Discover more from Token Dispatch
Vitalik's vision 🕶️
Ethereum's revamp: Buterin's blueprint, the Code Reader, validator limit leap & Ethscriptions invasion. Now what's Binance Nigeria Limited, and how's FTX doing?
Join our telegram. Please? 🤟
Vitalik Buterin, the charismatic co-founder of Ethereum, has taken the stage once again to unveil his vision for the future of the world's second-largest cryptocurrency.
Buterin wants three changes:
Better privacy measures
Ethereum's scalability challenge has been a topic of discussion for years, and Buterin has a plan: the adoption of Layer 2 (L2) solutions, specifically "rollups."
Rollups are L2 scaling solutions that process transactions off the main Ethereum blockchain, effectively reducing congestion and increasing scalability.
With rollups in place, Ethereum can handle a significantly larger volume of transactions, paving the way for mainstream adoption and an enhanced user experience.
Buterin understands the importance of secure wallets in building user trust and confidence. To address this, he envisions a shift towards smart contract wallets.
These wallets offer advanced security features, ensuring the safety of users' funds and non-financial assets. But, this transition comes with its own set of challenges. It requires fundamental changes to wallet applications, necessitating careful coordination between developers and users.
By embracing smart contract wallets, Ethereum can create a more robust and secure ecosystem, keeping users' assets out of harm's way.
Better Privacy Measures:
Buterin highlights the need for better privacy measures within Ethereum to protect user identities:
"Without [privacy], Ethereum fails because having all transactions available publicly for literally anyone to see is far too high a privacy sacrifice for many users," says Buterin.
Buterin proposes the implementation of "stealth addresses" as a means to safeguard user identities.
But he knows that these methods are still maturing and require further development to address cost and functionality issues. With enhanced privacy measures, Ethereum can appeal to privacy-conscious users and provide them with the confidentiality they desire.
Now what's Blockchain Trilemma:
Buterin's brainwaves bump into a puzzling "blockchain trilemma," where three biggies vie for the spotlight: decentralization, security, and scalability.
Ethereum aims to ace them all, but trade-offs may be in the mix. Striking a sweet spot among these traits is vital for Ethereum's lasting triumph.
As Ethereum undergoes these transitions, the concept of user-address relationships will change.
Users will exist on multiple L2s, resulting in multiple addresses across different chains.
The adoption of smart contract wallets introduces complexity in maintaining the same address across L1 and various L2s.
Privacy measures may require users to have multiple addresses or rely on the privacy scheme's internal addressing system.
Key Recovery Challenges:
In a world of many addresses per user, recovering those keys gets tricky. Naive multi-address recovery trips over gas costs, counterfactual addresses, and privacy worries.
Buterin's solution? Buterin suggests an architecture that separates verification logic and asset holdings to address these challenges.
Raising the validator limit?
Ethereum developers have heard your cries for faster processing and shorter waiting times. They're planning to raise the validator limit, and not lightly—we're talking about an increase of 6,300%.
Currently, the validator limit stands at a mere 32 ether (ETH). The developers are proposing to skyrocket that limit to 2,048 ether.
Why the sudden change? Well, why not?
The demand for spinning up Ethereum validator nodes has reached epic proportions, and the developers are stepping in to meet the challenge head-on. Currently, the waiting time for running a validator node on Ethereum is 44 days. But, exiting the network remains a breeze. And why the validator frenzy? It's all about that tantalizing 5% annual yield, tempting large ether holders to earn passive income while holding their precious ETH
Ethereum's blockchain explorer, Etherscan, is stepping into the future with its new invention - a tool brimming with AI capabilities called 'Code Reader.'
They've teamed up with the AI wizards at OpenAI to create a tool that reads and interprets smart contract code.
What is the Code Reader?
The Code Reader is a new AI tool that uses OpenAI's large language model to demystify the source code of any smart contract.
Its primary function is to generate AI prompts for specific code sections or functions, aiding you in understanding the intricate details of the code.
Who can Benefit?
It's perfect for anyone interacting with a smart contract for the first time.
The tool also facilitates those wanting to explore code to integrate a smart contract with decentralized applications.
How to Use the Code Reader?
To use the AI service, you will need an OpenAI API key with sufficient usage limits.
Enter your API key, insert the contract address, select a source file to interact with, and start asking your questions.
Things to Keep in Mind:
Etherscan urges users not to assume all answers from the tool are correct.
This tool is still in its Beta release and is continuously improving, so user feedback is highly appreciated.
It's a one-way conversation—no back-and-forth banter with the AI chatbot just yet.
Inspired by Bitcoin Ordinals inscriptions, the Ethereum main chain brings a fresh way to mint those ever-trendy NFTs on Ethereum: 'Ethscriptions'.
🖼️ What is Ethscriptions?
Conceived by Tom Lehman, the mastermind behind Genius.com, Ethscriptions is a playful protocol that lets you create and share digital masterpieces on Ethereum. And guess what? It's named in tribute to Bitcoin's Inscriptions.
Within 18 hours of its launch, Ethscriptions already boasted almost 30,000 creations!
🔗 How does Ethscriptions work?
Ethscriptions lets you engrave non-financial and arbitrary data into the heart of the Ethereum blockchain. All you need is a file under 96 kilobytes in size. For the tech-savvy, Ethscriptions leverages Ethereum "calldata"—the data that goes into a call to a smart contract. In Lehman's words, this makes the protocol more affordable and decentralized than using contract storage.
For now, Ethscriptions is an art gallery for images only. But, for future, keep your GIFs, audios, and videos ready! Just remember the bouncer allows entry only if you're less than 96 kilobytes.
🚀 The impact?
Ethscriptions has sparked a wildfire of interest, particularly after Lehman's call to "ethscribe" the iconic Crypto Punks NFT collection. The response? A frenzy that saw all 10,000 images inscribed within hours.
Ethscriptions vs. Bitcoin Ordinals
The big question: will Ethscriptions keep up with Bitcoin Ordinals' popularity? Ordinals skyrocketed from zero to 10 million inscriptions on Bitcoin in less than six months, primarily fueled by the new thrill of minting assets on Bitcoin.
The Ethereum community's warm reception of Ethscriptions showcases its openness to innovation, a contrast to the mixed reactions to Ordinals within the Bitcoin community.
With Ethereum already boasting infrastructure for NFT creation, the future of Ethscriptions is uncertain. But who knows? This newbie might just have a few tricks up its sleeve!
The Scheming Serpent: The crafty "Binance Nigeria Limited," has been pretending to be a legitimate Binance offspring. But alas, truth always emerges from the shadows.
The White Knight: Changpeng Zhao, the true king of Binance, storms the Twitter battlefield to unmask the duplicitous entity.
The Backstory: Earlier this month, Nigeria's market watchdog had sniffed something fishy, issuing a warning about Binance Nigeria Limited’s lack of proper registration and regulation.
The Daring Deception: Caught in the crossfire, Binance clarifies that it has zero relations with the doppelgänger, and is working alongside the Nigerian SEC to shed light on the murky situation.
The Jester's Jest: The wily trickster behind Binance Nigeria Limited, it seems, had a foolhardy aspiration to sell the counterfeit company name to the real Binance.
🌏 Meanwhile, in the Grand Theatre of Binance…
Siege from All Fronts: The genuine Binance faces off against a horde of international regulatory pressures, having to retreat from territories like the Netherlands, Cyprus, and Canada. The land of Australia even froze all pathways for gold and silver transfers to and from the Binance kingdom.
The Hammer of Justice: More foes gather as the U.S. Securities and Exchange Commission (SEC) draws its sword, charging Binance and its king with multiple offences, including manipulating trading volumes and misusing customer riches.
The French Inquisition: The French financial inquisitors accuse Binance of 'aggravated money laundering,' casting yet another shadow on the embattled kingdom.
TTD Numbers 🔢
In FTX's financial whirlwind, between February 1 and April 30, FTX dished out a whopping $120 Million plus in advisory fees. That's not spare change found in the couch cushions.
Total advisory fees: FTX paid out a staggering $121.8 Million in legal, consulting, and financial services costs between February 1 and April 30.
Submission of expenses: The advisor fees and expenses were officially submitted on June 15.
Legal fees: Sullivan & Cromwell, the legal team for FTX, billed $37.6 million, representing 30.9% of all fees and expenses.
Investment banking fees: Jefferies billed the lowest amount, comprising just 0.6% of the total fees and expenses.
Restructuring costs: Alvarez and Marsel, the restructuring consultants, charged $37 Million and had expenses totaling over $1.1 million. This included:
$51,225 on meals
$149,155 on lodging
$1,995 on miscellaneous items
Reboot efforts: FTI Consulting has already spent about 686.8 hours and billed $761,997.70 on a workstream titled "Exchange restart."
The UK's Financial Services and Markets Bill has been approved by Parliament's upper house.
Russia's Ministry of Energy is advocating for the legalization of industrial crypto mining and a mining-related bill.
BNB Chain has released the opBNB testnet, an Ethereum Virtual Machine (EVM)-compatible blockchain based on Optimism's OP Stack.
If you like us, if you don't like us .. either ways do tell us✌️
So long. OKAY? ✋
The Rabbit Hole, is a weekly newsletter. A deep-dive explainer, delivered every Sunday.