PyPy received an EU grant sometime in the late 2000s or early 2010s, although it had to be a different one. If I understood TFA correctly, NLnet is partially funded by this money? NLnet itself distributes money to very cool software things[1]—some moonshots such as Spectrum[2], some very down-to-earth and usable ones such as Nitrokey[3]. A discussion[4] linked in a neighbouring comment also mentions Sourcehut and Bcachefs.
They seem to have prioritized making the process simple for developers by removing overhead. Apparently you are don't have to write lots of reports about your results for them, they just check that the code you said you'd write is in fact written and runs.
[1] https://nlnet.nl/project/current.html
[2] https://spectrum-os.org/
[3] https://www.nitrokey.com/
[4] https://news.ycombinator.com/item?id=41002044