Good Morning SumCappers! 🫡 Now that is not cool nor trendy to use GM and any CT lingo given the grim bear market we are currently in, we can finally focus on the important stuff and get back to building just like Ethereum developers. With a final Total Terminal Difficulty (TTD) defined at $5.875\times10^{22}$, it is expected that The Merge will happen around September 15th. This much anticipated event is finally here, setting the stage for better blockchain infrastructure and new system advantages such as a supply emission reduction upwards of -90% and diminished energy consumption by 99.9% - a much needed power cut given the current energy crisis the world is about to face.
As we near this milestone, it is critical to take a step back and realise how far has Ethereum came and what will its future prospects look like. The roadmap for Ethereum is quite vast with already 5 well defined on-going phases:
The World’s Computer is building an ever-growing revolution and now, more than ever, is essential to bet on censorship resistant and permissionless technology that will leap us forward!
Figure 1 - Ethereum Roadmap by Phases.
Total Crypto Market Cap: $1.005T (-10.82%)
DeFi TVL: $59.43B (-8.69%)
Stablecoins: $153.37B (+0.27%)
As the market steam’s dwindles, CT degen’s urge to find the next hidden gem or to develop new narratives never ceases. Flipping NFTs is a well known craftsmanship that apes excel at but this particular trading environment always lacked a fungible marketplace to increase the velocity of ERC-721s, or as Cobie puts it, *altcoins with a JPEG attached to it.* Early last month, a developer that goes by @0xmons on CT, came out with Sudoswap, a new on-chain AMM marketplace protocol that aims to change the way everyone thinks about NFT liquidity and trading, attracting some pretty compelling buzz as of late.
**Figure 2 - **LSSVM Pool.
This novel marketplace functions similarly to any other decentralised exchange where tokens are deposited in a pool that rebalances according to certain predefined rules. By leveraging the mechanism of AMMs, it tries to solve the NFT liquidity problem by treating each ERC-721 as TokenA and ETH as TokenB, allowing users to make a market against NFT-ETH on SudoAMM within a specified price.
Under the hood, the AMM hosts many individual pools of NFTs, with each pool managed by a single liquidity provider. Individual pools are set up to function in three modes, allowing liquidity providers to choose whether they wish to operate “sell-only” pools, “buy-only” pools. Pools can have a constant, linear or exponential structure with few other factors that impact the performance of each particular pool, like the pool’s fee or delta, the parameter that defines the buy/sell range tightness.
Over the past few weeks, Sudo has seen over 60,000 transactions accounting for 19,000Ξ in volume from 21,000 different users amassing more than $160,000 in fees, milestones coming just 60 days after the project’s launch. In contrast, Coinbase’s NFT marketplace is yet to cross the $10M total volume mark lingering at just over $6M in a span of 6 months. Also, comparing these numbers to X2Y2, the marketplace currently leading the race for second place just behind OpenSea, saw around 8,000Ξ of volume from the same number of transactions.