Yo @Raggar … thanks bro… i going to study that code and see if i can tell what is going on with my shit. I still dont see how local time can be used to check against the entity.timestamp…
For me… the entity.timestamp is set at the server using the serverTime… Which starts a ZERO when the server room instance is created in match making… then ticked with the the server delta time in the server game loop running at 60 fps. How the heck is the local time used for that in a real server situation.
I gotta take time to study what is going on in your code example. THANKS FOR THE EXAMPLE 
P.S. I dont know if its just me but i still see a bit of jitter in the example with interpolation. Just a little… It is not as smooth as the green cube. I dont know if that is just as good as it gets for networking or what… Should i NOT expect the movement of the network entity to EVER be as smooth as local movement, even with interpolation ???