing in different routes so some dollars are in like uh curve generating dollar fees uh by being an lp um other dollars uh dollar tokens are like c die out of out

of coin base and so these are things that are all generally about a dollar but they're all yield bearing and so now they're in a new product from balancer which is a new dollar stable token token uh what they say is that uh new stable new usd stable are just a a set of nested other stable coins die uscc usdt um and this is uh not only offering a news dollar stable coin which is getting yield but there's also offering even deeper liquidity on these stable coins in the first place so that's the first

announcement composability we get all the things this is the beauty of money legos now we've got a new uh i guess stable coin that is composed of other stable coins through through balancer through the male magic of balancer so what else do they do in david yeah so their partnership with lido is trying to bring liquidity to staked ether which is the whole point of lido lido is a staking as a service dow and so they you can deposit your ether and get staked ether back and then a balancer has opened up an ether to

stakes ether pool so that if you just want to stake your ether and don't want to be like burdened by the by just going into lido and staking it yourself you can just go to balancer and swap your ether for a staked ether and then boom all of a sudden you have staked ether and so the liquidity in that pool is getting bootstrapped as we speak um and there are some lido rewards for people who provide liquidity that's super cool tax event though maybe depending on your jurisdiction probably so fyi on that

guys um gotta figure that out i don't know if if the irs can even figure that out they have no idea like absolutely yeah they're just gonna tell us to fix it and we're gonna be like yeah what do we do just do your best guys uh all right let's talk about this i think this is big actually david galaxy digital launched a defy index tracker with who with bloomberg bloomberg the other the other uh be named media company david it's not bankless it's bloomberg um pretty big deal yeah pretty big deal though bankberg um

joke whatever we're leaving it in we're not cutting this guys um pretty big deal because i think everything that that uh bloomberg stamps you know their approval on with galaxy has to pass some regulatory bar and i think you included this david this is what it's composed of and you compared bloomberg with with bitwise which provides another index to accredited investor still but like very regulated index bitwise is doing there's a lot of similarities but there are some differences what would you point out

here yeah go ahead and click on that just so it blows up a little bit uh the big note thing i've noticed is that bitwise's index is has a lot less of uniswap dominance uh it has 32 uniswap whereas the bloomberg galaxy index has 40 to some degree the 40 and once inside of one index is like that's such a high number for an index that has so many different tokens in it and like i get it's probably a market cap weighted index um but like that lower uniswap dominance and bitwise is a little bit attractive to me bitwise has

two percent more ave allocation one percent more mkr allocation um the the other tokens that they have that they share in there have a generally a matched allocation uh but the other thing that differentiates bitwise from bloomberg and galaxy is that they have ren curve and zero x and bancor in there uh wait who does it bitwise has those tokens in in their in their index uh bloomberg has uma and snx in their uh index which bitwise doesn't have uh i'm wondering if there is a

securities conversation to be had about this uh snx is a token that uh or maybe not securities but synthetic assets right so synthetics makes synthetic assets and synthetic assets are generally much more regulated by the cftc so it'd be interesting to hear why bloomberg and galaxy included snx and why bitwise didn't my hunch is it's the synthetic asset thing hard to know so somewhat arbitrary this is why i prefer dpi to both right like you don't even have to to worry about these things um

but i think the good news here is hey this is a much better index than do you remember that that terrible index that goldman put together a few weeks ago we talked about in the roll-up like it's like i don't even know have words to express facebook and have a single erc20 token like how stupid right and it's like companies this is much better and it's bloomberg and you know it's getting out there and uh this is this is good for the asset class and good for the space this was uh frank's take that this is a big stamp of approval for defy by the

data giant uh bloomberg yeah the next tweet is what uh he says essentially these tokens all meet bloomberg's standards of institutional trading and custody readiness in the united states as well as quality of pricing which is just saying that defy is mature enough for institutional allocation wow i feel much better about d5 now i don't know about you david but this stamp of approval is what i was waiting for hey frank said it i'm on board thank you bloomberg um david let's talk about this metamask

we alluded to it we were talking markets but they are now supporting the roll out of eip1559 so they've been adding it to their wallet um but it's been sort of a phased rollout i believe and now it's it's i guess fully available i've not yet sent a transaction but there's a link in the show notes on how to send a eip 1559 transaction in metamask looks like it's pretty easy and he takes here nothing just a go get your learn on and check out metamask and see if anything's

changed yeah should be good um fintech getting into crypto so this is on the raised side fintech collective they just closed a 250 million dollar fund dedicated not to like crypto in general dedicated to defy what i think is interesting about this i don't know a lot about fintech collective other than they're a venture capital firm but they're involved in in fintech right and digital assets this seems to me david to be like the next frontier for fintech and investors are