4 ms·

I'd be interested to know patio11's updated take on the long arc of crypto. As a crypto person, it's cool to see how the benefits he describes-- eg lower trans

by spir 5y ago

I'd be interested to know patio11's updated take on the long arc of crypto. As a crypto person, it's cool to see how the benefits he describes-- eg lower transaction costs, embedded finance, and novel items such as bundling reporting and instant settlement-- are also driving much of the product-side interest in crypto and web3.

simonbarker87 5y ago
Lower transaction fees? I moved a few hundred £ into my wallet the other day for some Ethereum and paid like £50 in various fees and gas. The crypto world is full of layers of middle men taking their slice. Even swapping some ENS to ETH cost over $100 in gas
- throwaway98797 5y ago
  I mean your ENS was free money tho, so …
  - simonbarker87 5y ago
    Very true, but same experience buying an NFT, 15% in fees etc
    - throwaway98797 5y ago
      Just buy more expensive NFTs. Joking aside fees are a real problem. Hopefully solved in 2022.
- capableweb 5y ago
  There are thousands of cryptocurrencies in use today. If you're out after faster transactions with lower fess, Algorand seems like a good option. Fee seems to be about 0.001 ALGO (0.002044 USD) about finalizes in about 5 seconds.
- spir 5y ago
  You're right that ethereum's fees are extremely high, and they will only get much higher. That's because, heading into the future, ethereum isn't intended for direct use by end-users. End-users may expect to use ethereum's live & emerging scaling solutions, also known as Layer-2 networks or L2s. The ethereum chain itself has become known as the "base layer" or, more commonly, "the L1". Only rollups, governments, megacorps, and extremely rich people will be able to afford transacting directly on the L1. The good news is that L2s are becoming great for end-users. Some are live now (optimistic rollups), and the most promising of them will be live soon (zk/validity rollups). For example, Arbitrum and Optimism are optimistic rollups L2s and have achieved a significant linear decrease in transaction fees. As another example, zkSync 2.0 and StarkNet are zero-knowledge rollup L2s, also called validity rollups, that achieve a greater linear decrease in end-user cost than optimistic rollups, and unlock a (truly) exponential decrease in end-user fees by using a spectrum of off-chain data solutions. This fantastic result of exponential decrease in cost for end-users is achieved by way of an important new-ish branch of mathematics called "zero knowledge proofs". Currently, zkSync 2.0 and StarkNet are the "Luke Skywalkers" of ethereum scaling. We are expecting great things from them, and need them to deliver to allow hundreds of millions of users to onboard to ethereum next year. https://l2beat.com/ https://l2beat.com/ https://l2fees.info/ https://l2fees.info/ https://arbitrum.io/ https://arbitrum.io/ https://www.optimism.io/ https://www.optimism.io/ https://zksync.io/zkevm/ https://zksync.io/zkevm/ https://starkware.co/starknet/ https://starkware.co/starknet/
  - simonbarker87 5y ago
    Thanks for the explanation, very useful
    - spir 5y ago
      You're most welcome! I'd be happy to discuss this with anybody interested. The best way to reach me is via twitter DM https://twitter.com/ryanberckmans https://twitter.com/ryanberckmans

by spir 5y ago

simonbarker87 5y ago

Lower transaction fees? I moved a few hundred £ into my wallet the other day for some Ethereum and paid like £50 in various fees and gas. The crypto world is full of layers of middle men taking their slice. Even swapping some ENS to ETH cost over $100 in gas

throwaway98797 5y ago
I mean your ENS was free money tho, so …
- simonbarker87 5y ago
  Very true, but same experience buying an NFT, 15% in fees etc
  - throwaway98797 5y ago
    Just buy more expensive NFTs. Joking aside fees are a real problem. Hopefully solved in 2022.
capableweb 5y ago
There are thousands of cryptocurrencies in use today. If you're out after faster transactions with lower fess, Algorand seems like a good option. Fee seems to be about 0.001 ALGO (0.002044 USD) about finalizes in about 5 seconds.
spir 5y ago
You're right that ethereum's fees are extremely high, and they will only get much higher. That's because, heading into the future, ethereum isn't intended for direct use by end-users. End-users may expect to use ethereum's live & emerging scaling solutions, also known as Layer-2 networks or L2s. The ethereum chain itself has become known as the "base layer" or, more commonly, "the L1". Only rollups, governments, megacorps, and extremely rich people will be able to afford transacting directly on the L1. The good news is that L2s are becoming great for end-users. Some are live now (optimistic rollups), and the most promising of them will be live soon (zk/validity rollups). For example, Arbitrum and Optimism are optimistic rollups L2s and have achieved a significant linear decrease in transaction fees. As another example, zkSync 2.0 and StarkNet are zero-knowledge rollup L2s, also called validity rollups, that achieve a greater linear decrease in end-user cost than optimistic rollups, and unlock a (truly) exponential decrease in end-user fees by using a spectrum of off-chain data solutions. This fantastic result of exponential decrease in cost for end-users is achieved by way of an important new-ish branch of mathematics called "zero knowledge proofs". Currently, zkSync 2.0 and StarkNet are the "Luke Skywalkers" of ethereum scaling. We are expecting great things from them, and need them to deliver to allow hundreds of millions of users to onboard to ethereum next year. https://l2beat.com/ https://l2beat.com/ https://l2fees.info/ https://l2fees.info/ https://arbitrum.io/ https://arbitrum.io/ https://www.optimism.io/ https://www.optimism.io/ https://zksync.io/zkevm/ https://zksync.io/zkevm/ https://starkware.co/starknet/ https://starkware.co/starknet/
- simonbarker87 5y ago
  Thanks for the explanation, very useful
  - spir 5y ago
    You're most welcome! I'd be happy to discuss this with anybody interested. The best way to reach me is via twitter DM https://twitter.com/ryanberckmans https://twitter.com/ryanberckmans