What is Gitcoin (GTC)?

Deep Dive

1. Purpose & Value Proposition

Gitcoin addresses the underfunding of public goods in web3 by creating a decentralized funding ecosystem. Its flagship Grants Program has directed over $63M to 3,700+ projects since 2017, using quadratic funding – a mechanism that amplifies small donations through matching pools. This approach prioritizes community sentiment over centralized decision-making, ensuring resources flow to projects with broad grassroots support (Gitcoin).

2. Core Ecosystem Tools

• Gitcoin Passport: A decentralized identity system where users stake GTC to prove their humanity, combating Sybil attacks. Over 500,000 GTC has been staked for verification.
• Allo Protocol: An open-source infrastructure layer for funding allocation, enabling customizable grant rounds.
• Grants Stack: End-to-end platform for creating and managing grant programs, used by projects like Uniswap and Ethereum Foundation.

3. Governance & Evolution

GTC holders govern Gitcoin’s decentralized autonomous organization (DAO), voting on treasury allocations (~$130M managed as of 2025), grant categories, and protocol upgrades. Recent initiatives like Gitcoin 3.0 focus on “network-first funding” – coordinating multiple funding partners (e.g., Giveth) while emphasizing community “sensemaking” to identify high-impact problems (Gitcoin X).

Conclusion

Gitcoin is fundamentally a coordination layer for Ethereum’s public goods economy, blending democratic funding mechanisms with tools to verify and empower human participation. As it evolves toward a more modular ecosystem, how will it balance scalability with maintaining the grassroots ethos that fueled its early success?