The Biggest Web3 Opportunity No One is Talking About! by Griff Green | Devcon Bogotá

foreign [Music] manager for the Dow so let the crisis response effort for the Dow hack and first parody multi-sake hack from every angle he is the co-founder of white hat group and led the creation of token engineering Commons Griff green is advisor for polygon ID polygon Hermes red ID doing good and Stuart for git coin ens and optimism Griff yeah right come on [Applause] Griff also leads to crypto Focus burning man camps let's hear for Griff green yeah people forget I lead burning man camps too it's uh too much too much yeah that's my slides oh thank God so hi thank you for having me I'm going to talk about something that doesn't get talked about too much no actually we talk about this a fair amount in the theorem space and but I what we don't what we miss is that it's a huge opportunity in fact I would argue it's the biggest opportunity in the web 3 space and no one's talking about it as an opportunity to public goods public goods thank you public goods are it's a huge industry one of the largest Industries in the world and it's like the opportunities are endless no one is making money in public good space right now it's led by governments and non-profits and yet it's a 25 trillion dollar a year industry as in governments and non-profits are spending not investing spending 25 trillion dollars a year to provide public goods for societies around the world this is 25 times the total crypto market cap being spent every year and it's being spent at a loss it's being spent by governments and non-profits so this is uh you know public goods are one of the four types of economic goods and I'm sure a lot of people have seen this slide or something like it before but I want to talk about it in a little bit of a different way because in my opinion these are these are like places where things end up but it's it's not definitive so on the left side we have private goods and Club Goods these are excludable Goods the cool thing with excludable Goods is that you can have business models business models are like these really cool games that end up allowing people to score points in very predictable ways right I see money as kind of a point system and the way that we coordinate around money could be thought of as like a game hence the game version of this slide deck I kind of went with that theme so businesses really succeed at providing excludable Goods it's the Invisible Hand of the market these Point systems these business models these games they allow for the Invisible Hand to just coordinate everything effortlessly because everyone uses profit as a shelling Point everyone's on the same game they're all trying to win get the high score uh but in the exclu in the non-excludable side as in half of the different types of economic Goods uh there is not this game right the game is taxes and donations which I would argue is like sacrifice people have to sacrifice to provide value in in the non-excludable side so this is common pool resources and public goods I just call them all public goods non-excludable Goods public goods so uh for but what's really interesting about this slide that people don't really talk about enough is that for instance fish in a bay it's a common pool resource but actually in practice fishing a bay governments actually move fish in a Bay from being non-excludable and they make it into a club good they make it excludable by requiring people to have a fishing license so right now in our normal society because there's great systems in place to manage excludable Goods non-excludable Goods often get privatized they get EX they become excludable and we move them over here because we have such great systems in place but what if we could create great systems that allow for win-wins on this side of the chart what if we can actually take things that are normally excludable and make them non-excludable what if we could create abundance for society and and take care of the less fortunate Society by creating systems that actually work we don't have a choice we need to do this we're failing at the game the collective needs game the environment just general Global coordination is really shitty like full stop and if we don't fix it we're in huge trouble but we are fixing it it's already happening actually so many people in web 3 are building a new way to coordinate on a global level and in win-win systems they're optimizing the games that are being played and and creating new games that actually allow for Innovation and this is what I'm going to talk about mostly today I'm going to talk about all the cool projects in web3 well so I'm going to highlight a few of the many awesome projects in web3 that are trying to get to this solar Punk future that we all want and I really want to create this framing that so that you guys can understand to get to this future we need to build win-win systems where that allow the people to coordinate effortlessly so where do we start well governments have a lot of funding this is not where we start when governments fail to provide public goods that are in demand people start non-profits nonprofits are the seed of the Revolution when people don't like what their the services they're getting they start non-profits and nonprofits need our help more than more than governments by far nonprofits are literally just burning money all the time everyone who's participating in the nonprofit system in some way or another is sacrificing and it's tragic because they're creating so much value and you know it's creating a lot of value because it's a huge industry sure it's not 25 trillion but I think 500 billion dollars being donated a year just in the U.S is big enough of an opportunity for us to make some major Headway so the cool thing is this is already happening you know I feel like in 2016 2017 this stuff was a dream we're like we're working towards this but we're in a place where there's so many awesome projects that are doing it and I kind of want to create a separation between two types of uh donate of economic games that are being played of different models we'll say of public goods funding so there's the donation games which are amazing right we're always going to have donations donations make people feel good right and these types of donation games uh that that are being played in web 3. the donation games rely on donations to fund public goods now often they create incentives for more donations whether it's social or straight up Financial uh that the there's usually some kind of system in place to optimize the donation system and make it more fun especially by giving governance to participants it's very common uh the economic games actually skip the donation side they rely on supply and demand to put fund public goods this creates really interesting entrepreneurial opportunities for participants in the system and it allows that invisible hand to actually make some Headway and just like donation games they give governance governance to participate participants I can't overstate this enough it's so cool in the web 3 space you know in the public goods funding space normally it's very top-down Capital controlled governments say we're doing this nonprofits have donors and the donors say we're doing this this is what the money is earmarked for but in web 3 we we build systems that allow it to be bottom up and where the participants not just Capital participants but through reputation systems and other other systems that we have there's a plethora like you saw Council there's so many cool ways to provide governance for the players that are playing the game so let's start with donation games so one of the landmark donation games that was started uh what in in the web 3 space are these Grant owls so molec metacartel metagamma Delta these these things are a fundamental building block in I think almost every uh public goods funding uh piece and I should have put Dow house on here I want to give like huge shout out to Dow house like those guys are on the Forefront of this stuff innovating all over the place and there's somebody to watch like one of the things I want you to pay attention to is these are the projects that are going to be leading this new industry that's emerging and DOW house is important so the way Grant Dallas work it's basically a social club you could say a donation Club where when you put money into the Dow you get non-transferable tokens that allow you to govern the pot of funds and if you don't like how the Dow is going you kind of have a money back guarantee you can Rage Quit get your money back out so it's a really cool social system that in the end has collected millions of dollars for donations in ethereum in ethereum public good space especially one of the biggest donation games of course is quadratic funding quadratic funding is a really cool system that emerged out of the radical exchange Community the radical markets book and clear fund and get coin have implemented it of course Bitcoin has raised somewhere around 70 million dollars for public goods using this donation game yeah a round of applause for Bitcoin those guys man and I should probably say us because many of us are GTC holders in the crowd I see you I see you out there uh so the get coin Dow has this has been managing is starting to manage the quadratic funding system and it's a really interesting game because uh the the foundational layer is the public goods funding team they are able to talk to Big Wigs in ethereum space that have a lot of money that want to fund public goods to get a big matching pool so this is why it's a donation game for sure I mean it's clearly a donation game but there's it doesn't work without a really large matching pool and the larger the matching pool the more interesting it is to donate to these projects so uh the the governance over this matching pool actually happens from each donor so if you donate uh the more each project can get a share of the matching funds they get more of a share if there's more people and more money donated to the project uh and of course it's a complicated equation I'm not going to say but it's really cool as a participant in the system because you're like okay if I donate a dollar they'll get 27 wow that's 20x 27 percent or sorry 27 x times my donation that's amazing but if I donate a hundred dollars then 250 bucks will go to the project so I'm allocating 250 out of the matching pool how much do I donate you know and it's kind of a fun game this is the best part about all this web 3 stuff it's fun to play you know donations usually are not this fun the next donation game is protocol funding now it kind of feels like it's not a donation but uh you know the protocol funding is really led by optimism ens polygon Hermes and bit Dao and basically they're taking a percentage of the fees that they're collecting and allocating that to public goods now this is uh this is basically like a web 3B Corp but benefit Corporation in the states where it's baked into their mission statement that they're going to support public goods and optimism has one of the coolest systems because they even add this retro public goods funding piece to it where they can find they can get non-profits or or people who are developing open source code to go find investment knowing that they could get a grant later if they succeed and it's it creates an even another system on top of it it's super cool foreign my favorite donation game and I'm a little biased is uh give backs so give backs is a pretty simple one whenever you donate to a verified project on giveth a hundred percent of the donation goes to the project and the donors get up to 75 percent back and give tokens streamed over time so what's really crazy about this is if you donate a hundred dollars then you will get 75 dollars uh in give up to 75 and give back into your like for donating part of that will be liquid so you can sell it you can donate it you can play the next game that we'll talk about and the other part is stream to you over time until like 2026. so if the give token goes up because it's a volatile currency you could even get more money than you donated which is crazy you know this is the kind of stuff that can only happen in web3 give power it's really important for the giveth roadmap it just we're in a phased rollout for the launch and it just launched the first part the staking and locking piece uh two weeks ago major shout out to Lauren loose who runs that piece of it runs the economy uh give give power is really important to giveth in this in in the Evolve like to evolve non-profits to the end goal uh one of the big mission of giveth is to take non-profits meet them where they are and eventually help them create their own economic game so that they can be basically an impact now and give power will be the first opportunity that many of these projects have to make a win-win offer to their donors so let's say you're a project someone just donates 100 bucks to you you know that they just got give tokens right so you go and you tell them hey with give power you can stake your give tokens behind my project you earn a sick APR and I get benefits on the platform so specifically they'll the project will get higher up on the on the ranking list you know where uh where they come up so they'll come up faster from to be seen by more people and they will also get more give backs for their donors so you're basically would give power the give token holders are voting they don't even know they're voting they're just supporting they're just staking behind their favorite projects but they're voting for how give backs are distributed so it's kind of a cool economic game tied with with a donation game and the but the coolest thing is this psychological shift that projects have to get to make when they say Hey you can earn a yield while supporting me as opposed to you can sacrifice while supporting me so the really my favorite part of the web 3 public goods funding stream though is the economic games in the donation games donations are always part of it which means there's a little bit of sacrifice injected into the system that makes it really hard to have that invisible hand making magic but in economic games it's win-win all the way and this happens through issuance so ethereum and Bitcoin and all the blockchains are in my opinion public infrastructure like in a city the water or or electrical infrastructure yes you have to pay a bill you have to pay a water bill electrical bill or you have to pay transaction fees on to use the blockchain but the infrastructure itself is the access to the tooling is a public good that's why this infrastructure is usually funded by governments well with blockchains it's funded by issuance and that's the key for these economic games issuance is sent to people who are providing good work right so in ethereum it's the miners and that are now the stakers uh blockchain Bitcoin it's the miners but there were some really cool innovations that many people have forgotten about or never heard of in 2013-2014 that actually use this to do direct public goods funding Z cash actually supports uh cryptographic research this is without this protocol it would I doubt we'd have Roll-Ups today and uh and it's just the block reward and then name coin Prime coin curecoin these are these bottom threes they're crazy like no very few people actually even follow these projects but their runaway economic games Prime coin to minor block and Prime coin you have to find a new prime number people are mining blocks every day every minute there's a new prime number found by Prime coin and I doubt most of this room has never even heard of it but it's a runaway economic machine and no one has is no one's donating no one's paying taxes people are just getting the block reward for finding finding prime numbers namecoin was actually the first Fork of Bitcoin and it's kind of like ens does anyone have a DOT bit domain No Hands okay cool you can is infrastructure that exists even though no one's using it it's amazing and curecoin's folding proteins for cancer research one block at a time it's so cool they're using issuance and and the but it's in the digital space what's exciting is this move towards bringing it to meet space so like pambala subsidizes communities like Bitcoin subsidized security they're using issuance to actually support Community groups to to meet and share ideas and uh rainbow rolls in public nouns this is the nft style it's not all fungible tokens playing games rainbow rolls uh sold like 900 nfts and funded get coin matching rounds helped to help support some giveth projects and also wiped away seven million dollars of medical debt from random Americans that they that they were able to buy up their medical debt incredible project no one donated people bought nfts they could sell there's upside public nouns it just started two weeks ago Again by the Dow House crew uh it's kind of like a molecdo but instead of the shares being non-transferable it's an nft that's worth one vote in governing the treasury right and the intention is to spend it on public goods so it's super cool and it's it's basically I'm looked out and instead of Rage quitting and getting less you could actually potentially sell your nft for more than you paid for it token engineering Commons is another amazing economic game this is in partnership with the common stack this is the first Commons the common stack ever launched it's really cool it uses a bonding curve which um I don't know how many people have heard of bonding curves oh my God this is a smart crew so for the ones that didn't raise their hands a bonding curve especially a token bonding curve is a very simple smart contract that when you send it money it mints a token and if you and it holds that money in the contract and if you send the token back it will release the collateral and burn the token this will win a Nobel prize in economics I promise you this Simon De La rubier Bancorp they created something that has never been seen before this is a one-sided market and it solves a liquidity issue for Mark for small market cap tokens like paintball is super cool right I said it before but when when they issued when they issued uh their token it had no value at first and eventually uniswap found its way to uniswap and it created a value but it still has very low liquidity with a token bonding curve uh economy it doesn't have that issue it starts out with infinite liquidity because uh issuance is dependent on demand which is super cool and it uses fees throughout the system uh when people are issuing or minting or burning tokens a percentage of the fees go to the common pool and also at launch a percentage of the launch goes to the bootstrap that common pool really interesting system that we that we at giveth really hope to learn from and apply to our end game which is gurbs so curves curves are actually bonding curves backed by giveth by give tokens and they're kind of the The Sweet Spot at the end of the rainbow the treasure at the end of the rainbow for every non-profit who comes on to giveth if uh if so first of course you're a non-profit someone donates to you the donor gets give tokens right now with give power people are locking Capital they're locking give tokens behind a project there's Capital being locked behind each project that's that that's participating and give power with that locked up Capital we can launch a bonding curve and the bonding of course like you know there's a lot of cultural stuff that goes into this and talk working with the common stack to launch more Commons and to understand the the different reputation systems and the other kind of looking at uh projects like Council and how do we govern these systems so it's not just Capital it's not just the bonding curve that creates governance tokens but there's other governance involved this is the we're we're sorry I'm ranting but long story short we're still in the research phase on how to launch these impact dowels with bonding curves but once we figure that out once we work with the common stack to actually understand the best ways of doing these things and making it easy for nonprofits any non-profit could launch its own impact out through the giveth system the coolest thing about everything that I'm talking about is that none of these things are in silos web3 is so amazing for its configurability for its everything can kind of plug into each other everything I mentioned is public goods Legos like the public nouns Dow could actually donate ethereum on giveth and support get coin grants incentivizing lots of Grants on git coin to get funding through extra donations and then once and then they'll get give backs they'll get more give tokens that they could further donate to other projects or they could stake and give power or one day they could use to invest in an impact Al using a girv public goods Legos is where the real benefits here this is where this 20 this is why web3 is going to save the world you know because we can plug in all these ideas into each other and build a new industry that never existed so I'm sure a lot of you are Builders a lot of you have like an impact project that you want to see uh have have an impact become an impact Dow and maybe some of you are just you know hey I'm passive supporter of these projects and would like some upside well I've I founded a lot of projects in the space I want to highlight three of them that maybe could part could help everyone get involved more in the public good space so first is General magic uh probably many of you have never heard of General magic it's been running around for well over a year and it's a service dial that actually has helped many organizations panvala giveth token engineering Commons common stack and countless others and like ens we just built the ens swag shop which is super cool so if you if you are looking to if you're building in this space and you need some support you don't have a good designer or you even just want to offload a full project or you just want a swag shop or you want to integrate praise a reputation system you can reach out to us at General magic we'll help you uh we are we give insane rates in the crypto space because this is you know kind of an all has an altruistic swing to it even though it is a for-profit company uh so it's I would say it's about half the market rate so definitely reach out to us and we can support you in building the next public goods Lego for me to talk about uh I and I have a huge announcement from the common stack actually launching a new service where we want to help you launch the commons so we're supporting we've launched the token engineering Commons uh we helped the token engineering comments launched I should say and we're working with Grassroots economics to support them in their launch and now we actually have the bandwidth to support a few more comments so if you want a bonding curve you have an impact project and you're like yeah let's let's do this thing I want to learn about collaborative economics I want to design from the bottom up with my community Mission Vision Values parameterize the the economy like you guys the the community would do it themselves instead of us reach out and let's work together on that and of course giveth giveth has a token and this token is going to be the lifeblood of a new industry and it's a really easy passive way to get involved if you want to become part of the giveth Dao and support this account this uh emerging economy uh definitely talk to me and I can help you out I can help you out with it basically any if you're working in the public good space I want to talk to you I want to work together this is there is no competition in public goods how can you compete when you're creating abundance for society right all right thank you so much I'll be right outside and we can chat