Open-source advocates launch OP Stack testnet to fund public goods

Layer-2 blockchain Public Goods Network launched a testnet connected July 7, promising to walk “the immense bulk of nett sequencer fees” connected nationalist goods alternatively of paying them retired to the improvement squad oregon token holders, according to an announcement from the network’s developers. In economics, a “public good” is simply a bully that cannot beryllium produced for nett due to the fact that it is hard to exclude non-payers from its consumption.

The caller web was developed by the aforesaid squad that created Gitcoin, a task that seeks to rise funds for open-source projects. Public Goods Network is being built utilizing the OP Stack, meaning that it tin go portion of the projected “Superchain” that will include Optimism and Base networks.

— zakk.eth (is connected a quest ) (@0xZakk) July 6, 2023

According to the project's documents, Public Goods Network will beryllium an Optimistic layer-2 rollup of Ethereum. This benignant of web mostly uses a profit-making centralized sequencer to batch transactions and periodically taxable them to Ethereum.

The Gitcoin squad says their caller web volition reinvest “the immense majority” of this nett into nationalist goods projects. In their view, this is indispensable to forestall task superior firms and others who are motivated by “rent seeking” from capturing the worth provided by layer-2s:

“Rather than capable blockspace for different organizations who whitethorn beryllium captured by VCs, oregon different rent seeking motivations, we judge we should capable our ain blockspace specified that we tin reallocate those funds to further the Alliance’s nonsubjective of increasing and backing nationalist goods.”

Gitcoin claims that the sequencer fees volition not spell straight to them. Instead, it volition spell to an “alliance” being formed based connected a “newly defined governance model.” In a Twitter thread accompanying the announcement, the squad said the network’s semipermanent extremity is to let projects to beryllium funded straight by sequencer fees, without a middleman, using the EIP-6969 standard.

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The existent Public Goods web is connected to the Ethereum Sepolia web done an authoritative bridge, allowing developers to trial retired apps utilizing funds from Sepolia’s assorted faucets.

Gitcoin primitively roseate to prominence by using quadratic funding to supply grants for open-source projects and different nationalist goods. Gitcoin’s caput of impact, Azeem Khan, joined the advisory board for crypto money Foresight Ventures successful June.