Ethereum scaling network at layer two Optimism is setting aside $3.3 billion in its Optimism (OP) token for its community to award to initiatives or individuals who are seen to be significant contributors to the ecosystem of the blockchain. Optimism Collective, the chain’s governance and community arm, said on March 26 that a portion of the 850 million OP will be distributed throughout four classified rounds beginning in May and running through 2024. The 850 million OP, or 20% of the original OP token supply, according to Optimism Foundation Chief Operating Officer Bobby Dresser told Cointelegraph, are set aside for funding, with 40 million OP, or around $158 million, distributed throughout three previous rounds.
Optimism Retro Funding All Set To Begin With On-Chain Builders
The fourth round of their retroactive public goods financing (RPGF), also known as retro funding, will begin with on-chain builders. This community-driven process determines which projects receive tokens based on their demonstrated worth. Infrastructure, governance, and development tools contributions will be recognized in rounds five through seven, with funding available to “everyone, anywhere putting the work in to improve Optimism.” Mid-November marks the end of the last round.
Retro financing seeks to compensate individuals and projects who provide free services to the blockchain or cryptocurrency community, which are known as public goods in the industry. Because these contributors’ contributions aren’t anticipated to make a profit, they usually can’t collect money from other sources, such as venture capital. However, retro funding has emerged as a funding option for these contributors.
