Following community discussions and previous successful collaborations with the Glo Consortium, we’re proposing to delegate our existing $100K worth of GloDollars specifically for funding public goods. This proposal aligns with our mission to utilize decentralized finance tools for societal benefit.
You can find the original proposal here. Thanks to @garm @jengajojo and @CoachJonathan for support on drafting this update.
We propose the delegation (in this case referring to donating the yield) of GloDollars to directly fund chosen public goods using Glo Dollar 2.0. This proposal does not directly fall within our core operations of financial diversification but is in harmony with our broader mission to fund impactful initiatives. The unique mechanism of GloDollar allows our community to engage in Public Goods Funding passively, while continuing our mission directly.
A quick recap - Understanding GloDollars, Public Goods Funding and Gitcoin’s Participation
TL:DR GloDollars generate yield through the earnings on reserves backing the stablecoin. With Glo Dollar 2.0, this yield is automatically directed to fund public goods and charities—a process GloDollar term’s “Automatic Public Goods Funding” (AutoPGF).
Here’s how it works:
- The reserves that back GloDollars generate a financial return. These reserves are managed to ensure stability and profitability.
- Through AutoPGF, the yield from GloDollars within the "Web3 Public Goods” is allocated to various charitable causes which are: Gitcoin, Giveth and Protocol Guild. GloDollar holders can influence where this yield is directed via the GloDollar platform, choosing from a range of public goods and charities. Read more here.
- The term “delegate” is used to describe the process whereby GloDollars are allocated to generate yield that is then directed towards funding public goods. Delegating GloDollars does not involve transferring ownership or voting rights. Instead, it involves directing the financial benefits (yield) generated by these stablecoins to support chosen causes, without the need to donate the tokens themselves. For more detailed insights, you can visit GloDollar’s recently published page: How We’re Funding Public Goods.
Upon approval, we will proceed to work with GloDollar to manually delegate the amount of GloDollars in the matching pool to fund public goods for a period of 12 months from the funds sitting in the multi-sig. At the end of this 12 month period, as per the initial agreement - we can choose to keep the funds or initiate the swap back for $100K USDC to the Matching Pool after the delegation period.
We are committed to transparency and will keep the community informed about significant developments regarding our GloDollar activities. We value your input and engagement, which are crucial in steering our collective efforts toward the most meaningful impacts.
*once the community has weighed in on this update, we can move to a formal proposal or as an update on the original proposal here.
Yes: Approve the delegation of GloDollars for the funding of public goods.
No: Do not proceed with this delegation.
Abstain: Choose not to vote on this proposal.