For Gitcoin donation airdrop, retail investors pull off a witch attack

March 10, 2021, 16:25 Beijing Time,There are still more than five hours to go before the start of the Gitcoin Grant9 donation.

Lefteris Karapetsas, former core developer of the Ethereum Thunderbolt network and founder of RotkiApp, tweeted:

"Hmmm... woke up to find 28 new members in Gitcoin who donated to RotkiApp.

Thank you very much, but this round (Grant9) hasn't started yet.

I think the update to the site misled a lot of people into thinking that Grant9 had already started last night. "

Martin Koppelmann, founder of Ethereum prediction market Gnosis and social project Circlesubi, tweeted back:

'I find a similar pattern in Circles, all of which are giving less than a dollar andAll from accounts that look like bots -- it looks to me like someone is testing/doing a witch attackSybil Attack refers to an Attack that uses a small number of nodes in a social network to control multiple false identities, thereby using these identities to control or influence a large number of normal nodes of the network. "

Martin then posted a screenshot of one of the accounts (which Lefteris agreed with) and @Gitcoin official.

(To protect user privacy, Rhythm has blurred the user name.)

It all began with one inescapable word:

drop

Popular projects such as Badger DAO, Stake DAO(now renamed BlackPool Finance) and Mask Network all airdropped tokens to users who participated in Gitcoin donations. Badger DAO and Stake DAO airdropped tokens to all users who participated in Gitcoin Grant8, while Mask Network airdropped tokens only to users who donated.

Lured by the potential airdrop, a small number of users started the multi-account and multi-project donation mode of "killing 1,000 people by mistake rather than letting go of one". According to the current data, there were 1,677 people participating in the first day of Gitcoin Grant9, giving a total of $158,000, with an average donation of $94.20 per person. (As mentioned above, the first $1 donation in the average price of a witch attack was counted out due to time issues.) , an average of $114.20 per person.That compares with a 17.5 percent drop in average donations. From December 22, 2020 to today, Bitcoin and Ethereum are up 151% and 183%, respectively.

Before introducing Gitcoin and the mechanisms involved, I would like to introduce the donation of Gitcoin Grant9 as follows for your reference. If you have special circumstances, you can join the Discord Grant-Help channel of Gitcoin for help.

1. Log in and register for Gitcoin.https://gitcoin.co

2. Go to the home page, select Products at the top of the selection page, and select Grants in the pop-up window.

3. Select Explore Grants to browse all programs participating in Grants 9.

Grants 9 lasts March 10 through March 25 for a pool of more than $500,000, totaling $1 million in Grants.

Pool funds will be allocated to projects in the following categories: Infrastructure: $125,000; Community: $125,000; DApp: $125,000; NFT: $50,000; East and Southeast Asia: $50,000 The relevant categories are shown below. Users can browse and choose their favorite items to donate to.

5. After selecting the project, click Add to Cart and click Checkout to settle the donation in the following pop-up window.

(There are many types of donation, including ETH, DAI, USDC and many other ERC-20 tokens.)

6. After clicking "Pay", select the payment method at the bottom of the pop-up interface.

6.1 Standard settlement based on Ethereum mainnet.

Click Standard Checkout to Checkout.

A total of 0.3 ETH is donated to the three projects, and 0.02ETH is required, which is about 36 USD Gas fee. (As the transfer is made to the three projects separately, it can be concluded that each transfer to the project under the current situation needs 12 USD).

6.2 Use ZKSync for settlement

Click Checkout with ZKSync to Checkout. A detailed tutorial on how to use ZKSync can be found in theUsing Layer 2 Tutorial Series 1: Teach you how to use the top Layer 2 applications".

To still donate 0.3 ETH to the three projects, there is a Gas fee of $0.61, which is about $0.20 per transfer.

6.3 Comparison of advantages and disadvantages of the two payment methods

Using ZKSync with L2 is more cost efficient, but it is important to note that using ZKSync, like other L2, requires the transfer of tokens to L2, so a high Gas transfer from L1 to L2 is required (if the token is transferred from L2 to L1, a long lock up period and high Gas charge is required). So it makes sense to make a list of all the money you need to donate, transfer it all at once to L2, and then use Checkout with ZKSync to complete all the payments instead of transferring the remaining money from L2. It's worth noting that in terms of personal experience,ZKSync supports the use of transfer tokens as native tokens for Gas charges. This means that if you choose to use USDC, DAI to pay, there is no need to transfer ETH to L2 as Gas fee. Just need to prepare some corresponding USDC and DAI.

7. To remind

On top of the donation payment option, GitCoin has a default option to donate 5% of an individual's total donation to the GitCoin Grants Developer Fund, which will be used to support software developers, product designers, developer relationships, and others on GitCoin's core team to support the development of the GitCoin Grants Round 9 and beyond, according to the company. Users can adjust their proportions. You can also choose Hide Wallet to Hide your donor wallet address.

Now that you've covered the Grants donation process, it's time to take a closer look at GitCoin, Grants, and the interesting concepts within them.

First of all, Gitcoin is an open-source development incentive platform where blockchain projects can find developers with a certain amount of remuneration. With the development of the platform, different modules such as crowdfunding assistance, hackathons, social and educational attributes have been extended. It is supported by ConsenSys. The author in theGitcoin: Armory of Ethereum EcologyThe function of each section is introduced in this paper. In general, Gitcoin forms a steady stream of Success - feedback - success >; "May be one of the reasons why the Ethereum ecosystem is booming. Originating in Ethereum and not stopping at Ethereum, now Gitcoin has gradually become the development incentive platform for the whole blockchain industry.

Grants can be seen as a big event for Gitcoin, as rewards missions, hackathons and other events are held at Gitcoin. The concept of secondary voting and public goods cannot be avoided when it comes to Grants. In economics, a public good is a good that is neither exclusive nor competitive, so individuals cannot be excluded from use and their use does not reduce the availability of others. A public good can also be used by more than one person at a time. Open source projects, free education are among them. Ethereum co-founders Vitalik Buterin and Zoe Hitzig, and Princeton economics PhD Glen Weyl& NBSP, who works at Microsoft, are among the secondary funding mechanisms. "Frequently appears in articles and discussions.

Source: Radicalx Change

Glen Weyl is a political economist and principal researcher at Microsoft Research in New England. He is a visiting scholar in economics and law at Yale University and a faculty member at Princeton University. In 2007, he graduated from Princeton University with a bachelor's degree in Economics and won the honor of the best student. Later, he completed all the doctoral courses of Princeton Economics and graduated in just one year. Therefore, he was honored as "a prodigy in the economic field".

The mechanics of secondary fundraising are complicated, but in general,Is the use of funds collected in matching pools to amplify individual donations to different projects. And this is in the form of,

· There is a $10,000 Matching Pool, provided by Matching Pool Partners, with 3 projects participating in a round of funding.

· Project A received funding of $1,000 from five donors ($200 per donor);

· Project B also received $1,000, but only two donors ($500 each);

· Project C received the same amount of $1,000 from 20 donors ($50 each).

· After a second fundraising, the first project received an additional $1,851.85 matched by the pool, and project B received $740.74, or approximately 74% of the total contribution. Finally, and most amazingly, Project C received matching funds of up to $7,407.41, which is 740% of the original donation.

The secondary financing mechanism for public goods in a profit-seeking market is not perfect, and like many mechanisms, there are loopholes. Sybil Attack is one of its biggest vulnerabilities. Simply put, attacks that mimic multiple identities are witch attacks, while the common way of life is to use multiple IP addresses to swipe and like. And Gitcoin multiple account swiping voting behavior, for those who are not voted for the project is also a witch tool.

In view of this situation, Gitcoin set up Trust Bouns to alleviate the witch attack problem. Gitcoin explained that the higher a user's Trust Bouns, the more we can believe that the user is real. The introduction of theBrightID, a unique identity authentication system, Google, Popa, mobile phone number, and Twitter to increase trust. In response to the influx of new users to Grants 9, Gitcoin also published a March 11"How to Attack and Defend Quadratic Funding", and classified the types of attacks.

In any case, more people paying attention to and using Gitcoin donations would be good for a lot of public goods projects. And for users, the popular GitCoin Grants, as Dappchaser notes in his post,Are you willing to continue to support the project if there are no incentives such as airdrops?

Reference reading:

"Gitcoin: the etheric fang ecological "Arsenal" | project is introduced"

"How does a dollar become $27? Details the secondary financing mechanism for GITCOIN Grants"

"On the secondary financing mechanism behind Gitcoin and CLR. Fund"

"Zou Chuanwei: Explain the theory, practice and improvement direction of secondary financing that Vitalik is concerned about"

"How to Attack and Defend Quadratic Funding"

"Identity System: More than Defi's blockchain Web3 era"

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