On July 7th, Gitcoin officially introduced the Layer2 network——Public Goods Network (PGN), which developed by the OP Stack. On August 18th, Gitcoin announced its 18th round of Grants will support the PGN network.
What makes this L2 so favored by Gitcoin?
This article will analyze PGN from the following aspects:
What is a Public Good?
Background and problem-solving of Public Goods Network
Highlights of Public Goods Network
Will Public Goods Network have an airdrop?
How to interact with Public Goods Network
A Public Good is a non-excludable and non-rivalrous good, meaning that people cannot be denied access to it and one person's use does not diminish another person's use.
It has four characteristics: unrestricted membership and participation, open API, transparent allocation of resources and power. In the traditional world, parks, power grids, libraries, etc. can all be called Public Goods.
In the context of blockchain, Public Goods projects usually refer to open-source software, open infrastructure, open standards, and projects that benefit the public.
PGN is a second-layer application chain based on OP Stack created by multiple organizations led by Gitcoin. Since 2017, Gitcoin has been building tools that enable communities and projects to receive funding and development assistance. Through 18 rounds of donation campaigns, it has funded many high-quality encryption projects and deployed more than $50 million in funds for public product projects.
PGN is currently being incubated by Gitcoin and supported by Protocol Guild, Public Nouns, Clr.fund, Giveth, Hypercerts, Protocol Labs, Octant, Eco, Hedgey, and other organizations.
Currently, the mainstream way to raise funds for public goods in blockchain is through Gitcoin donations. However, this relies mainly on community enthusiasm and cannot yet become a stable source of funding. Therefore, Gitocin launched this experimental plan for public goods funding, with the goal of exploring a new funding mechanism to provide a sustainable funding source for Ethereum and other public goods.
PGN inherits the architecture of OP Stack, and every transaction in the network will generate sequencer fees.
PGN will charge users for most of the sequencer fees generated by transactions on the network, which will be used to fund public good product projects.
This means that any user who uses the network is supporting the development of public good products.
(Note: A sequencer is a mechanism on L2 that collects transactions then submit them back to the Ethereum. Its income equals the gas received minus the cost to L1.)
After six months of being launched on the mainnet, PGN will decide on a scheme to allocate sequencer fees to public goods based on data to achieve growth and funding goals for public goods. The specific governance details of PGN are still under study.
After EIP-6969 is passed, PGN will also enable Contract Support Revenue (CSR) to meet the developers' need for sustainable income sources.
CSR allows smart contract developers to charge a certain percentage of all transaction fees paid by users when interacting with the smart contract.
This means that the more dApps built on PGN, and the more users participating in these dApps, the more revenue will be generated for the developers and public products deployed by these dApps. PGN plans to deploy CSR after October 2023.
This question is uncertain. Currently, PGN plans to explore better ways to govern PGN in 2024, and both non-tokenized and tokenized approaches are possible.
Currently, there are not many new issuance tokens based on OP Stack development, but as a usage that is very special and has a vision that is very consistent with the blockchain, PGN has great potential for future development.
First, add the network 👇🏻
Network name: PGN
Chain ID: 424 Currency: ETH
Browser URL: https://explorer.publicgoods.network
Then, open the official PGN bridge website:
https://bridge.publicgoods.network/
Enter the amount, confirm the transaction, and wait for 5-10 minutes. However, it should be noted that it will takes 7 days of challenge period to bridge back.
The Gitcoin Grants Round 18 supports two chains: Optimism and PGN;
For Ethereum infrastructure projects, users can only donate through the PGN network👇🏻
Donation official website: https://grants.gitcoin.co/
For those who need to understand the donation project, you can check the Gitcoin Grants 18 rounds project board developed by Biteye: https://chaineye.tools/gr18
And here is Biteye's "Gitcoin Round 18 Donation Guide and Quality Project Overview" : https://mp.weixin.qq.com/s/XEvJ6WBIvhnnnctGeLV7nQ
https://zora.co/collect/pgn:0xadfabd2a6ee264d01c534c320e5b4b06ba19fc4f/1/mint
According to the data released by PGN, in less than a week after the launch of its testnet on July 6th, the number of deposit/withdrawal transactions has exceeded 100,000.
After the 18th round of Gitcoin Grants donations, it is believed that the number of users on its mainnet will also reach a new high. As a promising exploratory project with a reasonable mechanism for a new L2, it is refreshing among various homogeneous public chains.
However, the development of this public chain is still in its early stages, so everyone can pay attention to its timely interactions in the long term, without FOMO.