--- title: Allo Protocol description: What is the Allo Protocol? ---
Allo Protocol is a set of smart contracts that enable the democratic allocation and distribution of capital. The protocol was developed by [ Gitcoin ](https://www.gitcoin.co/) to power the Grants Stack, but is useful beyond grants and [quadratic funding](https://allo.expert/mechanisms/quadratic-funding). ### Why a Protocol for Capital Allocation? Web3 has provided an incredible set of tools for forming capital. But the processes controlling the flow of a treasury, fund pool, or some other capital is too often heavily manual, and friction filled. We have the technology to do better. **Allo** gives communities a toolset to experiment with capital allocation. Pick a mechanism (like [Quadratic Funding](https://allo.expert/mechanisms/quadratic-funding)), eligibility criteria for projects and voters, and a way to distribute the capital (lump sum, milestone-based payments, etc). We charge communities to ask - "If our funding mechanism could look like anything, what would we want?" ### Learning More You can use this documentation to get an [overview of the protocol](/overview). We also welcome contributions, and would love to [get you involved](development/getting-involved.md). Finally, you can head to [@alloprotocol](https://x.com/alloprotocol) to keep up with protocol releases. ### Community - [ Twitter ](https://twitter.com/alloprotocol) - [ Telegram ](https://t.me/+2OHfGICIvPQxODFh) - [ GitHub discussion ](https://github.com/orgs/allo-protocol/discussions) - Discord (see [Getting Involved](development/getting-involved.md)) ### Current Status Allo v2 is live on mainnets ([supported networks](https://github.com/allo-protocol/allo-v2/blob/main/contracts/README.md)). Allo 2.1 is in preview on Sepolia ([address](https://github.com/allo-protocol/allo-v2.1/tree/dev/contracts#deployed-contracts)). ## Allo Protocol vs Grants Stack In addition to Allo Protocol, Gitcoin has built platforms to utilize it such as [Grants Stack](https://www.gitcoin.co/grants-stack). Allo Protocol is for building applications with novel capital allocation mechanisms, like quadratic funding. The protocol contains a registry of recipients ([Project Registry](https://docs.allo.gitcoin.co/overview/registry)), a way to create pools of capital ([Pools](https://docs.allo.gitcoin.co/overview/pool)), and a strategy for allocating that pool of capital ([Allocation Strategy](https://docs.allo.gitcoin.co/overview/allocation-strategy)). Anyone building custom tools for communities to allocate capital or for projects to receive capital should use Allo. The [Grants Stack](https://www.gitcoin.co/grants-stack) is a product layer built on Allo for operating grants programs. It powers fully-featured self-serve funding rounds utilizing a [variety of mechanisms](https://support.gitcoin.co/gitcoin-knowledge-base/gitcoin-grants-program/mechanisms). ### Next Steps import { Card, Cards } from 'nextra-theme-docs'