Gitcoin finished experimental CLR matching round 5 recently. There were 3 different sections Tech , Media and Health. Here we are reviewing the Gitcoin grants media round as it was the most controversial last time and hence also included negative contribution feature this time.
So let’s review Gitcoin Media grants round 5.
Detailed data and graph of Media grants round 5
- Number of projects nearly doubled from last round whereas grant amound reduced from 75k USD to 50k USD.
- Projects getting major recurrent funding were mostly same as last round except few new one.
- Total Funds CLR Match + Contribution stood at 85k USD.
- Negative funding happened very less , may be because it was not completely anonymous or people don’t like it in first place.
- Only around 1% of total contributions were negative. Three projects got most negative contribution 4 each.
- Around 37% of projects didn’t able to match any amount. It will only increase if more and more projects apply but grant amount remains same.
- Around 5% of projects unable to raise a single Dai.
- Maximum contribution to a Project was around 10k USD and maximum match to a project was also around 10k USD. All the best to both for success.
- Average contribution was around 372 USD.
- Top 5 grants got around 51% of total funds, Top 10 grants around 74% and top 15 around 85% .
- The number of projects doubled but grant amount not, which means it will get tougher and tougher to raise funds in next rounds.
- New projects won’t make cut unless they do marketing because it would be tough for anybody to look on all projects. Most projects will be supported by friends and colleagues.
- Negative contribution will have mostly not much affect untill its completely anonymous or it has some limitations which makes it a tool of redistribution rather than hate or gaming the system.
- Some one time grants was included in Media grants like events , it would be better to have a separate grants for one off events.
- Total combined funding secured by project from all previous rounds must be shown which can help in deciding which projects actually need funding vs which are over funded. Right now previous funding not showing in Gitcoin.
- We must need a minimum funding mechanism like UBI , Universal Basic Funding or UBF. All the qualified projects which didn’t raise much money but are promising are matched with UBF. UBF amount can be as small as 100-200 Dai.
- UBF for each round can be calculated mathematically by taking number of projects , matching amount available , total amount contributed. All projects which raise a threshhold will not be eligible for UBF but all those who didn’t would be. Additional elgibility will be there to check for misuse.
- Suppose if we make threshhold for UBF for this round 100 DAI , we can see that 10% cut from CLR matching from top projects can easily make it achieavable.
Taking Round 5 as example and taking 100 Dai as UBF. We see that around 41 projects has raised above 100 dai but rest not , which is more than half of total projects. Now if we redistribute some of the CLR matching from top funded projects , everyone can be happy.
According to my calculation a 10% deduction of CLR match amount from top 20-30 projects would be easily be able to compensate for rest of the projects getting a UBF of 100 Dai each without much sacrifice to top projects.
For e.g top project got around 10k dai in matching , so if 10% cut is made it still will match 9k dai , which is still great. A project getting 500 dai matching, will get 450 matching , still great.
UBF can be made compulsory or may be opt in during round starts. Mostly i think everyone should agree because its a win win for all.
Now a question may arise why should bottommost projects which haven’t raised a dime should get 100 dai UBF. In this round there are 5 project which haven’t raised a single dai. It may happen that even if project is good ,it’s new and many have not look in to it. They must get an initial support from the community.
Second thing to keep in mind that all projects getting UBF must fulfill eligibilty norms that can be set.
Giving as many projects wings to fly will help the ecosystem and community and will be a true meaning of decentralisation.
a) The project must have been created 1-2 week before the funding round, no last minute projects would be applicable for UBF
b) Identity and community check
The 5th round of Gitcoin media grants was great in many aspects as it saw increase in participation from last rounds but it also comes with its warning signs as projects will increase and Grant amount will remain nearly constant , it will resemble more like centralised systems with more collusion and heavy marketing.
It’s time to build the failsafe for next round as i anticipate there will be more than 300 plus projects lined up in next media rounds.
The increasing popularity with each round is a great sign but it’s also an awaekning call to make system more secure , transparent and equal. Let me know in comments what do you think about round 5 of gitcoin media grants.