Why $GRANT

OpenGrants believes in the future of stakeholder capitalism. We want to open up the opportunity to invest for everyone in our community—anyone involved in paying taxes, applying for grants, writing grants, and all other users, super-fans, and professional investors.

We believe the work we’re doing is imperative for strengthening democracy and solving its challenges of equity, global competitiveness and innovation.

We can’t achieve this mission alone. From day one, we’ve been engaging with stakeholders from every corner of the grant funding ecosystem, including grant seekers, grant writers, private foundations, economic development leaders, and public sector leaders at all levels. We’ve always planned on including our community as financial partners in this venture.

The $GRANT is the perfect combination between the SAFE and Decentralized Finance (DeFi).

The Future of $GRANT

We see $GRANT as the intrinsic motivator and incentive mechanism of the public good that we’re building. Our vision is to empower people around the world with access to grant funding.

We see a future where contractors on our platform are owners as well, opting to receive $GRANT as part of their compensation. This concept extends to all members of our community.

As someone generating value for our ecosystem—whichever role you play—$GRANT enables you to own that aggregated value and participate in its upside.

Investor FAQ’s

Why is the $GRANT good for investors?

What type of shares does $GRANT convert to?

By default, the $GRANT converts to preferred non-voting shares, which benefit from a 1x liquidation preference, and share the same seniority as most SAFEs. However, each Company may have different considerations or other securities that may impact how its particular $GRANT is treated.

If you are not familiar with the term liquidation preference, it gives investors the option to get their initial investment back (if at all possible) in case the equity conversion would result in them getting less than their initial investment. It’s a very standard practice to give investors some downside protection.

When will a $GRANT token convert to equity?

By default, $GRANT converts to equity when a triggering event occurs: IPO of the company, sale of the company, or bankruptcy filing. When a triggering event occurs, $GRANT investors will collectively receive the equity allocation decided by the company when they started issuing $GRANT. It is important to note that the equity allocation is being calculated at the triggering event, which means that the equity allocation decided by the company is not diluted by subsequent financing rounds.

Can I sell a $GRANT before it converts to equity?