Treasury, Vitalik, Bitcoin discussed on Bankless



They were in the ether pool. So they got hit. Why would they in it? This just part of treasury management. Wow, so this wasn't even part of the nexus protocol. It wasn't like a hack that went bad and that they had to kind of provide insurance for it. It was like, we have some treasury funds, and we're going to put it here in order to get higher yield and the cost to them was $5 million, $3 million for that. 3 million dollars. 1.6% of all of nexus mutual assets. Wow, treasury management, very important to get these risks into the market, huh? I would say just like the hybrid position of between DeFi and tfi, it kind of does map out to how much damage there was, not complete dead, but pretty badly harmed. Chasing chasing yield can be a pretty bad game to play. It's just got a bad name these days. Like, because if you even get 10% you'll, right? I mean, like, are the chances greater than 10% that the protocol you're in could die, or once every ten years, the protocol, if it's greater than that, then you're actually not making the risk adjusted return. Dude, vitalik gave us that take on one of our podcast episodes with him over a year ago. Yeah. He was saying that the DeFi yield risks were underappreciated back in like 2020. But it didn't matter when prices go up. It only matters. The risks only show up in prices go down. Totally, totally. What's get coined doing, David, this is kind of exciting. Bitcoin and UNICEF. Okay, so Bitcoin has been one of the big pillars of the Ethereum ecosystem for a very long time. And it's always been pretty insular. It's Ethereum funding other parts of Ethereum. This is a story of quadratic funding and Bitcoin breaking out to the outside through UNICEF. So Bitcoin is launching its first ever quadratic funding round on its new grants protocol in collaboration with UNICEF's office

Coming up next