Podcast Summary: “Crypto Is About To Go Parabolic - Here’s Why | Avery Ching, Aptos Labs”
Released on February 2, 2025, on “The Wolf Of All Streets” Podcast hosted by Scott Melker
Introduction
In this episode of The Wolf Of All Streets, host Scott Melker engages in a deep conversation with Avery Ching, the co-founder and CEO of Aptos Labs. The discussion centers around the impending surge in cryptocurrency’s value, driven by technological advancements, regulatory tailwinds, and robust adoption metrics from the Aptos ecosystem. Ching provides insights into Aptos’s performance, the state of the crypto market, and future projections for DeFi, NFTs, AI, and more.
State of Aptos Coming into 2025
Ching begins by highlighting Aptos’s remarkable growth and resilience throughout 2024 and into 2025. He emphasizes Aptos’s capacity to handle high transaction volumes seamlessly.
“Setting the daily mainnet transactions in 2024 four times, topping out at 226 million transactions in a single day, more than 3,700 transactions per second, and no disruptions, no downtime, no increasing gas costs.” [02:04]
Key Metrics:
- Transaction Throughput: Aptos achieved over 3,700 transactions per second, surpassing traditional credit card processors like Visa and MasterCard.
- Growth Recognition: Electric Capital recognized Aptos as the second fastest-growing ecosystem in Web3.
- Active Users: Daily active addresses recently reached approximately 1.3 million, indicating significant user engagement and network adoption.
- Total Value Locked (TVL): Experienced a 10x growth, underscoring increased investment and liquidity within the platform.
User Adoption and Key Applications
Melker inquires about the practical applications driving user adoption on Aptos. Ching details several standout projects that have captivated users and expanded network usage.
Top Applications:
- Chingari: A social media platform from India driving user engagement.
- Kgen: A gaming infrastructure company enhancing the gaming experience on Aptos.
- Aragon & Stan's: Gaming platforms attracting significant traffic and participation.
Ching also discusses the surge in DeFi protocols on Aptos, such as Arie, Amnis, Iconia, and Salah, which leverage Aptos’s scalability and low fees to innovate within the finance sector.
“Leveraging the most scalable network, the cheapest fees and also the fastest latency.” [05:08]
Technological Advantages of Aptos
A significant portion of the discussion focuses on what sets Aptos apart from other blockchains in terms of speed and cost.
Speed:
- APTOS BFT Consensus Protocol: Designed for low latency operations in a decentralized environment.
- Pipeline Design: Incorporates data dissemination, consensus, parallel computing, parallel execution, and proof verification to maximize throughput.
“We paralyzed it, we pipelined it, and now it just, you know, a matter of kind of tuning those parameters to get even, even more performance out of it.” [09:46]
Cost Efficiency:
- Economic Design: Costs are minimized by focusing on infrastructure expenses rather than extracting profits from transaction fees.
- Competitive Fees: Aptos gas fees are significantly lower than competitors, making microtransactions viable.
“The cost of USDT across kind of all the different options. Aptos is, I think on order of two, cheaper than everybody else, even cheaper than Tron.” [12:14]
Regulatory Environment and American Innovation
Ching expresses optimism about the shifting regulatory landscape in the United States, citing support from the new administration towards crypto innovation.
“Trump launching a coin on Aptos and pointing David Sacks as crypto czar, AI czar has been a great steps forward in this process.” [20:16]
Aptos, being an American chain named after a city in California with roots from Meta and Facebook, stands to benefit from increased governmental support and a more favorable regulatory environment.
DeFi, Real World Assets (RWA), and Future Innovations
DeFi Evolution: Ching envisions DeFi transforming to integrate seamlessly with traditional financial systems, offering better trading venues, payments infrastructure, and higher liquidity.
“Aptos is ready for every single workload in Web3 combined and put together.” [22:51]
Real World Assets (RWA): Institutions like BlackRock and Franklin Templeton are beginning to issue money market funds on Aptos, indicating a growing trust and adoption of blockchain in traditional finance sectors.
AI Integration: Ching discusses the integration of AI with blockchain, highlighting collaborations with Microsoft to develop AI infrastructure for real-time data and developer assistance.
“AI can help developers onboarding to Move, making programming more accessible.” [42:02]
Future Outlook: 2025 and Beyond
Ching projects a massive acceleration in crypto adoption in 2025, driven by scalable infrastructure, regulatory support, and innovative use cases in trading, payments, and RWAs. He anticipates that major institutions will increasingly integrate with Aptos, fostering broader mainstream adoption.
“2025 is that year where we start to see major, major adoption of infrastructure usage because infrastructure is ready.” [24:37]
Token Utility and Ecosystem Growth
The Aptos token serves multiple purposes within the ecosystem:
- Transaction Fees: Facilitates low-cost transactions.
- Network Security: Enables staking to secure the network.
- Governance: Allows token holders to vote on network upgrades and governance proposals.
Ching hints at upcoming token launches from ecosystem partners, which will further enhance liquidity and user participation.
“The Aptos token is a way to pay fees in the network, secure the network through staking, and participate in governance.” [49:07]
Engagement and Community Building
Ching encourages developers and investors to engage with the Aptos ecosystem by using the Petro Wallet, exploring DeFi applications, and participating in ecosystem activities. He highlights resources and support available for new developers looking to build on Aptos.
“Download the Petro Wallet, you can use it on mobile, desktop browser, start exploring DeFi, play some games, buy tickets.” [51:15]
Conclusion
Avery Ching’s insights paint a compelling picture of a crypto landscape on the brink of significant growth, with Aptos positioned at the forefront due to its technological prowess, strategic partnerships, and favorable regulatory environment. As the infrastructure scales and adoption metrics soar, Aptos Labs is set to play a pivotal role in shaping the future of decentralized finance and broader blockchain applications.
Notable Quotes:
- “Setting the daily mainnet transactions in 2024 four times... more than 3,700 transactions per second...” [02:04]
- “Leveraging the most scalable network, the cheapest fees and also the fastest latency.” [05:08]
- “We paralyzed it, we pipelined it...” [09:46]
- “2025 is that year where we start to see major, major adoption of infrastructure usage because infrastructure is ready.” [24:37]
- “Aptos is ready for every single workload in Web3 combined and put together.” [22:51]
- “Aptos token is a way to pay fees... secure the network through staking, and participate in governance.” [49:07]
This comprehensive summary encapsulates the key discussions, insights, and forward-looking statements made by Avery Ching during the episode, providing listeners with a thorough understanding of Aptos Labs’ position and the broader crypto market dynamics heading into 2025.