ERC-4337 and The Smart Wallet Future
The future of onboarding has arrived with ERC-4337. Here is what you need to know.
TylerD's Market Summary
This weekend's major headlines include:
ERC-4337 and easier onboarding
Mocaverse mints today
Yuga kicks off Twelvefold
Punks trade on Blur
Owls dominate the weekend
🧠 ERC-4337 Smart Accounts - Onboarding Is About to Get Easier
What are some of the biggest issues facing crypto and NFT adoption?
Security and the difficulty of onboarding are at the top of everyone's lists.
Well, the onboarding part is going to get much easier soon.
Enter "smart accounts" and the new ERC-4337 standard, now available on Ethereum.
With ERC-4337, traditional wallets can now function like smart contracts that can be programmed with custom capabilities.
The primary goal of smart accounts is to aid in mainstream adoption, and the feature set it enables is very in-line with that goal, including social integration, removal of seed phrase requirements, transaction bundling, and more.
Ethereum Foundation security researcher Yoav Weiss broke the bombshell news at WalletCon during ETH Denver last week that the ERC-4337 core contracts had passed audit and will be available soon on every EVM (Ethereum Virtual Machine) compatible network.
That means access to Polygon, Arbitrum, Optimism, BNB, Avalanche, and more.
"The next billion users are not going to write 12 words on a piece of paper,
Weiss commented. "Normal people don’t do that."
What You Need to Know
The new ERC-4337 standard is a huge leg up for usability.
Some of the notable capabilities include:
External management (and social integration)
Bundled transactions and Pre-approvals
Social recovery in case of loss
The ERC-4337 standard enables a true laundry list of features, and this is just scratching the surface.
Expanding on a few of these to highlight some use cases:
No seed phrase and social recovery: now users can have a master key and guardians (other users, other apps, trusted platforms), and if a master key is lost, the guardians can help in recovery.
Bundled transactions and session-timed signatures: This has a huge impact for gaming, as a user can essentially pre-approve transactions for a period of time (i.e. 30 minutes for gameplay) without having to sign every individual transaction.
External management: Wallets can now be set up and managed by third parties, like social media accounts, without requiring user setup. And those external parties have new capabilities like pre-paying gas fees, enabling credit card purchasing without ETH for gas, and "zero fee" transactions.
Some of these features are not new (social recovery has been around for years), but this full combination of features certainly is and is finally coming to fruition after years of effort.
Alex has a great thread (below) expanding on some additional use cases.
ERC-4337 development and the expansion of the use cases it enables might be the single most important trend to watch for in our industry this year.
I will be following closely.
📝Mocaverse: The Next Marquee Mint Is Here
Today's Mocaverse mint may very well be the single-most hyped mint of March and maybe all of Q1 2023.
Why is it so hyped?
VC funding and a nearly impossible-to-get allowlist.
Mocaverse is backed by Animoca Brands, one of the biggest investors in Web3 with a massive portfolio of investments spanning 300+ companies, and is previously behind major games like The Sandbox.
And Mocaverse will serve as the first PFP collection for the Animoca Brands ecosystem.
One piece that's unique for Mocaverse (and a primary factor in secondary demand) is that its mints are mostly allocated for investors, friends, and family of Animoca Brands.
The parties below are eligible for Mocalists:
Not on that list? Neither am I.
This means our (and most of the traditional NFT trader pool) only chance to buy into this major PFP collection is on the secondary market.
That is a big difference from other mints which have fairly achievable allowlists or public mints and will be a major factor in demand.
What are the details?
Here are the mint basics:
Price to mint: 1 free + 1 at 0.138 ETH (for Mocalist)
Time: March 6, 5 pm ET
Who: Mocalist only
*make sure to double-check the mint site prior to go-live
There is 0% over-allocation during the first 4 hours of minting and thus should not be a gas war.
The Wormhole is the x-factor here though, which will "suck" Mocas into the company Treasury at an increasing rate throughout the mint.
That feature likely means that this will mint out fairly quickly as eligible parties will not want to risk losing their Mocas to the Treasury.
And given how borderline unobtainable the Mocalist spots were to achieve, expect some serious demand on secondary for this one.
For a deeper dive into Mocaverse, check out Elena's thread and blog post.
🚚 What else is happening in NFTs?
Here is the lengthy list of the other major headlines from the weekend in NFTs:
Trading volume came in at 40k ETH on Saturday and 36k ETH on Sunday as most NFTs chopped
Yuga kicked off TwelveFold auctions Sunday evening over on twelvefold.io, top bid already at 2 BTC with 12 hours to go
Yuga delayed The Summoning event, now kicking off on March 15
CryptoPunks are now trading on Blur in the "Wrapped Cryptopunks" collection, seeing over 1,500 ETH volume yesterday (64.8 ETH floor)
Memeland changed the reveal process for Captainz, skipping a stage, but prepares to launch questing for Potatoz this week
Doodles debut their Doodlemap, providing a visual representation of their ecosystem along with some new teasers of Doodles Records, Planets, and The Stoodio
CoinBase changed the metadata for "Base, Introduced" to match Jack Butcher's Checks in a weekend highlight, the mint closed at 485,090
Claire Silver's "Genesis" rocketed 50% to a 22 ETH floor after Claire revealed plans for a new drop coming up this week
Notable Pepes drop 5 new cards but floors fall to 0.11 ETH and 0.0129 ETH for Pepe Checks as the ecosystem loses momentum
Danny Cole, founder of Creature World, sold 38k mints in his "Crowd" open edition at a 0.029 ETH price
Owls were the talk of the weekend, minting out below 0.01 and running all the way past 0.4 ETH at peak in a 36-hour 40x for minters (0.35 ETH now)
🌎 Around Crypto and Web3
A few other Crypto and Web3 headlines that caught my eye:
The crypto market was mostly even on the weekend; BTC -0.15% at $22,400, ETH -0.4% at $1,560, $APE -1% at $4,80 and $BLUR -3% at $0.69
Yuga filed a trademark for "DON'T DRINK ME" in soft drink category, revealing potential plans for an Otherside-themed drink product while also foreshadowing the importance of the Kodas
An Ordinal Punk was traded for a package of USDC, MAYC, WoW, and BTC in one of the wildest cross-chain trades seen to date
🚀 NFT Total Volume
Owls (3,481 ETH, 0.35 ETH Floor)
BAYC (2,057 ETH, 70.7 ETH)
MAYC (1,974 ETH, 15.3 ETH)
Clone X (1,928 ETH, 4.5 ETH)
Wrapped CryptoPunks (1,541 ETH, 64.8 ETH)
📈 NFT Floor Price Increase
Utopia (91%, 0.45 ETH Floor)
byteGANs (37%, 2.33 ETH)
Valhalla (24%, 1.12 ETH)
OnChainMonkey (11%, 2.2 ETH)
Unordinals (23%, 3.15 ETH)
🗓 Upcoming NFT Mints and Reveals
Today's primary drop is Mocaverse, covered in detail above.
With such a major drop in Moca coming this afternoon, it is a shaky environment for all other new mints today as most traders will want to protect their liquidity.
The DraftKings PGA TOUR packs are the exception, in the sports sector and with a unique user base. That will be one to watch for sports fans.
Memes by 6529 (11:00 a.m. ET); 0.069 ETH mint
GRAVEYARD (12:00 p.m. ET); 0.0999 ETH mint
Art Blocks Presents: Mellifera (12:00 p.m. ET); Dutch auction
Reignmakers PGA TOUR - PGA Genesis Packs (5:00 p.m. ET)
Mocaverse (5:00 p.m. ET); 0.138 ETH mint
Moonie Moo Genesis (6:00 p.m. ET); 0.055 ETH mint
Enjoy this write-up? Follow along with me on Twitter @tyler_did_it or reach out via email email@example.com.
For all volume and floor price data, see Lucky Trader's Project Rankings page.
For all upcoming mints, see Lucky Trader's Project Schedule page.