This space is hosted by KMLLCW3
Space Summary
The Twitter Space delves deep into the realm of decentralized finance, focusing on governance, staking, regulations, and strategic insights for Web3 enthusiasts. Discussions shed light on the significance of delegates, DAOs, and the impact of regulatory landscapes on the DeFi ecosystem. Participants gained insights into optimizing governance, navigating challenges like inflation, and leveraging opportunities in yield farming. Key highlights included stakeholder voting, TVL analysis, and the importance of community engagement for sustainable growth.
Questions
Q: How do delegates function within a decentralized ecosystem?
A: Delegates are trusted representatives who vote on behalf of token holders, aligning with the community's interests.
Q: Why is staking considered significant in DeFi?
A: Staking supports network security, aligns incentives, and offers rewards, contributing to ecosystem growth.
Q: What are DAOs and their importance?
A: DAOs are leaderless organizations where decisions are made by stakeholders through transparent voting mechanisms.
Q: How does the current regulation impact the crypto market?
A: Regulations can create uncertainty but are crucial for mainstream adoption, highlighting the need for proactive community involvement.
Q: Why align with a DAO?
A: Aligning with a DAO ensures your governance contributions reflect broader community desires and goals.
Q: What is TVL and why is it important?
A: TVL indicates the total value of assets staked in a protocol, reflecting trust and health of the platform.
Q: How to avoid scams in DeFi?
A: Perform thorough due diligence, research projects rigorously, and stay updated with community developments.
Q: What's upcoming in yield farming?
A: Yield farming is evolving with new opportunities, providing strategic avenues for long-term growth in DeFi.
Q: How do government policies affect Web3 users?
A: Policies shape the economic environment, influencing inflation, tax rates, and investment strategies within the crypto space.
Q: What should Web3 users focus on for sustainable growth?
A: Engage in learning, community involvement, and adopt responsible investment practices in the DeFi landscape.
Highlights
Time: 00:51:33
00:51:37
Key Takeaways
- Understanding staking advantages and risks in blockchain ecosystems is crucial for ecosystem growth.
- Delegates play a pivotal role in optimizing decentralized governance structures within platforms.
- Decentralized Autonomous Organizations (DAOs) operate transparently with voting mechanisms driven by stakeholders.
- Current regulatory landscape impacts crypto and DeFi markets
- emphasizing the need for community involvement.
- Alignment with DAOs ensures governance decisions reflect broader community interests and goals.
- Utilizing staking and governance votes strategically is key for ecosystem support and growth.
- Total Value Locked (TVL) figures are vital indicators of platform trust and health.
- Continuous research is essential to make informed decisions in DeFi and avoid scams.
- Yield farming trends offer opportunities for growth in the DeFi sector.
- Governmental policies and economic decisions directly influence Web3 users and investment strategies.
- Community engagement and educational initiatives are crucial for sustainable growth in the DeFi space.
Behind the Mic
Right. You can go out and you can do your own research and see if this can be a good fit for you. So the first one we're going to start with is Lido. Now, if you don't know about Lido's been around for some time. Matter of fact, I feel Lido was built in and started to gain some traction and awareness during the DeFi summer of 2020. Right. It feels about the time that they came on the scene. So let's define what is Lido? And we're going directly to their website. They have a great quality, frequently asked questions section. So what is Lido? So Lido, simply put, is a family of open source, peer to peer system software tools deployed and functioning on the Ethereum and polygon blockchain networks. So they're multi-chain. Love it. The software enables users to mint transferable utility tokens, which receive rewards linked to the related validation activities of writing data to the blockchain, while the tokens can be used in other on-chain activities. So that, to me, there speaks flexibility. You have flexibility there in that. Okay, some other stats about lido. So, one, you use your e to create a synthetic of ETH called St. Lowercase St Eth. Okay. So. And it's on a one-to-one basis, so that's pretty cool. So if you have an ETH and you want to stake on Lido, you're going to get one ste in exchange for. It. Seems fair. Your maximum transactional cost right now is going to be right around $8. But if you're playing with more than, say, a 10th of an 8th, you know it's probably going to be nominal. Right. Their reward fee that they offer is 10%. And speaking of the history. So the annual percentage rate of growth is double digits. Looks like. Let me see. I've got a highlight over that. I'm sorry. No, it's single digits. So it's. It's what savings accounts used to be. Right. So it's at that standard, around 3% rate. But they have locked on their platform over 9 billion. So 9.5 billion, Ethan, that's been locked in the lido. They have 448,000 plus stakers on their platform. But now, to wrap up lido, which I think is awesome. Now, if you want to, you can actually go to their Dow page as well because they are a formal Dow. So we talked about governance last week. They are a perfect example that you can use to go in. And if you want to participate, you can participate because they have a very formalized Dow track. And you can definitely look at what they're doing and how they're doing it. But once again, don't take my word for it. Go out there and do your own research. Go out there and look at it yourself. Right. So the second platform we're going to take a look at is rocket pool. Now, why did I choose rocket pool? I chose rocket pool for a couple of reasons. One, they've been around almost as long as lido. They don't have at present lock. So Lido has, at present eth lock. So right now Lido has about nine and a half billion rocket pool currently has about nine and a half million lock, which isn't a reason not to trust their platform. This is just to say that they're a little bit newer, right? They have as much awareness in the market so they have as much of a market share. Quite as right now goes. Let's define what rocket pool is. And we're going directly to their website and we're going to take a look at it. So Rocket Pool describes itself as a next generation decentralized Ethereum proof of stake. For individuals. Businesses and decentralized platforms to earn Ethereum staking rewards. And they further go on to explain that rocket pool is decentralized, trustless, and community own, and it aims to be the primary Ethereum infrastructure provider through our-state of the art, decentralized staking protocol. Very cool. Supports staking a three as well as which chain I love this. That way you can bridge rocket pool, has a very unique advantage, and that you only need zero one 60 0.16 Ethan order to use rocket pool. So that means really there's no barrier of entry, there's no barrier to entry part of me. For someone moving to get in and start building their staking portfolio, will look at the nodes for proof of stake. And there are present paying a four and a quarter percent APR. Their total TV L so total value locked in their liquid staking side. So this is for individuals who maybe you're in our bond community where you're a member of the 111 club and you've got your hands on at least one full ether in your wallet or somewhere in your corporate account. And you're thinking, okay, you maybe have some ENS names. You're thinking like, hey, since we're so early, let's stake it into something that's a little bit safe it's going to earn possibly more return. But on the liquid staking side is $1.6 billion. So liquidity staking the pool has 700 million lock their demand balance available. We're at 3.2 million. And the Osto Rock side and your total annual staking reward for that previous set number is about the yield percentage at their staking. Right. So we're going to go down and we're going to take a look and see what they're doing in their networks as well and just see the progression that they've gone through, so the state pool. So they've got 2.5 billion in their staking network, 4500 node operators running this thing right now, 2900 plus validators launched, and no mini pools at present, but that's okay. They fully explain as well just the network upgrade side that they're working through and everything like that. But they're very much aligned with the community where they have frequent educational sessions. You can actually interact with them in their Discord channel as well, and there's a few other places that you can interact with them on their social network side. Very transparent, which I do like. They even have explainer videos, which is kind of cool. To help you kind of understand what you're doing from the very beginning, I think that's awesome, easy to get into and a very fresh front end UI UX experience. So definitely something that you can learn from it. So definitely something that you can look at now looking at the liquidity staking. Oh yeah. Any amount earn liquid stake in yield on 100th eth or more. Earn rewards over time, easily unstake, use it in defi and their seven day average is just over almost 3% accumulation rate. So that's pretty good. Of course it's more lucrative. On the note staking side, this is also front and center on the website they have on the node staking side. Cumulatively they have 765,000 ETH staked across 3700 operators. That's awesome. So definitely something you can look at. And it is going to lower the barrier of entry for, in most cases for other people to participate at the level that probably we participate at or we'd want to participate at. Right. To mitigate our risk. So rocket pool is definitely one you should consider. And like I said, there's others on here, but those are like the ones we've done our due diligence on. Those are ones we've done our research on. Those are the ones that we feel are qualified opportunities for the everyday web three user or the everyday non web three user who isn't here yet, that they should at least be taking a look at and should consider and put those digital currencies to good use if in terms of growing it from an accumulation standpoint, right. Instead of just letting it sit in your wallet and just look at you every time you open your wallet. Anyways, I digress. I hope you guys enjoyed the show today. Next week we're going to center theme around yield farming. And this is one of my favorite mechanisms inside the world of decentralized finance that's also making its way into the regenerative finance circles. And it's probably in, at least in my mind, if you're looking to grow long term, yield farming is definitely an opportunity to take a look at. And you don't necessarily have to be in a private yield farm. You can be in a public one and you'll be just fine. Thank you everybody, for tuning in. I appreciate it. We'll see around the web three circles.
