Threshold

There exists a significant disparity in current public goods funding. It's heavily skewed towards large projects, which command considerable community mindshare, while small to medium scale projects struggle due to a lack of resources. Retroactive Public Goods Funding (RPGF) currently serves those with the capacity to dedicate months or even years to open-source projects. In contrast, pre-funded grants have proven manipulable in bull markets, allowing for under-delivery and unreasonable profit-making.

Furthermore, recent issues with Gitcoin have revealed how preconceived notions of diversity and other arbitrary metrics can lead to unfair distribution of public goods funding. It's clear that a new approach is needed.

Our solution is to introduce threshold-based grant lotteries, building on the concepts and incentives that have turned the venture capital industry into a $500 billion powerhouse. We're leveraging the capabilities of new social oracles, like Clique2046, that enable on-chain, trustless grant payouts. We'll employ sybil-resistant metrics - for instance, consider a developer of a Solidity testing framework. The number of projects reliant on your public good and their associated github stars would be key factors. Growth targets and subsequent funding increases will be set accordingly, incentivizing you to enhance the projects that depend on yours.

Our proposal hopes to trigger a trickle-down effect in funding, but it's not a dependency. We believe that the best talent scouts are those who've been in the trenches themselves - a principle that has led Sequoia to become one of the largest VC firms. Similarly, in public goods funding, a fixed percentage of each grant can be assigned to finance dependent projects, the success of which would further increase funding for the parent project. This structure is a strategic move to avoid falling prey to "Goodhart's Law" - the paradox where a measure of success loses its value once it's targeted as a performance indicator.

We're keen to infuse this new perspective and methodology into public goods funding, to create a fair, incentivized, and sustainable ecosystem for projects of all sizes.

While this project is still in the idea stage, a potential stack could look something like this...

Solidity: primary language for creating the smart contracts that control the grant lottery system, including the allocation and distribution of funds. Clique: social oracle for validating Github data connected to developer activity Llamapay- for trustless grant payouts, adding a layer of trust and transparency to our project Foundry: for all smart contract related infrastructure including deploying, testing, and developing