Hey Andy, thanks for stopping by. I wish it was under better circumstances, in a time of more abundance and alignment.
Based on my conversations with Vivek that are focused on financial scarcity, and my own understanding of the financials - I dont think thats true. Unless you take for granted the costs that Gitcoin holdings has been incurring to support KERNEL.
You might be including a large one-time contribution to Gitcoin from a web3 partner in Q1 2021 that we booked as KERNEL revenue before it was disclosed to me that KERNEL intended to have its own brand and economics. This was a special one-time circumstance where we booked ~$350k to KERNEL in order to balance our books before leaving Consensys (eg not owe any $$ back to Consensys at month-end upon spinout). I do not think you can include this payment, which was generated through Gitcoin dealflow and only booked to KERNEL by way of this extremely special one time circumstance.
This is the first time I’ve ever heard KERNEL leadership assert that KERNEL is cash flow positive. If KERNEL is cash flow positive, that conflicts with what I’ve heard from the GitcoinDAO stewards. I’ve heard from a few of them that are under the impression that this proposal is “keep alive” funding for KERNEL.
The snapshot proposal implies to me that the next couple KERNEL Blocks would not happen without this funding. Pasting that graphic below:
I suppose it depends on the audience.
Failing to raise money from an outside funder, and having to return to past funders, is absolutely considered a signal of weakness in the web3 and web2 fundraising worlds.
But perhaps to other audiences of a different bent it is not.
It is nice to see the cultural interop between Gitcoin and KERNEL. It is also nice to see KERNEL continue to raise $$$ on Gitcoin Grants and continue to leverage access to the rolodex of partners and legitimacy that Gitcoin has built.
There are many mutually beneficial parts of this relationship that do not require extracting hundreds of thousands of $$$ more from Gitcoin to KERNEL per quarter.
Gitcoin has already incubated KERNEL. I find that fact continuously seems to be taken for granted. So when I stop taking that for granted and soberly look at this proposal - I fail to see how this proposal extends more utility back to Gitcoin at a level commensurate with the ask.
KERNEL chose independence from Gitcoin. That doesn’t mean independence only when you want it and dependence when independence is inconvenient for you. I’d like to see KERNEL follow through on becoming fully independent.
I am aligned with your goal of creating a healthy educational web. I just dont see why Gitcoin has to keep funding it.
I know that KERNEL plans to build an endowment. The analogue that @vivek explained to me was Carnege Mellon which was endowed by Andrew Carnege and Andrew Mellon - two wealthy philanthropists. The Carnege Melon endowment started with several million $$ and is now worth $3.1 billion. If Gitcoin was as financially successful as these two, enough to be a wealthy philanthropist, I think the situation would be different. But unfortunately it is not.
For context, Gitcoin has its own issues with focus and financial sustainability to figure out at the moment. Supporting KERNEL when it was supposed to have already gone independent only adds to those burdens.
There is more on this topic here: What would a Lean/Effective Gitcoin look like? ⏳
My mistake. You are right. You did stipulate a max of 3 seasons.
I too want to recognize my own limitations here. I may be looking at this in a flawed way. And I have not gone through KERNEL so I do not fully understand the community’s values and philosophy.
Let me restate that I would like to see KERNEL be very successful and create lots of good in the world. I bare you no ill will, and I hope to see you be successful. But I do believe it is outside of GitcoinDAOs primary focus right now. Which forces some hard tradeoffs.
And let me again state that I am one voice in the Gitcoin network. I do not even have any voting power in the DAO as I do not have any GTC delegated to me. I pledge to accept the legitimacy of this proposals outcome no matter what the stewards decide.
Wishing you a great week ahead too.