I thought this was very well put, and what I particularly like about it is that it puts the focus on quality of process and communication rather than vague concerns about the availability of more money per se. For my part, I think it’s awesome that FTX is thinking so ambitiously and committing to get money out the door fast, which is a good corrective to EA standard operating procedure to date and an even better corrective to more mainstream funding processes. And I think the initial rollout was really quite good considering this was the first time y’all were doing this and the goals mentioned above.
With that said, I think Tee’s comments about attention to in process are spot-on. Longer-term, I just don’t see how this operation is effective in reaching its goals without a lot more investment in process and communication than has been made to date. The obvious comparison early on was to Fast Grants, but the huge difference there is that Fast Grants is a tiny drop in the bucket compared to the $40+ billion a year provided by the NIH, whereas FTX Foundation is well on its way to becoming the largest funder in EA. It was much more okay for Fast Grants to operate loosely because they were intervening on the margins of a very established system; FTX by contrast is very much establishing that system in real time.
I really don’t think the answer here is to spend less or move more slowly. FTX has the resources and the smarts to build one of the very best grantmaking operations in the world, with wide-ranging and diverse sourcing; efficient due diligence focused like a laser on expected value; professional, open, timely and friendly communications with all stakeholders; targeted and creative post-hoc evaluation of key grants; and an elite knowledge management team to convert internal and external insights to decisions about strategic direction. This is totally in your reach! You have all the money and all the access to talent you need to make that happen. You just need to commit to the same level of ambition around the process as you have around the outcomes.
I thought this was very well put, and what I particularly like about it is that it puts the focus on quality of process and communication rather than vague concerns about the availability of more money per se. For my part, I think it’s awesome that FTX is thinking so ambitiously and committing to get money out the door fast, which is a good corrective to EA standard operating procedure to date and an even better corrective to more mainstream funding processes. And I think the initial rollout was really quite good considering this was the first time y’all were doing this and the goals mentioned above.
With that said, I think Tee’s comments about attention to in process are spot-on. Longer-term, I just don’t see how this operation is effective in reaching its goals without a lot more investment in process and communication than has been made to date. The obvious comparison early on was to Fast Grants, but the huge difference there is that Fast Grants is a tiny drop in the bucket compared to the $40+ billion a year provided by the NIH, whereas FTX Foundation is well on its way to becoming the largest funder in EA. It was much more okay for Fast Grants to operate loosely because they were intervening on the margins of a very established system; FTX by contrast is very much establishing that system in real time.
I really don’t think the answer here is to spend less or move more slowly. FTX has the resources and the smarts to build one of the very best grantmaking operations in the world, with wide-ranging and diverse sourcing; efficient due diligence focused like a laser on expected value; professional, open, timely and friendly communications with all stakeholders; targeted and creative post-hoc evaluation of key grants; and an elite knowledge management team to convert internal and external insights to decisions about strategic direction. This is totally in your reach! You have all the money and all the access to talent you need to make that happen. You just need to commit to the same level of ambition around the process as you have around the outcomes.