WEBVTT 00:09.002 --> 00:13.848 [SPEAKER_01]: All right, everybody, we are back at the out east summit brought to you by the tie. 00:13.908 --> 00:17.853 [SPEAKER_01]: It's been a very lovely, although potentially a little bit rainy here coming up soon. 00:17.873 --> 00:21.937 [SPEAKER_01]: So I'm glad we got to speak before the rain windy, but how are you doing? 00:22.178 --> 00:24.541 [SPEAKER_01]: This is Kionihon, co-founder of Monad. 00:24.601 --> 00:25.602 [SPEAKER_01]: I got the players just speaking with. 00:26.008 --> 00:26.869 [SPEAKER_00]: Yeah, great to be here. 00:26.929 --> 00:27.509 [SPEAKER_00]: I'm doing well. 00:27.769 --> 00:28.950 [SPEAKER_01]: Awesome. 00:29.570 --> 00:34.413 [SPEAKER_01]: Thank you for having a little chat with us today on the crypto 101 podcast, of course, thanks for having me. 00:34.513 --> 00:35.394 [SPEAKER_01]: Yeah, you bet. 00:35.554 --> 00:50.523 [SPEAKER_01]: So let's jump off at your old place of business, which was jump trading, which is really known for low latency, quantitative, you know, what you would call, you know, algorithmic trading. 00:51.344 --> 00:53.405 [SPEAKER_01]: Tell us a little bit about that experience and how 00:54.846 --> 00:59.511 [SPEAKER_01]: Parlaid you into building your own very high throughput low latency blockchain. 01:00.051 --> 01:00.572 [SPEAKER_00]: Sure thing. 01:01.152 --> 01:02.193 [SPEAKER_00]: Jump as a great firm. 01:02.413 --> 01:04.515 [SPEAKER_00]: I really enjoyed my time there. 01:04.535 --> 01:07.758 [SPEAKER_00]: It was there for about eight years, started in 2013. 01:07.859 --> 01:11.202 [SPEAKER_00]: I was focused on futures trading. 01:12.103 --> 01:16.707 [SPEAKER_00]: Futures is the the most liquid market in the world. 01:17.988 --> 01:22.830 [SPEAKER_00]: It requires really high precision, really performant systems. 01:23.470 --> 01:38.116 [SPEAKER_00]: And my trading team there was one of the top participants in the world on many major futures exchanges, including CME, Urex, ICE, OSC, the Osaka. 01:38.716 --> 01:40.638 [SPEAKER_00]: security's exchange and many others. 01:41.139 --> 01:57.273 [SPEAKER_00]: So it's just a great experience working at scale, building really performance systems, using math, using machine learning before nowadays feels like everyone is talking about AI and machine learning to drive their workflows, but we were 01:57.673 --> 02:10.903 [SPEAKER_00]: kind of like a earlier adopter of machine learning to build really precise predictions that allowed us to be super competitive and he's really competitive, really high volume low margin, high sharp, perhaps a Marcus. 02:11.264 --> 02:14.927 [SPEAKER_01]: Also, and then from there at what point were you like, you know what? 02:15.587 --> 02:35.342 [SPEAKER_01]: I'm going to start my own blockchain because I feel like that's a big jump and you know, at the time when you started MoNAD, maybe there was some career risk, I mean, you had a, I don't want to call it a cushy job, but you had, I mean, the job that everybody at a school wants to have, right, working at a big name firm, and you said, I'm going to take the risk on myself, I'm going to found something, tells a little bit about that thought process. 02:35.760 --> 02:38.062 [SPEAKER_00]: Yeah, I think it's a combination of a couple of things. 02:38.122 --> 02:46.848 [SPEAKER_00]: When I was in college, I worked on some sort of social media like startups, just for fun. 02:47.368 --> 02:51.291 [SPEAKER_00]: I think I always knew that I wanted to start a company someday. 02:51.971 --> 02:55.013 [SPEAKER_00]: But it was really dependent on the right idea. 02:56.154 --> 03:05.777 [SPEAKER_00]: And for me it was a great experience joining a bigger company and learning how the world works and learning how to get things done learning how to have really high standards. 03:05.817 --> 03:15.399 [SPEAKER_00]: Yeah, but then after, you know, a number of years of trading and especially working with my co worker James Hansaker who I started working with in 2014. 03:26.082 --> 03:43.416 [SPEAKER_00]: There'd be a lot of times where he'd be staring at how our system was doing and then kind of like just walking around the floor, like pacing around, just thinking, and then eventually he, you know, after a couple of days of this, he actually come to have like a eureka moment and the go-rear cactus system. 03:43.576 --> 03:45.437 [SPEAKER_00]: So I saw him do this several times over. 03:46.698 --> 03:48.981 [SPEAKER_00]: this period of eight years when I was working with them. 03:49.763 --> 03:53.508 [SPEAKER_00]: So in 2020, we started doing more and more crypto trading. 03:54.289 --> 04:02.561 [SPEAKER_00]: In 2021, we ended up merging our team into the the crypto team at Jump, which is a much broader effort that 04:03.282 --> 04:24.333 [SPEAKER_00]: is trading crypto but also researching and investing and supporting projects in the space and after doing that then it was kind of a gradual transition of going purely from trading to building sort of like more from the outside in word looking at the best projects in the space and then from there was a natural leap to just 04:25.233 --> 04:29.355 [SPEAKER_00]: go try to build something that was way better than what we saw out there in the market. 04:29.555 --> 04:29.936 [SPEAKER_01]: I love it. 04:30.276 --> 04:31.877 [SPEAKER_01]: And I saw a video recently. 04:32.557 --> 04:33.758 [SPEAKER_01]: I forget who it was. 04:33.938 --> 04:36.719 [SPEAKER_01]: They were doing a recording inside of jumps that data centers. 04:37.299 --> 04:38.540 [SPEAKER_01]: And is it true? 04:38.560 --> 04:47.525 [SPEAKER_01]: I don't know if this was AI or if it was real, but this jump have just these massive, massive warehouses of compute so that you guys could run your systems. 04:47.625 --> 04:48.025 [SPEAKER_01]: Is that right? 04:48.285 --> 04:48.545 [SPEAKER_00]: Yeah. 04:48.765 --> 04:51.987 [SPEAKER_01]: And so now, you know, you're working on a decentralized system. 04:52.047 --> 04:56.909 [SPEAKER_01]: And I'm just curious, what's the difference in how you think about the architecture? 04:56.929 --> 04:58.389 [SPEAKER_01]: What's the difference in the performance? 04:58.409 --> 05:03.571 [SPEAKER_01]: Like, as you have, you know, jump all centralized low latency right next to the stock exchange. 05:03.851 --> 05:07.353 [SPEAKER_01]: And now you're relying on the decentralized set of validators all over the world. 05:07.373 --> 05:08.573 [SPEAKER_01]: You don't know who these people are. 05:08.834 --> 05:11.014 [SPEAKER_01]: You don't know where they, you know, what systems they have. 05:13.035 --> 05:15.236 [SPEAKER_01]: What is that binary? 05:15.776 --> 05:16.717 [SPEAKER_00]: Yeah, it's a great question. 05:16.737 --> 05:25.300 [SPEAKER_00]: They're really sort of cuts at the, I guess, paradox of what we've worked on before versus versus now. 05:25.440 --> 05:35.763 [SPEAKER_00]: Yeah, I think that sometimes when people hear like, oh, hfg, like they immediately go, oh, that will totally exactly translate to building the high performance block chain. 05:35.944 --> 05:38.604 [SPEAKER_00]: And I think there's some similarities and there's some differences. 05:40.165 --> 05:53.114 [SPEAKER_00]: I think the crypto problem, the blockchain problem, is fundamentally still a technology problem, and so although some of the technologies are different, a lot of the insights are still the same. 05:53.475 --> 05:53.975 [SPEAKER_00]: Okay. 05:54.015 --> 05:56.537 [SPEAKER_00]: When we were building high-performance systems at jumps, 05:57.437 --> 06:01.721 [SPEAKER_00]: the name of the game is pipeline in absolutely as much as possible. 06:01.741 --> 06:02.362 [SPEAKER_00]: So what does that mean? 06:02.742 --> 06:07.486 [SPEAKER_00]: So pipelining just means doing multiple pieces of work in parallel. 06:08.086 --> 06:12.870 [SPEAKER_00]: And doing a good job of managing the staging of all of these pieces of work. 06:13.631 --> 06:22.518 [SPEAKER_00]: But it's just the idea that, for example, if you were trying to do your laundry, it would be illogical to any of the multiple loads of laundry to do. 06:22.558 --> 06:23.839 [SPEAKER_00]: It would be illogical to 06:24.520 --> 06:30.425 [SPEAKER_00]: Put the first load into the washer, then move to the dryer, then fold it before starting on second load. 06:30.625 --> 06:30.806 [SPEAKER_00]: Right. 06:30.826 --> 06:32.107 [SPEAKER_00]: What you would interleave them. 06:32.147 --> 06:39.653 [SPEAKER_00]: You would, when the second load of the one, when the first load of the laundry goes in the dryer, you would put the second load in the washer and you would kind of stage them. 06:39.693 --> 06:40.554 [SPEAKER_00]: Okay, that makes up. 06:40.674 --> 06:44.618 [SPEAKER_00]: And so, no, it's just like everyone understands that it's a, it's a, it's a, it's a. 06:45.238 --> 06:52.883 [SPEAKER_00]: into it a thing, but a lot of computer systems when they're first built without as much pipeline as is possible. 06:53.263 --> 06:56.064 [SPEAKER_00]: They're built in a more like linear straightforward way. 06:56.765 --> 07:07.871 [SPEAKER_00]: And so the story of Monad is really about taking pipeline into its extreme and finding all the work that can be done in parallel and then organizing that work appropriately. 07:08.772 --> 07:09.872 [SPEAKER_00]: And so in the context of 07:12.654 --> 07:19.416 [SPEAKER_00]: sort of known for being the blockchain that does pipeline in between consensus and execution. 07:19.736 --> 07:23.697 [SPEAKER_00]: These are two sub-components of the overall blockchain problem. 07:23.757 --> 07:33.539 [SPEAKER_00]: Consensus is the problem of getting many nodes that are located all around the world to agree with each other on an official payload, on an official ordering of transactions. 07:33.959 --> 07:37.960 [SPEAKER_00]: And then execution is the problem of actually executing those transactions. 07:38.100 --> 07:41.921 [SPEAKER_00]: And creating the results of those executions. 07:43.242 --> 07:49.912 [SPEAKER_00]: There's a transaction that might be depositing money into AVA, and then there's another transaction that might be missing an NFT and so on. 07:50.372 --> 07:57.002 [SPEAKER_00]: And execution is the problem of actually just running the virtual machine that caused the state changes that are encoded in the transactions. 07:57.397 --> 08:15.253 [SPEAKER_00]: And so Monad is kind of known for being the not only the parallel execution blockchain that excuse many transactions parallel to each other, but also the pipeline blockchain that does consensus and execution in parallel rather than interleave them and having a lot of inefficiency. 08:15.453 --> 08:15.673 [SPEAKER_01]: Yeah. 08:16.013 --> 08:26.060 [SPEAKER_01]: And so a lot of technical stuff there, and for, you know, a lot of people who are, you know, kind of watching a lot of the market developers, but they are traders, and they are defy, you know, defy power users. 08:26.220 --> 08:33.724 [SPEAKER_01]: And so talk a little bit about the experience that they should expect on Monad as opposed to where a lot of people are on Ethereum. 08:34.225 --> 08:36.126 [SPEAKER_01]: What's the difference tangibly? 08:36.486 --> 08:45.711 [SPEAKER_00]: Yeah, right now Ethereum has 12 second block times, then has capacity for about 20 transactions per second. 08:46.111 --> 08:51.134 [SPEAKER_00]: It's like 250 transactions per block and okay, lock every 12 seconds. 08:51.174 --> 08:53.636 [SPEAKER_00]: Meanwhile, Monad has blocks every, uh, 08:55.056 --> 08:56.338 [SPEAKER_00]: This is actually super timely. 08:57.238 --> 08:59.660 [SPEAKER_00]: Right now, every 400 milliseconds, it'll sell. 08:59.861 --> 09:03.884 [SPEAKER_00]: But tomorrow, it's going to three, every 300 milliseconds. 09:03.904 --> 09:06.626 [SPEAKER_00]: Wow, so I'll just tell you the, like tomorrow thing. 09:06.686 --> 09:07.367 [SPEAKER_00]: Yeah, yeah. 09:07.427 --> 09:09.609 [SPEAKER_00]: So every first look right here, exactly, yeah. 09:09.629 --> 09:11.951 [SPEAKER_00]: So every 300 milliseconds and, 09:13.842 --> 09:15.782 [SPEAKER_00]: 25% of a passive increase. 09:15.963 --> 09:16.963 [SPEAKER_00]: Yeah, exactly. 09:17.283 --> 09:19.983 [SPEAKER_00]: But has capacity for 10,000 transactions per second. 09:20.283 --> 09:23.624 [SPEAKER_00]: So you're going from 20 transactions per second to 10,000. 09:23.944 --> 09:28.725 [SPEAKER_00]: You're going from blocks every 12 seconds to blocks more than three times a second. 09:28.745 --> 09:31.286 [SPEAKER_00]: So over 36 x more frequent. 09:31.346 --> 09:32.026 [SPEAKER_00]: Yeah. 09:32.166 --> 09:38.047 [SPEAKER_00]: And finality going from 12 minutes on Ethereum to 600 milliseconds on monad. 09:38.127 --> 09:38.367 [SPEAKER_00]: Wow. 09:38.407 --> 09:40.908 [SPEAKER_00]: So these are just like monad is just a 09:41.688 --> 10:02.355 [SPEAKER_00]: like a high frequency style system that is really pushing the limits of speed of light information propagation all around the globe and delivering that really fast user experience and very fast finalization, which then allows trading systems, exchanges, money markets. 10:02.375 --> 10:02.795 [SPEAKER_00]: Laura Libby. 10:09.177 --> 10:09.417 [SPEAKER_01]: Yeah. 10:09.737 --> 10:25.288 [SPEAKER_01]: No, it's super fascinating because, you know, if I think about like I don't have any high frequency trading experience or applications running so typically I'll I'm pointing click right I'll I'll find something on Ove or find something on Uniswap and you know make a trade and you know it costs you know 10:34.694 --> 10:51.865 [SPEAKER_01]: Um, but if somebody is, uh, but sometimes there's like liquidity that's just evaporates on a theory, and I think because people can't manage risk or out like the really smart money can't algorithmically manage risk for the exact reasons you're saying there's no, um, you know, finality and all that kind of stuff over the course of milliseconds. 10:51.905 --> 10:56.108 [SPEAKER_01]: And so is was your platform really built for, um, 10:56.508 --> 11:05.791 [SPEAKER_01]: would you say the retail user and everybody in mind first or really the institutions in mind first who were able to come and kind of see the liquidity. 11:06.611 --> 11:08.452 [SPEAKER_00]: I think that it's it's really both. 11:09.192 --> 11:19.615 [SPEAKER_00]: At the end of the day, there's the user experience of using an app and having very fast, you know, how not having to wait for things to complete and finalize. 11:19.975 --> 11:21.816 [SPEAKER_00]: But then to your 11:26.297 --> 11:46.231 [SPEAKER_00]: Fast, block times, fast finality, cheap gas view, things that are reliable and liquidity is also not just like sometimes in crypto we talk about the idea of TVL or rattle value locked in crypto, but depending on where that liquidity is positioned within the order book that 11:46.971 --> 12:01.242 [SPEAKER_00]: You know, it might be very actionable and might give the end user, whether that's a retail participant or an institutional participant, really good pricing or it might be really inefficient and very far away from whatever the fair value it might be slipping through. 12:01.262 --> 12:01.583 [SPEAKER_00]: Yeah. 12:01.623 --> 12:08.248 [SPEAKER_00]: So what we, what we noticed on Ethereum and other blockchains is that even though normally it sounded like there was a lot of liquidity in practice, 12:08.588 --> 12:29.833 [SPEAKER_00]: The slipage was massive and that was because it was impossible for market makers to quote very precisely and to adjust their quotes all the time like up and down up and down as There was wanting to knew information in the market because it would just be too expensive to constantly update their quotes and so instead they just leave a sort of passive order that's 12:36.375 --> 12:37.075 [SPEAKER_00]: Yeah. 12:37.336 --> 12:58.628 [SPEAKER_00]: So in practice, what it's meant is, for example, last week, purple, which is fully on chain perpetuals dacks on monad, traded $300 million of volume in the past seven days, it fully on chain, every single transaction, every single like adding cancel and trade, it's just a transaction on monad. 12:58.908 --> 13:05.272 [SPEAKER_00]: And that's made possible by this really cheap transaction fees and really fast performance of finality. 13:06.232 --> 13:08.454 [SPEAKER_01]: So I want to get to two key things. 13:08.935 --> 13:13.479 [SPEAKER_01]: I want to get to some key metrics that you guys are paying attention to outside of speed. 13:13.599 --> 13:15.521 [SPEAKER_01]: I want to talk about user adoption and stuff like that. 13:16.341 --> 13:18.043 [SPEAKER_01]: But before we get to that, I'm curious. 13:18.123 --> 13:23.068 [SPEAKER_01]: And then I also want to talk about the Coinbase air drop and kind of how that all came together. 13:23.328 --> 13:23.528 [SPEAKER_01]: Sure. 13:23.828 --> 13:43.182 [SPEAKER_01]: Um, but I want to know kind of in terms of some of the applications that are being built like um you just mentioned purple where so what are some other applications that people can check out that have got you really like wow that's interesting or I didn't even think like something that's like, you know, not just a a fork of a or, you know, something that we could get on a different chain like something that's unique to Monten. 13:43.502 --> 13:43.802 [SPEAKER_00]: Yeah. 13:44.323 --> 13:50.687 [SPEAKER_00]: I think there's, you know, there's many different categories of apps and builders right now. 13:50.727 --> 13:58.132 [SPEAKER_00]: I think three that are really getting a lot of traction right at this moment are trading payments at tokenization. 13:58.332 --> 13:58.993 [SPEAKER_00]: Awesome. 13:59.033 --> 14:10.841 [SPEAKER_00]: And I think that all of these are really centered around this idea that what crypto can offer to the world is an open platform where everyone can get access to 14:12.522 --> 14:35.412 [SPEAKER_00]: the maximum amount of opportunities, and that's both on the, you know, asset side, on the trading side on the earnings side, like to deposit up to hold stable coins or other assets and earn interest on them, or on the borrowing side, like, you know, for anyone who's borrowing money to get the best global rates rather than the best. 14:36.253 --> 14:39.674 [SPEAKER_00]: rates within there, whatever their local city or country is, right? 14:39.714 --> 14:46.875 [SPEAKER_00]: I think it's really a story about the sort of breaking down the regional barriers and giving a global financial system. 14:47.535 --> 14:48.795 [SPEAKER_00]: It's a sort of to that end. 14:49.775 --> 14:58.457 [SPEAKER_00]: We're seeing a lot of traction on the trading side with apps like purple or crew, which is a fully on chain spot order buck decks. 14:58.657 --> 15:03.838 [SPEAKER_00]: Oh, very, um, this trading about $20, $25 million a volume per day. 15:06.630 --> 15:10.111 [SPEAKER_00]: Prop AMMs are also growing quite rapidly as a non-op AMM. 15:10.571 --> 15:18.253 [SPEAKER_00]: So a prop AMM or proprietary AMM is sort of an extension of the original automated market maker. 15:18.273 --> 15:19.893 [SPEAKER_00]: And I mean, I just want to stop. 15:19.913 --> 15:20.153 [SPEAKER_00]: Yes. 15:20.593 --> 15:27.855 [SPEAKER_00]: It's an AMM that adjusts its midpoint based on an external oracle price or based on 15:28.576 --> 15:32.580 [SPEAKER_00]: like a market making firm piping their prices into this system. 15:32.600 --> 15:32.941 [SPEAKER_00]: Okay. 15:32.961 --> 15:45.115 [SPEAKER_00]: So it's basically like it's just a more efficient way of using capital by having clothes that are constantly very close to fair value, very close to top of book. 15:45.415 --> 15:45.636 [SPEAKER_01]: Thanks. 15:46.556 --> 15:51.918 [SPEAKER_01]: And then in terms of like, so I know Monad is what you would call EVM compatible. 15:51.998 --> 15:59.420 [SPEAKER_01]: So people could take their applications, they built on Ethereum or with solidity, and they could easily port it over to Monad. 16:00.021 --> 16:08.843 [SPEAKER_01]: And I'm curious about the decision making that went into that, and also, because I believe you're not an L2 blockchain. 16:09.003 --> 16:10.524 [SPEAKER_01]: You wouldn't consider yourself an L2, right? 16:10.564 --> 16:11.384 [SPEAKER_01]: Correct. 16:11.444 --> 16:13.225 [SPEAKER_01]: And what was the decision that went into that as well? 16:13.893 --> 16:17.196 [SPEAKER_00]: Yeah, so Monad is a EVM compatible layer one. 16:17.276 --> 16:32.167 [SPEAKER_00]: The reason to be EVM compatible is that we believe that EVM is clearly the dominant standard, right, so we're almost all builders are using the programming language solidity that builds for EVM. 16:32.508 --> 16:34.129 [SPEAKER_00]: They're already using the set of tools. 16:34.909 --> 16:35.510 [SPEAKER_00]: There's so much 16:35.990 --> 16:42.832 [SPEAKER_00]: Netwire fast, network effects, and honestly all the applied photography research is being done in the context of the EVM as well. 16:42.952 --> 16:47.313 [SPEAKER_00]: So it's really, it's a dominant standard, but it's very inefficient right now. 16:47.953 --> 16:54.495 [SPEAKER_00]: So by with Monad, we just make it far more efficient while allowing everybody to reuse everything that they've built. 16:55.395 --> 16:59.836 [SPEAKER_00]: As to why Monad is an L1, we believe that the existing L1s 17:04.397 --> 17:05.458 [SPEAKER_00]: problems right now. 17:05.818 --> 17:08.420 [SPEAKER_00]: And we're resolving those problems one by one. 17:09.041 --> 17:22.112 [SPEAKER_00]: And so far, the biggest problems that we've resolved are around for formats, frequency of block times, throughput, and finality times, which then has a knock on effect on. 17:23.093 --> 17:42.616 [SPEAKER_00]: A lot of other use cases like payments, one specific example I want to mention is, I think, you know, people probably know that credit cards, crypto credit cards and debit cards are getting much more popular nowadays, and it's great because it's a way for people that have assets on chain to be able to go spend them in the real world. 17:42.776 --> 17:48.237 [SPEAKER_00]: Yeah, and it kind of the models differ, but like you have ones like borrow against your crypto, so it's not like a taxable event, right? 17:48.297 --> 17:49.278 [SPEAKER_00]: Yeah, yeah, exactly. 17:49.298 --> 17:52.898 [SPEAKER_00]: And you can keep earning interest on your balance that you have on chain. 17:52.938 --> 17:55.679 [SPEAKER_00]: It can be like pretty bad asshole and it protocol, et cetera. 17:56.239 --> 17:57.459 [SPEAKER_00]: Um, yeah, so it's awesome. 17:57.519 --> 18:07.422 [SPEAKER_00]: And one of the problems that people are running into is that credit card systems, like the POS systems need fast finality and right to be able to 18:12.763 --> 18:24.913 [SPEAKER_00]: And so if there is, basically, like if the blockchain doesn't have fast finality, then the issuer ends up having to tie up a huge amount of capital, only in order to sort of front that risk. 18:25.073 --> 18:25.854 [SPEAKER_00]: Great sets. 18:25.914 --> 18:26.855 [SPEAKER_00]: Yeah, not settling. 18:27.255 --> 18:38.424 [SPEAKER_00]: So with Monad, the great thing is with 300 millisecond block times, 600 milliseconds finality, that's under that one second threshold that the payment networks need in order 18:40.165 --> 18:42.086 [SPEAKER_00]: get a response back from the network for sure on. 18:42.427 --> 18:43.667 [SPEAKER_00]: So that's a huge unlock. 18:44.128 --> 18:53.433 [SPEAKER_00]: So I guess just going back for a little bit, Lionel 1, we saw a huge problems with existing L1s, both on this performance aspect, the finality aspect. 18:53.774 --> 18:58.396 [SPEAKER_00]: And then most importantly, actually, the pre-trade privacy aspect. 18:59.237 --> 19:07.542 [SPEAKER_00]: So right now, in layer 1 block change, when you submit a transaction, it's in a pending state until it gets included in a block and finalize. 19:07.642 --> 19:08.562 [SPEAKER_00]: Well, is that the mempool? 19:08.662 --> 19:14.363 [SPEAKER_00]: Yeah, so it's in the mempool, any, you know, frequently like other people can see that transaction. 19:14.383 --> 19:16.484 [SPEAKER_00]: They front run it can front run or sandwich. 19:17.264 --> 19:20.424 [SPEAKER_00]: And it results in all of this quote, unquote, M.E.V. 19:20.504 --> 19:25.365 [SPEAKER_00]: or, you know, maximum attractible value by other participants in the systems. 19:25.385 --> 19:25.565 [SPEAKER_00]: Yeah. 19:25.745 --> 19:28.666 [SPEAKER_00]: And we think this is a massive, massive problem for sure. 19:28.706 --> 19:30.806 [SPEAKER_00]: The no blockchain has solved to date. 19:31.667 --> 19:32.907 [SPEAKER_00]: We actually recently just, 19:34.207 --> 19:35.808 [SPEAKER_00]: published key research papers. 19:36.629 --> 19:38.510 [SPEAKER_00]: One is called cadence. 19:38.670 --> 19:45.895 [SPEAKER_00]: So it's a new consensus mechanism that don't don't want to get in all the details, but we can be here for an hour doing it. 19:46.155 --> 19:55.462 [SPEAKER_00]: Yeah, so it's a new consensus mechanism that enables multiple concurrent proposers taking the pipeline in monad to one step further. 19:55.822 --> 19:59.525 [SPEAKER_00]: It basically takes monad to 100 millisecond block times 20:02.257 --> 20:11.248 [SPEAKER_00]: Which is really crazy because yeah, the like the transit time around the globe is actually Like a round trip will be several hundred milliseconds. 20:11.328 --> 20:14.412 [SPEAKER_00]: So it gets around every year moving at the speed of light It's right. 20:14.472 --> 20:19.458 [SPEAKER_00]: Oh, yeah, so it gets around right through this through just like really clever system 20:21.160 --> 20:28.066 [SPEAKER_00]: add more importantly it makes the transaction or it makes the blocks shielded until they're committed. 20:28.867 --> 20:40.357 [SPEAKER_00]: And then the second thing, the second paper that we published called BTX, batch-dressed hold encryption protocol, which enables encrypted mempool so that when you submit a transaction, 20:40.597 --> 20:42.597 [SPEAKER_00]: You know, drive by asking your intent to everybody. 20:42.658 --> 20:43.798 [SPEAKER_01]: Exactly, interesting. 20:44.298 --> 21:03.823 [SPEAKER_01]: The last kind of technical question I'll get into is just like I've heard that if you want to run like a salon a node or a validator, you have to spend like all hundreds of thousands of dollars for like this upkeep of a node and like the node grows exponentially and you have to have this really fast hardware. 21:03.903 --> 21:04.243 [SPEAKER_01]: But then, 21:04.763 --> 21:23.508 [SPEAKER_01]: on the, you know, opposite side in order to keep it all decentralized on the opposite side of Bitcoin, where you could run a Bitcoin on a Raspberry Pi, you know, a $10 or a $50 little device, where on the spectrum of that does monad fall, do if somebody at home watching and they say, hey, I want to be take part in this decentralized network. 21:23.528 --> 21:24.468 [SPEAKER_01]: I want to be a validator. 21:24.829 --> 21:30.990 [SPEAKER_01]: Do they have to have the Crem De La Creme Solana style hardware, or could they do 21:33.945 --> 21:38.030 [SPEAKER_00]: Yeah, you can run a monadvalidator on a Costco MacBook. 21:38.350 --> 21:40.393 [SPEAKER_00]: Oh, wow, a Costco MacBook. 21:40.493 --> 21:42.275 [SPEAKER_01]: Yeah, the lowest grade one. 21:42.515 --> 21:50.484 [SPEAKER_00]: I don't know if it's the lowest notebook, but yeah, the point is that the requirements to run a validator on monad are actually very similar to 21:51.065 --> 21:53.387 [SPEAKER_00]: the requirements for running an Ethereum validator. 21:53.567 --> 21:58.570 [SPEAKER_00]: Awesome, the only tweak is like, you need a slightly larger SSD. 21:58.930 --> 22:01.131 [SPEAKER_00]: Okay, but SDGs are really cheap, if you can buy it. 22:01.171 --> 22:03.473 [SPEAKER_00]: Yeah, you can exchange the so-to-date or like $200. 22:03.633 --> 22:04.433 [SPEAKER_00]: Very cool. 22:04.473 --> 22:07.956 [SPEAKER_00]: So that was very core to the overall effort. 22:08.036 --> 22:19.203 [SPEAKER_00]: Well, sirs lowering the costs to run a node, so that anyone may run a node, and also just getting them absolute most performance out of all this hardware that exists. 22:19.803 --> 22:22.984 [SPEAKER_01]: And is the incentive, or is there an incentive to run a node? 22:23.044 --> 22:26.505 [SPEAKER_01]: Do you earn some kind of money to do that? 22:26.706 --> 22:32.428 [SPEAKER_00]: Yeah, there's a profit stake block chain, so node operators, 22:33.851 --> 22:52.651 [SPEAKER_00]: Basically, they can stake to their own node and then earn whatever they produce a block the frequency of block production for them is proportional to their stake other people can also delegate stake to them and then they earn a portion of the earnings up that delegator very cool. 22:52.711 --> 22:53.331 [SPEAKER_00]: So yeah, so. 22:54.252 --> 23:17.822 [SPEAKER_00]: 200 nodes in production right now fully globally distributed quite unique actually in crypto like yeah search for on the internet for validator map and then you put in your favorite blockchain you probably won't find anything because they're all run centralized yeah my couple for or most blockchain foundations actually don't want to advertise the distribution of their nodes and so nothing to be proud of yeah 23:18.522 --> 23:25.229 [SPEAKER_00]: But if you do that for Monad, you'll end up at gmonads.com, which is just shows like... 23:26.062 --> 23:29.203 [SPEAKER_00]: that actual distribution, that's the super, super decentralized. 23:29.284 --> 23:30.344 [SPEAKER_01]: Yeah, I'm gonna check that out. 23:30.784 --> 23:44.591 [SPEAKER_01]: And then kind of the final two questions as I alluded to a little bit earlier, just what are one or two really key metrics that you and your team are watching, you're like, hey, we want our efforts to go, our efforts are gonna be visualized in this going up into the right. 23:44.771 --> 23:45.731 [SPEAKER_01]: What would you say some of that is? 23:45.751 --> 23:48.773 [SPEAKER_00]: I think the first is, 23:49.693 --> 23:54.938 [SPEAKER_00]: the number of daily active wallets on individual apps. 23:55.638 --> 24:05.166 [SPEAKER_00]: So I think daily active wallets on its own, chain-wide is a very noisy metric, because there's always like people that are doing random. 24:06.730 --> 24:08.031 [SPEAKER_00]: random bots or things like that. 24:08.231 --> 24:16.655 [SPEAKER_00]: But I think when you focus on an individual app by app basis, the signal is much clearer, very enchanted, so we're actual usage. 24:16.675 --> 24:25.740 [SPEAKER_00]: Yeah, so we're actually monitoring like the number of users that are using each of the apps that are building on fully on chain on monat. 24:26.080 --> 24:26.940 [SPEAKER_00]: And that's the first thing. 24:26.960 --> 24:33.143 [SPEAKER_00]: And then I think the second thing is volume on the trading side, 24:36.685 --> 24:43.610 [SPEAKER_00]: value prop that crypto offers to the world of open markets and just seeing the traction of that. 24:43.810 --> 24:44.030 [SPEAKER_00]: Nice. 24:44.410 --> 24:44.690 [SPEAKER_00]: Love it. 24:45.071 --> 24:54.517 [SPEAKER_01]: And then to round out the discussion, you had a very unique, I don't know if it was a token distribution event or what you would refer it to as, but 24:55.337 --> 25:03.839 [SPEAKER_01]: Coinbase launched the Monat token and gave all of their retail users the opportunity to opt into almost like an IPO for you guys. 25:03.859 --> 25:05.720 [SPEAKER_01]: So tell us about what that was. 25:07.060 --> 25:09.441 [SPEAKER_01]: Why they've only done it with you as far as I've seen. 25:10.861 --> 25:12.341 [SPEAKER_01]: What was the community feedback there? 25:12.362 --> 25:13.962 [SPEAKER_01]: Tell us just what it went into that process and 25:14.352 --> 25:25.644 [SPEAKER_00]: Yeah, it's super exciting initiative for for us who was at the Montenegro Foundation, it was really exciting to be able to give a lot of people access to the token. 25:25.984 --> 25:28.827 [SPEAKER_00]: I had a the public main net launch. 25:29.348 --> 25:31.730 [SPEAKER_00]: I think that crypto is a story about. 25:33.667 --> 25:35.888 [SPEAKER_00]: about open markets and open access. 25:35.948 --> 25:37.528 [SPEAKER_00]: And this was really resonant for us. 25:38.288 --> 25:50.592 [SPEAKER_00]: I also think that the reason why Bitcoin and Ethereum and other projects have ultimately had a huge impact in the world is because there are many stakeholders. 25:50.612 --> 25:59.055 [SPEAKER_00]: There are many people that are aligned with the success of the network and are able to participate in the really is the public network. 26:03.301 --> 26:11.725 [SPEAKER_00]: and doing it with Coinbase as the first project on their new token and sale platform was also just an amazing opportunity. 26:11.965 --> 26:15.726 [SPEAKER_01]: Yeah, it took a, I'm sure a lot of effort to get to where you are right now. 26:15.786 --> 26:18.947 [SPEAKER_01]: So congrats on all of this success, but I don't, I mean, you have a lot still. 26:18.967 --> 26:21.569 [SPEAKER_01]: I'm sure that you're saying, hey, don't, don't congratulate me yet. 26:21.609 --> 26:22.969 [SPEAKER_01]: We still got a lot of stuff to do. 26:23.049 --> 26:24.970 [SPEAKER_01]: So we've got stuff finished. 26:25.350 --> 26:25.991 [SPEAKER_01]: Yeah, a lot. 26:26.171 --> 26:27.472 [SPEAKER_01]: Jobs not finished. 26:27.552 --> 26:28.593 [SPEAKER_01]: So Kioni, this was great. 26:28.633 --> 26:31.396 [SPEAKER_01]: I really appreciate you coming on the crypto one on one podcast today. 26:31.596 --> 26:32.137 [SPEAKER_01]: Thanks. 26:32.317 --> 26:33.998 [SPEAKER_01]: Where can people just find out a little bit more? 26:34.098 --> 26:35.199 [SPEAKER_01]: Follow along with your journey. 26:35.239 --> 26:37.502 [SPEAKER_01]: I know you're pretty active on X. 26:37.562 --> 26:38.583 [SPEAKER_01]: Maybe you could shout out some handles. 26:38.603 --> 26:39.523 [SPEAKER_01]: We'll put it in the show notes. 26:39.704 --> 26:39.984 [SPEAKER_01]: Sure. 26:40.084 --> 26:40.424 [SPEAKER_00]: Sure. 26:41.205 --> 26:45.349 [SPEAKER_00]: We're at Monat, MLNAT on X. 26:45.629 --> 26:49.893 [SPEAKER_00]: And I'm at Kioni, HDK, ONE, HD. 26:50.293 --> 26:50.634 [SPEAKER_00]: All right. 26:50.914 --> 26:51.234 [SPEAKER_01]: Perfect. 26:51.274 --> 26:52.175 [SPEAKER_01]: Well, everybody watching. 26:52.215 --> 26:54.997 [SPEAKER_01]: Thank you for joining us here at the Audi Summit. 26:55.458 --> 26:59.641 [SPEAKER_01]: Find Mornad wherever you trade crypto and we'll see you guys pretty soon here. 27:00.041 --> 27:00.542 [SPEAKER_01]: Thank you, Keone. 27:00.622 --> 27:00.982 [SPEAKER_01]: Thank you.