March 26, 2019 @ Distributed Global - Rabbithole Talks is a monthly CoinFund meetup, focused on doing deep dives into innovative token economics and technical design decisions for interesting blockchain-based projects. Open Source Sustainability in The Blockchain Era by Kevin Owocki Open source powers billions of $$$ in economic value for the world. Billion dollar companies are built on Open Source Software. Why, then, is Open Source often built on the backs of volunteers? Why does Open Source lack a business model? Blockchain technology has the potential to solve the age-old problem of Open Source Sustainability. If we value Open Source Software, and with blockchain, we can program our values into our monetary system, can we build a new developer ecosystem that values Open Source Software? In this talk, Gitcoin's founder, Kevin Owocki, will explore the emergent blockchain Open Source Ecosystem, and share insights from the millions of $$$ of OSS transactional value that the Gitcoin network has facilitated. Kevin Owocki is the founder of Gitcoin, a platform that gives Open Source software developers the opportunity to build, collaborate, and thrive in the emerging blockchain ecosystem. Kevin has a BS in Computer Science, 10 years of engineering leadership experience in startups and Open Source Software, and is a community organizer in the Boulder Colorado Tech Scene. You can find out more about Gitcoin at https://gitcoin.co and Kevin on his personal website : https://owocki.com

1. OSS Sustainability in
The Blockchain Era
A New Hope

2. Hi!

3. @owocki@owocki
I’m here to talk about Open Source.

4. @owocki@owocki
I’m here to talk about Open Source.

5. Who Cares?

10. Who Cares?
Software Developers
Data Scientists
Designers
TLDR - People You Need to Surround Yourselves
W
ith to Build a Digital Product

14. But there is a problem.

15. @owocki@owocki
This is cool,
Thanks for your
work!
It’s cool, but can
you make it do
this?
Quit
Quit
Why haven’t you
fixed it yet?

17. @owocki@owocki
Time
Burnout
Create Value
Learning
Life as a Maintainer

18. How do we solve this problem?

19. @owocki@owocki
How do I
#FUNDL my
projects?

20. What has been tried before?
Asking Cloud Hosting Platforms
nicely to pay for their massive use
of Open Source.

21. Donation Buttons SaaS Copyleft + paid license Get hired
Bounties Open core
Side project while
employed
Crowdfunding (1x/recurring) Foundations Grants
Merchandise VC Consulting
Sponsorships Restricted license Paid support
What has been tried before?

22. @owocki@owocki

23. We can do better

24. @owocki@owocki
But @owocki,
I don’t have
any hope this
will change.

25. Organizing Principle Catalyst Mantra
web2
Don’t be EvilFirm
web3
Can’t be EvilNetwork
The shift to Web3

26. 1. We value Open Source maintain.
2. With programmable money, we can program our values into our money.
3. We can make Open Source profitable to maintain.1
ST
PRINCIPLES
1. There’s $100 billion - $900 billion in market cap.
2. Everyone needs Devs.
3. Everything is increasingly built Open Source / Remote.
1. The internet brought us 1000x usage of information services (IM, Email > USPS)
2. The blockchain can bring us 1000x usage of financial services (??? > Old Tools)
3. What is the breakthrough application for finance?
Design Space : Blockchain + Open Source

27. This is the design space that
we work on at

28. thx=
The Dream

30. Kevin
(Funder) $$$
Access
Coders
Double Sided Market
$$$ from the
EF/ECF/Consensys
Dev Community

31. Nov 2017
Launch
350+
Funders
19,000+
Developers
3,300+
Transactions to 760
unique coders
gitcoin.co/results
Results
TOTAL PLATFORM VALUE $1mm(ish)

32. Results
Our “Mesh Network of Human Beings”
Nov 2017
Launch
350+
Funders
19,000+
Developers
3,300+
Transactions to 760
unique coders

33. Here are five options I’m very
excited about.
<examples>

34. 0. Benevolent Billionaires
- Funded by billionaires &
corporations
- Rely on hope for common
good.
- millions in investment
- Governance: Capture;
Not always so benevolent

35. @owocki@owocki@owocki
0. Benevolent Billionaires

36. 1. MolochDAO
- Minimum Viable DAO
- Donation based
- Membership/Proposal based
- Simple Majority
- Raised $275k so far.
- Governance: Ragequits
provide an exit path.

37. 2. MicroDonations
- Build Donations into
Wallets
- 1000x use case of
blockchain.
- Only affects wallets
- Could raise $2mm/year
- Opt In

38. 3. Inflation Funding
- EIP 1789
- (Disclosure: I am the Author)
- Inflation Funding for OSS
- 10% increase in block rewards
takes us from 4% => 4.4%
inflation
- Could fund up to $100m or
1000 devs / year (bear market)
- Problem: Governance

39. 4.
Provides recurring, passive revenue from
non-tracking contextual ads.
> 100 publishers> $15k MRR 1mm+ impressions monthly

40. - Decentralized Patreon
- Recurring Revenue for OSS Projects
- Uses EIP 1337
5.
- Raised $110k so far
- No Governance Issues

41. Matching Funding for OSS
Constrained Capital Liberal
Radicalism (CLR) + Grant
Matching
+
More contributed to OSS
=

42. @owocki@owocki@owocki
How CLR Works

43. How CLR Works
The amount received by each
project is
~ the square of the sum of the
square roots of contributions
received

44. How CLR Works
CLR is mathematically optimal*
for finding out which projects
people care about.
* read Radical Markets by Glen Weyl!

45. @owocki@owocki@owocki
Round 1 ($25k): February 2019

46. There’s still time to get your
contributions matched by 4/19
Gitcoin.co/grants

47. </examples>

48. @owocki@owocki
1985
-FreeSoftw
are
Foundation
Founded
1990s-LInux
Em
ergesto
com
pete
w
ith
M
icrosoft
2009
-Bitcoin
W
hitepaper
2013
-Ethereum
W
hitepaper
1993
-
Red
H
at
Founded
2000
-
Linux
Foundation
Founded
2012
-
Coinbase
Founded
The Rich History of the Fight for the
Open Internet

49. @owocki@owocki

50. @owocki@owocki
1985
-FreeSoftw
are
Foundation
Founded
1990s-LInux
Em
ergesto
com
pete
w
ith
M
icrosoft
2009
-Bitcoin
W
hitepaper
2013
-Ethereum
W
hitepaper
1993
-
Red
H
at
Founded
2000
-
Linux
Foundation
Founded
2012
-
Coinbase
Founded
The Rich History of the Fight for the
Open Internet

52. @owocki@owocki
1985
-FreeSoftw
are
Foundation
Founded
1990s-LInux
Em
ergesto
com
pete
w
ith
M
icrosoft
2009
-Bitcoin
W
hitepaper
2013
-Ethereum
W
hitepaper
1993
-
Red
H
at
Founded
2000
-
Linux
Foundation
Founded
2012
-
Coinbase
Founded
The Rich History of the Fight for the
Open Internet

54. @owocki@owocki
1985
-FreeSoftw
are
Foundation
Founded
1990s-LInux
Em
ergesto
com
pete
w
ith
M
icrosoft
2009
-Bitcoin
W
hitepaper
2013
-Ethereum
W
hitepaper
1993
-
Red
H
at
Founded
2000
-
Linux
Foundation
Founded
2012
-
Coinbase
Founded
The Rich History of the Fight for the
Open Internet
You are
here

55. What would the world look like
if open source was sustainable, even
profitable?

56. @owocki@owocki
thx
@owocki / kevin@gitcoin.co