Digital Public Goods QF Experiments in the Government
https://www.youtube.com/watch?v=FgQ3JNiFCDo&list=PL3C6eF-zu5AYohNL1ZgOBqlwwJ29x-lTO&index=26
o1 Pro.icon
1. introduction and background
Audrey Tang, former Minister of Digital Affairs, Taiwan
Starting with small experiments (e.g., USD10K scale) and expanding to larger budgets in excess of USD2M.
Incorporate SROI (social return on investment) as an evaluation criterion when targeting support for both investment and R&D in public infrastructure.
Yoshiro Tasaka (Startup Promotion Officer, Shibuya Ward)
Executed visa issuance for entrepreneurs and creation of a start-up friendly environment in Shibuya Ward.
Web3 and blockchain areas have not yet been fully implemented, but the company is eager to introduce them in the future.
Shunsuke Takagi (Civic Tech community, involvement in DigDAO) Began experimenting with QF in cooperation with Japan's Digital Agency.
The demonstration is being conducted in the form of using Japanese yen instead of virtual currency, such as yen-denominated credit card payments.
2. quadratic funding (QF) case study in Taiwan
Mechanisms: 1.
The "square root" of each individual donation is added up and matched by the government or agency.
The more projects that involve a large number of small donors, rather than just one major supporter, the greater the matching amount.
Features: -Features: -Features
Use existing crowdfunding platforms (e.g. flyingV) to lower the hurdles to participation through a familiar mechanism.
It was transcribed as Flying V.flyingVが正しいnishio.icon flyingV is the largest crowdfunding website in Taiwan. --- FAQ Introduced the concept of SROI (Social Return on Investment) on the project side to measure social return. Since the funds are provided in the form of a Prize, recipients are not bound by the government and can easily pursue projects on their own.
Actual flow:.
For every 100 applications, a certain amount of money (e.g., 500,000 yen equivalent) will first be distributed for small-scale demonstrations.
Based on the results, approximately 50 cases were selected, taking into account SROI and other factors.
Additional millions of yen worth of money is distributed to the top 20 finalists, etc., using the quadratic method.
Certain "caps" and "incremental steps" are set to prevent excessive concentration on a single project.
QF experiment in Japan
DigDAO(Digital Agency) case study:. The platform is now open to the public for donations by Japanese Yen credit card.
Eighteen projects participated in the analysis of the donation situation.
We are beginning to see a "long tail" distribution where matching increases when many supporters support even small amounts. Shibuya Ward Attempts:.
Proposed budget for QF last year but was not approved.
However, the company intends to make preparations for the realization of the project in the future, as public awareness of the project has increased through the attraction of Web3 events, etc.
Future Directions and Challenges
Governmental Moves and Perspectives:.
Unlike traditional government procurement (winning bids and grants), QF allows for flexible allocation of funds based on citizen support.
Support in the form of a prize ensures the independence of the project while encouraging cooperation between the government and the civil sector.
Building up a track record from small-scale experiments and accumulating best practices is effective in building consensus within government agencies.
Installation Notes: 1.
Education and awareness to spread understanding of QF and SROI is essential.
It is important to leverage existing (web2type) platforms and design them to facilitate public participation.
Since increased competition tends to bias funds toward one project, certain ceiling and adjustment measures are necessary.
5. key points for questions and answers
Effectiveness of small-scale experiments:.
The risk of failure is low, and it is easy to pass within the administration.
As cases accumulate, priorities and evaluations on the part of the administration are likely to change.
Model Improvements:.
There is room for fine-tuning on the ground, such as incorporating an upper limit or step into the QF formula, or combining it with a mechanism for evaluating social returns.
Summary of key points
Advantages of QFs: They can encourage mass citizen participation and increase fairness and democracy.
Taiwanese case study: small experiment → continuous evaluation → scaling up, focusing on SROI and visualizing public value.
Application to Japan: Budget and lack of understanding on the part of local governments are issues, but there is potential to expand from small-scale experiments.
Key Points: Linkage to existing platforms + Award-based payments + SROI utilization + Phased operations.
The above is a brief summary of the discussion.
---