Gitcoin (GTC) sustainability report

NameBlockNodes SAS
Relevant legal entity identifier969500PZJWT3TD1SUI59
Name of the crypto-assetGitcoin
Beginning of the period to which the disclosure relates2025-10-25
End of the period to which the disclosure relates2026-10-25
Energy consumption377.37029 kWh/a

Consensus Mechanism

Gitcoin is present on the following networks: Ethereum, Near Protocol.

Ethereum reaches agreement through proof of stake, adopted in September 2022 when the original mining-based chain was retired in favor of a validator-driven consensus layer. The protocol family is usually referred to as Gasper. A fork-choice rule named LMD-GHOST selects the head of the chain by following the branch carrying the greatest accumulated weight of validator votes, while a separate finality gadget, Casper FFG, periodically justifies and then finalizes checkpoints, so that reversing them would require destroying an enormous quantity of bonded value.

Time is divided into slots of twelve seconds, and thirty-two slots form an epoch. For each slot the protocol pseudo-randomly designates one active validator to assemble and publish a block, and assigns the rest to committees that vote on what they believe is the correct head and the correct checkpoints. Under healthy conditions a checkpoint becomes final two epochs after it is proposed, a little under thirteen minutes, after which everything beneath it is treated as settled.

Joining the validator set requires a deposit of no fewer than 32 units of the native asset. Since the protocol upgrade of May 2025 a single validator may hold a far larger balance, up to 2,048 units, and earn on the whole of it, which lets an operator running many minimum-sized validators consolidate them into fewer; the activation floor itself did not change. Entry and exit are rate-limited by a queue measured in staked weight rather than in validator headcount, which bounds how fast the composition of the set can turn over.

Security rests on voting power being bonded. A validator that signs contradictory messages can be proved to have done so and is penalized, and the size of that penalty scales with how much other stake was penalized at the same time, so a coordinated attack is punished far more severely than an isolated fault. Should the chain stop finalizing altogether, a separate mechanism gradually erodes the balances of validators that are not participating until the remainder again represents a large enough majority to finalize. Upgrades during 2024 and 2025 changed how large data payloads are distributed and sampled between nodes, without altering this underlying agreement process.

NEAR Protocol is a sharded proof-of-stake network. Rather than running independent chains alongside one another, it treats the whole system as a single logical chain whose every block is assembled from per-shard pieces called chunks, so one block header commits to the state of every shard at once. An account's address determines which shard holds it. The network launched with a single shard and has since grown to several; a 2026 protocol release made the split automatic, so a shard now divides at an epoch boundary once its state passes a configured size threshold, instead of waiting for a coordinated upgrade.

Participation is decided by a recurring auction over stake. An operator wanting to validate submits a staking proposal; at each epoch boundary the protocol sorts the proposals, derives a seat price from them, and assigns duties to those clearing it, with some accounts producing blocks, others producing the chunks of a particular shard, and the rest acting as chunk validators. Epochs last roughly half a day and assignments are reshuffled each time, so no operator holds a given shard indefinitely. Because the seat price floats with the total stake competing for entry, the threshold rises and falls with demand rather than being fixed in the protocol.

The design that most distinguishes this network is stateless validation, adopted in 2024. A chunk producer publishes, alongside its chunk, a compact witness carrying exactly the state that chunk touched together with proofs against the shard's state root. Chunk validators check the work from that witness alone, so they can verify a shard without storing it, and shards can be added without pushing hardware requirements steadily upward.

Blocks are produced under Doomslug, which allows the next block to be built once more than half of the stake has endorsed its predecessor, giving a fast practical guarantee that the chain will not reorganize. Full finality comes from a separate rule once two-thirds of the stake has endorsed, normally within a small number of blocks. Safety rests on more than two-thirds of staked value behaving honestly, and activity crossing shard boundaries travels as receipts routed asynchronously over subsequent blocks.

Incentive Mechanisms and Applicable Fees

Gitcoin is present on the following networks: Ethereum, Near Protocol.

Payment inside the protocol flows to validators, the only participants the consensus layer compensates directly. A validator earns newly issued units of the network's native asset for voting promptly and correctly on the head of the chain and on the checkpoints being justified, for serving its turn in the committee that signs headers for light clients, and, when selected to propose, for the block itself. The proposer additionally keeps the priority portion of the fees in that block, together with whatever it receives from the separate market through which many proposers outsource block assembly. There is no delegation inside the consensus rules: stake is either operated directly or entrusted to an operator through arrangements that sit outside the protocol.

Users pay for execution in gas, metered per operation, with writes to persistent state priced far above arithmetic. Every transaction carries a base fee per unit of gas that the protocol sets algorithmically from how full recent blocks have been, and that amount is destroyed rather than paid to anyone, so sustained demand withdraws native asset from circulation. On top of it a user adds a voluntary tip, which goes to the proposer and governs how quickly the transaction is picked up. Data posted on behalf of Layer 2 networks is priced in a second, independent market whose fee is likewise destroyed; a December 2025 upgrade tied the floor of that market to ordinary execution costs so it cannot collapse to a negligible level, and capped the gas any one transaction may consume.

Penalties mirror the rewards. Failing to vote, or voting late or incorrectly, costs a validator roughly what correct behavior would have earned it. Provable equivocation is treated far more harshly: the offender is scheduled for ejection, forfeits part of its balance immediately, and later incurs an additional correlated penalty computed from how much other stake was penalized nearby in time. Prolonged absence while the chain is failing to finalize drains balances until finality can resume. Stakers may take out accumulated rewards without leaving the set, and since 2025 may also trigger a full exit from the execution layer rather than only from the consensus client.

The network issues a fixed proportion of the supply of its native asset each year, on the order of five percent, and divides it: roughly nine-tenths is paid to the validators of each epoch and the remaining tenth goes to a protocol treasury. Epoch rewards are proportional to the seats an account holds, and they are conditional on work actually performed. A validator that produces fewer than the required proportion of the blocks or chunks it was assigned earns nothing for that epoch and is removed from the set for the following one, with re-entry taking a further two epochs. Holders who do not want to operate infrastructure can delegate to a staking pool contract, which pools their stake behind an operator and passes back rewards net of that operator's commission.

Penalties deserve to be stated precisely. The protocol specifies a design under which stake could be confiscated for provable misbehavior, but that mechanism is not switched on. What actually operates is economic exclusion: forfeited rewards, ejection from the validator set, and the delay before an ejected account can return. Stake itself is not taken.

Execution is paid for in gas. Unlike an auction-priced fee market, the cost of each operation is fixed in protocol configuration, and the gas price moves only gradually in response to how full recent blocks have been, so costs stay predictable and do not spike sharply with congestion. Gas spent is destroyed rather than handed to validators, who are paid from issuance instead. Historically three-tenths of the gas burned by a contract call was credited to the account of the contract being called, a rebate meant to fund contract authors; network governance has voted to set that share to zero so the entire amount is burned.

State is charged for separately through storage staking. An account must keep an amount of the native asset locked in proportion to the bytes it occupies, in the region of one unit per hundred kilobytes, and the lock is released when the data is deleted, so there is no recurring rent. Access keys and meta-transactions additionally let one party cover another's gas.

Energy consumption sources and methodologies

Gitcoin is present on the following networks: Ethereum, Near Protocol.

The figure reported for this network is assembled machine by machine, treating the computers that run the protocol as the thing that draws electricity. The starting point is an estimate of how many independent nodes are operating, built from crawlers that walk the peer-to-peer layer and record every peer they can reach, supplemented by public listings of infrastructure and staking providers and by the protocol's own visible record of how much stake is active and how it is spread across operators.

A representative hardware profile is then inferred for those machines. The client software publishes what it requires in processor, memory and disk terms, and operators have little reason to provision far beyond that, so the profile is derived from those stated requirements rather than from a survey of individual operators. Power draw for the resulting device classes comes from measurement on representative equipment under controlled laboratory conditions, capturing both the load validating places on a machine and the draw of a machine that is powered on but momentarily idle, which for a network of this kind accounts for a large share of the total. Multiplying measured per-device draw across the estimated population over the reporting period yields the network figure. Where a disclosure concerns one of the many assets issued on this network rather than the network itself, a portion of the network total is assigned to it in proportion to observed on-chain transfer volumes.

The limits deserve stating plainly. The node count records what is reachable, not a census, and machines behind restrictive network configurations are missed. The hardware profile is a reasoned inference from published software requirements, not a record of what any particular operator bought. Nothing here is metered at the wall. Where the evidence runs out, the assumptions chosen are those that push the estimate upward rather than downward, so the result is more likely to overstate consumption than to understate it, and it is revised as observation improves. The network's own account of its energy profile is published at Ethereum energy consumption.

The figure reported for this network is an estimate assembled from the infrastructure that runs it, not a metered reading. It works upward from the population of machines taking part, and from what each of those machines can be expected to draw.

The first input is the size and composition of that population. It is estimated from publicly observable network data, including peer discovery, the published validator set and its per-epoch duty assignments, and open directories of operators, gathered by automated collection of the same information. For a sharded network this matters more than a headline count, because duties are divided between block producers, the producers of each shard's chunks, and the chunk validators that verify them; the estimate has to cover all of those roles rather than only the accounts holding seats. Machines that take no part in consensus but that the network needs in order to be usable, such as archival nodes and query-serving infrastructure, are included as well.

The second input is consumption per machine. A representative hardware profile is inferred from the resources the client software states it requires, covering processor cores, memory, disk and bandwidth, and power draw is attributed from laboratory measurement of devices matching that profile. Draw is counted continuously, including the large idle component, since a validator has to stay online whether or not it currently holds an assignment. Multiplying the per-device figure across the estimated population produces the network total.

The limits should be read plainly. Both the population and the hardware mix are inferences drawn from public observation and from stated software requirements; operators are not surveyed and meters are not read. Where the evidence runs out, the assumption chosen is the one that makes the impact look larger rather than smaller, so the resulting figure is more likely to overstate than understate. Stateless validation also changes the profile over time, since verifying a shard no longer requires storing it, and the estimate is revised as observation of the network improves and as the shard count changes.

Key energy sources and methodologies

Gitcoin is present on the following networks: Ethereum, Near Protocol.

The renewable share reported here is a weighted average of grid mixes rather than a record of what any operator actually buys. It is produced in two steps: establish where the infrastructure sits, then attach regional electricity statistics to those places.

Location is inferred from what the network exposes publicly. Nodes advertise network addresses in order to be reachable by peers, and those addresses resolve to a country accurately enough to describe an aggregate distribution, even though any single resolution may be wrong. Crawlers of the peer-to-peer layer and public directories of hosting and staking infrastructure supply the input. Where the observable sample is too thin or too skewed to stand for the whole population, the geographic spread of a structurally similar network is substituted, chosen because its participants face comparable hardware costs and comparable pressures over where to site machines, on the reasoning that operators respond to the same commercial forces even where the software differs.

Each location is then matched to published statistics on how electricity in that country or region is generated. The renewable proportion for the network is the consumption-weighted share falling in regions where generation is renewable. Grid averages are used because the alternative, knowing each operator's actual supply contract, is not observable; an operator on a dedicated renewable supply and one drawing ordinary grid power in the same country are treated alike.

Energy intensity is reported on a different basis from total consumption. It is a marginal quantity: the additional electricity attributable to processing one further transaction on the network as it currently runs. For a network whose consumption is driven by a validator set that operates continuously regardless of how busy the chain is, that marginal figure is small, and it is not the total divided by the transaction count. The generation statistics are drawn from Share of electricity generated by renewables, compiled by Our World in Data from Ember's electricity datasets and the Energy Institute's Statistical Review of World Energy.

The renewable share attributed to this network is derived from where its machines sit, not from any claim about the electricity the network chooses to buy. The first step is to place the node population geographically. Locations are inferred from publicly observable network data, including the addresses peers announce to one another, information operators publish about themselves, and the hosting providers and data-center ranges those addresses resolve to, all gathered by automated crawling of the peer network. Sharded duty assignment does not complicate this step, since what matters is where a machine physically sits rather than which shard it happens to serve in a given epoch.

Coverage is never complete. Some operators sit behind relays or cloud infrastructure that hides the physical site, and others publish nothing at all. Where a network's own geographic spread cannot be observed in sufficient detail, the distribution observed for a structurally similar network is used in its place, chosen because its participants face comparable incentives and carry comparable consensus duties, and can therefore be expected to cluster in broadly the same regions.

Those locations are then matched to regional electricity statistics. Each machine is associated with the grid serving its location, and the renewable proportion of that grid's generation is applied, weighted by the share of estimated consumption sitting in each region. The result is a consumption-weighted renewable share for the network as a whole, which moves both when operators relocate and when the underlying grids change from year to year.

Energy intensity is reported alongside it and means something narrow: the marginal energy associated with processing one further transaction. Because most of this network's consumption is the fixed cost of keeping validators online rather than anything proportional to throughput, that marginal figure falls as activity rises, and it should not be read as an average cost per transaction. Grid statistics come from Share of electricity generated by renewables, compiled by Our World in Data with major processing from Ember and from the Energy Institute's Statistical Review of World Energy.

Key GHG sources and methodologies

Gitcoin is present on the following networks: Ethereum, Near Protocol.

Emissions are derived from the consumption estimate rather than measured, by attaching a carbon intensity to each unit of electricity the network is estimated to draw and summing across the network.

The geographic step repeats the one used for the renewable share. Node locations are inferred from publicly observable network data, principally the addresses peers advertise so that others can connect to them, gathered by crawlers and supplemented by public information about where staking and hosting infrastructure is operated. Where that observation is too sparse to characterize the whole population, the distribution of a comparable network stands in for it, selected because its participants face similar operating economics rather than because its software resembles this one. Each region is assigned a carbon intensity, meaning the average greenhouse gas released per unit of electricity generated on that grid, expressed in carbon dioxide equivalent so that methane and the other gases are counted on a common basis. Estimated consumption in a region multiplied by that region's intensity, summed across regions, gives the network total.

The reporting separates two scopes. Scope 1 covers emissions from sources the operators of the infrastructure control directly, such as fuel burned on site in a generator. For a network of this kind, whose participants overwhelmingly run ordinary servers connected to a public grid, there is generally nothing in that category, and it is reported as such rather than left out. Scope 2 covers the indirect emissions embodied in the electricity purchased to run that infrastructure, and that is where essentially the whole footprint sits. Emissions further up the supply chain, such as those from manufacturing and shipping the hardware, fall outside this boundary.

Greenhouse gas intensity follows the same marginal logic as energy intensity: it expresses the additional emissions attributable to one further transaction rather than an average spread across all of them. Because it inherits both the consumption estimate and the grid averages, its uncertainty combines theirs. Carbon intensities are taken from Carbon intensity of electricity generation, compiled by Our World in Data from Ember's electricity datasets and the Energy Institute's Statistical Review of World Energy, and made available under the CC BY 4.0 license.

Emissions for this network are derived from its electricity use and from the carbon content of the grids supplying it. The estimated energy total is first broken down by location, using the same geographic picture built for the energy analysis: node addresses observed on the peer network, operator information published openly, and the hosting ranges those addresses belong to. Where the observed spread is too sparse to rely on, the distribution of a structurally comparable network is substituted, selected for similar incentives and similar validation duties rather than similar size.

Each block of consumption is then multiplied by the carbon intensity of the grid serving it, expressed as emissions per unit of electricity generated in that region, and the results are summed. This means the outcome is driven as much by where operators choose to host as by how much electricity the network draws, and it changes year to year as national generation mixes shift.

The reported figures separate two scopes. Scope 1 covers emissions from sources the network's operators control directly, such as on-site fuel combustion; for a network of this kind that is effectively nil, since the infrastructure is commodity servers drawing grid power in third-party facilities. Scope 2 covers the indirect emissions embodied in the electricity purchased to run that infrastructure, and it accounts for essentially the whole footprint. Emissions embodied in manufacturing the hardware, and in building and cooling the facilities that house it, fall outside both and are not included.

GHG intensity is the marginal figure, the emissions attributable to one additional transaction. As with energy, the bulk of the total is a fixed cost that continues regardless of throughput, so intensity falls as usage grows and is not an average. Carbon intensity values come from Carbon intensity of electricity generation, compiled by Our World in Data with major processing from Ember and from the Energy Institute's Statistical Review of World Energy, and made available under the CC BY 4.0 license.