The Ethereum Roadmap
I wrote a report covering the entire thing! (link in second tweet)
The merge, the surge, the scourge, the verge, the purge, and the splurge are all covered.
Thanks for reading :)
In my first public remarks as @CFTC Chairman, I made clear that the agency would use the tools at its disposal to onshore crypto asset perpetuals. Today, the @CFTC delivered on that commitment.
This morning, the @CFTC took historic action to permit the listing of a true bitcoin perpetual contract by a CFTC-registered exchange, charting a path for one of the most liquid segments of the crypto asset markets to exist within the US regulatory framework.
A few notes after integrating both read and write priority fees on HL:
- Many have been wondering why priority fee revenue hasn't ramped faster. It's a combination of two things. Makers need time to integrate, but the bigger issue is the validators, they have to explicitly enable the gossip priority config to respect the read auction ordering. Not all validators have done this yet, which means winning the gossip auction today doesn't guarantee you actually get prioritized access to the mempool. Rn you might end up burning your precious HYPE for nothing
- Many retail traders don't know this, but before this upgrade you needed to pay validators to get access to sentry peering or other kind of dedicated setups in order to have competitive latency as an API trader, which had a cost of a few tens of thousands of dollars per month depending on the provider. This upgrade directly targets these setups, and will internalize most of these fees into HYPE burning. It's hard to estimate the exact numbers, but I would say that this upgrade just added $500k-$1m monthly buying pressure on HYPE, with potential for write fees to grow much more.
- This is a first step from the HL team to try to internalize more revenue from latency and infra investments that most HFT teams spend. This is something traditional exchanges have been trying to do for a while (IEX introduced a 350μs speed bump and refused to offer colocation entirely, NYSE/CME keep building bigger colo facilities to capture more of this spend), and the biggest risk is destroying your microstructure because the exchange becomes too expensive for makers, or too slow. But the risk is definetly worth the reward. BIS research estimates the HFT arms race extracts $5B/yr in global equities alone, or about 0.5bps on all volume. Growth mode assets on HL charge 0.45 - 0.9bps in taker fees, so if priority fees capture even a fraction of that 0.5bps equivalent, that's potentially doubling protocol revenue on these markets. I'd estimate monthly infra spending from HFT teams on HL today to be in the ballpark of $5-10M between sentry peering, server optimization, and brainpower. Priority fees are how the protocol captures a share of that. My bold take is that trading fees will compress over time as competition forces HL to stay in growth mode for HIP-3 markets. Priority fees won't since they're driven by the arms race itself, which grows with more volume. My guess is this revenue line becomes more than half of HL's revenue in a few years if they manage to capture more flow from TradFi.
Grayscale publicly filed its S-1 with the SEC today and has applied to list on the New York Stock Exchange under the symbol GRAY
https://t.co/nehaviYrfP
Ramp, Anduril, Polymarket, Cognition, Anthropic, Neuralink
Invested all endorsement money into Bitcoin
LP in Thrive, Multicoin, and Founders Fund
@saquon the greatest investor of our generation
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DoubleZero’s high-performance global network is now live on mainnet-beta powered by 2Z.
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1/ Metaplex July Round-up TLDR:
• Genesis, a new protocol for onchain token launches, went live
• @DeFiTuna sold out its $2.5M presale on Genesis in <4 minutes
• Protocol revenue hit $2.3M (+38% MoM)
• $950K used to buy back 6.4M $MPLX
• $MPLX listed on @coinbase