ETH Weekly | Ethereum completed the arrow-shaped glacier upgrade and postponed the difficulty bomb; CME launched micro-Ethereum futures (12.6~12.12)

Author | Qin Xiaofeng

Editor | Hao Fangzhou

Produced | Odaily

1. Overall overview

Author | Qin Xiaofeng

Editor | Hao Fangzhou

1. Overall overview

Second, the secondary market

1. Spot market

Ethernodes data shows that in the early morning of December 10, at block height 13773000, the Ethereum network successfully completed the "Arrow Glacier" upgrade. It is reported that the Arrow Glacier network upgrade is similar to Muir Glacier, changing the parameters of the ice age/difficulty bomb and delaying it until June next year.

In terms of the secondary market, the current ETH price may pull back slightly in the short term, with support at $4,000, $3,800, and resistance at $4,250.

According to OKEx market data, the price of ETH once rebounded to above US$4,450 last week, and closed at US$4,024 during the week, a month-on-month decrease of 1%.

2. Large transaction

OKlink dataThe daily chart shows that the price is currently moving below the Bollinger Band, and the resistance level is the middle track of $4,250, which is also the position of the 30-day moving average. The resistance is strong, and it may continue to fall below $4,000 in the short term; if it falls below $4,000 USD, the next support level is $3,800 (120-day moving average); if it continues to fall below, it is expected to find support around $3,500.

3. Rich list address

OKlink dataIt shows that the number of on-chain transfers dropped slightly last week, with "above 1000 ETH", "above 2000 ETH" and "above 5000 ETH" decreasing by 8.5%, 2%, and 2.5% month-on-month, respectively.

3. Ecology and technology

1. Technological progress

3. Rich list address

OKlink data

It shows that the current top 300 ETH holdings hold a total of 53.48% of ETH, an increase of 0.09% month-on-month; in addition, the entire position distribution presents an oval structure, and the proportions of each part are: 1st to 100th, accounting for 39.47%, 101st to 300th, accounting for 14.01%, up 0.04% from the previous month; 301st to 500th, accounting for 6.31%, up 0.01% from the previous month; 501st to 1000th, accounting for 7.22%, down 0.11 from the previous month %; after the 1001st place, accounting for 33.02%, a month-on-month increase of 0.02%.

3. Ecology and technology
1. Technological progress
(1) Ethereum completed the Arrow Glacier upgrade and successfully delayed the difficulty bomb
(2) V God: Cross-domain MEV research is in its infancy. In the future, people will store assets in ZK-Rollup running a complete EVM

2. Voice of the Community

Ethereum founder Vitalik Buterin published the article "Endgame (End)". For the "big blockchain", that is, a very high block frequency, a very large block size, thousands of transactions per second, but also a highly centralized blockchain, the paper proposes a reasonable roadmap: 1. Add a second layer of pledge for distributed block verification; 2. Introduce fraud proofs or ZK-SNARKs to allow users to check block validity directly (and cheaply); 3. Introduce data availability sampling to allow users to check block validity Block availability; 4. Add secondary transaction channels to prevent censorship.

Regarding the future of Ethereum Rollup, V God said that no Rollup can successfully align with most Ethereum activities. Instead, they both peak at a few hundred transactions per second. We get a multi-Rollup future for Ethereum, which is the multi-chain vision of Cosmos, but on top of a base layer that provides data availability and shared security, allowing users to switch between different Rollups through cross-Rollup bridges without requiring Pay high fees on the main chain.

For Ethereum, following its existing course, could be the base layer, automatically providing the anti-fraud and anti-censorship "armor" that high-volume domain names need to stay safe. But at the same time, ethereum researchers should think hard about how much decentralization can be achieved in block production. If cross-domain MEV (or even cross-shard MEV from a rollup occupying multiple shards) makes it unsustainable, then it may not be worth adding complex pipelines to simplify highly decentralized block production.

All of this could take years to complete. Sharding and data availability sampling are techniques that are complex to implement. It will take years of improvements and audits before people can store their assets in a ZK-Rollup running a full EVM with complete confidence, and cross-domain MEV research is still in its infancy. However, it is looking increasingly clear that a realistic and bright future for scalable blockchains may lie ahead.

(1) Former core developer of Ethereum: DAO is destined to take over the world in the future

3. Project trends

Lane Rettig, one of the former core developers of Ethereum, believes that cryptocurrencies can change every aspect of daily life, from the way wages are paid to the way businesses are formed and managed. Lane Rettig believes that cryptocurrencies are still a year or two away from becoming more intuitive. It has the potential to inspire a new generation of startups and entrepreneurs by making it cheaper and easier to start a company. Cryptocurrencies allow small businesses to skyrocket and fuel global economic growth.

Rettig believes that decentralized autonomous organizations (DAOs) are the key to a potential economic explosion. They are democratized, governed by those who buy and hold tokens (not the CEO), and operate transparently. “I think DAOs are the next step in the evolution of human organizations, I think it’s a generational shift that will take decades to play out.” He acknowledges that DAOs have many problems, but firmly believes they are destined to take over the world. Another benefit is that people can start and terminate DAOs at almost no cost. (Invezz)

(2) Three Arrows Capital Su Zhu: 100,000 ETH is "negligible" and will buy more in the future

3. Project trends

Nifty Gateway will soon launch a semi-custodial Ethereum NFT trading system that it claims can reduce gas fees by up to 70%. This method moves some parts of wallet-to-wallet transactions off-chain to minimize Ethereum blockchain calls. (Decrypt)

(1) The decentralized market ShibaNet will operate based on Shibarium Layer-2 and support the use of the stable currency SHI

The decentralized marketplace ShibaNet will allow users to buy, sell and trade goods using the Shiba Inu ecosystem. Shytoshi Kusama, head of the Shiba Volunteer Program, first broke news about ShibaNet in a July blog post, “Shiba Inu Phase Two,” stating, “A financial institution is only good when its financial instruments are used by consumers and businesses.”

ShibaNet will run on Shibarium Layer-2, allowing it to avoid the high Ethereum gas fees associated with cryptocurrency payments. However, it will not use SHIB. In order to achieve a more stable payment setup, ShibaNet will use the Shiba ecosystem's upcoming stablecoin SHI. (Gfinity esports)

(2) Nifty Gateway will launch a semi-custodial Ethereum NFT trading system to reduce gas fees

Nifty Gateway will soon launch a semi-custodial Ethereum NFT trading system that it claims can reduce gas fees by up to 70%. This method moves some parts of wallet-to-wallet transactions off-chain to minimize Ethereum blockchain calls. (Decrypt)

(3) DeFi application wallet Nabox will deploy a new contract for NABOX tokens on the Ethereum chain

Nabox, the Web3.0 digital identity DeFi application wallet, tweeted that in order to solve the recent BitMart security incident, Nabox will deploy a new NABOX contract on the Ethereum chain. At around 15:00 on December 7th, Beijing time, a snapshot will be taken of the NABOX tokens on the Ethereum chain. The new contract will be deployed 24 hours later (around 15:00 on December 8, Beijing time), and the tokens will be airdropped to the original token holders. This would effectively render the hacker's coins worthless. CoinGecko, CoinMarketCap and related exchanges will be updated as soon as possible.

According to previous reports, BitMart founder and CEO Sheldon Xia said that BitMart will use its own funds to make up for the loss of security breaches, and deposits and withdrawals will be gradually opened on December 7.

(4) KyberDMM, a DeFi liquidity protocol, launched a series of new functions and changed its name to KyberSwap

Kyber Network announced that its multi-chain DEX aggregator and liquidity protocol KyberDMM has passed beta testing. The DEX will be renamed KyberSwap and introduces several new features, including a new aggregation algorithm that allows KyberSwap to find the best quotes for assets issued on 5 different chains across 28 DEXs and KyberSwap liquidity pools . The KyberSwap pool is currently listed on five different chains: Ethereum, Polygon, BSC, Avalanche, and Fantom. Token swaps also take place via other DEXs such as Uniswap, Sushiswap and Curve on Ethereum, Pancakeswap on BSC, Quickswap on Polygon, Trader Joe and Pangolin on Avalanche, and SpiritSwap and SpookySwap on Fantom.

KyberSwap has also launched a "single currency deposit" function, allowing users to provide liquidity through one token and receive the corresponding LP token to earn fees. In the previous version of the protocol, in order to increase the liquidity of the KyberSwap pool, users need to deposit a pair of tokens of different types. To make it easier to integrate token swaps into DApps and enjoy liquidity aggregation for the best rates, KyberSwap has also launched an improved API for developers. In the future, Kyber Network plans to deploy on the NEAR protocol, and more integrations will be carried out at a later stage. (Decrypt)

(5) Optimistic, the Layer 2 expansion solution of Ethereum, announced the integration with the L2 to L1 cross-chain bridge Across Protocol
According to official news, Optimistic, the second-layer scaling solution of Ethereum, announced its integration with the L2-L1 cross-chain bridge Across Protocol. Optimistic Ethereum users can now use Across to bridge funds from Optimism to L1 Ethereum. The cross-chain bridge Across Protocol currently supports ETH, USDC and UMA, and there will be more assets in the future.
The on-chain options protocol Pods was launched on December 9, the Ethereum Layer 2 solution Arbitrum. Currently, Pods has deployed ETH to USDC put options on Arbitrum, with an exercise price of $3,500, which will expire on December 23, with a cap of $1 million.

4. Borrowing

Defipulse(7) The Ethereum NFT management and AI data analysis tool NFolio will be launched soon, and NFT passes will be issued

4. Borrowing

5. Mining

(data from etherchain.org)

etherchain.orgThe data shows that the value of locked-up collateral on the chain dropped from US$102.02 billion to US$100.56 billion last week, a decrease of 1.5% a week; a net decrease of US$1.45 billion in the previous week and a net decrease of US$1.46 billion last week, a month-on-month decrease of 1%. Specifically, last week, ETH mortgages dropped from 9.707 million to 9.48 million, a drop of 2.3%; BTC mortgages rose from 222,193 to 224,010, an increase of 1%.

5. Mining

4. News

image description

(data from etherchain.org)
The data shows that the average computing power decreased by 1.5% month-on-month, temporarily reported at 878TH/s; the average mining difficulty decreased by 4% month-on-month, temporarily reported at 11149T; the activity on the chain increased by 9.5% month-on-month, and the transaction enthusiasm increased significantly. down 1.8%.

According to The Block Research, ethereum mining revenue surpassed bitcoin’s for the seventh month in a row in November. Last month, Bitcoin miners earned $1.69 billion, down 2% month-on-month. Conversely, Ethereum miners earned $1.99 billion, an 11.8 percent increase compared to October, and overall revenue in November was 1.18 times that of Bitcoin miners.

4. News

(1) Ethereum whales are hoarding SHIB and metaverse tokens MANA and GALA

WhaleStats data shows that the 1,000 richest non-exchange Ethereum addresses are accumulating SHIB as well as metaverse tokens MANA and GALA. In the past 30 days, Ethereum whales bought an average of $1.03 million worth of Shiba Inu and $464,228 of GALA, as well as $158,455 worth of metaverse virtual reality platform Decentraland token MANA.

The top ten tokens purchased by Ethereum whales in the past 30 days are ETH, USDT, FTX Token (FTT), USDC, SHIB, GALA, BUSD, MANA, WBTC, and SRM.

(2) Analysis: 3 reasons to push the ETH/BTC exchange rate to a 3.5-year high

While bitcoin’s slump last week dragged down prices across the crypto market, the ETH/BTC exchange rate rose 13 percent to its highest level in 3.5 years, marking its best weekly performance since May. This trend is unique. Historically, ETH/BTC has rallied during market-wide bull markets, which are characterized by frenzied buying of ETH and other altcoins.

The 3 reasons driving the rise of ETH/BTC are as follows: the increasing participation of institutions in investing in Bitcoin, which may make Bitcoin more sensitive to adverse macroeconomic developments; the EIP-1559 upgrade implemented by the Ethereum blockchain in August , and its imminent transition to the ETH 2.0 PoS mechanism, may help ETH remain relatively resilient; Bitcoin's status as a funding currency is declining. (CoinDesk)

(3) CME Group announced the launch of micro-Ethereum futures