ROLLUP: 5th Week of December

if you are looking for the front page of defy look no further than xerion.io xerion is your home base for managing your d5 portfolios xerion offers a central place for you to engage with all of the d5 protocols and assets that you engage with on a daily basis but all in one central spot here you can see i've loaded up a wallet in xerion is giving me the portfolio performance of all the assets in this wallet over time as well as a breakdown of all the assets that i own as well as all of my transaction

history that i've ever done in an easy to view fashion xerion also lets you invest right into dfi's best yielding financial opportunities right from their home page xerion also makes it super easy to access interest in defy using applications like compound and ava in the background and you can also exchange your assets using the xerion app using an exchange aggregator in the background to make sure that you always get the best rates you can even use the xerion mobile wallet to add your metamask or arjun or another ethereum address right

into your mobile wallet so you can see your portfolio and engage in defy on the go here i just loaded up my argent wallet and now i'm going to load up my meta mask as well and xericon will do the same thing it will add all of my assets and wallets together all in one space and give me a portfolio summary of what's going on adding wallets is trivially easy if you already have a meta mask you can get it right into the xerion app and it can sync with your desktop app as well and the best part is you can also buy ether right into the app itself use the invest tab to look at all the

things that you have invested in as well as other opportunities and coming soon to the xerion app is the ability to buy and sell your assets straight from your mobile device as well so download the app it works on ios and android go to xerion.io plug in your wallets and get a historical report of your portfolio over time as well as a comprehensive breakdown of all the assets that you own and how much yield they're generating for you we're also brought to you by monolith monolith is your cool new defy account

your d5 savings account your d5 checking account except the cool thing about the monolith defy account is that it gets software updates right you actually get to increase the usefulness of this over time so here are some of the features monolith is a smart contract wallet with a lot of the features that you would expect if you've come to know defy and what it is you can you can add money to it you can put that money to work in compound and accessing yield uh but you can al and you can also swap through uniswap what was cool with monolith is that they will send you a very sexy

monolith visa card that connects to your smart monolith smart contract wallet on ethereum so it's a really awesome tool to live a bankless life with a a savings account that gets software updates so this is something that you're never going to find out in the real world but you can still do real world things with you know real money it like buy your groceries so that's just fantastic coming soon to monolith actually already here to monolith is now you can buy die and get it sent to your wallet directly right so it's also being an on-ramp so

you don't have to go through your centralized exchange like coinbase or gemini or wherever you can just go straight from your bank account right into your monolith checking account smart contract wallet so check them out at monolith.xyz david it's the fifth week of december what are we doing today we are rolling it up the crypto industry moves so fast so we are rolling up the last week of december the last week of the year and injecting it right into your brain so you can stay up to speed with this crazy world of crypto

happy thursday morning everyone this usually comes at you on friday but we are releasing thursday due to the holidays we release it on both youtube and the podcast so catch it in both places david how was your christmas man absolutely fantastic well complimented by the uh number go up of crypto prices which is definitely going to be a topic of today's roll up as well did you see what i'm drinking from oh i did not show it to me show it to me this this is my wife's gift to me this is a coffee cup gift all right for the listeners on the podcast it is two tokens one's bitcoin

and one's ethereum and ethereum is is running saying keep up old man and bitcoin's got a cane i love it she thinks this crypto stuff is weird but she got me a an ethereum maximalist coffee cup and that cracks me up dude all right uh markets let's get right to it you you alluded to it david but bitcoin price go up let's take a look at the charts yeah bitcoin is flirting with 29 000 at the time of recording that is obviously an all-time high for bitcoin i would not be surprised if by the time

this is getting into your ears bitcoin has pierced 29 000. ether is moving above 750 is currently at seven hundred and fifty four dollars at the time of recording that is really really just a very high prices very high prices uh ether at seven hundred and fifty dollars is just above the fifty percent mark from his previous all-time high so it feels like it's gone up so much david like so bitcoin is obviously well past its all-time high it's only 10 or

more past its all-time high but ether is still down 50 from its all-time high is what you're telling me yeah and i don't really ascribe too much weight to all-time high prices because they these uh cryptos didn't spend much time there previously but yeah like we still have a long way to go to to breach the all-time high for ether price that is hilarious but both are are going up not quite in lockstep i think bitcoin is a little bit ahead but ether has had some very good days over the past week as well what's happening in defy land with

total locked value yeah we are up from 14 billion dollars to 14.4 billion dollars still ranging in that 14 to 15 billion dollar range uh the dpi token the index token for defy is up from 108 to a hundred and sixteen and a half dollars do you think we are you know in for a blow off the top at some point here it just can't keep going week over week with these like you know 20 30 gains yeah yeah and i mean that is

the symptom of a bull market i feel like the the bull market happens when uh dips don't happen and number continues to go up however i'm not a trader but i do listen to traders and traders are very very focused on the 20-week moving average especially with bitcoin because in bull markets even with bullish attitudes we always retest the 20-week moving average i don't have those figures off the top of my head but i do know that if we had a retracement back to the 20-week moving average which happens all the time in bull markets

that would be a very very steep drop that would be like ether going down to i think like 450 and bitcoin going down to like almost like 15 000 uh like less almost half of what bitcoin's price is so like okay wait so so what you're saying is like we could we could be in for a really steep drop right david yet still be in the bull market yes yes that's exactly right what i'm what i'm saying is we are really really overextended and i'm still bullish i'm not selling uh i'm not usually a seller but i'm i'm

precariously noticing how far away we are from the 20-week moving average things have moved really far really fast i'm still bullish but i'm really cautious also the market did have a lot of catch up to do from 2018 2019 particularly the price of each so it's not surprising that we're seeing these numbers but we will see what happens in the weeks ahead i'm pretty confident we're gonna have 2021 up though we will we will see what happens there's also david 2.2 million eth now locked in the staking contract

in eth too that's like 1.65 billion dollars something close to that how crazy is that yeah that's pretty cool and people are bullish on e2 and this is just really good people are are becoming woke to the yield on east returns people love bitcoin for their constrained asset supply asset and ether is that same thing but with yield uh and so it's constrained supply but yield is something that is really interesting to investors and that's why we are seeing the eth2 deposit contract uh receiving a bunch of youth while we're talking about

the market we should talk about the future coinbase ipo the uh the ftx futures options market has a coinbase uh sort of derivative synthetic um going and it's it's trading at over it's like valuing the coin base at over 50 billion dollars if coinbase gets listed not ipo in the 50 billion dollar range how bullish is that for crypto in 2021 yeah this is going to be a really awesome story to follow

coinbase will be the first uh vehicle on um on public exchanges that offers you like pure exposure to the cryptocurrency industry right like microstrategy it with it's like backdoor bitcoin etf still has like this software business in the front right it's still something else coinbase is actually selling shovels to the crypto industry investors like that i think that 50 billion dollar valuation is only going to go up as crypto prices go up as well as the crypto mania works into the mainstream

works into legacy markets i think a lot of that is going to be reflected in the coinbase ipo price i think it'll be really well timed for brian armstrong and you mentioned sort of um you know fintech in the front but but d5 in the back that's that's the crypto mallet as we call it the d5 mullet coinbase is definitely in that space it looks institutional on the front side of things but it is playing around these crypto and d5 protocols which is good and bullish for the space i think all right that's market david let's talk about releases i think the big release

this week uh was the one inch token so everyone got air dropped who used one inch i think you had to use it like four times in the in the past three months or at least one time before september 15th they got air dropped one inch tokens tell us about this yeah so this is just like uni uh except one inch is a little bit more niche it's a little bit harder to use it's got a little bit clunkier ui because that is because it's a dex aggregator right so it's a centralized service aggregating a bunch of different uh prices from a bunch of different exchanges and then giving you the best

price in return right uh and so they airdropped you a token i'm not too privy on the details of the token it is some sort of governance token but if you qualify for the token you got something like 1080 one-inch tokens which was worth roughly 2 500 so roughly double the uni swap airdrop and i think the reason why it was it was uh so much more in dollar terms was because so so many fewer people had used one inch first unit swap yeah it's it's pretty it's a pretty phenomenal airdrop though but like like

one thing it tends to incent i think is is for defy users to create all sorts of different wallets right like people see an airdrop like that and they're gonna go out for you know get ready for the next ones create all of these different wallets so that they can look like they're a separate user and get more more tokens so it's a it's a strange incentive as far as that goes although so that's actually why one inch uh did differential rewards if you used before september 15th september 15th was the date that uniswap token was released and

so if you wanted to game that you wouldn't have known that that was a game to play before september 15th so that's why they did that differential reward did you get any one-inch tokens david i got some one-inch tokens yes what what did you do with your which is funny because i literally made i have literally made one trade on one i was the minimum entry right i dumped it for eth you dumped it for eid okay well you know i got some one-ish tokens too i did the same thing part of the reason why is like fully diluted valuation of one inch at the time when it was airdropped was like

something like four billion dollars five billion yeah right doesn't make sense from a um from a valuation perspective to me so of course i think a lot of those one-inch tokens ended up in the reserve currency of d5 which is eth not a big surprise um david let's talk about this haseeb our friend has sieve had a fantastic easy venture capital has been on the bankless podcast before he had a really good take on stable coins and regulations i think this image maybe sums it up did you read this article i have not read it it is in my queue okay well it's a it's a really

interesting article and has seberly talks about an evolution of stable coins but um he talks about the the first uh pure crypto era before stable coins where you just had bitcoin and ether and then he talks about the second stage which is roughly you know 20 2017 or so the age of um of tether and that's kind of the age that we're in right now he predicts that regulators are going to crack down on these tether type coins and what we'll get is sort of a regulatory age of stable coins where we

might get things like libra and usdc and these things take control but eventually he thinks regulators will clamp down even hard on the regulated stable coins and eventually we'll we will enter a reign of the decentralized stable coin so you know protocols like dye will make a comeback and maybe new decentralized algorithmic type stable coins uh will take shape and form that are outside of the grasp of regulators super interesting set of predictions i think very timely given all of the

stable coin type murmurings and regulation we have heard about recently and he takes there yeah it's interesting to see all of the coming regulation around crypto dollar stable coins coming and also these experiments going on if you've been paying attention to this world of decentralized stable coins you know about uh d um dynamic set dollar empty set dollar rye and a few other ones there's another a few other ones i'm missing as well but there are a bunch of experiments going on with how to generate a new form of

decentralized trustless stable coins people are pointing at dying and saying that there's a lot of usdc backing dye and if the prediction that uscc is going to become heavily regulated that impacts dye which means we need more options in our trustless stable coins than just die and there are many many experiments coming to fill that void i think that will be a very cool story to follow in 2021 yeah totally agree i think this is a good model for how stable coins could evolve so keep your eyes on that and

that's haseeb's thesis we'll include a link to that in the show notes um the block put together a timeline of defy events that happened this year anything pop out for you david like anything worth highlighting man this this year's been such a blur for me like so much happened but why don't you why don't you pick out a few of the highlights here yeah this is just like as somebody who's been living and breathing crypto especially in 2020 this was just like a a trip through the pass of 2020 which both seems to have flown by and also taken forever somehow at the same time i don't really have any

special takes here it's worth just going and checking out the graphic uh this has a graphic to view if you guys like visuals rather than text and so it's definitely worth to check out it will also be in the show notes just a recap of last year really talks about the uniswap drop it talks about d5 summer it talks about um ave all of these things that happened that were sort of a blur uh from from the the year that was crypto in 2020. um david another protocol launched open which is a defy options protocol they just launched

their v2 any takes on this yeah i think another important story of 2021 is trustless decentralized protocolized options on ethereum we're seeing a race for this as we speak right now the race is already hot open is not the only team going after that there's also hedgic andre also released something as well we'll see if that turns into into anything real um 2021 decentralized trustless options on ethereum it's totally gonna happen here's another one that launched just last week called uh primitive i haven't had a chance to

explore that but that's yet another that we're talking about um going back to maybe a story from from 2020 as well yeah the original food token the food token that started it all started of course with an ample fourth type rebasing mechanism uh be familiar with what that is uh you know it's it's it's it's a little bit of a gimmick but it's it's kind of a way to um i guess make the appearance of a token like em to like to to make it appear like it attracts a dollar it doesn't really

supply fluctuates um but they just turned their rebasing feature off so yam of course uh became a food token which became a which became a dowel uh i don't know if you don't know what i'm talking about david maybe you could explain this a little bit better so there's a lot of history here yeah so ample fourth created rebasing and then yam took that rebasing mechanism and turned it into a way to add value to the treasury and then then yam turned into a dow em as a governance token with a rebasing

mechanism built in and i think the governors of yam just decided that they just had it with the whole rebasing thing they were tired of like the supply of yams that they own keep on changing right and like that was annoying and it's difficult to operate with and at the end of the day i think like they thought that the rebasing mechanism wasn't really adding much value back to the yam ecosystem so they just decided to ax it and i think what's really cool about this is the collective governance decisions around something like yams to make a coherent decision with each other saying yeah we don't want this anymore

let's like let's do something new and so like yam started as this rebasing mechanism that generated a treasury and now it's turning into something else which means that like what yams really is is completely decided in the social layer right it's completely a governed protocol and it's up to the governors to figure out how to make yam more valuable and they're clearly ready to cut off anything or add anything to make that happen yeah it's kind of a cool story i think we'll be excited to see how this evolves because now that they have this capital

pool you talked about the yam ecosystem they're actually launching products on the yam ecosystem so these are like d5 products one is called degenerative finance they also have like an insurance product called umbrella i've been monitoring this a little bit they're also taking a part of their treasury and like investing it so they they invested in the the dpi the defy index as well so they're they're taking this treasury they're making it more valuable this is kind of what uh any capital pool will do any kind of like i guess corporation in

the real world might do and it's a it's a very interesting uh i think model for what a decentralized autonomous organization uh capital pool on ethereum might do in the future um david i think that's that's what we have time for as far as releases we should jump to the news i think one big news item of the week is in i guess the good gov section we've got a new sec chairman who has been appointed so bye bye jay clayton bye jay clinton he's been around for for most of

my tenure in crypto always kind of the like the face of the sec about to pounce on crypto um now there is a uh according to reports i don't know much about this this gentleman the new sec chair um but apparently he is very crow pro crypto any takes here yeah um nothing no no takes here interesting to see a new sec chairman getting people that are pro crypto in regulatory bodies is really really important and really really good and this is a really important regulatory body to have a pro

crypto person inside we say pro crypto and it's interesting the sec at the same time is of course launching a pretty massive lawsuit investigation etc against ripple against xrp's pro crypto xrp isn't crypto that's what i would say right yeah you know um so they're going to be pro crypto hopefully but um you know maybe not pro all of the the centralized shenanigans that you know happen in the crypto space keep crypto crypto in the

bad gov category though we've got uh mnuchin and uh jake travinsky um published this this is kind of over the holidays so i was looking at it a little bit but apparently fincen the working group under munition has issued another statement this time calling for on-chain kyc basically to any crypto wallet any eth wallet any unhosted wallet as they they would call it that have stable coins in them so of course on chain kyc at the ethereum address level is not possible it's not

part of the ethereum protocol but mnuchin well they could submit an eip if you really wanted to i i would i would invite uh uh mnuchin to submit an eip to add that and maybe we will consider it well what's what's very interesting here is not only the the lack of feasibility and technical feasibility right like they seem to think that um ethereum accounts ethereum addresses are are similar to uh to banks and right that because the banking layer has an aml kyc

function that a protocol like ethereum would have a kyc function but of course that is not built into the underlying protocol of ethereum and never will be because the social layer will reject it this is i think partially concerning because this is what many of the kind of big bankers like munition really want for this space at the same time jake says it's not enforceable at this point in time but but it just shows where their their head is on this

yeah if you get down to it and you can go into the nth degree what minutian is asking for is to have private keys have kyc data embedded in them somehow not possible not possible and what's concerning to me is that they are trying to get rules passed which again aren't possible because they're using frameworks from the legacy world to try and make rules about a new world that they don't understand so they're not even bothering to like ask is this even possible before they write a rule it's [ __ ] crazy excuse me yeah it is and

here's what you need to do guys so we had this conversation with again jake travinsky last last week on state of the nation but um there there is a vincent proposed rule out there that is not quite as severe as what we just said but requires um requires exchanges essentially to implement aml kyc type function for any unhosted address if you're withdrawing from a coinbase or something like that they would have to identify you there's this comment period that has just opened up we talked about it with with jake and what we need you to do what you should do is submit your

comment you don't even have to be a us citizen to do this jake has a great thread on how to construct a good comment uh it shouldn't be insulting it should be fact based i submitted mine on monday it was very very much um basically framing framing the the issue as the us would be left behind if it didn't embrace uh defy on behalf of kind of a crypto investor crypto entrepreneur it's kind of my take um so submit your comments this is this is how we use our voice to take action in the traditional

crest the old legacy nation state it still is important that we do that so that we don't get uh regulatory requirements that are bad and set the space back and try to stymie this space yep agreed all right etoro ipo rumors so do you know much about etoro david yeah they're in an exchange like coinbase they have a couple extra features like a social trader feature that they have uh pioneered i think the big story is is that coinbase is not going to be the only crypto ipo of 2021 if this rumor is

true and that makes me ask the question what other ipos are going on behind the scenes yeah exactly so etoro is rumored to possibly ipo there's probably a list somewhere of other similar like ubiko might be one for instance other similar size companies that might follow coinbase's lead and ipo could be an interesting year in the public markets from that perspective um well we're talking about coinbase coinbase was among the first to d-list xrp followed by binance followed by

bittrex followed by trading desks everywhere what's going on here david yeah so this is bad for xrp as a currency xrp is designed to be extremely liquid and extremely available and having it delisted from you know the biggest exchange in the united states and then from binance u.s and also from big trucks and then also from trading desks i don't know how you achieve the goals of being an extremely liquid crypto assets without having any exchanges that doesn't seem to make much

sense also the the xrp asset price is like plummeting it lost like 25 or something in the last week so you also don't get liquidity when you're when number go down uh so not a good week for xrp and and so why are they all delisting david for folks that have kind of not followed things up to this point so the sec last week came out and said that they are going after uh ripple the company because xrp is an unregistered security and there's also a bunch of extremely damning statements coming out

of ripple leadership uh talking about how just how to pump and dump the coin basically uh it has been out basically the explicit strategy of ripple to pump the coin which i guess if you're trying to make an extremely liquid currency that makes sense because you need number to go up to go to be liquid but it's the way that they did it and also there being a centralized issuer makes that you know not good right now information asymmetries between the buyers and sellers and just a bunch of whole host of just like nefarious activity that you just don't want to see happen and yet they did it

anyways i've got a hot take here that we'll get to in a little bit but but remember this nasty listings of xrp are happening and it seems like they're accelerating as well there's also another sort of d5 protocol hack this is the cover protocol which as i understand it david it's like an insurance d5 protocol that's supposed to be protecting some of uh the the d5 critical assets what was the attack what happened for those that missed it yeah so this was an exploit in the cover token there is a token that goes with cover and the

attacker managed to uh do a a an inflation bug mint right and so he the oh he or she just minted something like four quadrillion or quintillion tokens right and so basically infinite basically infinite and so when you have basically infinite numbers of tokens you can take those tokens to any amm and then drain the amms and so that what the attacker did is they minted basically an infinite number of tokens took them to uniswap took them to balancer sold them into the amms to drain all of the other tokens on

the other side which would be ether and and then i think also some stable coins um and then what's really interesting the as the tweet that you're showing the attacker was able to drain 4 350 eth and then in a transaction he sent it back to the covered deployer address so he gave it back so let it be known he still did damage because the token price dropped but he gave what was what he quote unquote stole he gave that back so people still have lost because you know the the trust in the in the cover token the the value

of the cover token you know dropped um but at least that he gave the ether back interestingly um if you hit that click to see more button ryan on the bottom left you'll see a note from the attacker that says uh oh maybe maybe i can't see him it was in a different tweet the attacker wrote uh next time like uh fix your stuff yourself idiots or something like that it was like a kind of a funny funny but pretty mean note from the attacker saying you know fix your [ __ ] next time um so that was pretty funny uh sorry to anyone that got uh got burned by this

but hey at least he sent the uh the ether back cover right now is figuring out how to redistribute the ether back to the people that lost money it's d5 truly is the wild west this kind of stuff happens and it's uh it's so bizarre so the hacker gave back 3.2 million dollars what thief do you know steals millions of dollars and same day turnaround anonymously like gives it back this space is so strange from that perspective like the unexpected tends to happen almost all of the time

i think if you have these sorts of skills where you can you know how to do this you probably have a decent amount of money in the space those are very specialized skills i bet you he didn't really need the money um and you know maybe at the end of the day like it's a what kind of hack this was what is it it was a black hat but was it a gray hat and because he gave the money back i don't really know he's willing to do some harm but not all of the harm very interesting um sometimes some people just have a fun time playing with real people's money and and i guess they enjoy that that's

why we call this guy as the frontier there are risks out there be careful this was a relatively newer d5 protocol this kind of thing can happen to you especially to newer protocols but also even to more established protocols from time to time so be careful out there of course if you want to live a bankless life you need to get a hardware wallet there is no alternative for storing your crypto in a self-sovereign fashion that's why i have four ledgers that i use to manage my different crypto assets using the ledger live account as well

ledger live is like your home base for managing your ethereum defy and crypto accounts it does a really good job of aggregating all of your different ethereum wallets if you are the type of person that uses more than one but you can also add other cryptocurrencies like bitcoin or cosmos or whatever your preferred blockchain is and then it will display an aggregate portfolio of all your accounts at the main page one thing that ledger is doing a really good job of is enabling all the money verbs that me and ryan talk about with the bankless skill cube enabled in the ledger live

app so right now in the ledger live app you can buy sell lend swap and stake your crypto assets which is doing a really good job of fulfilling all of the money verbs in the bankless skill cube something that's new to ledger live is ledger swap where you can swap assets one for another directly inside the ledger live application ensuring trustlessness in your financial activity on ethereum and on bitcoin if you want to learn more about what you can do with a ledger go to the blog post the power of ledger live on the ledger website

where they share some of the more advanced things that you can do with your ledger that you might not have known about there's a link in the show notes that will take you to the ledger shop where you can get your preferred ledger hardware wallets i personally like the ledger nano x but i also have both they're both great options when you own a ledger you own your own assets in the way that they have been designed to be held by the user and the user alone so go get your ledger today to make sure that you are as self-sovereign as possible the bankless state in the nations are