Jose Storopoli

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I can’t stop laughing.

🌶️ Change My Mind: Bitcoin & On-Chain Repo Is All That Matters 🌶️. If you’re trying to win onchain lending: BTC, ETH, RWAs, whatever...none of it matters unless you win the top of the stack. Credit isn’t flat. It’s hierarchical. There’s always one dominant source of liquidity underneath everything. (and no, it’s probably not going to be @aave) Most lenders, whether in Aave, Morpho or TradFi, are just borrowers with a spread. They lend higher than they borrow, pocket the difference, repeat. Follow this daisy-chain of liquidity far enough and everything converges to one source: repo. Repo in TradFi is simple: Post the best collateral, borrow against it at high LTV. Get the cheapest capital in the system. Use that capital to fund higher yielding, riskier activities. That’s it. Trillions of dollars run through repo. Everything else, mortgages, RWAs, DeFi, auto-loans, infrastructure, prices downstream of repo. So if you win repo, you don’t just win lending. You become the base funding layer for everything. Repo has two ingredients: • apex collateral • a financing engine around it 1. Apex collateral is whatever commands: • the highest LTV, lowest borrowing cost, • deepest secondary markets, • least hidden risk. The market treats it as essentially risk-free. For ~50 years, that’s been Treasuries issued by US Government. Now bring this onchain. What (if anything) can become better apex collateral than Treasuries? Today, the US government wins because it can absorb near infinite demand for dollars and issue Treasuries against it. Size + safety = dominance. Onchain, there’s really only one product that even comes close to challenging the low risk and the exorbitant size of US debt issuance: Bitcoin-backed loans. Bitcoin has the largest pool of savings. Insatiable demand to borrow against it, deepest liquidity for liquidations, lowest counterparty risk. Nothing else is even in the same conversation. However, current on-chain BTC-backed borrowing has problems preventing it from being apex collateral. In Aave you can't isolate a position to only have BTC credit risk, your exposure is pooled with everything. In @Morpho V1 you can isolate risk, but yields are low as there's no duration. You can only do variable rates and not fixed maturities (which are higher yielding without adding new risk). The solution here is Morpho V2, which introduces: • fixed maturities • standardized claims In Morpho V2, curators' (like @gauntlet_xyz and @SteakhouseFi) can (and I expect they will) deploy vaults backed exclusively by a mix duration of BTC-backed loans. These vaults will issue Receipt Tokens, effectively representing a BTC-collateralized loan obligations ("bCLO's) which likely earn between 5% - 10% at current rates. Those claims can then further be: • traded • borrowed against • looped Now, instead of the US government manufacturing Treasuries as apex collateral, Morpho V2 lets the market manufacture a superior BTC-backed apex collateral. I expect bCLO's as collateral to be higher yielding, lower risk, and more financeable than any other collateral, including tokenized RWA's. They will become apex collateral. The next question is what funding engine can best use bCLO's as collateral themselves. 2. Apex funding engine is whatever gets lowest variable rates with highest leverage. You could use bCLO's in Aave, Morpho, Euler, etc. However, @0xfluid may have structural advantage here. Fluid is especially interesting because it pairs a borrowing and DEX protocol together. Smart Debt is a genuine 0 to 1 innovation which no one else has. It allows for Fluid to: → offset borrow costs with fees earned on stable swaps (without IL!) → have highest LTVs (95% - 98%) → create extremely deep DEX pairs (like a bCLO/USDC secondary market) and without incentives. I expect this to give the lowest variable borrowing costs possible, with the highest LTV, deepest secondary market against the best collateral. -- 3. Bitcoin ZK Verification The only missing component here is the trust assumptions around BTC in programmable ecosystems. BitGo, Coinbase, and others are excellent custodians. I genuinely trust them. But when the goal is collateral underpinning the entire onchain economy, trust-minimized BTC that functions as a neutral open standard is what I expect to win. We now have efficient ZK verification for Bitcoin that makes this technically possible -- a bridge with the highest security and lowest trust assumptions achievable without a soft fork. -- That's the full stack. Apex collateral. Lowest-cost financing engine. Trust-minimized BTC underneath it all. This is my #1 conviction across Bitcoin, DeFi and crypto. I challenge anyone to tell me what's better: What beats bCLOs in Morpho V2 as apex collateral What beats Fluid + DEX V2 as a financing engine What beats a Bitcoin ZK rollup for trust-minimized BTC programmability Tell me why I'm wrong.

@jaoleall @matthewvuk2 LIAR!

@matthewvuk2 It is not.

Moises also taught me the best açaí is from Pará

Long live the new taxonomy: digital commodities, collectibles, tools, stablecoins, and digital securities. Brazil is so lost that they are still framing everything as foreign exchange so that they can tax more and surveil the crap out of it… Where US sees “industry promotion”, Brazil sees as “containment nuisance”…

Strait of hormuz right now

@ancapcet @Primoreturnss Yes!

@Primoreturnss - 0% imposto de importação - revogação da lei das offshores - liberação do armamento civil

pessoas de primeiro mundo

@matthewvuk2 Yes solid info. Also don’t put sugar or honey. That’s for weaklings

@gringokiwi @mmerge_io @KASTxyz Yooooo you're in my hometurf!

Arrived in São Paulo Anyone going to @mmerge_io? Hit me up on TG @gringokiwi if so I'll be coming to @KASTxyz event for sure

This is how we fix the quantum menace in #bitcoin. Two stupidly simple OPCODEs that allows for 64-bit multiplication and string concatenation to generate post quantum zero-knowledge proofs using Circle STARK.

This is the permissionless innovation that has built the western liberal democracies. Unfortunately, this is becoming the exception in the world where should be the default norm!

@TurinTurambar84 @LeaoHard @ancapcet @BitcoinExplica Sim. Merece um final de semana com o que ela quiser dependendo se ela conseguir explicar o que queria fazer e o que o software criado faz

Preciso de ajuda dos especialistas. @LeaoHard @ancapcet @BitcoinExplica Minha filha mais velha foi desafiada a fazer um software simples no computador dela. Ela conseguiu mas foi usando o grok. Estaria minha filha vibe codando? Como devo proceder? Parabenizar ou castigar?

@___rikh___ @grok Do you know which star this is?

How a star looks when recording with the Nikon P1000 (125x optical zoom)

Employee resigned because he got Windows 11 instead of Mac 💀

This is a real photo of Kim Jong Un. The Internet has been blessed.

@jaoleall @stutxo Already done x.com/david_seroy/st…

@stutxo Cc @storopoli vai deixar ?

That’s why we focus on privacy tech for the commoner. It’s not a matter OF IF we get a leak or an unauthorized access but WHEN your data will be leaked or accessed y malicious parties…

This is a country deliberately erasing their legacy. That's shameful. Even being born and raised very far away from the UK I considered Churchill an amazing role model. I know at least 3 good quotes from him on the back of my mind and I admire a lot the actions and values that he held during his tenure.

@Vladcostea Drop the rice, double the brisket.

1/2 pound of smoked brisket and Mexican rice 😍 What are you having for lunch?

This is a country deliberately erasing their legacy. That's shameful. Even being born and raised very far away from the UK I considered Churchill an amazing role model. I know at least 3 good quotes from him on the back of my mind and I admire a lot the actions and values that he held during his tenure.

Every day I hate our government a little more.