Season 4 Intro : Lean, Mean Capital Allocation Machines.

13 Mar 2024 · 7:40

Green Pill host Kevin Owocki opens season four of the show around its theme for the season, capital allocation, arguing that the traditional system for distributing funds is broken. He previews episodes that will dig into new mechanisms for allocating capital more efficiently within public goods funding and regenerative cryptoeconomics, building on Green Pill's ongoing look at coordination and funding design.

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[Music] welcome to the green pill. network podcast you are listening to a housekeeping episode in which I wanted to introduce you all to season 4 of the green pill podcast so this season is going to be about lean mean Capital allocation machines Capital allocation is the process of deciding how to spend or invest Financial Resources with web three I think we can maximize not just Financial Resources but achieve impact equals profit we can achieve ecosystem growth we can achieve public goods funding and possibly even achieve protopia so basically the idea here is

how do we build cryp cryptoeconomic systems that precisely allocate Capital at scale what are the coolest experiments this is what we're going to be covering in green pill season 4 lean mean Capital allocation machines so basically I want to circle around the design Bas of how do we allocate Capital um Capital allocation I think is a very simple concept at heart but it also has like this Rich periphery of things that can be built on top of it capital allocation is basically just deciding how to distribute resources or funding so at its most simple it's things like paying bills paying taxes repaying friends for a meal those are the single single player use cases of capital allocation but I think that at its most

advanced Capital allocation can be not just a task for individuals but a full-time job for many so arguably governments are about funding public goods Grant making organizations spend vast amounts of time and money figuring out the process Logistics and decision-making in allocating capital and the thesis that I've got below this season is that Capital allocation is broken in the old world at scale Capital allocation becomes mired in gatekeeping political decision-making and lack of transparency and accountability ethereum and smart contracts present really huge advantages towards allocating capital in an efficient effective transparent incredibly neutral manner so basically

how do we go from the gatekeeping not scalable and not precise Capital allocation of the old world think about uh an NGO that spends 50% of its Budget on administrative overhead or a government that has a huge administrative bloat how do we go from gatekeeping not scalable and not precise Capital allocation to democratic transparent accessible powerful evolutionary Capital allocation how do we push power to the edges with respect to how ecosystems allocate capital and sort of what I see is that the ethereum community embodies this potential some of the lean mean Capital allocation machines being built on top of the evm are quadratic funding you know what

getcoins known for retroactive public goods funding as built on optimism I'm really big fan of hypers certs of conviction voting and the other Capital allocation mechanisms that are being built in the ethereum community so it is my goal during this season to go Broad and Al and take a look at all the different experiments in capital allocation that are happening in the ethereum community and I think that as more and more assets move onchain and the evm starts to eat all different types of assets then onchain Capital allocation will become a super huge category one day billions maybe trillions of dollars of capital will be moved on chain via Capital allocation systems so uh yeah 15 to 20 episodes featuring leading thinkers and

innovators who are building onchain Capital allocation tools and my hope is that green pill season 4 will be a body of work that showcases the present state of onchain capital allocation but also the potential for the next Market cycle about how evm based ecosystems allocate capital and hopefully we reach an escape velocity where this cycle a bunch of DS are allocating Capital to their public goods and to ecosystems but what would it look like as the ux naturally gets better of blockchain based systems and more and more assets get tokenized to reach an escape velocity where we've got townships and governments and NOS allocating Capital using Tech that is pioneered in the ethereum ecosystem so some of the themes and things that we

are hoping to pull into this season I'll just rattle off a couple things and um and no no promises that we'll get everyone that's on this list but uh hoping to to invite people who are allocating to Art onchain into this ecosystem hoping to have optimism back and talk about retr pgf 4 hoping to talk about revets hoping to talk about how we can fund Cil resistance ecosystems what are the Cil resistant ways of doing Capital we'll be doing an exploration of the most recent developments in the gitcoin ecosystem for those of you who follow me on Twitter you know that we just announced gitcoin 2.0 so we'll be having uh the gitcoin rainbow paper and gitcoin white paper authors on to talk

about getcoin 2.0 we will be talking about conviction voting we will be talking about economic comons we will be talking more about impact tracking we'll be talking about streaming Capital allocation systems we'll be talking about some Pilots that are being done in the continent of Africa in capital allocation we'll be talking about people who are taking onchain Capital allocation and making it comprehensible to members of the real world people who only care about fiat currency don't care about all this blockchain stuff we'll be talking about impact markets we will be talking about the bleeding edge of web 3 grants we will be talking about alt layer ones what are they doing in their grant-based ecosystems we'll be talking

about local currencies we will be talking to regen learnings the data Guild that is doing analysis of capital allocation across the web 3 ecosystem I plan to talk to Grant ships which is an experiment in an creating an evolutionary in competitive ecosystem where different Capital allocators can compete for the business of different Dows I think that's a sort of fun meta episode that we're going to be doing I hope to talk to hypers seerz I hope to talk to Griff green and gith and see what they're up to I want to talk about private Capital allocation the design space pioneered by clear Fund in Macy I want to talk to Brian F Flynn from boost I plan to talk about gift circles how nouns Dow is allocating capital and then

we'll talk about how we could emergently allocate capital on our web 3 social networks so no promises but uh those are the things those are the people and and topics that I plan to cover in green pill season 4 lean mean Capital allocation machines and just to re restate the hypothesis there as more assets get tokenized onchain Capital allocation is going to become a huge category what are the new innovative ways that we can allocate capital in a democratic transparent and effective way how can we allocate Capital at scale in a precise way using the power of smart contracts and EVMS that was never possible before so this is a total nerd snipe season for me to to do take a broad look at how the evm ecosystem is

allocating Capital to fund what matters to them and uh it's going to be fun to to bring you all along uh for the ride so uh season 4 green pill uh lean mean Capital allocation machines starts now I will see you on the ethernet peace [Music] w