Unchained - Unconfirmed: Polygon: The Layer 2 Solution Doing 8 Times as Many Transactions a Day as Ethereum - Ep.247

Episode Date: June 18, 2021

Jaynti Kanani, cofounder and CEO of Polygon, discusses why the layer 2 solution has seen so much success during a down crypto market. Show highlights: what factors have led to Polygon’s and MATIC's impressive performance YTD how Polygon is scaling Ethereum what types of projects are taking off on Polygon how Polygon is attempting to address the issue of layer 2 composability  how Polygon plans to use its latest funding why Jaynti is confident Polygon will still be necessary after ETH 2.0 launches Thank you to our sponsors! Crypto.com: https://crypto.onelink.me/J9Lg/unchainedcardearnfeb2021   Tezos: https://tezos.com/discover?utm_source=laura-shin&utm_medium=podcast-sponsorship-unconfirmed&utm_campaign=tezos-campaign&utm_content=hero   NEAR: https://near.org     Episode Links   Jaynti Kanani Twitter: https://twitter.com/_jdkanani   Polygon Website:  https://polygon.technology/  Overview: https://www.theblockresearch.com/polygon-a-technical-overview-105799 https://www.theblockresearch.com/mapping-out-polygons-ecosystem-105540 Popularity: https://www.coindesk.com/defi-projects-continue-flocking-to-layer-2-solution-polygon  https://www.coindesk.com/institutional-investors-have-arrived-on-polygon-amid-rising-ethereum-layer-2-demand-blockchain-data https://www.coindesk.com/polygons-matic-token-ended-may-up-120-despite-bitcoins-price-crash  Investments: https://www.coindesk.com/au21-capital-opens-polygon-fund https://www.coindesk.com/mark-cuban-invests-in-ethereum-layer-2-polygon   Miscellaneous: https://www.coindesk.com/okcoin-integrates-polygon-reduce-users-ethereum-gas-fees https://polygon.technology/lightpaper-polygon.pdf  https://www.coindesk.com/kyber-network-announces-polygon-integration-and-liquidity-mining-program https://defiwatch.net/second-letter-to-polygon/  https://www.coindesk.com/google-cloud-now-provides-blockchain-insights-for-polygon-network https://www.coindesk.com/decentralized-exchange-aggregator-1inch-network-expands-to-polygon Learn more about your ad choices. Visit megaphone.fm/adchoices

Hi, everyone. Welcome to Unconfirmed. The show that reveals how the marquee names in Crypto are reacting to the week's top headlines and can see insights keep on what they see on the horizon. I'm your host, Laura Shin, a journalist with over two decades of experience. I started covering crypto six years ago and as a senior editor at Forbes was the first mainstream media reporter to cover cryptocurrency full-time. This is the June 18th episode of Unconfirmed. The Crypto.com app pays you up to 8.5% interest on your Bitcoin. Get $25 when you download the crypto.com app with code Laura. The link is in the description. MIR is an open source platform that accelerates the development of decentralized applications, overcoming high fees and slow speeds with its fast, scalable, low cost, and climate-neutral blockchain protocol. Learn more at N-E-A-R-O-R-G. TASOS is smart money that's redefining what it means to hold an exchange value in a digitally connected world.

Discover how people are reimagining the world around you on Tezos. Today's guest is Jane T. Canani, co-founder and CEO of Polygon. Welcome, Jane T. Thank you, Loda, for having me. Polygon has had quite a few months, especially considering that the overall market has kind of been in a bit of the doldrums. So can you tell me from your perspective the story of how Polygon has taken off these last few months? Definitely. So, we have been working on Polygon since 2017 and launched our Mainnet in last year, May. And since then, we are working with the apps to onboard them on Polygon.

And we had like, you know, 100, 200 tap applications at the time before three months ago. And then the NFT boom came, right? And Defi was there. 35 boom was there and everyone was trying to send a transjects on Ethereum, right? And at the time, like, Ethereum gas fees went like 100 kwey or something like. And people were spending a lot of USD, a lot of ETH on Ethereum as a case fees. And at the same time, you know, Awe deployed on Polygon. right and we created a pool uh incentives pool for the for the our liquidity right and it

brought a huge liquidity to the polygon uh at the same time uh um sushi swap car when multiple other defy came and started doing the same and it it kind of no blew the the whole defy uh boom on on Polygon from Ethereum. And it just got crazy and crazy. Currently, we are, we have like 500 plus applications, DFI, NFTs, every, every kind of, no, different applications. And in the latest, like, few days ago, like, it crashed happened, right? And the medic was only the token who was, like, sustaining its value.

We, we were seeing, like, no, huge investor interest. in Polygon, right, institution, investors, retailers, and what we did is kind of creating the path for layer two, right? If you see layer two ecosystem, like there was no other layer two solutions ready for the production as we are. And that's what happened in the last few days and I would say weeks that Polygon paved the path for the layer two and so that, you know, on Ethereum, you can scale right away. You don't have to wait. for any other applications. You can just go and deploy your application on Polygon and you can scale right now.

And that's, I think, was a major part of the success of Polygon. Yeah. So as I'm sure most of our listeners are aware, there are multiple ways to scale. And a lot of layer two scaling solutions on Ethereum are taking one specific approach. How has Polygon decided to scale? Yeah, so we started with plasma. So in 2007, like late 2017, I was doing research on scalability and plasma specifically. And then we started as a plasma, but in plasma, we didn't want to do UTXOBAS plasma.

So what we did is account-based plasma, which is similar to Ethereum. And for that, we took the EVM approach, right? What we thought, like, let's take the EVM and change it to make the plasma compatible. And by doing that, what happens is that any developer can just move their applications from Ethereum chain to plasma polygon chain in few minutes, right? But, you know, in plasma currently we are supporting only transfers, not any arbitrary state changes. And if you want to support any arbitrary state transfers, state changes, you need to create the predicates, contract on the Ethereum chain. So we thought, you know,

it's very hard for developers to create each kind of specific predicates for each for the use cases. So what we did is created proof of stake bridge from Ethereum chain to polygon chain. And polygon chain is

before the proof of stake bridge it has a hundred validators, right? A polygon chain has 100 validators. It runs in kind of, you know, simple, parallel EVM chain but faster to Ethereum. And with Polygon, with ProFoxTech Bridge,

you can have any kind of state changes on the polygon. It's just the same as the EVM chain, right? So let's say if you have a bunch of contacts, let's say, RBA contracts on the Ethereum, and you just want to, if you want to migrate to Polygon, you can just take those bunch of, contracts, away contracts and deploy on the polygon. And that's it.

You are done. You don't have to change anything at all. You can move your tokens. You can move your state changes. Any kind of arbitrary state data, right? You can move that from Ethereum chain to polygon chain using the bridge, generalize bridge. And you can also move back using the checkpoint mechanism. So checkpoint is nothing but a hash of blocks of the polygon.

And we do that. we push that checkpoints on the Ethereum chain. So you can prove that, you know, your transaction is there on the polygon in this block at this index. You can do that. And with that, you can prove any kind of receipt, any kind of logs,

and exit those, you can prove that state data and retrieve those data on the Ethereum chain. And that's how the withdrawal works. So the whole thing is kind of, you know, we started with plasma, we added the proof of stake. bridge, a simple bridge.

Now, what we are trying to do is having a expanding our ecosystem. And with that, we are also going to support our roll-ups, Zika roll-ups, and multiple app-specific chains. The approach is that we don't, not going to just take the simple roll-up approach. We want to focus on the usability for the app developers, right? And with that, we think that pushing all the data on the Ethereum chain for the roll-ups is not sustainable at all. And that's why we are also creating our data-outability chain in-house. And the data-a-ability chain basically helps DAP developers to reduce the cost for the roll-up.

So let's say if we want to use the roll-up, Arbiton roll-up with a polygon DLA, you can do that. So it's kind of no mix-and-match approach we are taking. and more kind of, you know, generalized approach where tap developers can use the, use the whole layer to very secure. Plus, they don't have to worry about the cost of the pushing the data on the Ethereum chain. So that's what we are going to do in the next few months. Wow. Yeah, just listening to that, it's very easy to understand how so much activity has shifted very quickly and why. And I was curious, how are you seeing users on Polygon differing from those who have stayed on Ethereum, if there is any difference?

User face is similar, 100% similar. It's just kind of, no, you have to add the URL on the Metamast if you want to use Metamask, but if you are using the wallet link or the kind of mobile wallet, wallet connect. You don't have to worry about it all. It just works seamlessly. as you are working on the Ethereum, but faster, right? And your cost is pretty cheap. Okay. I do think I did see that there was some data showing that some of the users on Polygon

or that a greater number of them were transacting in smaller amounts and that whales were sticking around on Ethereum. But then I did also see more news saying that whales also seemed to be moving over. And what types of projects do you see typically taking off on Polygon? I just noticed, you know, there's, it seems like there's quite a lot of gaming and NFT apps on Polygon. And obviously, you know, DFI is also popular. But I was surprised about the number of gaming at NFT apps. Yeah.

I mean, as I say, you know, we have 500 plus applications right now. And most of them are like, you know, DFI and NFTs. In NFTs, I think my popular is one is Zedron, right? So Zedron is quite popular at the time. And people were using the buying the horses and they're putting the horses into races and with the race. Yeah, yeah. Just for people who don't know, that's, I mean, you said it, but it's where people can bet on these digital horses. Yeah.

Yeah, this process. And in the D5 side, we have Awe. RA is biggest defy right now on the Polygon. It has 7 million plus U.S.T worth of tokens locked in our market on polygon. With that, we have QEK swap, so she swap, both have $1 million plus liquidity. We have curve and multiple other, other T5s also coming. deploying as we speak on the polygon. So I think we pretty much covered all our popular Ethereum applications as we speak.

All right. So in a moment, we'll discuss what's next for Polygon. But first a quick word from the sponsors who make this show possible. Did you know nearly $338 million worth of the NFTs were sent last year? And in 2021, that number is growing faster than ever. If you're looking to make your first NFT, check out NIR's fast, scalable, low-cost, open-source platform. NIR is investing 80 million NIR tokens in community-led projects over the course of five years to power sustainable innovation through its ecosystem, with fundraising opportunities and support for DAWS and DAPs

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Back to my conversation with J.T. Kanani. So one thing that a lot of DFI protocols were discussing kind of, I don't know, maybe a year or several months ago, was about the composability issue in DFI and how going to layer two could break that. And some different projects have just gone with one layer two solution or another. And I wondered, do you feel that Polygon addresses that issue? And if so, how? I think compositive was an issue when people were talking about the app-specific role-ups or app-specific chain or, you know, a chain, like, simple chain.

Like Cosmo has a, like IPC, they just launch IPC, but it's still, like, no, it's not that popular as we see in that. We predict, right? In compulsibility, of course, like, DFI's, DFI needs compulsivity. If you think about the curve protocol, simple as curve, right? It needs like to know multiple defy protocols to work. Awe needs, let's say, changing order to, right? Other defy application needs other defy applications to work on, right?

So in general, like, of course, defy needs compulsivity. And if you break down the applications into the multiple chains, it also brings a problem of liquidity fragmentation. So those two problems are go hand in hand, like compositively and liquidity. But what we are trying to see on the specific to polygon pro quo check chain, we have one chain, we don't have an application specific chain.

So you just deploy as you're deploying on Ethereum. It's like you can say, okay, this is the sister chain of Ethereum, right? polygon is a system of Ethereum. You can deploy, you can use the liquidity the same way you do on Ethereum. In the roll-up and second hand, you know, currently R.P.Trum and optimism are there coming. And there will be the same as the Propostate chains.

Like we have, there will be multiple applications in the same chain. So there won't be any compulsibility issue, but I will see some liquidity fragmentation between the polygon chain and the RPATerm chain and the optimism chain. If you deploy different kind of applications, same applications on the different platforms. And that's exactly what we are experiencing right now. What happens is, let's say,

if you have a liquidity on the minus chain and if people want to move the liquidity from Ethereum chain or from minus chain to polygon chain, it's very tricky. And I feel that it will be the same problem when we have a multiple roll-ups, multiple chains in the future. Even the compositive, compositivity is kind of, the liquid is part of the compulsibility,

I would assume because it's just the same thing. Part of the compulsibility. So what we are trying to solve in the polygon is to how to do the state call between the chain using the protocol level. When I say protocol level, it means that, similar to IPC, right? IPC is kind of works underneath of hosmos SDK or tandem-med level.

You don't need an application level changes to do the transfer or composability to achieve the compulsibility. You need to make it at a protocol level. That way you don't break the compulsivity, you don't break the liquidity as well. You can always move your liquidity from here to there very easily without creating the synthetics on the different chains.

But I think it's very tricky in general because you have to change or maybe for your chain or it's very hard to change. Because if you are, let's say, application level transfer, state transfer or token transfer is very easy. But if you go on the protocol level, on the lower level, it's hard to change. And I think it can be tricky to implement. But I think we need to do. We have to do that. Otherwise, it will be a problem when we have a roll-ups and multiple roll-ups and multiple chains. Yeah.

I'm hoping I make sense. Yeah. Well, yeah, I think we're going to have to see how this all plays out. I mean, I think it is a tricky issue and kind of a big vision that you have there. So speaking of Polygon has gotten a lot of investment recently, you know, in and around it. AU21 announced a $21 million ecosystem fund, billionaire Mark Cuban. announced that he had invested, although he didn't disclose the amount,

and UN0X announced you two together will spend $10.5 million to bring more users to Polygon. So what do you plan to do with this money and what are your strategies for bringing more users to Polygon? Yeah, I mean, we have a different agenda for different kind of funds. So for 0X and for 0x Dow Fund, we are specifically looking to bring more applications for the on the on the exchange side right and the defy side and with defy we we are hoping to

spend those money on the supporting multiple startups multiple crypto projects uh which are just starting out and bring bring them on on polygon with a u 21 capital it's generic general uh fund for the specific focused on the polygon right and uh with that uh i think they are they are they are planning to deploy those funds in multiple projects to on Polygon. It can be defythe, it can be NFTs. It can be any other other projects. We also just announced Polygon SDK. So we are also focusing crypto projects who are using the Polygon SDK, right,

and building their own crypto projects. So we're also going to fund the projects using this fund. And on the Mark Cuban side, of course, like, you know, It's a strategic investment from him because he was very much a user of Polygon. He was using multiple applications. So it was great to be on board. And he's a good at technology. So we were talking to Mark Cuban.

And he was very keen understanding the roll-ups and Zika loves and everything. So we were surprised to see his ideas around the tech. So I think having him on board is a good addition to Polygon ecosystem in general. And with that, we have multiple other fund also coming up focused on Polygon. And with that, what happened? We want to expand our Polygon ecosystem with roll-ups, the Rol-up, ZK, Rol-O-O-L-O-Pygon SDK, current M-KKKKKKKK of Shake Chain. And we want to bring more applications.

who are who are reached to non-cry to non-crypto users, right? Currently, we have a, we have a people

users who are using Polygon. But what we are going to do is like we, we're going to launch an NFTs focused fund as well in the near future. With that, we,

we are going to target the specific two games, like, you know, web two games, right? So those kind of different, different agenda we have with the, with the funds,

we specific funds. And we just see, like, how it wins out in the future. And yeah, and just for listeners who may not know, SDK stands for Software Developer Kit, right? So that's, yeah, to get more people building on Polygon. And so what is the future for Polygon once Ethereum 2.0 shifts?

Because obviously that will, you know, scale Ethereum at the base layer. So at that point, what would that mean for Polygon? Yeah, I mean, what I'm thinking is that, let's say even if Ethereum scales is to want to reach like millions of transactions per minutes or per second

or per day I would say it will have obviously increase some capacity of the current chain but I think it will also allow our users layer to users to withdraw more space for the withdraw and deposits right also

what I think is that you know for example let's say for example two years back Ethereum was making let's say thousands of transactions per day, right? Currently it's making 1.5 million projections per day and a polygon is making 7 million transactions per day. If you see finance change, it was making like 12 million transactions per day

before it got problem, right? What I am seeing is that if in the future, let's say if crypto market expands, it will have a, it will need more transactions per day. it will, you know, you need bigger and bigger, more and more scaleratory. So even if Ethereum 2.0 will come, I'm 100% sure it will, it will get jam in a few days or a few weeks for sure. You know, it's like you Uber, right?

Like when Uber came, you were taking the Uber and you got the Uber in a few seconds, right? Now, I know like in Bengal or in India, like if you ask for Uber or Ola, it won't come. because it's so much demand there. Because, you know, people traveled a lot more. Because of the pandemic, it got down. But the supply came also, no, demand also increased, you know, better, you know, higher than the supply. So it's like, it's the same situation will be in the future.

So I'm 100% sure we'll be like, no, helping Ethereum 2.0 scale as well in the future, yeah. Yeah, that makes a lot of sense. and is also kind of funny, frankly. Anyway, well, it has been such a pleasure talking with you. Thank you so much for illuminating us on this hot new layer two of Ethereum. And yeah, thanks so much for coming on Unconfirms. Thank you.

Don't forget. Next up is the weekly news recap. Stick around for this week in Crypto after this short break. With over 10 million users, Crypto.com is the easiest place to buy and sell over 90 cryptocurrencies. Grow your crypto with crypto.com earn, which pays up to 8.5% interest on your Bitcoin and 14% interest on your stablecoins. When it's time to spend your crypto, nothing beats the crypto.com visa card, which pays you up to 8% back instantly and gives you 100% rebates for your Netflix, Spotify, and Amazon Prime subscriptions. Download the crypto.com app now and get $25

by using the code Laura. The link is in the description. Thanks for tuning into this week's news recap. First headline. Taproot, the biggest upgrade of Bitcoin in four years, is locked in as lightning doubles. Last Friday, Bitcoin's Taproot upgrade, the most significant protocol improvement in years, officially locked in after passing the speedy trial parameters, which required 90% of the blocks mined in a two-week, window to signal support for the upgrade. The full implementation of Taproot, however, is still a ways off, as the next step in the activation process is a five-month waiting period. This dead period is designed to give miners and nodes the opportunity to upgrade their software to contain the logic

for the Taproot soft fork. When Bitcoin reaches block number 7,000, when Bitcoin reaches block number 709,632, which is estimated to happen in November, Taproot will activate. allowing nodes to begin recognizing transactions made using Taproot. The integration of Taproot will be the first major upgrade of Bitcoin's code since 2017's segregated witness. Taproot hopes to improve Bitcoin's privacy, multisic wallets, security, and scaling. On related note, Bitcoin's Lightning Network has continued to grow since April, when it hit 10,000 operating nodes for the first time, nearly doubling within a year. Though May and June were slow for the markets, according to Bitcoin visuals and 1ML. Over the past 30 days, Bitcoin's

Layer 2 solution has seen growth in three major statistics. Number one, number of nodes grew by 5.25%, two, number of channels increased by 9.2%, and three, network capacity jumped by 15%. Zoom out even further, and the growth becomes even more substantial. As of June 11th, 2020, there were only 5,916 nodes with channels and the cumulative network capacity, which is the amount of VTC locked in the lightning channels sat at 936 Bitcoin. According to Coin Squares Kevin Rook, part of the excitement around Lightning Network could stem from El Salvador. On Twitter, he pointed out that two of the most popular finance apps in El Salvador are Lightning-enabled Bitcoin wallets. He tweeted its lightning season, Lightning.

a network capacity just broke 1,500 BTC, networks knows channels and capacity are at all-time highs. Next headline. The crypto market may be down, but private investments continue flowing in. This week, three crypto companies alone announced over $350 million in funding. The largest raise total $230 million with Peter Thiel leading a high-profile group of investors to back BitDow, a decentralized autonomous organization designed to invest in DFI project. By Bid, an Asian cryptocurrency exchange also got in on the project, pledging future shares that could amount to $1 billion a year. BitDau token holders will be able to vote on which projects to invest in, and the Dow aims to employ hundreds of people in its R&D centers, according to the block. BitWise also announced a significant raise, closing a series B of $70 million, led by Henry Kravis, the founder of private equity firm KKR, billionaire Stanley Drucken Miller, and Bridgewater.

CEO David McCormick, among others. According to CNBC, Bitwise recently became profitable after four years of business, when it hit $1.2 billion in assets under management at the end of the first quarter. Rounding out a big week in funding, DYDX, a decentralized derivatives exchange, secured $65 million in a Series C led by paradigm, after its January raise of $10 million. With a new influx of cash, Antonio Giuliano, the founder of DYDX, and also a previous guest, on Unchained, expressed interest in decentralizing the protocol, telling the block, quote, our goal really is to get to a point where we're only publishing open source code and all of DYDXs run natively on the blockchain. Next headline. Micro Strategies macro strategy is pretty

simple. Bitcoin. Monday was a busy day for Micro Strategy. The software company turned corporate Hodler. Early that morning, Micro Strategy announced the completion of its $500 million offering of secured notes, bringing in a digital. total of $488 million after fees to purchase more Bitcoin. According to reports, the company received more than $1.5 billion worth of notes for the first time, more than tripling the original offering of $400 million. Hours after completing the debt offering, Microstrategy also unveiled a plan to sell $1 billion worth of its stock, with the proceeds being used for, quote, general corporate purposes, including the acquisition of more Bitcoin. The software firm currently

holds 92,000 Bitcoin on its balance sheet worth roughly $3.7 billion. With the addition of $1.5 billion in potential capital available, micro strategy could afford over 35,000 Bitcoin. Next headline. Crypto's first large-scale bank run. According to data from Coin Gecko, Iron Titan titanium token, or Titan crashed from $60 to just a sliver above $0 in less than 24 hours on Wednesday. Titan is linked to the Iron Finance Project, which mints so-called stable coins by locking in a combination of 25% Titan and 75% USDC. CoinDisc reported that, quote, when new iron stable coins are minted, the demand for Titan increases, driving up its price. Conversely, when the price of Titan falls dramatically, as with the case on Wednesday evening, the peg becomes unstable. In a post-mortem blog post, Iron Finance described the event as, quote,

the world's first large-scale crypto bank run. As Titan began free-falling from $60, so did the pegged value of iron. Falling to under 70 cents as a bank run was initiated on Titan, creating as Fred Shabesta, founder offinder.com.com. A U.S. and an iron finance investor told CoinDesk, quote, a crypto vortex of money. Iron finance explained to this vortex as a, quote, negative feedback loop, and the worst thing that could happen to the protocol,

where panic selling led to more Titan creation, which drove Titan prices down, which caused more panic. For context, at one point, iron finance had $2 billion in value locked into the network. That number has dropped to $238 million as of press time. Titan and Iron Finance were available on Polygon and Binance smart chain. Mark Cuban billionaire investor and avid defy user recently admitted to being a liquidity provider on QuickSwap, an automated market maker native to Polygon for the die-slash-titan trading pair

in a blog post on Defi, which I recommended in the daily newsletter earlier this week. In a response to a tweet referencing the Titan crash as, quote, a rugpole, Cuban replied that he, quote, got hit like everyone else. Later on, in an email to Bloomberg, he called for regulation in the industry, quote, to define what a stable coin is and what collateralization is acceptable. Preston Byrne, partner at Anderson Kill, tweeted back at him. Mark Cuban, this stuff is already regulated. That coin is more likely than not an unregistered security.

You should have known it and you bought it anyway. Don't call for regulation just because your crypto investment team doesn't know what they're doing. This one is on you. Speaking of regulation, next, we have a U.S. regulatory roundup. On Tuesday, Congresswoman Maxine Waters announced a new working group for House Democrats focused on crypto regulation. The group's goal is to, quote, work together on legislation and policy solutions on such matters as crypto regulation, the use of blockchain and distributed ledger technology, and the possible development of a U.S. Central Bank digital currency. On Wednesday, Waters' team released the group's roster, which will feature blockchain caucus and fintech task force leadership members. Bill Foster, a member of the working group and a blockchain programmer, told the block, quote,

the United States is playing catch-up to the rest of the world when it comes to digital currency. And if we're going to protect the US dollar status as the world's reserve currency, we need to make the development of secure and privacy-preserving digital currency a priority. Also this week, the SEC delayed its Van Eck Bitcoin ETF decision, indicating it would like additional feedback. In the filing, the SEC is specifically looking for public comments on the susceptibility of an ETF to market manipulation, along with whether the regulatory landscape has changed significantly since 2016, when Bitcoin ETFs first gained popular traction.

Next headline. Can and should a Dow go to court? Welcome to the Metaverse. A recent proposal on the governance form for Curve, a DeFi project for stable coin trading, calls for enforcing its intellectual property rights in court. Hydrosam, the author of their proposal, believes that Curves Dow should protect its IP on behalf of

its stakeholders, just as centralized exchanges would protect IP on behalf of a shareholder. He writes, quote, centralized exchanges protect their IP in behalf of their shareholders and there is no reason why curve, just by virtue of its Dow organization, should not protect itself for the benefit of vote escrowed CRV token holders. Written on Wednesday, the proposal takes aim at saddle finance, a competing automated market maker, which, as of the, as the proposal notes, has been accused of wholesale copying of Curve code. For example, back in January, Curve told Crypto Briefing that a quant stamp audit found Saddle Finance's implementation of its stable swap function to be, quote, exactly the same algorithm seen in Curves' codebase. The proposal argues that

Curve's governance form should, quote, review any proposals from law firms, make them public, and put them out to a Dow vote. Any proposed settlement should also be subject to a Dow vote. At the moment, 70% of members of the governance forum agree with a proposal. Time for fun bits. A 13-year-old dev created a protocol managing $1 million. Meet Gajesh Nike, a teenager and founder of Polygaj, a DeFi protocol housed in Polygon managing around $1 million in funds. According to DeCrypt, Nike started coding at just 8 years old and has learned five coding

languages already, including Solidity, Ethereum Smart Contract Language. Arjun Kalsi, the vice president of Polygon, describes the project as, quote, a clone of Goose Finance, with a few minor modifications borrowed from sushi swap. Calci praised Nike as, quote, the kind of guy who can build the next Facebook or the next WhatsApp. That being said, this is still a defy project built by a 13-year-old that Defi watches Chris Black, warrants that allows a single administrator to exert control over the entire network. All right, thanks for tuning in to learn more about Gene T and Polygon. Be sure to check the links.

in the show notes. Hits up, everyone. The Unchain newsletter has switched from a weekly news recap to a daily blog in order to keep up the crazy pace of crypto news. Each morning,

you'll get four to five quick headlines, a crypto meme or two, and a few recommended reads. Head to Unchainedpodcast.com, and the sign-up for the email newsletter is right on the homepage.

You can also find the link in my Twitter bio. Unconfirmed is produced by me, Laura Shin, with help from Anthony Youne, Mark Murdoch, and Daniel Ness. Thanks for listening.