Right. All right. Big day today. Um, let's see. Right before we have you on, I can. Oh, great. Well, I missed whatever it is that you were saying, because somehow, somehow I wasn't hearing you out. I was saying it's a big day today. Oh, yeah, Big day. Happy birthday, everybody. Happy birthday. Been stuck. Happy birthday. Been stuck. So I'm going to go ahead and assume that I was brought up here to play some songs.
Yes. All right. All right. Let's start with let's start with this being believe or song that people seem to be digging. I don't know if I told you, but this this song just kind of came out of the blue. There was a non lyricist that that wrote the lyrics to this and then and then commissioned me to actually make it so.
Yeah. And by the way, aping is, is encouraged as far as that goes.
Here we go.
I thought decentralized, algorithmic, credit based stablecoins were only true in fairy tales meant for someone else, but not for the crypto thieves were out to get me. That's the way it seemed disappointing to hear about it all. My dream. Then I had published. Yes. Now I'm a big believer, not a trace of doubt in my mind. I'm in love.
Never been even. I couldn't have been The better. Rather is what I thought crypto currencies were crazy Things seemed to more than I put in the more robust. What's the use in trying? All you get is pain. I needed stuck in part, but I got up. Then I had the Yes. Now I'm a big believer, not a trace of doubt in my mind.
I'm in love whether being Louis Vuitton recording means if I try, I put an end to the pain that a train has got another. Oh, hey, that was me. I, I put being up there. Oh, baby of believing in you. I tell you what I hope is that a bunch of people started chanting I'm a being and then got kind of awkward when they realized nobody could hear them, but then kind of kept chanting.
Anyways. I know. I was nice. Nice. Thank you. Thank you, gentlemen, for this great start to bless. Incredible. Incredible. That's how lucky we are to have a musician like that in the community. I agree with. Well, good to have you. Let's see, we have a few new faces or join these. Let's stick to basics. For just the past few months, you know, we've been talking a lot about recounting being stuck on opposing, being stuck.
Let's take it back a bit and talk about, you know, being stuck at sucks and maybe start with the basics of what is being stuck. Bienstock is an issuer of credit based money, and the goal of Beanstalk is to keep the value of that credit based money relatively stable. Now being stopped, unlike other attempts at or most other attempts at Stablecoin implementations, does not use collateral of any sort and therefore does not offer convertibility.
The lack of convertibility means that the being price is going to be volatile to some extent. How volatile? At any given time it's generally unclear. We've seen the price go as high as $4, as low as $0.24. But we've also seen it trade relatively around its peg within a let's call it, for periods of time. So in exchange for accepting volatility, i.e. in exchange for giving up convertibility, what what users of Beanstalk get and what Beanstalk offers is a low volatility money with competitive carrying costs.
And so what does that really mean? It means that whereas every other stablecoin that is currently available at the moment, the cost of using that stablecoin of holding that stablecoin on your book, there's an opportunity cost associated with it. If you can lend out that stablecoin the the short answer is that the borrowing costs, the carrying costs are there's multiple ways to think about it, are entirely noncompetitive with the carrying costs of dollars off chain.
And the reason for that is that interest rates off chain are heavily subsidized by the U.S. government and the Federal Reserve, and it's the ability to print money and manipulate interest rates that has led to these noncompetitive carrying costs and at its core, the ability to offer competitive carrying costs with a fiat based money. In practice, it's likely can only be done with another Fiat based money.
And so the starting point for why we started working on Beanstalk at this point almost two years ago, and still the goal for Beanstalk is to make all sorts of different use cases of decentralized primitives cost effective and practical for businesses and individuals to start to use by solving this caring cost issue. In practice, if you're a business that wants to build on decentralized primitives, you simply can't compete with off chain businesses that have access to much cheaper capital.
And the short answer is that beanstalk is an issue of money, particularly money held in the silo that doesn't face any of those noncompetitive carrying costs and in fact potentially offers very competitive caring costs such that business is built on top of beanstalk, very well may be able to outcompete traditional businesses built on normal U.S. dollars. So that's that's in a nutshell what beanstalk is, what went a little bit in a circle there.
But hopefully it paints a picture one year into this that that's a good start. I'll follow up with some more questions. So Beanstalk is is the protocol that issues, issues, money, and the money here is being sold. So what is being and where does being get its price? How is it being traded or used? So being you're correct is the stable coin of being stuck and there is there's a target price, which is a dollar, but there is no hard set price by the protocol in practice, the price of a bean at any given time is purely a function of what you can receive for buying or selling it on the market.
And the market is is defined as an AM on a DEX. Right now we only have the bean three curve pool that just got deployed, which right now has about $28 million of liquidity. And right now in that pool you can sell one bean for about a dollar and $0.05. So that's the price of a bean is derived exclusively from the value that it trades against.
And then I guess maybe in a more theoretical sense, the the ultimate value of a bean comes from the credit of beanstalk. So people that are using beans can make the assumption that the price of a bean should be relatively stable under the premise that Beanstalk is creditworthy. So if Beanstalk is creditworthy, if Bean stock is able to borrow from the open market, borrow beans and remove them from the supply in order to raise the price up when there's an excess supply, Beanstalk should be able to create relative bean price stability.
And so the the value of a bean, the price of a bean is derived from the value that it trades against. But at its core, beans have value because of the credit worthiness of bean stock, the protocol. Okay, so things like the protocol issues being the currency and that derives or it finds its price discovery in the liquidity pool.
Can you maybe touch on some of those on how beans look then has a target price? So how does it control the supply of beans to match, you know, the target price, sort of the peg that's attached? So every season, every about an hour bean stock compares the bean price to the three curve price. So that three curve is a little bit complicated to understand on a basic level and how it gets its price.
But perhaps the original bean oracle is more easy to understand from a theoretical perspective. So the one of the core problems around creating a permissionless and decentralized stablecoin is where to actually derive the price for whatever the stablecoin is pegged to. So there's some value that that the protocol wants to peg its stablecoin in steel, but it's hard to know what that value is in practice, particularly when that value comes from off trade.
So how much is a dollar worth? Well, dollars don't really exist on chain, so it's very hard to know what is a bean worth compared to a dollar. And so what Bienstock does is Beanstalk assumes that the value of three curves, or more particularly the value of the assets within three of USD three Usdc and DAI are worth approximately a dollar and compares the being the amount of beans in the pool compared to three curve and the value of the three curve in the pool over the previous season on average.
And in short, what Bienstock does if we go back to the original Oracle Beanstalk used to compare the being ETHE ratio compared to the Usdc E ratio. And so even though it's not exactly a dollar Usdc does offer a convertibility to dollars and therefore does with with some volatility due to friction, but it tends to be very, very closely pegged to the value of a dollar.
Being in stock derives the value of the being off of the ratio of beans to eve relative to usdc. That was the original model. And now given that the the liquidity pool isn't being it, it's instead being three curves that the minting schedule and the derivation of the being price has been shifted to a to a model that's based off three.
But the concept is through a proportion of the amount of beans relative to recur and then the value of three curve in dollars again. So the process happens in the pool as as you've explained, when there is a lot of beans or excess of beans, then the price of beans below the peg target, when that is shorter of beans, it's above the thick part.
What does beans slug do to, you know, to control the supply? So there's a lot of different levers that being stock has available to it. But at in its simplest form, when the bean price is too high, Beanstalk can arbitrarily mint more beans in order to increase the supply. And at some point you'd assume that with an increased supply, the price should eventually return to its peg.
But when there's an excess of supply and the price is too low, Bienstock tries to borrow beans from the market in order to remove enough beans from the supply to return the price to a dollar. So this goes back to the core assumption that users of beans are making, which is that bean stock is creditworthy. So if Beanstalk can borrow enough beans from the market to remove the excess such that the price can return to the peg, then beans can create price stability.
Oh, that's that's, that's clear. Okay. Can you take us now on what is happening in Beanstalk. So the BCM on post Beanstalk, almost half an hour, half an hour to go. What is happening right now with the tree planted a few days ago, that's on to half an hour to go. What what what is happening and what can we expect?
Okay. So the past 24 hours have been maybe 48 hours at this point in time. It's been crazy. Evidently can't even keep track of days. But over the past two days, there's been a lot of on chain activity to get Beanstalk back in a position to be up and running. And two days ago the replant occurred and the fertilization of beanstalk occurred which effectively moved all of the assets that were raised in the barn, raised into the into the beanstalk contract.
It issued all of the new tokens. It deployed the new Bean three curve pool and got everything ready to go. And today, the BCM Unpaused Beanstalk, as you said, not a little about 30 minutes ago. And so now what to expect is that at the top of the hour soon, about 44 minutes, the first sunrise call after the unpause will be able to be called by anybody on the Ethereum network.
At that point, all of the necessary information to mint beans will be initialized. And the first normal season of beans stock after the exploit and after that the whole barn raised and unpause will commence. So the that's that's what to expect. Now there is a ramp up schedule for the melting of beans from 0 to 100% over 100 seasons in order to make sure that there's not an excess of beans minted upon unpause.
And so over the next four plus days there will be a ramping up of the PEG maintenance mechanism to its normal functioning. That's generally what to expect. All right. I'm looking at the app right now and I want to focus on three, three sections maybe, or parts of it, which is the silo feed and then the barn. The silo is the beanstalk bank.
Don't extend. So this is where you can deposit your bean or bean assets into and you got a share of being seen. It's moving forward. So this is where we would have that. I'm computed, as you have described, that will start an hour from now and then it would increase by 1% until it reaches its 100% capacity in around 100 seasons.
Is that correct? With the up of this, I'm not sure I quite understood your question. It wasn't a question was just summarizing what's happening in the silo that I think I think you're correct. And then the field is with Beanstalk. It's just credit. And that's what it's what official silos work. And that's similar to the is going to also follow a minting schedule, which is similar to what's happening with the seniors.
So it will also start with 1% and then it will reach 100% capacity of soil insurance later on. Then the barn is where fertilizer is. So and this is the new addition to being stuck after after the exploit. Can you maybe tell us what is the barn, what's in the fertilizer? How does that work and what does it use for certain?
So the barn raised has been the recap is the beanstalk recapitalization facility. So Beanstalk has no time preference as to how long it takes to make hole any of the silo members that had their their assets or the value of their assets destroyed as a result of the exploit. But but the Dow has put forward a plan in order for Beanstalk to do so over time.
And so fertilizer is an addition. It's an additional asset to the beanstalk ecosystem through through the purchase of fertilizer. Beanstalk really capitalizes assets that were stolen or value that was destroyed in the exploit. So if you look on the barn, you can see the available for or each fertilizer can be purchased for one UCC. And so there's still about 64 million and change fertilizer available.
The beanstalk is willing to sell now the fertilizer. The fertilizer will receive a third of all being minced until all of the fertilizer has been paid back. So the the stock and the pods used to get half of the men. Now they get a third, a third and a third because the fertilizer is a new asset that receives a portion of the yield.
Now, the humidity on the fertilizer is the interest rate for fertilizer purchases. So the humidity is currently 250% and it's going to go down by half a percent each season upon a starting starting at the top of the hour and go down half a percent until it hits 20%, at which point it will stay at 20% until all of the remaining fertilizer is sold.
All right. I wanted to discuss a few maybe historical data or metrics of Beanstalk, but why don't we stop for a quick mentor and break and then I'm going to do that after being talking. Yeah, I'm ready. Let me just turn off my air conditioning here. I sweat for you guys. You know? All right, Can you hear me okay?
Loud and clear. All right, here we go. So this is a you know, this is kind of a poignant song, I think, because this is this is what started us off down this path of the barn race. First one that came out post exploit. And boy, now we're here. So I I'm going to enjoy this. Well, the phone was working wonders being a good looking bright but so many happy farmers getting richer the night.
Yeah, we were burning up the pipeline, screaming, dancing to the nines. We Nantahala rain and feeling bad. It's time for that exploit not to sign it back. So they thought that we'd stay down. But the hairs back on the head and seeds already in the ground. Well, we found in on some hard times I hadn't seen anything. So we've had ups and downs and then just ups up to several days ago.
And that being primitive is quite it's and I think that that's a sin. We got to pick ourselves up and dust yourself off and plug it right back in. Well, Tyler's looking empty because of some slimy hacker curse that the bees up on. The bees that we know, which is saying is I was because it's the part that makes the beans grow.
And I think we all agree we did it once in just eight months. We can do it again in three. To come down to the barn means we're working to the night and when it's up we'll be is a cup and then it's back on with five. This work is never over till I start to reach the moon.
Come on down to the bottom, maize and we'll all be laughing soon. But sure, that feels good. That's Publius. I penned a tweet that I. I tweeted earlier with four key metrics that I wanted to briefly discuss and discuss with you on starting off with the price or the price stability of of being stuck. So we can see from from its start whether you have some volatility and then you can see about it start to stabilize.
And can you maybe take us through the history of of being what is this volatility that it's you know, it's experienced and how did it achieve more stability with time? Sure. So a picture is worth a thousand words. I try to keep it at less than a thousand words, but could talk for an hour about this peg stability chart.
So the the price chart looks pretty stable or relatively stable given the low amount of liquidity in the pool in August and September, until you see this massive spike to $4 and then a collapse to $0.24, that was in hindsight, it's like crazy. But Bienstock went viral on crypto Twitter for the first time and about ten or $20 million of value came into the protocol over up a couple of days.
It was like a huge rush of capital. The market cap of being stock went from $2 million to $40 million in a couple of hours. The supply jumped to like 25 million beans and one of the members of the discord at the time put it best. I've spent hours looking for this comment and I can't find it. But they put it something like when all of the apes realized they couldn't exploit the protocol, they all laughed.
And what they were referring to is the name of the game. Early on in all of the previous attempts at non collateralized stablecoins ESD DSD basis cash, the name of the game was to just get in as early as possible and then get out. And so everyone got in as early as possible during this pump on Twitter without really understanding anything.
And then quickly got out. Now you can see a little bit of a dump back to a dollar and then a pump back up to a dollar 70. In that period of time, that was the season of 20, working to try to keep the price back down. And eventually there was a second series of season appointees. And then finally all of the apes flushed out basically entirely and dumped all of their holdings and drove the price to $0.24.
It took I don't think I'm going to do less than a thousand words, guys. I lied on that one. It took about a month for more than a month for Bienstock to repay the price in earnest. It made a couple attempts at a dollar, but as you can see, the price quickly. There was some sell pressure that quickly drove the price back down.
And so finally, mid October, the price finally started to return back close to peg, and early November really did repack. In mid-November there was the first mini growth cycle since the Pump and dump, which was very exciting. But and I'm sure we'll get to the pie rate chart at some point in this discussion, the the amount of soil that was available, the amount of debt or beans bean stock was willing to borrow and therefore the amount of pods being stock was willing to issue the amount of debt it was willing to issue that parameter.
Those parameters were not properly set. And the result was that even though Beanstalk was growing and the bean supply was growing, it was also issuing way too much debt. And the debt level of the protocol continued to increase even during this growth cycle. Given that being stock optimizers around price and debt level, that wasn't particularly good for being stock and that led to a sell off down to, I think it was around $0.80.
Then it took the stock another month to two months to try to repay the bean price, which happened again in February. There was a little bit of a sell off, down to $0.90 in the meantime when the ether price collapsed and then there was a decent amount of tech stability through mid-March. And that included even when the the being the whole system started to grow pretty significantly because of the amount of liquidity in the system.
So maybe the only other detail on this price chart that I skipped over is that if you look in December, in the in the middle of December, you can see a spike in the price at one point that was the introduction of convert, which at this point is a major part of the bean stock peg maintenance mechanism. And so you can see that immediately after the introduction of convert, there was a decrease in volatility to some extent.
How's that made? It pretty clear to me and of course to all of our listeners, if anyone has a question or wants to join the conversation, raise your hand, put it on writing. We're happy to even DME directly and we would take all of these questions or join us. All right. As you said, I'm going to then add the other chart, which is the quadrant, you know, for you for your comments.
Maybe tell us, what is the pod rate? And then, you know, historically, what happened at was one. So the Padres has traditionally been the beanstalk debt level. Now there's a new debt asset, fertilizer. So the Padres going forward won't be exactly the indicator for the beanstalk debt level, but nonetheless, it remains the thing that bean stock is optimizing around in addition to the price and so the pod rate is a a main indicator of the health of beanstalk, and the goal is for it to have a relatively low pie rate.
The optimal pie rate defined by beanstalk is 25%. So what you can see in this chart is that the pod rate from inception basically just went straight up and it went all the way up to I think it was just under 1600 percent at its peak, meaning that for every bean that existed would be in stock, had 16 pods worth of outstanding debt.
And in March, March, actually I think it was in February, because this chart has a spike in March. I think that was from the issuance of debt related to aa1 time thing. But I'm not recalling exactly what it was at some point in late, late February or early March, Beanstalk started to deleverage. And I guess maybe the only detail skipping ahead here is that in January, you can see that the pod rate, which was increasing pretty quickly, started to stabilize to some extent.
And if we recall that the price was actually below peg in January and February, the fact that the pod rate started to stabilize to some extent, despite the the price being below a dollar, that was an indication that the bips that were made in early January to to effect the amount of soil that was being issued that those dips were successful in in contributing to a stronger peg maintenance.
And the result was that the pod rate stabilized and then finally started to decrease. And given that beanstalk is a credit based system, the fact that it started to deleverage and pay back its debt and become more credit worthy, that was a major proof of concept. And the result was that prior to the attack, Beanstalk went through a major growth cycle and under the new parameters that were implemented at the beginning of 2022, Beanstalk started to de-leverage in a major way.
So that's what this chart shows and it was coupled with a major increase in liquidity, which I think is probably where where we'll head to next is my guest. Yes, I'm going to bring that up, but I wanted to touch on that. I find it interesting that I find it interesting that at one point the increase in quadrant was during a growth cycle.
So even though Beanstalk did not need to issue that credit, you know, participants were willingly happy or wanting to to land to to the stock. Exactly. And that was actually the main problem that we talked about with regards to the price chart that was evident during the November growth cycle where Beanstalk was growing. You can see a small decrease in the pie rate started, but then it actually continued to increase again.
So the system left that period of growth in a worse in a worse position than it started with. All right, I have the liquidity chart up and we've discussed liquidity a bit earlier where we said that that is where the being price discovery happens. Why isn't it increase and liquidity important and how is being able to attract liquidity in general?
So liquidity is very important because if there's no liquidity, the beans don't have value. The exploit in practice stole all of the liquidity that beans traded against. So all of the etherium, all of the three curve, all of the LAUSD, and the result was that there was no liquidity, so the beans were valueless. Now, in addition to just giving the beans their value, the amount of liquidity also determines the effect on the price for selling or buying beans.
So the deeper the liquidity, the larger the liquidity pool, the more volume bean stock can handle for a given change in the price. So if there's more liquidity for the price to move $0.01, you're going to need a lot more buying or selling pressure than than you would if the liquidity were lower. And so being stock having more liquidity results in a more stable price.
In practice Now to answer your question about how does being stock attract liquidity so anybody can deposit beans in the silo or people can deposit whitelisted LP tokens that have exposure to beans in the silo. And Beanstalk typically offers a premium of some sort for depositing LP tokens over beans. So if if the if someone is trying to collect being senior edge through holding bean exposure, they can receive an additional premium on that being seen for holding to an exposure in the form of liquidity pool tokens and that benefits beans, stock and therefore bean stock is willing to pay a premium for that.
And lastly, I'll pull up the liquidity ratio, which shows the amount of liquidity versus, you know, the overall bean supply or the bean supply. Let me see if I can put it up. I think it's there. So what does this chart mean, Publius and how did it change? So this is in addition to the pod rate, perhaps the most telling chart about being a stock, given that there is no collateral, given that there is nothing backing the beans, the amount of liquidity trading against beans in a pool is is really the main question of how how much sell pressure can the system support at any given time?
How wide are the gates, assuming that there's a run and lots of people want to sell their beans all at once, How wide are the gates for everybody? At the end of the day, the liquidity to supply ratio is exactly a measure of how wide the gates are. So for every bean that exists, how much liquidity was there trading against beans?
How much value was there trading against beans? And what we see is that as the and this was the at least in our opinion, this was the result of the combination between the introduction of convert and December and the new soil parameters in in January that led to a deleveraging and then a major increase in liquidity. What you can see is that as the beans supply increased, as that pot rate started to come down, right, bean stock was increasing the supply, paying off lots of debt.
That was actually coupled with an increase in the liquidity bean supply ratio. So what this chart tells us is that beanstalk was attracting more liquidity and at a rate faster than the beans supply was growing. And so the the bean supply was was growing quite fast, like a million beans an hour at one point. But nonetheless, bean stock was attracting more liquidity than beans were being minted.
And so the system was becoming more liquid. The gates through which people could sell their beans were becoming wider, faster than the amount of beans that could run through the gates were were being minted. So the liquidity to supply ratio is a major indicator of the health of the system. And an answer to the question of how what kind of value could you get for selling beans at size or at scale?
Okay. And two things here where we spoke about the budget on the on the amount of soy beans issues and the ability to also convert where they would have been. Participants were able to convert their beans into into liquidity. Both of them were introduced through a BEPS or bean improvement proposals. What, what what are we looking at into into the future of the stock now?
So we are talking about a bean stock. Dex. We have one bean sprouts early, let's say protocols or startups, which is route protocol that has recently had the successful 9 million seed round but is going to be a bit ago. So it seems we we lost our host so I switched. Let's see if we can get that for one on high again.
Bogus. Did you get sick of me. Not not me. I think we our host, might have lost connection. So I. I logged on from this. So we were talking about or what? What? My question was the future of Beanstalk. And I wanted to touch on two things, which is the beanstalk decks and then root protocol and what, what can that mean to Beanstalk?
So if we go back to what we were telling you about before, which is the beanstalk has demonstrated a pretty decent ability to attract liquidity right now, all of the Dexs or AM protocols charge a transaction fee and there's no reason for Beanstalk to effectively pay that tax to curve holders, for example. So or two uniswap token holders and the the fees on uniswap v2 at 30 bips or even the fees on curve at a couple bips.
At the end of the day, herd stocks ability to tightly maintain the peg and it's a tax on farmers so there's no reason why given that beanstalk is the one attracting the liquidity and beanstalk is the one peg to attract the liquidity that everyone should also have to pay the tax to these other protocols. So over time it makes a lot of sense for Beanstalk to have its own, its own arms, and for all of them to be entirely fearless.
So the pod marketplace, I think you can probably think of as a be zero of what that should should ultimately turn into the main reason it to be zero is because right now you can't use deposited assets in the pod marketplace because deposited assets are frozen until the end of the season. So one of the main things that can be done in order to exacerbate the development of core derivative and stuff on top of beanstalk is to have the withdrawal freeze removed entirely and in order to make sure that the incentives are properly aligned.
Instead of paying people at the top of each season, perhaps the payment is delayed a season or something like that. Something very simple. Perhaps your payment for being in the silo gets paid out over the course of the season. Over time, there's lots of different things that can be done there to remove the withdrawal freeze. But the concept is once you have assets that are in the silo earning earnings, senior reg earn earning competitive yield and can be withdrawn at any time.
So you have true liquidity there. It makes it makes building on top of beans and on top of the silo a lot easier. So what we've spoken about in class, some of your ideas as well, in addition to root about different derivatives markets that can be built on top of beans. And the hope is for all of that over the next year to two years to get built on top of the beans stock market, which will consist of amms other types of dexs.
And as you mentioned, Root just announced $9 million round of financing to build, build their own markets on top of the silo. They're also going to build a fertilizer market. All of this stuff is very exciting to us. And when you think about Beanstalk being a primitive in Defi, the goal was for lots of other primitives to be built on top of or in tandem with beanstalk and take advantage of the composability of the Etherium network and the fact that Root was able to raise funds with the thesis that building on top of Beanstalk is their alpha.
But that's the edge. It's very exciting. It's a proof of concept in our mind that there is a there is a larger interest in building an ecosystem on top of Beanstalk, which has always been one of our goals, is obviously to see a larger ecosystem form here. So lots of exciting stuff and all of this conversation is only related to the market, which is only one part of beanstalk.
I'm pretty excited for the future of being stuck on what it what it wants. I see we have a special guest here as a still. Yes. Yeah, I see. I see it being built on this first appearance. I mean but if you if you wanted to quest to speak, we can we can invite you up. Otherwise the interview.
And why? Why don't you just close this with with one of your best songs? Sure. Yeah. You all want to hear something you've heard before or something you haven't heard before? I'll have to choose something I haven't heard before. Okay. Okay. Well, let's see how this goes. This song, like Beanstalk, is an experiment, right? I see a as this year.
You might, you know. Oh, yeah, yeah, yeah. Take. Take the stage. Be involved. I smell some trouble. Yeah, I'm here for. I was having some trouble earlier. Well, maybe. Maybe we can try and get that sorted out. Well, while the song is going, it's connected. Yeah, I'm just going to go for it. But the devil got into crypto.
Biggest of the all. He like to watch the prices rise, but you love to make them fall. He was feeling all high and mighty. He was doing his devilish deeds. He was pulling rugs and spread and foot when it came upon to be said the being. So you're the devil that's been causing so much grief. I've half a mind to turn your head and I think I've got the means The devil left a demon laughs.
You must be telling tales. How could a being get the best of me when everyone else has fear? I'll tell you what. Let's make a deal. Can take all I can give. And I'll leave this land forever. And that's just the way it is. Means that beings are sturdy folk. And you don't scare me none. So write up the deal and tell me where to sign and let's get it done.
It's time to scrub the blockchain cream. We really need a hero. And his name is being for the holders and the crypto. Chad's going to get the devil right in the next. The devil grinned and said, My being, you don't know what you've done. I'll send a crypto winter. And with that I think what the being just shrugged and said, If that's the best you've got, you've been outclassed.
Yeah, even growing slowly now just a little bit less fast, the devil growled. I'm not done yet. I'll troll and FUD and rage. I'll make the world so misinformed they'll avoid you like the plague. A smile played crossed beanie that guess you haven't met my friends but Q&A with scared smooth brains They're the best that's ever been. The devil looked a little scared, but he had one trick more.
You may have beat me so far, but let's even up the score. I'll steal all your liquidity. Oh, drink your milkshake dry. You've never met a gin More despicable than I better watch for the old flash The of the devil is a hacker with a heart of stone. It's got to steal. It means he's going to starve you out.
So what do you think about that? Now? The fiend took just a moment's pause and said, Well, it's not ideal. There's nothing in the silo now, nothing in the field. But if you think I'm down and out, the boy you don't know, Jack, The farm is fine. And look, beans are already growing back. Devil knew then that he was beat.
He gave a piteous cry. Don't make me leave Without fear and greed I'll shrivel up and die The bean just said, Now a deal's a deal. You can yell until you're blue, but show your sorry face again and I'll give the devil his due. I'll have to clap the insolvent. Wow. Wow. Is this by another anon writer? No, not not anon on this one's me This one's you.
Of all of you all the same can get dumped in one place. Yeah, well, that was a good one. Enjoy that being called in and looking forward for the version that we can put up on YouTube and then add to the honkytonk. Yep. Yep. Working on it right now. All right. I think. I think we're reaching the end.
Is Bilbo up here, man? We've got 10 minutes till sunrise. I think we've got to. We've got to figure out what to do for 10 minutes here. But you're right, Victor. It's up to you. And Mr. Victor, did you have a question or you want to join the conversation? Yes. I just wanted to to. To ask a question with previous says after the sunrise.
You know, guys, as I was looking at this code and everybody's got a steep learning curve on the new how the new bean works and what have you And I just wanted to know would cuts to ongoing, you know, momentum in terms of learning keeping the the marketing and the knowledge with, you know, spreading the word of beanstalk.
What what is the way forward. This is the thing that I think is both a collective challenge and has always been. And one of the core strengths for Beanstalk in its first year in existence which is that it has a really strong core set of community members that are constantly educating and informing and trying to basically make sure that everyone has all of the relevant information available to them in order to interact with the system.
Now, Beanstalk is incredibly complicated and is not it's not simple. It's as simple as possible, but nonetheless it's quite complex. And the result is that making sure that you understand everything and are up to speed on everything can be a difficult, time consuming, requires some brainpower and effort. And I think all of that that's healthy for a successful beanstalk, right?
We need collectively, we need people that are understanding what's going on and we need a deep understanding of how the system works collectively and needs to be well understood by by most of most or everyone that that is using the system. So how is that going to happen? It's it's been a difficult it's difficult to articulate exactly how it's happened so far, other than as much clear, concise communication as possible and frequent communication.
So there's always going to be class or not always, but for the foreseeable future, there's still going to be class, there's still down meetings. Everyone can come to both and ask any questions. There's some pretty good channels and the discord, the questions channel that people can come, the economics channel that people can come and ask any and all questions that they have.
So the hope is to have a to continue to have a community and an ecosystem that really welcomes and encourages and facilitates high quality discourse, that leads to high quality, deep understanding of the protocol, what's going on. So, no, no clear cut answer on how to make that happen, but something that we can all collectively work on because it's not so simple and a lot of this stuff is new and not just new to Beanstalk, but new in general.
So in order to make sure that people understand stuff that is novel, it requires some time and some care and some love from the people that are explaining things, and hopefully that process will continue. Yeah, I can add a few things as well. So the new the new website has a lot of tooltips that tries to direct and explain, you know, to the user what is happening.
There is a newly launched guest book or box, which is the Farmer's Almanac also that summarizes, you know, I've tried to simplify the white paper on and what what is the beanstalk ecosystem as we have a weekly or be called a weekly class but anyone is welcome to come in and ask you know any and all questions as previous highlighted.
And then lastly will also be hopefully working on some educational videos or content, but also tries to explain and simplify the beanstalk ecosystem. Being able. What do you think about what's happening? I haven't heard from you and your some 0000. That's a business, so it's pretty busy where you are. Okay. Obvious, I wanted to ask you a question that's been up in the Economics channel and that might be a bit of a, you know, hypothetical question or a philosophical one, but but we can maybe take this one here.
And that has to do with what happens if the Syrian blockchain know Forks and Beanstalk is on it. What happens to Beanstalk then? So the the specific circumstances, assuming there is a fork, is largely a function of the assets that beans trading against at the time of war. So there's really two, I think, unique extremes to consider. One is that beans are trading exclusively against assets like Usdc and Usdc that are assets with collateral off chain, and therefore there can only be one representation of of that asset at any given time.
So one of the chains will have those assets and on the other chain it will be a zero. And the other scenario is where beans are trading exclusively against Etherium, the main network native asset that is going to get recreated or duplicated to some extent. So in the former case, which is the scenario that we're very likely going to encounter when when the merge happens, the result is that Bienstock and the value that that that it trades against is at the discretion of the centralized operators of those those collateralized assets.
So whichever chain USD C and USD honor, that will be the chain that Bienstock retained to value on. Now in the case where it whichever, but if we just play that scenario through the other chain, the USD fee and usdc and most of the DAI since it's mostly backed by USD C in the three curve, that will all instantly be almost worthless.
And so the result is that the other the chain on the beanstalk, on the chain that has no value trading against it, it will be in a similar state, not exactly the same state, because the state of Beanstalk won't have been corrupted, but the the value of beans will be in a similar state to immediately after the exploit where there's no value trading against them and therefore the beans are basically worthless.
Now the other scenario is where beans are trading exclusively against eat and obviously you can have some combination of the two, which complicates things, but it's easier to think at the extremes, which is so in the case where now your beans trading against eat and beans trading against you eat W or whatever you want to call it, the proof of work.
Even the fork version, the or any for the concept is the value trading against the beans on both chains are now going to be pretty volatile. So whether both ask both chains the the main asset, the native asset of both teams retains enough value for Beanstalk to survive on both chains. That remains unclear whether people will be inclined to lend to be in stock on both chains remains unclear.
But from a state perspective, there's no reason why Beanstalk couldn't continue to function both chains. With the exception of that, it's very likely that on one or both of the chains, the value that was trading against the beans will be significantly less after the fork. Right. It's unlikely that both of the forks have an eith price in dollars that is higher than before the fork.
So one of them might, none of them might, but it's very unlikely that both what so at least on one of the chains, one of the beanstalk is going to going to have to go through will either a major convert cycle or a major debt cycle or a combination of both. Understood, Victor, I see your hand raised. Did you have a follow up question?
Yes, I did. The previous with regards, you know, you know, we know that currently in the crypto space, the legal regulatory framework is at the moment targeting the STABLECOINS and and the Securities Exchange Commission in America is looking at imposing some regulations and what have you. And currently, as you probably aware, Coinbase has been, you know, under investigation with the Securities Exchange regarding certain securities and what have you, what has or has there been a committee or anything been formed in regards to beans formulating a strategy if there is a target, if we if buying stocks becomes a target in terms of of being a stablecoin and being wanted to be regulated.
So in short, being stock is a permissionless piece of software that does not have, uh, does not have the ability to, to be within a certain framework, a regulatory framework. It is just a piece of software. And so in short, I, I think it would be quite frivolous for there to ever be a committee of that sort because there's nothing to ever be done.
So Beanstalk is just a piece of software that exists. It's designed to be totally permissionless. Most permissionless excuse me, to that point, anybody can call the sunrise. It seems like someone did just call the sunrise in a totally permissionless fashion. And from our perspective, the number one priority is to keep being stock operating in totally permissionless fashion. And there's not a lot you know, there's not a lot of regulation that that is highly correlated to permissionless ness.
So the goal is to keep Docker as permissionless as possible. And as Mobius just mentioned, the sun has risen again, rose again in the form of the sunrise function has just been called out, called a few minutes ago. So we can officially say with we're back in business. Amazing, amazing. This is an exciting, exciting time for everybody, right?
I think we can wrap up the spaces here on this. Anyone has any question. Bliss, do you have any closing thoughts? What before we wrap up, I think, uh, I think we would just like to say thank you to everybody for for, for sticking around and for not just sticking around for kicking ass. Over the past almost four months, this has been a I think a try in a trying period for for many of the people involved in being stuck in any capacity, whether you're a contributor, a stockholder, a pod holder.
This has been a crazy roller coaster that I don't think any of us would have opted opted for in advance. But if the economic model of being stuck is is good enough to the whole world, which is what we're all what we're all hoping for, then this is going to be a blip on the radar. And at the end of the day, the goal is for Beanstalk to be viewed as creditworthy as possible by the market.
And there's nothing I don't think that you can buy opportunities like this to prove credit worthiness. So we continue to be glass half full on this and view this as an opportunity for being stuck to strut its stuff. So excited to to find out what Beanstalk is made of collectively and this is just a very this has been a very a very incredible process to be a part of.
So thank you guys all for for sticking around and let's get farming exciting and fun times ahead of us being. Paul Do you want to end the spaces with one last song? Sure. Let's do one more. Let's see. DO Yeah. Super excited, guys. This has been great Twitter space. This is the best day I've had in a long, long time.
So let's, let's let's end with a song about the the asset that made it all possible seasons being mean There's famine in the land. You're staring down a suited straight with deuces in your hand. Only one thing left is growing better. Give it loving care. So come and grab some fertilizer and just for you that fragrant and the God made for and third don't hurt Got beans all sleeping out in the dirt.
They're going to wake up to that lovely sound where to spread my effort over the gravel. I've heard it. One song paid a way in the past. Made me mad. I've heard it on my birthday with the beans I got from Dad. I've heard it out of panic. When I read those news reports. He even bet against the stock market so I could for my short fuze.
God made for her. Don't hurt beans. I'll sleep in the hands of dirt. They're gonna wake up to their love. This sound will spread my effort over the ground and or first more beans accurate now the stain and I hope our favorite shirt but all that they eat is love the third man so as hard as I can get that perfect fertilizer with that perfect fertilizer for that perfect fertilizer for their first backpack.
Fertilizer, fertilizer, Fertilizer, fertilizer. That. Thank. Thank you, gentlemen. Thank you, everyone, for joining us. We hold two weekly classes or two two sessions every week on Tuesdays as Class On Thursdays is a down meeting where the contributors share share their work or contributions to be in stock. We hope to see you to join us anytime. And once again, thank you.
Thank you for joining us today.