Programmatic On Chain Philanthropy Workshop with Endaoment

endowment.org and uh we're here today to talk to you guys about programmable on-chain philanthropy hot off the presses we have a bunch of new tools available for you guys to be able to integrate programmatic philanthropy into your smart contract Suite into your damp into your app into your website however you can dream up of incorporating impact into the work that you do day in and day out our go out endowment is to make it easy for you and so today we're going to spend some time going over what these new tools mean how they're meant to be used we'll do some demos and we'll also do a little bit of work shopping if the vibe feels right so come on down if you're out in the if you're out in the crowd and you're interested in learning about impact and in in the blockchain space um this is going to be a really fantastic session for you to check out and uh yeah welcome everybody hope you're having a great Biddle week so far and it's an honor to be here and to be in front of all of you and to be advocating for impact across the web 3 space so a quick overview of our agenda for today we're going to start with a high level overview of endowment uh what most people don't know what endowment is and that's totally reasonable and so we're going to spend some time just making sure we're all on the same page about what our Community Foundation is here to do and then we'll go over three new tools that we've just released came out on Thursday last week these are some of the freshest developer tools in the space right now and we'll spend time going through each one of them we'll spend some time going through examples show you what resources are out there how you can get acquainted or learn more and and just show off a little bit of the power of what we've built here and then we'll jump into a work workshop time um and uh and and you know we'll have a little bit of fun with it uh as as referenced by our uh herbaceous Title Here yeah woo all right so in down what great question endowment is crypto's Community Foundation we are a tax-exempt 501c3 non-profit public charity based out of California and we serve as the crypto communities Community Foundation now for those of you who aren't familiar Community foundations are philanthropic financial institutions they exist to enable a community's philanthropic goals by providing financial services that are specifically geared towards tax exemptions or towards uh or towards impact-based outcomes like impact investing revocable grants donor advice funds Community Field of Interest funds all sorts of different Primitives for generating impact around a community that shares values and our goal in creating endowment was to say that the crypto Community has its own unique set of values and it needs its own unique Community Foundation to to serve its goals it's philanthropic goals and rather than trying to build for existing Community foundations like Fidelity charitable or Schwab charitable or the Silicon Valley Community Foundation or any of the other thousands of community foundations that exist in the world we said crypto deserves its own and so we built endowment.org early in late early in 2020 late in 2019 and launched to the public in 2020 and since then we've seen remarkable generosity from the broader crypto Community uh our lifetime impact has just greatly surpassed our expectations and we're so excited for what this means about the value space and and the sort of uh core components of this community's care and um and impact in their broader neighborhood and so over the last two and a half-ish years we've raised just under 52 million dollars in charitable donations um yeah yeah that's that's a big deal great job everybody um thank you for for supporting causes that matter to you this is happened across uh over 1.2k total donations uh easier said it's like around 1200 individual donations now this doesn't include individual nft mints we've had also bulk donations that have happened across many thousands of mints so this number is probably Low by like a factor of 10 when you include individual mints of nfts as counting as one little micro donation but we like to think of them about like in the context of the larger overarching different donation events um and so just a really impressive set of activities from the broader crypto Community we're very very proud of that and endowment represents also the largest Rolodex of non-profit ethereum addresses one of the things we hear all the time is who knows what charities except crypto and with endowment that question is sort of wiped off the face of the Earth um 2.6 2600 different non-profits have onboarded into endowment that means they've linked some form of payment to their smart contract escrow address but any non-profit can have a smart contract address because what we have built in endowment is a comprehensive on-chain donation interface that creates escrow contracts for every single 501c3 that's in good standing with the IRS so if the non-profit exists you can give to it without them having to know how to accept crypto in the first place and that's tremendously powerful adoption mechanism for for the ethereum ecosystem but also for non-profits who are commonly Left Behind when it comes to adopting new technology especially new payment technology and the way that our system works is that every single non-profit gets a smart contract address and that smart contract address serves as effectively a smart wallet for that non-profit and so every single contract address that we deploy is in and of itself a little donation home for the non-profit in question and when money arrives at that contract address whether that's just straight ether erc20s or if it's a stable coin or if it's a grant from one of our community funds or donor advise funds we alert the non-profit to the presence of capital at that escrow address and it's at that point that we onboard them into the ecosystem so it's this fantastic method of putting a carrot in front of a non-profit to come and enter and adopt crypto and it's been very exciting oftentimes we'll reach out to orders and we'll say hey for instance you have twenty thousand dollars here waiting for you and it was a gift from crypto and they'll say we don't accept crypto and we'll say well actually you know there's a mechanism out there for you to accept crypto and it's called endowment and so if you have a non-profit that you care about you can go and search for them on endowment right now and deploy a contract address for them on their behalf and when you deploy that contract address for them on their behalf we Auto automatically send them an email and say you now accept crypto but also when they receive Capital we will reach out to them again inform them that that capital is there and process either a wire payment or a transfer of usdc to their wallet address about 95 of the uh organizations that we've onboarded except Bank wires but a growing number of them are accepting grants from endowment through stable coins and we're really excited to see that number drive down but the main takeaway that I'd love for this group to know is that you don't need a non-profit to already accept crypto to give them crypto the infrastructure that we've built at endowment is meant to make that effortless for you the donor and a no-brainer for the non-profit in question because we're just sending them dollars so that's a little bit about endowment very exciting infrastructure but how do we get it into the hands of developers and how do we turn it into something that's integrated into the fabric of this growing ecosystem of different Financial tools that exists in the broader ethereum ecosystem and so this past week we announced three new tools for creating on-chain programmable philanthropy and what we've aimed to do with these three new tools is to make it as easy as possible for you to split some amount of the revenue that you're generating on your platform or make donations straight from your portfolio manager or build dashboards easily to track the amount of impact that's happening in the ethereum ecosystem oh that's wonderful I love when that happens bear with me yes if if if you're wondering what I'm going to present to you today pretty much everything that we'll present to you today is available on the sheet that's sitting in front of you on your table there are QR codes there for you to easily oh thank you uh there are QR codes there for you to easily be able to pull up some of the info that we have here and what I'll do is I'll look to our friends in the back there and uh and ask them for a favor which is to help me figure out what's going on here uh [Music] when in doubt unplug it plug it back in bear with me for a second love that um I don't think it's the uh foreign we're going to uh restart the machine here [Music] just see if that helps our cause a little bit while we're sitting here I would encourage everyone to take a minute to read through that sheet don't know that's a good sign there we go yay that's a nice view of my calendar for you let me just get a keynote back up here it's not even asked me some Cooperative models takes the SE and we've got here one of the first Cooperative protocols the interior in Rockefeller it's a race I got it and we're back okay nothing like a technical difficulty to keep a workshop moving right okay so what we've announced are three different tools first off is a SDK so for those of you who are typescript or react developers this is probably the best place for you to start it's one to two lines of code and we'll connect with your existing web 3 infrastructure and effectively format transactions for you that's the main point of the SDK the API is a public free uh basically keyless it's like entirely wide open it's like a ping it as much as you want situation and we'll come and find you if you abuse that situation uh but uh it's it's a more customizable endpoint for you to integrate some of the data that's available in the SDK the SDK is effectively a wrapper for the API um so the SDK makes it easier for you to integrate these different kinds of contract calls straight into your app but if you're a little more advanced or if you want something a little more customizable the API is a great endpoint for you to leverage in order to in order to sort of build the application that you want to build and lastly we would be lost without uh our commitment to decentralization and so we wanted to make sure that we built a robust subgraph as well to support finding contract addresses and surfacing statistics about the endowment ecosystem so we'll take these one at a time I'll talk through some of their features and then for each of these three tools we have either a Sandbox or a playground or uh you know some Swagger documentation to show you and so we'll spend some time kind of clicking through those as well over the course of this demo really the way we think about the SDK that we've built is as an SDK for public good this is really meant to help you incorporate giving straight into your app if you are building a a dow or an nft platform or a D5 protocol or anything where you want to give users the option to direct some amount of assets to a specific cause or organization or even their own donor advice fund at endowment this SDK is for you um it's JavaScript and typescript compatible it's an easy single line install with npm and we provide the largest currently available on-chain Rolodex of non-profit contract addresses that are tax exempt so if you're integrating with us versus another API provider I think the advantage here is that you can be rest assured that this will be the largest available list of non-profit addresses and a growing list that's incentivized through people doing deployments over time um we're also working on International giving and bringing in another three to five thousand non-profits that exist outside of the US right now these 2 600 nonprofits that we support are inside the U.

S But ultimately this SDK is built for you guys the biddlers of the crowd and um we think that it's a really powerful tool for you to be able to sort of incorporate impact in a Sprint or less that was our goal internally was to make a resource that was so easy to plug in that all you had to do was pop in an SDK package format up your transaction at the moment that you're formatting your transaction for the user in whatever sort of regular interaction that they do inside your app whether that's a Min to action or uh or or a deposit or Redemption action we really wanted to make it as easy as possible for you to be able to direct assets to a non-profit at the moment where you've already engineered uh a redirect of of funds to either an eoa or to some other pool or to a treasury and so to show you little bit more about this I'm gonna I'm gonna hook back up to this guy here and what I want to do is uh show you guys the the main example set that we've put out the main developer resource that we've put out for folks to use when trying to understand what they should do with their application love this gonna Audible love it love it we had internet when we started okay okay we're getting closer foreign live demos what a treat yes I I do name all of my devices after my hair color you're getting an intimate look into the life of Robbie eager's devices here uh so just give me a second while we figure out the Internet situation here okay sick excuse me all right we're going to keep going and we're going to go through all the tools at once at the end so the other tool that we've released here is the API endpoint and the Avi endpoint is meant to take all of the features that exist in the SDK and provide them at a public available open free endpoint for you to integrate with um what are those features exactly those features are first off finding organization contracts easily so you can search the endowment database by either Ein if you know the Ein of the nonprofit or you can just search like with keyword terms we have full text searching of over 90 000 non-profits that are currently in our database of which are those 2600 deployed ones and if we have a contract address for that non-profit we'll return that to you and give you the associated metadata with that contract address so you're not just getting this hashback you're getting the hash with the name of the organization the town that it's located in it's Ein a description about it it's logo you can build really nice search boxes very easily just using the SDK or the API to get back that structured data about the non-profit we also allow you to search through our public funds so we have a series of community funds these are Community Field of Interest funds we also have a series of donors who have chosen to make their donor advice funds public and donor advice funds are like individual giving funds think of them as like charitable checking accounts in some ways they're a little bit different but that's that's like a good mental model for them um and so we will also surface public funds as well when needed or or when desired for people to be able to uh for people to be able to say like okay I don't actually want to give to one specific non-profit I'd rather give to this fund that serves as an aggregator for Grant making to multiple non-profits and and the the idea here is that we give users choice and we give them choice and flexibility the API as well as the SDK will also create contract calls for you so it will formulate the uh the sort of data object for an ethereum transaction for how to properly interact with the endowment contract address we use uh uniswaps Auto router to automatically liquidate donations and uh the SDK and the API both will sort of grab the call data necessary for you to be able to go out and successfully process a swap and donate function call um and coming soon we're looking to integrate the full end-to-end endowment account management experience into the API and SDK so people could open funds link a private fund um uh be able to make grants which is when you give out from your funds so really exciting feature set for uh people in the portfolio management space right so like places like zapper xerion or you know uh wallet providers as well to be able to say like okay you know we want to make a tab that in our app that says donate on it and in there we want to be able to say if your wallet's connected we're going to go out and fetch your donor advise fund from endowment so that you can have a full Viewpoint a bird's eye view on your philanthropic activity inside of our inside of our portfolio tracking app which is which is also very exciting to us we're really looking forward to that um that's the API we'll dive into the example after we talk about our third example which is after we talk about our third tool which is the sub graph um also just released last week we have a brand new subgraph on the graph Network and really what this is meant to primarily do is to serve as a mechanism for surfacing statistics and on-chain data about the activity that's happening in the endowment ecosystem so the ability to quickly understand what are the top recipient non-profits in the endowment ecosystem more what is the largest donor advice fund or what portfolio positions are funds entered into and how much capital is locked up in Investments at the Community Foundation versus been granted out of the Community Foundation and where are those Investments being held and sort of what portfolios are they locked into so um the subgraph is this really phenomenal mechanism for us to be able to enable developers to build dashboards around the impact that's happening in not only the endowment ecosystem but like the broader ethereum ecosystem writ large okay let's spend some time going through examples we're going to try examples one more time let's see if we got internet hey we have Internet fantastic Maybe oh you have it here yeah but it's still installing this is uh this is rough ruff ruff ruff take that back for me yeah that's what I'm doing so um looks familiar doesn't it we should have a nice strong hot spot connection here so if you'll just bear with me we should be on our way here in a minute let's just see if we can get El Google to load I have reception before I expected to perform here is full of creators meaning that people are running only on my window to get others from the rewards so instead of how do you use high volumes where you can get a 100 API a year or maybe four percent if you have a year I think it's better to be safe and enjoy these super cool so that back to the same thing 51 so uh they are going back to school I am talking about the Battle of Iowa we are trying to create a smoothie food like similar to the one that's always exists thanks everybody for bearing with me while we figure out this Internet situation apologize for the technical difficulties we're going to try to get an Ethernet dongle here because we're living the dongle life just out of curiosity how many people in the room here are currently considering integrating impact into their app if you can just like raise your hand if that's something you're curious about great and like if you're in the nft space can you raise your hand like what percentage will we say are in the nft space what about like D5 refi okay okay and anybody sort of in like the portfolio or wallet space portfolio tracking or wallet space all right cool cool that's very helpful um that'll be fun for our uh foreign any luck with a dongle okay Annie just just not having it sure oh wait here we go here we go here we go here we go here we go come on come on come on all right come on thank you but okay at long last all right Welcome to our code sandbox this is a fun little environment that we've built for you guys all right um over here on the left you can see well first off let me tell you how to get here in case you ever want to get back to here all right nope that's the same URL wow the ethernet flying oh my gosh I feel whole again okay so if you're ever wondering about how you can explore examples for your own Edge team or if you want to kick this to your developer and be like this is your problem my dude all right um explore examples we'll take you to this great code sandbox that we've built all right it will show you exactly how to integrate the endowment SDK straight into your app all right and exactly how we've integrated it here in these examples of course styling and implementation is entirely up to you I'm going to hide that off to the side for now just to kind of showcase like what the barest bones version of this would look like okay so here's sort of feature number one is is easy and quick searching of non-profits and funds across the endowment ecosystem so for example if we wanted to find something like can I get it like uh who's got a fate oh no no you can't no no you're not allowed to do that that's Criminal are we having fun yet guys this is great oh boy yeah yeah the decimator we're still there hello decimator hmm [Music] bam is that Hitman hey all right we're back okay so uh anybody got a favorite non-profit in the house yes yes so we'll toss it in Denver food rescue just so you know this is a live the very live demo whoa hello all right so here's Denver food rescue showing up nicely with its description and its logo now obviously we've left some styling to be desired here and you know if you want to see how our design team really likes to roll you can head over to app.endowment.org but this is actually the exact same information as what we have on app.endowment.org so if we go and take the cin here and go to appdendomit.

org orgs slash the Ein of this organization there it is Denver food rescue right but as you can see on the screen this is actually not deployed yet so this is an organization that hasn't been onboarded and nobody's given to it yet and so what we actually need to do is to deploy this organization smart contract address so the escrow address that we create for a non-profit is yet to exist for Denver food rescue and so what we do is we go out and you have two ways of doing this you can either do it through the app but as we were talking about earlier you can also do org deployments through the SDK so if we search for this guy you can see we have the Denver food rescue and the SDK formats up the contract data object the the transaction data object in order to be able to deploy the Denver food rescue now this is a one-time setup action and over time this will happen less and less often right we're basically trying to what we call organization mine right we're basically like encouraging users to come in and deploy non-profit addresses so that the org can be onboarded into the broader ethereum ecosystem so if we wanted to deploy this org this SDK example allows us to connect with metamask oh boy and what you can see is that deploying one of these contract addresses is uh depending on gas prices anywhere between like five and twenty five dollars so right now it's coming in right around 16 bucks and we'll do this fast because we're feeling aggressive in a way it goes okay and now as we wait for that transaction to clear what's happening is we're deploying the smart contract address that is specifically created for the Denver food rescue in fact we're using Create two to take the Ein of the organization oh oh this is what I get for doing a live demo we'll do the deployment here instead foreign so what's happening here is we're deploying we're taking the Ein of the organization we're feeding it in as the salt for the contract creation and when we feed that einonous assault it creates a unique contract address that is specifically connected to the tax ID of that non-profit organization so you could always come back and check against the sort of bytes 32 hash of the org Ein which is a sort of readable function call on on the contract to be able to check on whether this organization is actually the right one whether this contract address is the right one for the organization that you want to support and so as this transaction goes through great success love that in fact this transaction didn't come in at 16 bucks but came in at 7.45 so oftentimes metamask will overestimate and now we have a deployed smart contract address for the Denver food rescue and when we come back to the SDK if we were to search for that again we now see that we have a deployed contract address for the Denver food rescue which means it's eligible to receive some some donations so the last example that we wanted to show you here today for the SDK was uh about how to actually format a gift to a non-profit so if we take this paste in our Ein right here right and let's say we want to give 0.01 eth okay if we generate the Swap and donation transaction data it will go out use our swap wrapper we've now called to uniswap found the optimal route for that eth to get swapped into usdc and if we send out this Swap and donate transaction will actually be giving 16 dollars and change to Denver food rescue huzzah yeah so this is going out and I swear if it doesn't work oh my God yeah it does so clearly something's up with the um clearly something's up with the examples this is why we demo in live in prod on mainnet um but uh as you can see the SDK is going out formatting this contract call building us a transaction that will allow us to take in the eth swap it to usdc in one Atomic transaction and then send that usdc to the contract address in question at which point our staff at endowment takes care of the rest we go off and contact the organization get their preferred form of payment whether that's a wire payment or a usdc wallet address and uh process that gift to them in the way that they would like to receive it receipts are generated automatically alerts for the non-profit are generated automatically if they've already supported it and sort of given us their contact information but yeah just very very excited about this about this functionality and um and I promise you uh we'll be uh correcting whatever bug we're running into here on the multi-call so thank you for your patience okay so if we come back to developers.indowment.org that's that's the examples here for the SDK if you're curious to read the GitHub documentation this is a public open source repo that has a bunch of information about how to get started examples about how to use it um different different sort of error error calls things to look out for things to be aware of but in general everything you need here is in is in the GitHub documentation we also have it made nice and beautiful here in our docs.

endowment.org this is the same information as what's available on GitHub so if you're interested in learning more yeah we're just it's just our day isn't it we're gonna try this again Bang foreign no we're not going to do it you're not going to cooperate mister here fishy fishy fishy fishy oh my goodness what's going on what's going on okay so here's what I want to do I'm going to audible because technology is not my friend today what yeah so what I want to do is kind of open this up to questions from the audience I'm going to abandon the projector um this is more or less very straightforward and we really wanted to I'm going to get out of the light because I can't see anybody um we really wanted this to be as easy for you to integrate as possible and as like flexible and creative as possible and so what we were hoping to do for the rest of the session was to hold a little workshop where we split up into three groups where some people were working on like sort of splitter implementations thinking about splitter implementations protocol Integrations like different apps that you could possibly build with this right another section of the group was going to be spending time thinking about um more like personal finance like how do we encourage people in the crypto ecosystem to start thinking about philanthropy when they think about their broader portfolio right so so many people spend all their time on zapper or you know wherever to go check on the balance of their wallet how do we put philanthropy right in front of them and educate them about what they're doing the third sort of vertical that we wanted to talk about was also just like analytics and tracking and elevating the story of the philanthropy that's happening on chain because I think it's one of our best use cases one of our best examples of the value of this technology and so um what I want to do instead of breaking out into those groups is just kind of lead a discussion or a question and answer session if you guys have technical questions about what we're doing if you have sort of implementation questions um myself Brusha day are here from the endowment team and we would love to sort of hear your ideas your thoughts what you want to spend time on and yeah just kind of open up the floor to you guys thank you all so much for being here and for working with us through technical difficulties sometimes this is how it goes but we're really really excited about these tools and really curious to hear like what you guys want to do with them so that we can support you we have a second microphone we do go ahead hey thanks hey man uh live demos are hard so we'll always on Power and do that uh hey my name is Brian I'm from lower Labs um I I worked with like 40 or 50 not-for-profits in Australia and New Zealand in my last role and I was looking through the endowment register and it I couldn't find anything by like their acnc number it seemed like it was Ein registered Charities only is there like a road map for bringing in other Charities or I missed the first like 10 minutes so you might have covered that but I'm curious of how to onboard a charity that's not already in your database so you know the ethereum community is inherently Global right and this is a question we get all the time right because not everybody lives in the states and people have backgrounds and things that they want to support from a broad range the problem is the regulatory architecture it's very touchy the U.S is very touchy about what international nonprofits you can support so we are a U.S non-profit right we're a 501c3 tax exempt organization and if you as a 501c3 taxes have if endowment as a 501c3 tax exempt organization wants to give money to another non-profit organization it has to be a 501c3 or it has to go through what's called either equivalency determination or expenditure responsibility these are basically non-profit jargon around are you the same thing as a 501c3 but in a different jurisdiction and there are actually API providers who provide data feeds of Ed or ER certified non-profits and one of them is called Global giving and we're about halfway through the integration process there currently sort of talking with them about contracts and terms but also about like flow of funds and exactly what we're going to support and how those contracts get deployed they have about three to five thousand non-profits and another three to five thousand sub-projects that exist for international nonprofits around the world who are doing work that sort of meets the criteria of the 501c3 I think that's like a first half of this year problem if everything goes right around the commercial negotiation um but once it does it's going to run through the exact same architecture so it'll just go from 2600 non-profits that are deployed well now 2601 including Denver food rescue shout out uh uh but we'll see that number start to climb there are effectively like 35 there are a million and a half non-profits that are registered as 501c3s in the U.S about from our analysis about those million and a half about 35 000 of them get 99 of the donation volume each year right so big Power law Distribution on who's raising money and so our hope is to actually come out and start incentivizing people to deploy those 35 000.

and that also like to us those three to five thousand that the giving that Global giving has um will represent a large amount of international volume as well and so I'm hopeful that those 40 to 50 that you work with will get covered that way um and uh stay tuned also some of those organizations are on the giving block and uh just like a little Alpha leak just keep your ears to the ground uh for Tuesday this week uh there may or may not be some sort of spiciness to share so um yeah hang tight any other questions from the audience suggestions requests do we take a feat um yes we charge the fund in question a fee so every one of our smart contract addresses are effectively a fund either it's a donor advice fund right so that's one individual giving to a pool effectively right they put assets into that pool we charge the fund a percent and a half right so same with the Community Fund right that's multiple people making decisions about Grant making we charge a Community Fund to percent and a half when you give straight to an organization address that is a fund that is a single issue or single beneficiary fund to address and that single beneficiary is the non-profit in question right and so we take the same one and a half percent fee um people depends on what we're talking about uh we for the donor advice fund and the Community Field of interest fund we take 50 basis points on the way in and 100 basis points on the way out that way we are incentivized to get users to actually operationalize their donated capital for uh non-profits that actually need it in the case of the single beneficiary funds so the non-profit contract addresses like the one that we just deployed for the Denver food rescue that is the whole cycle in one hit so like the money's coming in and it's going right back out so we charge the full one and a half percent in one swoop um just to give you a sense of like competitive pricing there um and given classy the giving block um any of the major what are called payment facilitators in the nonprofit space they charge between three and five percent in general part of why we're able to offer uh like 50 lower fee is because we're running in this entirely on-chain infrastructure that allows us to automate a lot of what these other organizations have to build large teams to process so um from our perspective we're really really competitive when it comes to fees and uh yeah it's it's really cool to be able to do that and really what we're playing for is scale right we're playing to get as many dollars into the hands nonprofits as possible and that's when we have the revenue to be able to support hiring more people like Dan Brusha and you know what we use that one and a half percent for is to hire people to go out and make sure that we deliver this money to non-profits on time quickly and compliantly and with proper sort of like vetting and you know ER Ed stuff about it is yeah so let me repeat the question for everyone um is endowment just one large staff and then every daff inside of it is is a sub-dath kind of thing um or is it like what's the sort of relationship that's the question right um so Community foundations but you know 501c3s is one thing right a church can be a 501c3 but that doesn't make them a Community Foundation a Community Foundation has to be a public charity and a public charity basically means that a certain percentage of your inbound fundraising dollars have to come from a certain level of diversity right so you can't have one donor coming in and giving all all the money to the organization and Community foundations and public Charities were built specifically to offer this kind of like aggregated Financial philanthropic Financial Services to donors right it's like it's kind of this your right to sort of infer that it's like a meta daf um we like to think of like Community foundations that's very decentralized right it's like we have 300 plus Donor advised funds each of whom make independent decisions about where they want to Grant to and it's like we don't have any all we say is is that organization representative of our ethics and our ethics are very broad on purpose so that like the broadest range of non-profits can be supported and so um that's kind of how we view ourselves as like kind of coming out the gate as a doubt not to mention that like you know we're built on Smart contracts and you know we use the centralized software and services to power all of our stuff and we have multi-signature wallets as our board of directors you know there's all these things and sort of progressive decentralization that's happening at endowment but um yeah no you're you're right to sort of think of it as like a meta home for dafs right Public public charity Community foundations exist to hold sub-accounts that are Donor advised funds or Community fields of Interest funds or individual benef beneficiary funds and so endowment and the contract ecosystem that we have is meant to sort of be representative of that broader public charity not meant to be like it is yeah hi um I'm Isaac with zelik blockchain security um I'm just going to be a little bit of a devil's advocate here so say I'm like the president of Americans against ethereum right um is there anything I can do to make sure no one opens an endowment under my like non-profit thank you if an organization reaches out to us and asks us not to list them publicly there are we have on the interface side the ability to hide that smart contract address the protocol is effectively trustless there is the ability for the board of directors to basically flag a contract address as uh as I think ineligible is the term that we use um this is for primarily for organizations like like the Ku Klux Klan is the 501c3 right and like by and large like we want endowment to be decentralized but also a reflection of the community's values and so for as far as sort of like turning off the trustless donation capability that's at the discretion of the board of directors of endowment right and that allows us to prevent funneling Capital to hate groups effectively and you can read our policy on that we've been very transparent about it and we haven't had very many run-ins with it we've had a few kind of trolley donors who come and want to give to like crisis pregnancy centers which is like where they harass people who are going into Planned Parenthood to get an abortion um like we've we've sent that to the board board says this doesn't fit our values we're not going to support this donation right and ultimately when you give to endowment the money is no longer yours it's endowments right it belongs to the Dow now and the board of directors holds the multi-signature wallet that's permissioned to determine what actually is allowed to be a recipient of endowment dollars and you as the donor retain what are called uh advisory privileges that's the legal term for it an advisory privilege is basically means recommend what you want to recommend tell us where you want to give to and as long as it doesn't run afoul of our values at the board level we we won't block it right like and as long as they're in good standing with the IRS as long as you don't get no benefit from the transaction right like you sign a message when you make a grant from a donor advice fund that says I get no personal benefit from this from this donation but like if you're the for for your example right like if you're the president of uh you know I hate ethereum.org right you can ask us to take it off but it's up to the board whether they disable the contract address and um every organization before they receive the payout of the funds that they've received has the opportunity to say I don't want this money for instance before the merge the national resources defense Council got like a couple thousand bucks from one of our donors from one of our funds and they were not comfortable with the environmental implications of the ethereum blockchain despite where we now are today and so they rejected the Grant and so the the organization always has the power to reject a grant from another organization and really that's all endowment is ever doing we're just doing it using smart contracts right and that's what's exciting to us is like we're not really trying to remake the wheel here we're just doing it in a way that's far more transparent super composable to developers and like able to accept this new asset class in all of its different forms whether that's nfts or you know long tail coins or you know eth itself hi uh Pete uh I you said the fee is 1.5 is that is that like all the way to the wire transfer to the to the non-profit so we use um we use Circle as our payouts provider um and circle and endowment have negotiated A reduced wire fee so we the we pass on the cost of the wire fee to the orc it's 15 dollars and that is separate from the one and a half percent that we charge to the fund um it's part of the incentive for an organization to adopt a wallet and set up their own either Circle account or coinbase account or you know some mechanism for them to off-ramp usdc because we don't charge anything to send them usdc right so if if they're claimed they they we have these organization contract addresses right there's a process for them to come and claim them in which we set either a wallet address or the circle destination Master wallet address as the recipient for all donated funds and if they claim it with their own wallet address we just send them the full balance of their contract Because by the time it hits their contract the fund has been charged the granting fund has been charged one and a half percent like whatever is left on that contract is theirs and it's either like if you want to go the wire fear out if you want to go the wire route like we have this sort of inescapable fee that Circle charges us and it's 15 bucks you batch it um we will back we batch for individual organizations so like some of them will choose to sit with you know sub a thousand dollars on the contract until they get to a thousand dollars and then they're like okay you know this is 15 basis points now right because we're getting in a thousand dollar wire right and uh and and you know it really most people are giving like the average donation size somewhere like 14k something like that so you know like most of these orgs that we're paying out they're taking in a couple thousand bucks and at that point you know when they're comparing well I would have had three or five percent of this transaction eaten if they got processed through my payment facilitator and now I'm getting either you know a hundred percent or maybe 99 or 99.5 or 99.9 the value like it's a no-brainer to them and it really hasn't been a huge problem for nonprofits but we would love to drive that down to zero so that we can start to support much smaller donations I think what's exciting about the developer tools that we've put out here this week is that this is infrastructure for people to do like sort of commercial level donations right where it's happening at the Commerce level where thousands of transactions are adding up to much larger donation amounts and that's like why we're here and why we're excited about this is because of the opportunity for it to be like you know a million donations of one dollar rather than one whale coming in and dropping down you know a thousand Ethan on an organization and is anyone doing like streaming like donations it's a different like to it like you said you can follow people's donations right some people are public so you could almost have it like where you could follow someone's donations and give an equal percentage based on what they're doing you get all that through the API all that yeah I mean like just having composable end addresses for non-profits opens up a whole development play space that like we're kind of like tweaking about because like the opportunities for like automated quadratic support you know like of nonprofits based on how many different donors are supporting them versus how much they're getting donated to streaming payments we've been working with the zero X splits team about integrating the SDK into the Xerox splits interface so that they can so that people can come in and like say like okay I'm splitting this with my friend and one percent of everything we do is going to this non-profit that we love right like and I think you're you're seeing the same thing we're seeing which is like there's a whole tip of the iceberg here and then there's the whole rest of the iceberg which is like what happens when robust streaming payment Protocols are out there and you can just set an endowment contract address as the recipient for a stream right or what happens when a dow takes a percentage of its treasury locks it up in a twap that pays out to a non-profit and that's their Corporate social responsibility program entirely on chain and totally auditable by the Dow right and those are the kinds of potentials that brought us here today to sort of talk to you guys about and that was exactly the kind of conversation that we wanted to have and it's great to hear you kind of like arriving at that idea yourself yeah I just I live in a small town and there's a bunch of small prop non-profits and it'd be really cool to kind of put them all on Jane and then like I could donate like my instead of my 20 a month to NPR I could just have like 20 a month to split across like a basket of small town non-profits or something like that yeah we couldn't agree more and in fact there's nothing stopping you from going out and deploying those non-profits right now yeah um and we actually have a program here at ethanver this weekend with this week this whole week where we're doing merch for deploys so if you deploy a certain number of non-profits you can get a tin of endowments for example in fact there are stickers on your table right now and some of you already have some endowments we'd be happy to give everyone here some endowments but we also have some Uber rare extra extra rare endow fanny packs this one's well worn yeah you've had this for a minute yeah this has been to the Amazon and it's it's indestructible okay but we have we have more of these for people who deploy many many orgs I think we're going with five right if you deploy five orgs we'll hook you up with a bag so you can batch those we have only done it for specific Partners who are doing bulk deploys we will probably roll out the bulk deployers like a front end interface that you can use uh within the next couple weeks or months it's just um we're like kind of battle testing it right now um but yes you can bulk deploy there is a bulk deploy or smart contract you can submit multiple eins to it and it will go off and yeah no we actually just did a batch deploy of about 1600 Orcs two weeks ago do what data you had some data for the nonprofits that look like you're probably pulling that from somewhere else um are you also getting geolocation for those yeah so um we give back the city and state and zip I believe in the API uh we're pulling all of this information from guidestar candidates guide star uh they are like the industry-leading API provider right alongside charity Navigators the other one here and you know with the conversation we were having earlier about global giving is like a similar one as well right where we're getting a data struct you know some some form of model from these API providers that's like here's name description Ein website contact you know financials uh location so um and that's just ripped straight from their tax filing so um we're just taking what the government releases publicly what is like sort of mandated to be released publicly by the government and putting it into a really beautiful interface and if I go to your use your API I'm basically getting access to that kind of in the background that other API with all that information okay exactly run hi hi so I'm so I'm building a startups for people who don't have the money to donate to try to contribute the volunteering hours in exchange for donations for example one of the adoption case that we are building is kids and their parents so kids contribute volunteering hours and the parents will help them to donate because you know they contribute three hours of volunteer work and the parents okay promise the kids to donate whatever amount of equivalent dollars for them so what kind of narratives that you can imagine I can present to these kids and parents if let's say we adopt this blockchain solution of you know um proceeding with this transaction more easily in a blockchain word yeah um first off congratulations that's a great idea and what it sounds like to me is that you're starting up a non-profit in and of itself and I would encourage you to think of it as a non-profit um the concept of the concept of giving time in exchange for donations is inherently tax exempt I think like you would have no problem getting a tax exemption yourself for the mission of this organization and then ultimately you would be able to fundraise using these same tools right you would be just like the Denver food rescue you would be you know the donate your time non-profit and and I think like that would be really awesome to see you kind of take that from zero to one and us to be able to support your crypto based fundraising by having a profile on endowment and having a smart contract address that you can have people send any asset to and then we'll take care of getting it into dollars and then you can use it to run your operations um yeah I I would say outside of that um you know it sounds like there's lots of opportunities for you to track the kind of volunteering that's happening and that's a little bit more of like uh less Financial use case for a smart contract protocol but maybe there's a protocol in there somewhere but um yeah I just applaud you for taking the leap and uh starting up something like that that sounds awesome and we would we we do this thing called fiscal sponsorship from time to time fiscal sponsorship is when a new startup non-profit is just trying to get off the ground you borrow the tax exempt status of an established non-profit so in your case it would be endowment fiscally sponsors your project so that you can operate as a tax exempt 501c3 before actually going through the application process and that would allow you to fundraise using crypto and fundraise tax exempt using dollars or stocks or whatever credit cards right and um and then you would sort of have an A A like kind of like an incubator incubate relationship where when you're the sponsored project it's like the sponsoring organization is kind of like putting an umbrella over you that says we think this is a non-profit and we're gonna kind of stick our neck out for you and help you do your reporting and help you pay the people that you need to pay and help provide fundraising endpoints for people to be able to donate tax-free to this new up-and-coming non-profit purchases from you guys yeah and you know yeah we do that right now our most famous one was Constitution doubt we were actually the bidding entity on Constitution doubt so um uh we do that for Lex Dao Lex Clinic we fiscally sponsor Lex Clinic they're now tax exempt um other internet if you know the other internet folks their fiscal sponsored project of endowment uh and so if you are sort of working on something in the crypto space that you think is an impact Dao right something that has some sort of charitable bent to it or research bent to it or um uh educational or religious been to it even um we're eligible to be a physical sponsor and it's something we love doing it's like how we kind of do more Grassroots Community organizing by providing our advantage of being a 501c3 to other established communities uh it depends on how you go about setting up the entity in the case of like Lex Clinic they are a tuna so they're trustless uh unincorporated nonprofit or Association so they don't have an EIN because they're an una but you know if you are a non-profit B Corp in California you set that up first you get an EIN and then you're not tax exempt yet so you come to endowment you say hey I want a fiscal sponsorship so that I can be tax exempt and that's where that's where that comes in so it can happen both ways you know we've done we've done things like toy drives that way like with nfts where nfts raise for a toy drive and we sponsor the multi-sig that deploys the nft contract so that they don't get exposed to income tax because it's all getting donated anyways um yeah we love that stuff that's our Jam um and we kind of got thrown in the deep end with Constitution down now we feel pretty comfortable with like anything because it's it's it's normally smaller than constitutional they use juice box to raise the funds constitutional use juice box to raise the funds but uh basically Sotheby's doesn't acknowledge a multi-sync wallet as a bidding entity and they had no legal entity structure and so they approached us about being their fiscal sponsor and then what happened was basically we fiscally sponsored Constitution down um that means we're then liable for sort of for like the outcome of that funding we built like a conditional fiscal sponsorship based on winning the auction so that like we would be sort of the sponsor for the auction and if we won and if we didn't win it dissolves and the money goes back um and we love the juice box team um they are they are family at this point and um yeah that was like an incredible experience and like a great example of like how do we how do we start thinking about how like this regulatory architecture that we've put together with the on train uh with the on-chain familiarity is really powerful and now what we're doing is we're reinforcing it with developer tools right so that those Integrations become more seamless hi Isaac again um so I'm curious about uh if there's any sort of if you guys offer any sort of insurance to donors or organizations say if something like went wrong with endowment if there was like a hack or an exploit and you guys lost funds from contracts um how do you guys like plan to deal with that if that were to happen have you ever tried to insure a crypto company personal this isn't this isn't a trap it's so hard I like um we have insurance we have directors and officers insurance but getting underwritten for cyber theft and cyber security is basically impossible um we've we've had maybe five different Brokers of record take this out to both the U.

S and international markets over two years and it's next to impossible to get underwritten for cyber Eno and cyber theft and cyber crime um we've been audited multiple times every time we roll out new smart contract product we get audited we've also been financially audited we're currently in the final process of a private of an independent third-party Financial audit something that not even FTX ever apparently did and uh um and and that's required by the state of California after you raise two million dollars so you have to get your financials audited by an independent third party so we take operational security and contract security and insurance really really seriously um getting more insurance is always up there on the priority stack um we have had some we've had moments where like somebody's made a donation where they broadcast like a million and a half dollars worth of eth to the uniswap you know Auto router and it gets mevd like immediately and you know it slips to the max slippage and then they're like where did thirty thousand fifty thousand dollars of this donation go and we have a treasury to sort of make people whole on that front and we have a record of making people hold on that front um but in general you know this is why we operate in stable coins this is why we split everything up amongst hundreds of smart contract addresses so that there isn't as many single points of failure um we've really tried to architect the system in a way that like lets me and the team sleep well at night 18 Factor authentication yeah everything excess amounts of two-factor authentication um but no systems perfect right and um uh I think will keep working to make it more secure over time but so far so good uh but uh yeah it's it's been a real journey trying to get insured and if anyone would like to insure us any other questions what can I get a time check all right 215 that's great um we're here all week what okay two things before we wrap one is we have an impact happy hour on Thursday from four to six uh so if you're at shelling point and you're feeling kind of tired and you want to get out of there come to Bruto we have uh we have a little sign here and if the uh projects are back too you can go look it's also on the table over there you can see our full calendar oh and our Twitter yeah for the week at endowment.org if you're not following yeah the happy hour the impact happy dollar um is happening on Thursday afternoon and also we are in the process of pulling together our first uh grant program for developers so if you are interested in getting financial support for developing on endowment we would love to hear about what you're looking to build and start talking about how we can support you um and always always you can find more at developers.endowment.org or follow us on Twitter at endowment.org please come see us here at the merge table in the back or we'll be at the regen landia in the main East Denver building and we'll have a booth there or you know just find anybody in an endowment sweater and we'd love to give you some mints and help you deploy a non-profit or two or five or ten and yeah just really appreciate everybody coming out and hearing us out and you know weathering some technical difficulties so um thank you y'all and uh have a great rest of your week [Music]