The episode begins with a daily briefing format covering three main Ethereum developments. Ethereum researchers have launched a proof of concept for native rollups under EIP-8079. This demonstration shows a full native rollup on Ethereum using the Etherex execution client. The proof of concept showcases Layer 2 blocks settling on Layer 1 via the execute precompile. It also demonstrates Layer 1 to Layer 2 deposits and contract deployment with cross-layer calls. Additionally, it shows Layer 2 to Layer 1 withdrawals. EIP-8079 exposes Ethereum's state transition function through a new execute precompile. This enables native rollups that inherit Ethereum's correctness directly without separate ZK proofs or fraud proofs. The proof of concept successfully demonstrates the feasibility of this approach. Separately, Avis suffered a misconfiguration in its Kappa Oracle system. This triggered approximately $21 million in WSTE's emode liquidations across 34 accounts. An incorrect Kappa Oracle update on Avis V3 caused the protocol to use an exchange rate about 3% below market rate. This discrepancy pushed several leveraged positions into liquidation. The Correlated Asset Price Oracle is a system designed to safely price correlated assets. It protects lending markets from Oracle manipulation attacks. According to Chaos Labs, the incident was caused by specific technical failures. The episode maintains a news briefing format with technical details about both developments.
