DAO Drops: A retroactive public goods funding that directly empowers Ethereum users


Project Name:

DAO Drops - https://daodrops.io/

Project Description and why it’s classified as a Public Good:

DAO Drops is an experiment in retroactive public goods funding (RPGF) that directly empowers Ethereum users to allocate ecosystem funds. DAO Drops’ first round assigned the responsibility of impact evaluation to thousands of pseudonymous addresses based on past on-chain activity. We used data on governance participation from Deep DAO, smart contract deployments from Galxe, and ecosystem event attendance from POAP to assign voting power to over 30,000 addresses.

DAO Drops can be classified as a public good due to its pioneering approach to retroactive public goods funding.

In Round 1, DAO Drops distributed $250,000 DAI to deserving nominees, emphasizing its dedication to rewarding past efforts that have already enriched the community, and are underrepresented and underfunded. This innovative approach directly tackles challenges linked to conventional public goods funding, such as the unpredictability of future outcomes and the considerable expenses tied to reporting and monitoring.

This project thrives on open-source principles, ensuring that its code and operations are transparent and accessible to all. DAO Drops empowers the community to nominate projects and collectively decide on fund distribution, making a fun experience and a community-driven initiative.

Furthermore, by involving a diverse range of ecosystem participants, DAO Drops transcends traditional centralized allocation bodies, making it easier to target and support often overlooked areas within the Ethereum ecosystem. In this way, DAO Drops contributes to the public good by enhancing the transparency, accessibility, and fairness of fund allocation, embodying the values of a true public good.

Main Project Funding Sources:

DAO Drops Round 1 was possible thanks to a grant from The Ethereum Foundation. Allocation Update: Q1 and Q2 2022 | Ethereum Foundation Blog

Seeking project-specific funding or funding for general operations:

Both: We are seeking funds for the grants pool as well as funds for operations for the team to improve the mechanisms and execute the rounds.

Project Roadmap and Milestones (only for project-specific funding):

Here is our roadmap for Round 2, including details about how we plan to iterate DAO Drops over time to experiment and improve our mechanisms and interoperability with other RPGF programs.

Design & Implementation:

  • Create tech stack and new scoring algorithm.
  • Improve curation, voting, and mechanisms.
  • Streamline KYC and enhance UI.


  • Nominate and validate candidates.
  • Evaluate and vote.
  • Distribute funds.

Round 2 Survey & Blog Post

  • Measure success.
  • Share results.
  • Next Steps
  • Plan for future rounds

For nominees’ outreach we are further emphasizing reaching out to and elevating the influence of under visible areas of the ecosystem, including contributors in the Global South. We plan to evolve DAO Drops into a continuously running funds distribution mechanism.

Funding Request and Budget (only for project-specific funding):


Team Information, including backgrounds and roles:

DAO Drops team for Round 2

Social Credibility (development progress, awards, notable GitHub commits, referrals):

Since the project was launched, we’ve been featured in different podcasts, newsletters, twitter accounts and articles, here’s a few:


If you want to keep diving into our social credibility, please take a look at our Twitter account: https://twitter.com/dao_drops and feel free to explore the full use case of how we built DAO Drops Round 1: dOrg | Full stack Web3 development collective

Discord contact:

  • Magenta: magemagenta
  • Ori: orishim

Eligibility Criteria

Do you have a commitment to open-source (i.e. every open-source license accepted by the Open-Source Initiative) technology and sharing results publicly?

Yes. Our Github repository is open source and visible here: GitHub - dOrgTech/DAO-Drops: Full stack MERN app for the DAO Drops Project Round 1 results are here (as of 10/19/2023), https://daodrops.io/. When we switch to Round 2, the previous results will be publicly archived.

Have you provided transparency about how exactly funding will be used?

Absolutely! We’re committed to full transparency. Starting in Round 1, we provided a clear overview of how DAO Drops operates:

Nomination Phase: During this stage, anyone in the Ethereum community can submit information about projects or individuals they believe deserve funding. The eligibility of these nominees is then determined, allowing them to proceed to the allocation phase.

Allocation Phase: Here, Ethereum users play a pivotal role in deciding which nominees receive funding. Voting power was calculated based on their past on-chain activity. A total of $250,000 DAI was distributed to nominees in proportion to the votes they accumulated.

Voting power was allocated based on three primary types of on-chain activities, with a maximum of 100 points available per address in each category. These activities included:

  • DAO Participation, fueled by Deep DAO.
  • Ecosystem Event Attendance, supported by POAP.
  • Smart Contract Deployments, powered by Galxe.

Round 1 voting addresses are listed on our Github at https://github.com/dOrgTech/DAO-Drops/tree/main/scripts/scoreSheets. We remain committed to enhancing transparency and refining our processes in each subsequent round.

Are you advancing values of freedom and privacy (no surveillance and handling of personal data)?

DAO Drops embodies these values by creating a system that offers more control and privacy to Ethereum users, ultimately advancing the principles of freedom and privacy within the community by letting them choose how to distribute the funds without needing to reveal any personally identifiable information.

Are you supporting decentralization in various fields (for example building Web3 projects)?

Here’s how DAO Drops contributes to decentralization in various fields:

Community-Driven Fund Allocation: DAO Drops allows anyone from the Ethereum community to nominate projects and individuals for funding. This decentralized approach ensures that the decision-making process is not controlled by a single entity or organization, promoting decentralization in allocating funds.

Transparent and Inclusive Voting: Ethereum users participate in the allocation phase by voting on the nominated projects. Voting power is calculated based on past on-chain activity, promoting transparency and inclusivity. This decentralized voting process ensures that a diverse range of community members has a say in funding decisions.

Emphasis on Open-Source Principles: DAO Drops is an open-source initiative. Its code and operations are visible to all, promoting a decentralized ethos of open collaboration. GitHub - dOrgTech/DAO-Drops: Full stack MERN app for the DAO Drops Project

Targeting Overlooked Areas: By involving a diverse range of ecosystem participants, DAO Drops can effectively target areas often overlooked by centralized allocation bodies as well as those left behind by popularity contest dynamics. This commitment to supporting underserved areas within the Ethereum ecosystem contributes to decentralization by spreading resources more equitably.

Have you provided social media channels to the extent that we can confirm social proof of your project?