Messari's Weekend Reads 😎 - Unqualified Opinions

self care, sleep, and good content (plus a new podcast with MyCrypto's Taylor Monahan!)

Messari’s Weekend Reads

It’s Friday, which means we’re keeping things light and teeing up our weekend reads and listens.

On our podcast this week, Katherine sits down with MyCrypto’s Taylor Monahan to talk product design. Taylor highlights the vast difference between intentions and outcome in product design vs. user experience and shares some of her experiences in building tools for crypto users. Katherine also discusses the recent Bitcoin Cash fork and reflects on the recent market volatility. (19 min for your lunch break)

BONUS: Qiao swung by Jeffrey Tong’s “Smartest Contract” podcast to chat all things crypto, and provide some updates on what we’re working on at Messari.

Listen and subscribe to all of our podcasts— on Apple Podcasts here, Spotify here, and Google play here.

📚 Messari’s weekend reads:

  • Digesting ‘Quantification of energy and carbon costs for mining cryptocurrencies’ - Nic Carter

  • The search for a stable cryptocurrency - Vitalik Buterin

  • The need for decentralized exchanges - Hansel

  • Vision Hill crypto hedge fund returns: third quarter 2018 - Vision Hill

  • 5 crypto-native indicators to enrich your market cycle analysis - Felipe Gaúcho Pereira

  • Blockchains are governance - Matthew Prewitt

  • Vitalik Buterin on the hard lessons of Ethereum’s first five years - Brian Patrick Eha

  • Augur had a big Election night, but the ‘morning after’ may determine the future of the upstart prediction market - Andrew Macdonald

Did we miss a topic our broader community should know about? Let us know!

Have a good weekend, y’all.

- The Messari Team

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News & Analyses

Messari Compression Algorithm

Content and thoughts from around the web as summarized by the Messari team.

🤔 [Analysis] Thin protocols – Teemu Paivinen

Teemu Paivinen extends Joel Monegro's "Fat Protocols" idea and argues that because of the 1) technical ease of forking, 2) honeypot of financial incentives to compete once the perceived opportunity is large enough, and 3) improved interoperability and interchangeability of protocols, there will be many thin protocols that together form a fat protocol stack. As a result, the market will tend towards but never reach an equilibrium where:

  • There are no marginal benefits to greater or smaller scale

  • There are no perceived opportunities large enough to incentivize specialization

  • There is enough diversity in protocol permutations for there to be little to no incentive to fork

Users will be the ultimate winners as there will be more specialized and cheaper protocols at almost perfect competition. (Messari | Source)

🧙🏽‍♀️ [Analysis] MimbleWimble: the good and the bad – Mohamed Fouda

MimbleWimble (MW) was a Bitcoin improvement proposal made to achieve transaction privacy. Nevertheless, it was rejected by the community as it required significant changes to the protocol.   Benefits outlined by Mohamed Fouda include:

  • Better privacy for users by shielding transaction amounts and avoiding the use of publicly visible addresses

  • It allows for smaller blocks and smaller blockchain data size which makes it easier for nodes to join the network

While the shortcomings of MW are:

  • There is a need to have the sender and receiver communicate in advance

  • It is more difficult to create multi-party transactions

  • The transactions are not fully private and can be deciphered given enough forensic analysis

Other privacy maintaining techniques, particularly Zcash's shielded transactions and Monero's ring confidential transactions and stealth addresses achieve significantly better privacy according to Fouda. (Mesasri | Source)

Quick Bits (Don't read that, I read it for you)

Choke Points (Exchange News)

  • 📌 Token trading platform Radar Relay announced an update to its regulatory strategy on Tuesday. First, Relay will maintain the characteristics of an online bulletin board—taking on a passive role. Second, Relay will have a meticulous token compliance process, mirroring regulatory guidance, to avoid listing securities. (Messari | Source)

  • 🚧 Yesterday the Bitcoin Cash blockchain has split between two implementations: Bitcoin ABC and Bitcoin SV. Major exchanges halted trading for bitcoin cash until the chain split is resolved. (Messari | Source)

Startup Signals (ICOs, Cryptos, and Startups)

  • 📅 Canaan Creative’s application for an initial public offering may be in doubt as the Chinese bitcoin mining maker’s filing with the Hong Kong Stock Exchange (HKEX) has now lapsed. (Messari | Source)

  • 🚀 Messenger app maker Kik is leaving Ethereum for good as it continues to develop its cryptocurrency, Kin. Kik announced that it will close Kin’s atomic swap platform and switch permanently to Stellar. (Messari | Source)

The Powers That Be (Legal/Reg/Policy)

Did I miss something?

Send me the link, your twitter handle and your best imitation compression algorithm write up. If I like it, I’ll include your bit next issue (with attribution).


Podcast Recap

🎧 ICYMI on the Messari podcast, Katherine breaks down the latest SEC order against EtherDelta’s founder, and what its implications are for DEX broadly (more in the Quick Bits as well). We also talk to Simon Taylor, founder of Global Digital Finance, about the importance of building a knowledge base and setting best practices for the crypto industry. (Ryan is an advisory board member, and Messari is a big supporter.)  (17 min for your evening commute.)

Listen and subscribe to all of our podcasts— on Apple Podcasts here, Spotify here, and Google play here.

Shameless Plugs

We want your feedback!

We know Messari can feel like a couple different products right now, and we're working to unify our features into one overarching whole. To that end, We’ve made a Trello board to take in any and all of the feedback you have for us! Have at it 🛠

We're Hiring:

  • We need data engineers who want to bring transparency to crypto!

  • Join a fast growing team in NYC; work with crypto OGs, and former Bloomberg/Palantir engineers; & access a network that sets you up for the rest of your career. Apply here!

Upcoming Travel:

  • Hit us up in these locations:

    • Consensus Invest, New York, New York | November 27

Join Our Community:

  • If you are interested in helping us crowdsource token project details, or want to join our community to share your expertise, we’d love to have you on board! Take a second to fill out an application and we will get back to you soon.

  • Going forward, we’ll be capping new members at 15 each week to keep things running smoothly. If you haven’t heard back, you are probably in the queue.

  • Like what you read? Share it! Hate what you read? Let me know @MessariCrypto.