Purpose Board Report
The purpose of the report is to update the ETC Cooperative Board members and provide them with
information about the activities, operations, progress or difficulties of the ETC Cooperative, during the last
fiscal quarter, to help them fulfill their duties.
These presentation will include a financial section as well as progress towards the annual
goals and objectives.
A full 2020 annual report, similar to the 2019 retrospective will be
completed in 2021.
ETC Cooperative
Overview
› The major event for ETC Cooperative during Q2 was the long-awaited Phoenix hardfork where protocol-parity with ETH was achieved.
› Ongoing work on stability of BlockScout block explorer instances.
› Ongoing work with Connext on getting an ETC hub set up for their state channels implementation. Connext ETC is now live.
› Webinars given by Yaz to Hyperledger members about the Ethereum tech stack. Advocacy for Keccak256 merging into the Hyperledger Besu client is planned with outreach to Hyperledger and Linux members.
› Planning for ETC Cooperative Grant Process design underway.
Protocol
› ETC successfully hardforked to ETC Atlantis on 31 May 2020.
› There was some network turbulence on the days following the fork which forced emergency releases of both OpenEthereum and Hyperledger Besu clients. ETC Coop nodes were updated with fixes.
› That was not a chain-split, but a bug in the networking layer for those two clients, which was resolved within 48 hours.
› Both Classic Geth and Parity-Ethereum reached end of life at Phoenix.
› Post-fork split by client was:
- OpenEthereum 48%
- Core-Geth 28%
- Multi-Geth 23%
- Hyperledger Besu 1%
› Both Multi-Geth and OpenEthereum have since announced that they will be dropping ETC support.
› ETC Core will focus on Core-Geth and ETC Coop will focus on HL Besu.
Infrastructure
We have been working with POA Network on stability of the BlockScout block explorer instances which we have been running since January. API Fixes and Harddisk issues came up with one of our servers. Parity database corruptions were found, which prompted a switch to Hyperledger Besu.
Blockscout ETC has been running a Besu node for the mainnet instance since early July.
We have been working with Connext to set up an ETC hub for their state channels solution throughout Q2. It was the first instance not run by their internal team and we hit many issues. ETC Connext channel went live in July.
Ongoing infrastructure work to help support the Enterprise Ethereum Alliance testnet. Documentation ongoing of testing timeline.
Comms and Marketing
› We hosted an ETC-focused “Foundations” mini virtual conference as part of Consensus Distributed, with both Bob and Yaz presenting, together with a Q&A session.
› Consensus is the largest blockchain conference of the year. Over 10,000 people registered for this year’s virtual event.
Grants
› We paused our spending on grants during Q2 as the global pandemic raged.
› Looking forward, we plan to spend around $25K on grants and external projects during Q3.
› Our focus will likely be on low-level protocol and infrastructure work consistent with our strategy of building from the bottom-up.
› This round of grants will also be used to guide the revamp of our grants process which is one of our primary organizational goals for the financial year.
Finance
| June 2020 Actual | June 2020 Budget | Variance $ June 2020 vs June 2020 Budget | June 2019 Actual | Variance $ June 2020 vs June 2019 | |
|---|---|---|---|---|---|
| Overhead & Management | $17,467 | $20,854 | $(3,387) | $15,008 | $2,459 |
| Development | $8,000 | $10,000 | $(2,000) | $10,334 | $(2,334) |
| Protocol | $0 | $20,000 | $(20,000) | $0 | $0 |
| Comms&Marketing | $150 | $0 | $150 | $1,516 | $(1,366) |
| Finance | $1,307 | $5,325 | $(4,018) | $8,240 | $(6,933) |
| Infrastructure | $13,142 | $15,750 | $(2,608) | $0 | $13,142 |
| Partnerships | $250 | $0 | $250 | $0 | $250 |
| ETC Summit | $0 | $0 | $0 | $10,000 | $(10,000) |
| Total Expenditures | $40,317 | $71,929 | $(31,613) | $45,098 | $(4,782) |
| Non-cash Items | $0 | $0 | $0 | $0 | $0 |
| Total Operating Expenses | $40,317 | $71,929 | $(31,613) | $45,098 | $(4,782) |
› Overall, expenditures were lower in Q1 2020 vs both budget and Q1 2019. The largest variance relates to protocol projects, that may be shifted further into the year, as well as within finance for tax related work, that may need to be incurred towards the second half of the year. Comms & marketing costs were lower than budget and will expect to continue this trend, as travel and conferences have ceased, due to Covid-19. Due to the worldwide economic uncertainty, the team is keeping all spending to a minimum.
Financial Position in $US
| Financial Position in $US | |||||
|---|---|---|---|---|---|
| 30-Jun-20 | 31-Mar-20 | 31-Dec-19 | 31-Dec-18 | 31-Dec-17 | |
| Assets | |||||
| Cash&Cash Equivalents | $233,278 | $195,538 | $146,318 | $530,268 | $0 |
| ETC(at book value) | $78,115 | $78,115 | $154,363 | $154,363 | $0 |
| Accounts Receivable | $5,000 | $12,057 | $12,057 | $7,057 | $0 |
| Due from Grayscale | $46,849 | $34,890 | $18,808 | $(6,729) | $371,505 |
| Prepaid Expenses&Deposits | $750 | $1,500 | $2,250 | $0 | $0 |
| Total Assets | $363,992 | $322,100 | $333,796 | $684,960 | $371,505 |
| Liabilities | |||||
| Accounts Payable&Accrued Liabilities | $34,888 | $26,905 | $44,393 | $20,305 | $0 |
| Due to Grayscale | $0 | $0 | $(1,000) | $3,022 | $131,864 |
| Total Liabilities | $34,888 | $26,905 | $43,393 | $23,328 | $131,864 |
| Equity | |||||
| Retained Earnings | $290,403 | $290,403 | $661,632 | $239,640 | $0 |
| Net Income/(Loss) for the year | $38,701 | $4,792 | $(371,229) | $421,992 | $239,640 |
| Total Equity | $329,104 | $295,195 | $290,403 | $661,632 | $239,640 |
| Total Liabilities&Equity | $363,992 | $322,100 | $333,796 | $684,960 | $371,505 |
| ETC at Market Value | $46,812 | $40,386 | $72,540 | $81,430 | $0 |
| Liquid assets | 280,090 | 235,924 | 218,858 | 611,698 | 0 |
Goals & Objectives – Q3 Update
Goals and Activities planned for Q3
- Regular podcast appearances,
- Press interviews, blogs, etc.
- Work on a further translation for ETC website.
- Connext state channels go live.
- Work on tech project for developer marketing.
- Start work on fund raising.
- Add forkmon and ethstats dashboards.
- Support Keccak256