Gratipay

2012 - 2017
dead us
152 thursdays in a row it paid people, and then one thursday it did not. stripe had told gittip that what it was doing looked like money transmission under american state law, and the lawyer gratipay hired came back agreeing. it returned as a tool for companies rather than a tipping jar for individuals, moved $1.1 million across five and a half years, and switched itself off at the end of 2017. the page it left behind is still up, and it still reads rip.

~ the eulogy ~

Gittip opened on 1 June 2012. You picked somebody whose work you used and set a weekly amount, and every Thursday the money moved without either of you having to say anything about it. There were no campaigns and no reward tiers. The person receiving saw a number going up and never saw the names behind it, which was the whole design: the point was to remove the transaction from the relationship entirely.

Chad Whitacre built it in Pittsburgh and ran it as what he called an open company. The code sat on GitHub and the company's own finances were published as they went, so anyone could look at what it had and what it was spending. In February 2014 that principle met a harassment complaint the founder wanted handled in the open like everything else. Several of the platform's best-known recipients left over how it went, and the name came out of it damaged. The rename to Gratipay was announced that July and took effect on 26 August 2014.

The money layer underneath was never as solid as the idea. Balanced Payments, the processor Gittip had been built on, went out of business in 2015, and when Gratipay went to Stripe the answer came back that the model looked like money transmission. A business that takes money from one person and passes it to a second one needs a license for it, state by state, and those licenses are expensive. Gratipay hired a lawyer, who agreed with Stripe. In May 2015, after 152 consecutive weekly paydays, there was no payday.

The mechanism that decided this product's life was American state financial licensing, which is about as far from a desk in Ankara as a subject gets. The end of it I do recognize is the other one. The open source that my generation of engineers actually ran on was maintained by people doing it after hours, and in 2012 nobody around me was asking out loud who ought to be paying them.

~ the dossier ~

Born1 June 2012 as Gittip, built by Chad Whitacre in Pittsburgh
Peak$1.1 million moved from dozens of companies to hundreds of open source projects
Killed29 December 2017, the day gratipay.com became a static page
Lifespanfive and a half years, under two names
Made byChad Whitacre, running it as an open company with published books
Killed byUS money transmission law, then a processor that would not carry the risk

~ the open company ~

The Gittip blog ran a post in the summer of 2012 titled "The First Open Company." It meant it literally. Roadmap decisions happened in GitHub issues where anyone could file against the company itself the way they would file against a bug, and the revenue numbers went out in public as they arrived.

It was also the thing that broke. An open company has no private room to take a complaint into.

~ 152 weeks ~

The skipped payday got a name almost immediately: Gratipocalypse. What came back afterward was built to sit on the other side of the legal line, with money flowing to teams and projects as payment for work rather than to named individuals as gifts, because a company paying for work is a customer relationship and not a transfer.

On 1 November 2017 at 21:21 UTC the Gratipay account posted that after five and a half years it was shutting down at the end of the year. The reason Whitacre gave was not the legal one this time. Funding open source, he wrote, is almost entirely a marketing problem, and they had spent the year writing code instead. The site went static on 29 December 2017.

~ what liberapay kept ~

The code did not die with the company. In 2015, while Gratipay was still working out what it was allowed to do with American money, the codebase was forked into Liberapay and run from France under a nonprofit, where collecting donations and passing them on does not mean fifty separate licenses. Liberapay is still running today.

Gratipay's own total was $1.1 million, from dozens of companies to hundreds of open source projects. The page at gratipay.com has been sitting there ever since, a banner reading "A pioneer in open source sustainability, 2012 to 2017, RIP" above four square links, one of which points at the fork. Nine years later all four still resolve.

~ leave a rose ~

an anonymous tribute. one rose per visitor per day.

@}-->-- ... roses left here

~ leave a wreath ~

a rose fades by morning. a wreath stays on this grave for good, with your name on it.

from $1, paid once through stripe. it keeps the graveyard running: the hosting and the nightly digging. adopt it and the headstone reads "maintained in memory by" you. the groundskeeper plants new wreaths at the next tending, usually within a day.

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~ leave a note ~

visitors before you have left these graveside notes. anonymous welcome.

other online services: OnlinePizza, Awok, Everalbum, Racked

also died in 2015-2019: Miitomo, Absolute Games, dailymile

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