Podcast notes – philosopher Simone Weil on attention, human dignity, and factory work

“philosopher simone weil teaching a class of students under a big tree, photorealistic, renaissance art style”

Link to episode: https://philosophizethis.libsyn.com/episode-172-simone-weil-attention

Podcast: Philosophize This!
Topic: Simone Weil (SW)

1928 – Simone accepted to Ecole Normal Superior – Sartre, Derrida, Foucault
One of 11 in her class, only woman
Scored highest marks – second was Simone de Beauvoir

SW tried to live by the values she espoused – a living philosophy
Died at 34 from tuberculosis, arguably from hunger bc she wouldn’t accept more food due to the widespread famine

As a teen, taught herself Sanskrit so she could read Bhagavad Gita

Camus said she was “the only great spirit of our time”

Importance of attention, the ethics of attention
The quality of attention dictates every experience that you have

Different experience of everything you do is available to you – depending on how you choose to pay attention
ONLY if you’re open to receiving it

Most people fall into default state of attention – based on biology and habits

School education – one of first places we learn to pay attention

After graduation, SW gets a job teaching, unique style
Her class would sit under a tree and just think about new problems in a field (eg, geometry)
Encouraged students to think openly and creatively

For complex problems, by default, people search for answers, and settle into incomplete answers, and then it’s about defending your position and finding people who just agree with you
Hardest job of teaching is to change this collectivist way of thinking

Instead, accept that everything you believe is a partial truth, seek new experiences, without agenda

Our thought should be empty, open, not seeking, ready to receive

Concept of “passive activity”
Strike a balance between completely passive and completely in control / aggressive activity
Middle path – put in effort, but remove your personal prejudices, detached from your self

“The great human error is to reason in place of finding out”

She could’ve lived a very comfortable life, but chooses adventure / new experience
Went to the trenches, joined front of Spanish Civil War, lies and says she’s a journalist! Despite being far sighted
Act of courage based on moral conviction
Accidentally steps into pot of boiling oil, scalded badly

Quit job as a teacher
For months, she does physical labor in an auto factory to better understand the working class / worker life
Learns that the main priority of these jobs is the “quota”, the output – matters more than the people
Impossible for these workers to think about other stuff – must meet quota
Thinking is the first thing to go
Means to an end for someone else’s economic goal
Made into a modern day slave / robot
Zero connection to what you’re producing

Concludes that the biggest thing these factories produce (in workers) is affliction, a spiritual malaise
Affliction is when people are transformed from human begins into things – and they’re incapable of thinking their way out of this stuck place of existence

Force is to humans as gravity is to physical world – what makes things happen
Power itself isn’t the problem; the problem is the “pursuit of power”, in this pursuit people will be turned by others into instruments

As remedy, could focus on Political change vs. Spiritual change

All it takes is one person to see things differently to inspire change in others

Suspend your own personal agenda, see others as they are

Podcast notes – Sam Kazemian (stablecoin founder) on Bankless: “Curve is like WordPress of stablecoins”

These notes are a bit old (from April 2022). I thought I’d already published them, but couldn’t find it on my blog or twitter so…

Guest: Sam Kazemian
Host: Bankless

Sam got into crypto via GPU mining
Worked on wikipedia competitor
Started Frax Finance

Got in crypto 2013, UCLA student, mining dogecoin
One of first to signup for ETH newsletter in 2014 (Vitalik talking about counterparty and colored coins)

First “stablecoin whitepaper” was Robert Sam’s seignorage whitepaper
Two token system – stablecoin + share token / volatile token to represent seignorage / cashflow

Click to access A-Note-on-Cryptocurrency-Stabilisation-Seigniorage-Shares.pdf

There’s a WordPress of stablecoins now – cookie cutter playbook, infra is there
Will be Cambrian explosion for next 12 months

Stablecoins are one of 3 multi trillion dollar crypto narratives
1. Bitcoin
2. ETH
3. Stablecoins
Each are unique assets

Tells short story about central banking – from JP Koenig blog
https://jpkoning.blogspot.com/2018/03/more-fiatsplainin-lets-play-fiat-or-not.html

USDT
Start with each piece of paper has $1 USD behind them
Then limit or reduce redemption
Then say don’t have 1:1 redemption, but have these other assets

Frax created concept of fractional algorithmic stablecoin
Never broken peg (1cent plus or minus from $1)
Billions of dollars of onchain liquidity
Frax is partial claims on hard money

RSA: Type 1 Hard money > Type 2 Claims on hard money > Type 3 Fiat money

Frax launched with Frax and FXS
Last week launched price index stablecoin
Frax is $1 stablecoin
FXS is governance token (named after Robert Sams whitepaper)
Algorithmic = expand or contract based on minting or burning FXS
Some people would say 100% collateralized, just part of collateral is FXS (but kinda circular bc it’s kinda like being backed by itself)
Hard assets / reserve = DAI, USDC, CRV emissions, protocol liquidity
Frax is mintable on 12 chains, lots of L2s

versus UST (all algorithmic, aside from Luna tokens and recent BTC purchases)
UST moving more toward fractionalized with recent BTC and AVAX purchases
Only difference is collateral ratio

Maker DAO started with fundamentally sound reserves = $1 stablecoin backed by $2 worth of other assets
Over time, everyone’s learned it’s extremely difficult to issue a USD stablecoin without having lots of actual USD / hard assets
Even Terra works closely with Jump and other market makers
If you want to autonomously be a Central Bank (Terra, Maker, Frax are the big 3) – you need hard assets to do it

When redemption window is open (1/3 of one cent off) – can redeem, get a mixture of assets – get USDC and FXS minted at current collateral ratio
So even last redeemers will still get equal pro-rata shares of the different assets as everyone else – so no benefit to redeeming first
And as the peg is off by 1/3 of one cent+, the collateral ratio increases

Entirely onchain, extremely decentralized approach
No legal entity – there’s no off chain assets

Frax takes some of algo stablecoin scalability (Terra), but reduce risk of bank run / crash (Maker)

Lots of stablecoins will move toward Frax model – question is what collateral ratio?
Maker is 150% (?)
Frax is 85%
Terra is 10-20% BTC
People focus too much on collateral ratio and not enough on ability to keep the intended $1 peg

Terra really good at strategy, adoption, also a lot of market making activity from people with interest in Terra / Luna succeeding – eg, Jump Capital – other people with billions of dollars to ensure the $1 peg
No market maker is willing to do this without incentives
Thus all onchain stablecoins like Maker and Frax need USDC

Frax has 40s% USDC / Tether exposure, less than Maker at ~50-60%
Trying to wean off USDC / Tether

Mim – overcollateralized model – tried to work with them but had Sifu episode
Used for a lot of degen leverage
Great ex of overcollateralized – but still risky!
Risk is summation of all market activity

“Frax is as safe as DAI”

“UST is way more safe than people think” – lot of people have very strong interest in UST peg – difficult to quantify, but MUCH safer than the idea that “there’s nothing here” – if actually true they would’ve collapsed in those crazy downturns / dips

Big 3 – UST, Frax, Dai

What drives FXS price?
Can be staked as veFXS – Curve model – 1 week to 4 years – can’t be transferred – then have veFXS balance – get cash flow from profit of Frax market operations
APR is 4.7%, can vary from 3-20% depending on profitability and yield opportunities – entirely cashflow
Entirely self sufficient actual profit, not token emissions

Frax has $2.7B supply – ~$200M of annual revenue

What is FPI?
Second stablecoin in Frax ecosystem (after Frax itself)
First one pegged to CPI of federal gov’t
Custom Chainlink oracle – designed with Chainlink and Vault (Volt?) projects
Worked on it for one year
Grand vision – evolution of stablecoins will look like evolution of central banking – eventually will peg to our own definition of exchange rate, not some external exchange rate
That’s what FPI is – “final evolution of onchain stablecoins”
Eventually weight of basket of goods for CPI will be entirely onchain – not reliant on government or centralized data source
Today was highest CPI reading in 40 years – 8.5%
Can mint FPI with Frax
Eventually FPI can float against dollar

Curve wars / Curve4 pool
New Curve stablecoin liquidity pool
Removing liquidity from DAI (3 pool) and point towards 4 pool (UST, Frax, USDC, Tether)
Talked to Do for awhile – not a surprising move – one of smartest and most ambitious guys in space
Known Do since 2018, when he started Terra, he’s very good strategist
Currency success = how many people using it, how much economic activity it supports, and a mixture of uses is important

Curve is like WordPress of stablecoins or pegged assets (stables, ETH & stETH)

Nothing wrong with Maker / DAI’s strategy – if they wanted to do DAI 4-pool, Frax would work with them like all the other stables
They take a thorough, slow, methodical approach to governance
Maker isn’t as interested because they don’t see Curve at same importance as Frax or Terra
Frax and Terra are aggressive about growth – want your currency anywhere there’s economic activity

Curve is more than just a DEX, it’s an algorithmic savings account, get yield on it
Some people think it’s just a Ponzi game but they’re mistaken
Frax has largest CVX holdings, Terra also has a lot, but Maker doesn’t
4-pool will be massive when it gets going
Just launched on Arbitrum, Fantom and Polygon are already available
“Will be the savings account for very large part of crypto industry”

Stablecoin pegs are stronger together – focused on positive sum innovation

Frax has been spot on with thesis of fractional algorithmic stablecoin, and now FPI (first CPI-pegged stablecoin)
In 12-24 months, will be consolidation around 3-4 decentralized stablecoins
Are BTC / ETH better as inflation resistance or as “central bank reserves” in crypto
Do Kwan kickstarting BTC as gold narrative, Frax doing same for ETH
So inflation resistance crowd will be captured by stablecoins like FPI, and BTC / ETH will be perfect reserves

And this is a “fractional crypto stablecoin, anime style” according to Stable Diffusion:

Podcast notes – Sam Kazemian (Frax founder) on Blockcrunch: “Bear market is bull market for stablecoins”

Guest: Sam Kazemian (Frax founder, Everipedia founder)
Host: Jason Choi

Defi needs more zero-to-1 moments

Excited for FRAX’S FPI – stablecoin pegged to CPI instead of USD

Defi blue chips trending towards the “Trinity” of stablecoin, lending, and liquidity – clearly the future, strong network effects + consolidated value – it’s the original Defi stack
AAVE adding lending and stablecoin; CRV adding stablecoin; Frax has all 3; Binance does too

Frax is fractionally backed
-Didn’t believe in purely algorithmic stablecoins (like Luna)
-Claimed early that Basis and Terra don’t work
-They’re like banks with no reserves
-Frax is 93% backed by exogenous assets – protocol liquidity, stablecoins – closer to Dai than Luna
-worst case Frax will only de-peg to $0.93
-but 80+% of collateral is USDC (centralization risk)

Stablecoin trilemma – based on Vitalik’s blockchain scaling trilemma (throughput, scalability, decentralization)
1. Tight peg
2. Decentralized collateral
3. Capital efficiency
Fully decentralized ones – eg, RAI, LUSD – collectively don’t add up to much liquidity, hard to scale

“Bear market is bull market for stablecoins”
Expects Frax will approach 100% collateralized if the bear market lasts another year or so

Dai is $7B, Frax $1.5B stablecoin circulating supply
Would love for both to reach $1T supply
To get there, more economic activity needs to occur onchain – but whole industry mcap is only $1T right now

What’s he interested in angel investing?
-Really interested in L2 / scaling roadmap
-Hardware to accelerate ZKPs
-new innovative stability mechanisms for stablecoins
-new lending / liquidity methods

Here are older notes from Sam talking about Frax, Terra, Do Kwon, Curve, and more on Bankless

Podcast notes – Tyler Cowen on Lunar Society with Dwarkesh Patel – “Existence of sex is most pessimistic thing there is”

Guest: Tyler
Host: Dwarkesh

Went to India for 6th time, read 100s of books, but traveling there is a deeper and different kind of knowledge
Prefer traveling over reading

What is Conquest’s law (note to self)

Doesn’t see left v right (eg, left wing, leftist politics) as consistent and historical categories

Doesn’t buy that famous / successful people in the past were more abused or had harder childhoods – lots of selection bias, historical bias

Disappointed at how geographically clustered “talent” is – today it’s places like London, NYC, etc
These talent clusters have been such for a long time – seems like an enduring effect
Talent comes from many different areas, but always migrates to these clusters – how good are these clusters at producing talent, versus attracting them?
Problem for SF – may be a more temporary cluster, not much historical persistence

Why did Renaissance blossom in Florence and Venice but not Milan? Hard to understand

High status thing to do is feign humility

Well-dressed 20 year olds (eg, suit / business) are too conformist for what he’s looking for

Nootropics – don’t personally like it, but does seem to work for some people

Doesn’t drink coffee

Believes 15-17 year olds among most neglected talented people – high schools should invite real local experts to talk to them

The best moral instruction (in classrooms) are teachers being good people

“Context is that which is scarce”
Kids learn a lot of context in school – even if they can’t memorize as many explicit facts – it’s the residual, it’s what matters

“Super talented are best at spotting other super talented individuals”
There are exceptions, not a science, but there’s some art / intuition to it

Will sometimes chew out certain people, try to light a fire under them

Not an EA (effective altruism) person, but like libertarianism it will continue for quite a long time
Need more religions – in the meantime EA will do

Emergent Ventures – applicants are remarkably bi-modal distribution – pretty clear who makes it vs doesn’t make it
Believes a lot of foundations give out too many big grants, not enough small grants – small grants are under-rated

Believes mental stamina / energy can increase significantly (eg, 30%) – but some people are gifted super stamina

Lots of geniuses can’t get out of bed in the morning – they’re stuck and you should write them off

Top level athletic performance is very cognitively intense – this is under-rated – you have to be really smart to practice, lead a team, outsmart competition, “very g-loaded”

“Whoever is the top gardener [in the world] – I suspect I would be super impressed by”

Should be more bullish on immigrants from Africa – hard to get out, so it’s a positive sign

US not into demographic decline yet – maybe so in Japan

Doesn’t worry as much about woke ideology – “if that keeps you down…I’m not so impressed by you”
“Europe isn’t woke enough in a lot of eyes… chauvinist, old fashioned”
Europe is less egalitarian (than America) – Paris is the extreme by status; too few dimensions of status competition

YC more like scalable business school now – could be stale in good sense like Harvard is stale

Novelists can blossom much later, very discrete act – won’t really know until you do it – makes it harder to predict talent

Existential risk matters more than almost anyone thinks – but the things we do to eliminate them are more typical than most EA believers think – also over worry about certain types of risks, “not epistemically modest enough”, eg, AGI alignment

After a modern nuclear war – humanity permanently set back, medieval living standards, feudalism, more violence – no reason to assume you just bounce back, more problems will appear after – crop failures, climate change, disease

“Existence of sex is most pessimistic thing there is” – can’t just stand still or you will die / be defeated – thus sex as requirement to force genetic diversity

Growing up, read a lot of sports and chess biographies

Has blogged for 20 years – importance of constancy – like a public biography

If only had 5 years to live, would focus more on Emergent Ventures – institution building and talent spotting

Most talented people have unique philosophies / worldviews – eg, Peter Thiel (on Gerard, one heretic belief) – need unique way of looking at the world, protects you from other peoples’ idiocy

Doesn’t bet as much on single ideas unlike, eg, Jordan Peterson – rationale is he wants to stay as broadly relevant for as long as possible

Leading by example is number one way we teach – specifically referring to his students at GMU (?)

Bloggers – as people who write publicly on regular basis – have been around for centuries – will survive a long time
Substack encourages posts that are too long, too whiny, too focused on a few topics

The more that progress advances, the easier it is to destroy things, easier to destroy than create – to square his short-term optimism with his long-term pessimism

Fukuyama has changed views often – one of his views is that rest of history is how we’ll manipulate biology
“Are you long the market or short the market?” – one of Tyler’s favorite forcing questions

And this is what Stable Diffusion thinks is a “lunar society, podcast interview, two people”:

Podcast notes – Atom 2.0 with Zaki Manian and Sam Hart on Blockcrunch – “Pluralism is the way of Cosmos”

Guests: Zaki, Sam
Host: Jason Choi

Kyle Samani tweet: Solana = fat protocol thesis, while Cosmos = appchain thesis

Zaki – Cosmos origin is pluralistic view, a language / set of components to build a network of blockchains

Sam – architecture gives you a lot of control as an app designer, a next-gen platform, very customizable

2019 – Cosmos Hub launches, go to market – first production PoS; Binance uses SDK to build Binance chain; Akash, Kava launch

2020 – IBC ready and launches; then Osmosis launches; a giant forest of blockchains begins to grow

2021 – protocol controlled value / liquidity, MEV, shared security – can incorporate these primitives into ATOM and build a great value accrual story

Jason: initially didn’t think people would pay for Polkadot’s parachains (DOT), and that Cosmos ATOM didn’t have a great value accrual story

New monetary policy
-Existing target is 2/3 of tokens staked (when issuance rate changes)
-Now introducing liquid staking – remove the adaptive issuance model
Extra initial issuance to kickstart process, but lower tail emissions – lots of community debate about this
-ATOM should capture real revenue

Will not nominate a single liquid staking protocol as the default – let the market choose among staking solutions

“Pluralism is the way of Cosmos”

Interchain security
-Appchains can rely on Cosmos validators to secure their own chain (similar to rollups on Ethereum)
ATOM validators will also validate consumer chains (the appchains)
-Help align communities between appchains and ATOM holders

Interchain scheduler
-buy / sell NFT for block space at a specified future time
marketplace for block space futures
-protocol can guarantee delivery of these NFTs

What reason for an app chain to integrate scheduler?
-it’s purely elective, no requirement for use
-eg, for Osmosis, gives them way to consolidate management of multi-chain MEV

Cosmos new chains will ask, how to align with builders / community
-right now it’s only info sharing
-but there’s demand for economic integration

Interchain allocator
-tool for Cosmos hub to hold and delegate assets
-new governance features to allocate funds across community

Cosmos shared security philosophy
-Cosmos rejects random committee based security – eg, sharding, Polkadot, Near
-converging on shared security that’s robust – mesh security, interchain security (different use cases for each)

Cosmos chains are generally all heading toward economic and political integration

Jason – Atom 2.0 – creating a more unified economy and more value flow back to $Atom

Timelines
1. Liquid staking developed by Iqlusion – ready to be merged into Cosmos SDK
2. Interchain security – live by January / Q1 2023
3. Allocator – R&D for 3 months, still a lot of open questions
4. Governance – groups module has been written