1. Understanding the Nature of Ethereum

Peter emphasized that Ethereum cannot be defined by a single descriptor due to its multifaceted nature. He suggested that it can be considered akin to a Commons, like forests or fisheries, where resources are shared and can be abused if not properly managed. This analogy underscores the importance of collective responsibility among users to sustain and support the ecosystem.

2. The Financial Challenges for Core Contributors

According to Peter, there exists a significant disparity in financial compensation for Ethereum core developers compared to their counterparts in the broader ecosystem. While core contributors secure vast amounts of value for Ethereum, they are underpaid, making it economically irrational to pursue core protocol work. This reality creates a risk that vital contributors may seek more lucrative opportunities elsewhere.

3. Exploring Sustainable Funding Models

Peter discussed the need for a sustainable and scalable funding ecosystem for Ethereum's core developers. He mentioned that altruistic funding measures, while notable, are not a long-term solution. Instead, he proposed creating a social norm in which projects on Ethereum allocate a portion of their tokens to support core development, ensuring that contributors are compensated fairly and consistently.

4. Protocol Guild: A Collective Solution

Peter introduced Protocol Guild as a necessary mechanism to make Ethereum core protocol contributions economically rational. The Guild features a membership registry that highlights active contributors, ensuring their ongoing recognition and support. With membership based on contribution duration, this model not only values experience but also incentivizes long-term commitment to the protocol.

5. The Role of Transparency in Funding

Transparency is a cornerstone of the Protocol Guild’s funding strategy. Peter explained that donations would utilize a single address system, allowing for clear tracking of the funds. This transparency ensures donors can verify their contributions directly benefit Ethereum’s core contributors, fostering trust within the community.

6. Introducing the Protocol Guild Pledge

Peter discussed the Protocol Guild pledge, which asks projects to commit 1% of their token supply to support core protocol contributors. By doing so, projects not only ease the financial burden but also engage in a mutualistic relationship where contributors benefit from the growth of the ecosystem. This pledge is designed to normalize contributions and make supporting development accessible for all projects with tokens.