Thank you for the kind words and chiming in @ccerv1 @kyle @MathildaDV!
In principle we’re agnostic to whether the swap is done from the treasury or matching pool.
That said, the matching pool does not hold a substantial amount of stablecoins at the moment. Incorporating a swap from Eth to Glo Dollar into the proposal will require Gitcoin voters to weigh a lot of additional strategic aspects. This would imo make the proposal a much bigger and more difficult ask.
The power of swapping from treasury is its simplicity. Take the existing stablecoin USDC that does not contribute to public goods and swap it for an equivalent stablecoin USDGLO that gives all its yield to public goods through the Gitcoin platform.
This way Gitcoin experiences no loss of spending power and does not lose out on Eth price increases. There is only upside.
Regarding a smaller swap: with $500k we can donate at least $20k across 2 rounds of $10k each. We redistribute 100% of our earnings, we do not keep anything for ourselves to run the round.
I do want to highlight that changing to $500k would be a second reduction from the $2.5M swap / $100k grant in the original proposal. Both quantities have the same monetary cost ($0) and operational swap work involved, whilst holding more has substantially larger benefits:
- Increased Reciprocity: More Gitcoin builders will have funds to build with/for Gitcoin.
- Greater Excitement: It’s likely to generate more buzz around funding rounds, attracting builders and driving Gitcoin’s growth.
- Broader Awareness: It helps promote Glo Dollar, encouraging more users to support web3 public goods (including Gitcoin) through their USDGLO holdings.
By the way, we’ve been putting a lot of effort into making Glo Dollar as functional as USDC for everyday expenses—especially for things like paychecks and offramps.
In summary
- We think it’s best to swap against the treasury.
- We can change the proposal to $500k as preferred.
Curious what everyone thinks!