Bootstrap the Litecoin Community Crowdfunding System

Introduction

The Litecoin team have been doing very well. Besides regular updates of the Litecoin Core repository, we activated SegWit in 2017, which helped Bitcoin greatly with its SegWit activation. After that, we started to work together with leading tech startups like LND to make sure lightning network work smoothly on Litecoin. Recently, we are actively discussing with the community about MimbleWimble and Confidential Transactions from the technology and regulatory perspectives.

The advent of the Litecoin Foundation brought a mission to be a huge contributor to furthering the development and adoption of Litecoin as a decentralised currency. By relying on a modern corporate management model, the Foundation was able to conduct much more efficient and effective decision making, fundraising and fund management. We successfully held the Litecoin Summit in San Francisco last year, funded two full-time developers, and with great financial support from Charlie Lee and others, we launched multiple marketing campaigns this year to boost the awareness and adoption of Litecoin, and we are planning another Litecoin Summit this year in Las Vegas.

The Litecoin Core team and the Litecoin Foundation have got tremendous support from the community from both the finance and expertise aspects. Hundreds of thousands of dollars worth of donations have been made to the foundation, and numerous volunteers have contributed their precious time, effort, and expertise. We deeply appreciate all these contributions and we are also greatly motivated and inspired by them.

However, we recognise that the current model of the Litecoin Foundation, a centralised organisation and also the main contributor to Litecoin’s development and adoption, is not without limitations. As we always strive to make Litecoin development even more transparent, active and community-driven, we plan to launch a project-based community crowdfunding system similar to the one used by the Monero team. The main idea is:

  1. The community propose project ideas, which are then debated and filtered.
  2. The project leaders then solicit donations from the community by themselves. Once the project’s escrow account held by the foundation gets fully funded, the project starts.
  3. The project leaders give reports to the community at each milestone of the project. The Litecoin Foundation release the funds in the project’s escrow account accordingly.
  4. When all milestones are completed and all funds released, the project is finished.

While projects on this platform will mostly proceed autonomously, the Litecoin Foundation, with the help of the Litecoin Core team, will determine whether the community has reached a consensus in Step 1 stated above, and it will hold the escrow funds and check the milestones and release the funds accordingly and also help resolve disputes. Also, the Litecoin Foundation may help solicit funds for some projects or even directly fund them if it wishes, subject to its policies especially the conflict of interest rules.

To build such a platform, we plan to not rely on the funds of the Litecoin Foundation; instead, we bootstrap by setting up this platform-building project following the same spirit of its own but using this forum thread.

Since Monero’s system is open-sourced, we do not need to re-invent the wheel and can adopt most of its code and design with some modifications to save costs. Once the development is finished, the system will be transferred to and operated by the Litecoin Foundation.

Milestones

  1. Develop the system
  2. Two-year maintenance

Cost

45 Litecoin (about 3000 USD at the time of publishing this post)

Fundraising

The community donated 48.43 LTC to address MTH33tn6t5SH7diMR2myu7G3vHQF75ysA4. It is an escrow wallet held by the Litecoin Foundation.

References

  1. Monero’s community crowdfunding system https://ccs.getmonero.org
  2. Monero’s CCS frontend code repo monero-project / CCS Frontend · GitLab
  3. Monero’s CCS backend code repo monero-project / CCS Backend · GitLab
  4. Monero’s CCS proposals repo monero-project / CCS Proposals · GitLab
12 Likes

I think a merge of Litecoin and Monero will be a great idea.

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莱特币手机安卓版为什么下载不了

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the above message translated to English via Google Translate. :slight_smile:

Why can’t I download Litecoin for Android?

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hey XINXI, is this still happening i remember donating a few LTC to support this new system but it seems it never happened. could you give me a update to as why?

4 Likes

Hello guys, we are working on this one. The Litecoins are not touched and are held by Litecoin Foundation’s escrow wallet, which was moved to Bitgo recently https://litecoin-foundation.org/we-are-migrating-our-wallets-from-electrum-ltc-to-bitgo/. The funds will only be released once the project is successfully launched.

The funding amount is small, so to ensure quality, it’s natural for the development time to be longer. I hope you can understand.

With these said, we are right now using this forum as a temporary venue for launching new projects and raising donations as you can find that the MimbleWimble project is working fine here.

5 Likes

Update: I have instructed our custody Litecoin Foundation to cash out the 48.43 LTC into $9504.51. I believe this is done in the best interest of this project.

The previous contractor didn’t manage to finish the project. Given that it’s delayed for too long, I am finding another one to work on it. The funds are not touched.

5 Likes

It will take me some time to find a good one to work on the project. I created a diversified portfolio using the funds. The Litecoin and stocks are all under the custody of the Litecoin Foundation. I may instruct the Litecoin Foundation to rebalance the portfolio from time to time.

The portfolio is now worth $9,543.41.

image

8 Likes

So you diversified with LTC being less of a portion. Only 9,000 dollar budget? For how long?

What if LTC needs more than a developer budget?

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How would you diversify with 2000.00? Would it be a good idea to swing trade with 2000. Or pick a couple of long term ones and ride it out

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That’s a hard question. The answer depends on many factors. I cannot give you financial advice.

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We will see. If it’s not enough, we will need to figure out ways to raise more.

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Do you guys consider using Celsius or blockfi to earn interest on the crypto investments? Blockfi yields 6.5% LTC and Celsius has like 10-12%USDC for risk reduction? And these funds, this is for LTC dev ?

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@Xinxi Are you still looking for someone to work on this? If so, I can look into it in my free time.

I took a quick look at the Monero CCS repos. A quick summary is that they use GitLab for management of the proposal content and then run essentially a cron job to do some stuff and update a jekyll static content site.

I can tinker and see if I come up with something useful. If I do, then I’d be happy to get paid. If I don’t then, nothing ventured, nothing gained. I’d probably try to set it up with GitHub actions to see if I can avoid having to run a php app to pull updates. Do you have any specific requirements? I haven’t looked too in-depth at the Monero code (I’m not a php coder, but I can probably generally figure out what they are doing). Did you guys want to generate addresses for proposals that get to the funding stage from an xpub or something? Or, what kind of workflow are you envisioning?

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Please send me a message on telegram. My handle is xinxi_wang

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@Xinxi OK, thanks. I’m not ignoring you I just have to get around to getting another phone number that I can use to signup for telegram for this pseudonym, etc…

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I was thinking about CSS-Monero’s design and I was wondering why don’t we use an API call to our litecointalk.io discourse instance rather than create a git repository of ideas?

I see three main reasons to use litecointalk.io:

  1. The more we complicate on early stages, the more people tend to keep away. (You don’t need to have to know how to ‘git fork’ and ‘git merge’ to make a translation, for example.)
  2. Here we can have more people scrutinizing the idea and also contribution to the idea. There are also some nifty discourse plugins we can use (Plugin directory | Discourse - Civilized Discussion)

Last but not least:

  1. Crowdfunding is already happening here. Active examples: 1. MWEB, 2. Boostrap CSS.

I think here we can have a special tag to posts willing to implement a new idea and those ideas will be not restricted to the technical git people.

4 Likes