equality – P2P Foundation https://blog.p2pfoundation.net Researching, documenting and promoting peer to peer practices Wed, 05 Sep 2018 09:56:39 +0000 en-US hourly 1 https://wordpress.org/?v=5.5.15 62076519 Interview with Joan Subirats: The challenges of a cultural policy for the city https://blog.p2pfoundation.net/interview-with-joan-subirats-the-challenges-of-a-cultural-policy-for-the-city/2018/09/04 https://blog.p2pfoundation.net/interview-with-joan-subirats-the-challenges-of-a-cultural-policy-for-the-city/2018/09/04#respond Tue, 04 Sep 2018 11:00:00 +0000 https://blog.p2pfoundation.net/?p=72455 This is a short but very valuable interview about how the freedom-equality tension, has changed in the 21st century, and now integrated solutions need also to accept diversity and autonomy. Republished from Remix the Commons AA: In your recent article in La Vanguardia(2), you set out a framework for a cultural policy, you refer to... Continue reading

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This is a short but very valuable interview about how the freedom-equality tension, has changed in the 21st century, and now integrated solutions need also to accept diversity and autonomy.

Republished from Remix the Commons

Joan Subirats(1) (UAB) Conferencia FEPSU 2016

AA: In your recent article in La Vanguardia(2), you set out a framework for a cultural policy, you refer to putting into practice the key community values that should underpin that policy… Maybe we could start there?

JS: For me, whereas in the 20th century the defining conflict was between freedom and equality – and this marked the tension between right and left throughout the 20th century because in a way this is the frame in which capitalism and the need for social protection evolved together with the commodification of life while at the same time the market called for freedom – ie: no rules, no submission. But the need for protection demanded equality. But in the 21st century there is rejection of the notion of protection linked to statism: Nancy Fraser published an article(3) in the New Left Review, it is a re-reading of Polanyi and she claims that this double movement between commodification and protection is still valid, but that the State-based protection typical of the 20th century, where equality is guaranteed by the State, clashes since the end of the 20th century with the growing importance of heterogeneity, diversity and personal autonomy. Therefore, if in order to obtain equality, we have to be dependent on what the State does, this is going to be a contradiction…. So we could translate those values that informed the definition of policies in the 20th century, in 21st century terms they would be the idea of freedom (or personal autonomy, the idea of empowerment, not subjection, non-dependence) and at the same time equality, but no longer simply equality of opportunities but also equality of condition because we have to compensate for what is not the same (equal) in society. If you say “equal opportunities”, that everyone has access to cultural facilities, to libraries, you are disregarding the fact that the starting conditions of people are not the same, this is the great contribution of Amartya Sen, no? You have to compensate for unequal starting situations because otherwise you depoliticize inequality and consider that inequality is the result of people’s lack of effort to get out of poverty. So equality yes, but the approach is different. And we must incorporate the idea of diversity as a key element in the recognition of people and groups on the basis of their specific dignity. That seems easy to say, but in reality it is complicated, especially if you relate it to culture, because culture has to do with all these things: it has to do with the construction of your personality, it has to do with equal access to culture just as cultural rights and culture have to do with the recognition of different forms of knowledge and culture – canonical culture, high culture, popular culture, everyday culture, neighbourhood culture …
So for me, a cultural policy should be framed within the triple focus of personal autonomy, equality and diversity. And this is contradictory, in part, with the cultural policies developed in the past, where there is usually confusion between equality and homogeneity. In other words, the left has tended to consider that equality meant the same thing for everyone and that is wrong, isn’t it?, because you are confusing equality with homogeneity. The opposite of equality is inequality, the opposite of homogeneity is diversity. So you have to work with equality and diversity as values that are not antagonistic, but can be complementary. And this is a challenge for public institutions because they do not like heterogeneity, they find it complicated because it is simpler to treat everyone the same, as the administrative law manual used to prescribe `indifferent efficiency’: it is a way of understanding inequality as indifference, right?

AA: In your article you also talk about the opposition between investing in infrastructures versus creating spaces and environments that are attractive to creators and you put an emphasis on the generation of spaces. What is being done, what has been done, what could be done about this?

JS : In Barcelona we want to ensure that the city’s cultural policies do not imply producing culture itself, but rather to try to influence the values in the production processes that already exist, in the facilities, in the cultural and artistic infrastructures: the role of the city council, of the municipality, is not so much to produce culture as to contribute to the production of culture. Which is different, helping to produce culture…. Obviously, the city council will give priority to those initiatives that coincide with the values, with the normative approach that we promote. There are some exceptions, for example, the Grec festival in Barcelona(4) in July, or the Mercé(5), which is the Festa Mayor, where the city council does in fact subsidize the production of culture, so some productions are subsidised but generally what we have is a policy of aid to creators. What is being done is that 11 creative factories (fablabs) have been built, these are factories with collectives that manage them chosen through public tenders. There are now 3 factories of circus and visual arts, 2 factories of dance creation, one factory of more global creation housed at Fabra & Coats, 3 theatre factories and 2 visual arts and technology sites. So there are 11 factories of different sorts and there are plans to create others, for example in the field of feminist culture where we are in discussion with a very well consolidated group : normally all these creative factories have their management entrusted to collectives that already become highly consolidated in the process of creation and that need a space to ensure their continuity. Often the city council will cede municipal spaces to these collectives, sometimes through public competitions where the creators are asked to present their project for directing a factory. This is one aspect. Another aspect is what is called living culture, which is a programme for the promotion of cultural activities that arise from the community or from collectives in the form of cooperatives and this is a process of aid to collectives that are already functioning, or occasionally to highlight cultural activities and cultural dynamics that have existed for a long time but have not been dignified, that have not been valued, for example the Catalan rumba of the Gypsies, which is a very important movement in Barcelona that emerged from the gypsy community of El Raval, where there were some very famous artists like Peret. There we invested in creating a group to work on the historical memory of the rumba, looking for the roots of this movement, where it came from and why. Then some signposts were set up in streets where this took place, such as La Cera in El Raval, where there are two murals that symbolise the history of the Catalan rumba and the gypsy community in this area so that this type of thing is publicly visible. That is the key issue for culture: a recognition that there are many different cultures.

Then there is the area of civic centres: approximately 15% of the civic centres in the city are managed by civic entities as citizen heritage, and those civic centres also have cultural activities that they decide on, and the city council, the municipality helps them develop the ideas put forward by the entities that manage those centres.

So, if we put all those things together, we could talk about a culture of the urban commons. It is still early stages, this is still more of a concept than a reality, but the underlying idea is that in the end the density and the autonomous cultural-social fabric will be strong enough to be resilient to political changes. In other words, that you have helped to build cultural practices and communities that are strong and autonomous enough that they are not dependent on the political conjuncture. This would be ideal. A bit like the example I often cite about the housing cooperatives in Copenhagen, that there was 50% public housing in Copenhagen, and a right-wing government privatised 17% of that public housing, but it couldn’t touch the 33% of housing that was in the hands of co-operatives. Collective social capital has been more resilient than state assets: the latter is more vulnerable to changes in political majorities.

AA: You also speak of situated culture which I think is very important: setting it in time and space. Now Facebook has announced it is coming to Barcelona so the Barcelona brand is going to be a brand that includes Facebook and its allies. But your conception of a situated culture is more about a culture where social innovation, participation, popular creativity in the community are very important…

JS : Yes, it seems contradictory. In fact what you’re asking is the extent to which it makes sense to talk about situated culture in an increasingly globalized environment which is more and more dependent on global platforms. I believe that tension exists and conflict exists, this is undeniable, the city is a zone of conflict, therefore, the first thing we have to accept is that the city is a battleground between political alternatives with different cultural models. It is very difficult for a city council to set out univocal views of a cultural reality that is intrinsically plural. Talking about situated culture is an attempt to highlight the significance of the distinguishing factors that Barcelona possesses in its cultural production. This does not mean that this situated culture should be a strictly localist culture – a situated culture does not mean a culture that cuts off global links – it is a culture that relates to the global on the basis of its own specificity. What is most reprehensible from my point of view are cultural dynamics that have a global logic but that can just as well be here or anywhere else. And it’s true that the platforms generate this. An example: the other day the former minister of culture of Brazil, Lluca Ferreira, was here and talked about a program of living culture they developed, and they posted a photograph of some indigenous people where the man wore something that covered his pubic parts but the woman’s breasts were naked. So Facebook took the photograph off the site, and when the Minister called Facebook Brazil to say ‘what is going on?’, they told him that they didn’t have any duty towards the Brazilian government, that the only control over them was from a judge in San Francisco and that, therefore, if the judge in San Francisco forced them to put the photograph back, they would put it back, otherwise they wouldn’t have to listen to any minister from Brazil or anywhere else. In the end, there was a public movement of protest, and they put the photo back. The same thing happened here a few days ago, a group from a municipal theatre creation factory put up a poster with a man’s ass advertising a play by Virginia Wolff and Facebook took their entire account off the net – not just the photograph, they totally removed them from Facebook. And here too Facebook said that they are independent and that only the judge from San Francisco and so on. I believe that this is the opposite of situated culture because it is a global cultural logic, but at the same time it allows itself to be censored in Saudi Arabia, in China, that is to say it has different codes in each place. So to speak of situated culture means to speak of social transformation, of the relationship between culture and social transformation situated in the context in which you are working. But at the same time to have the will to dialogue with similar processes that exist in any other part of the world and that is the strength of a situated culture. And those processes of mutuality, of hybridization, that can happen when you have a Pakistani community here, you have a Filipino community, you have a Chinese community, you have a Gypsy community, you have an Italian community, you have an Argentinean community: they can be treated as typical folkloric elements in a theme park, or you can try to generate hybridization processes. Now at the Festival Grec this year there will be poetry in Urdu from the Pakistanis, there will be a Filipino theatre coming and a Filipino film fest at the Filmoteca – and this means mixing, situating, the cultural debate in the space where it is happening and trying to steep it in issues of cultural diversity. What I understand is that we need to strive for a local that is increasingly global, that this dialogue between the local and the global is very important.

AA: Returning to social innovation and popular creativity, social innovation is also a concept taken up pretty much everywhere: how is it understood here? Taking into account that in the world of the commons, Catalonia, and especially Barcelona, is very well known for its fablabs, which are also situated in this new era. How then do you understand social innovation and how do you see the relationship between education and social innovation?

JS : What I am trying to convey is that the traditional education system is doing little to prepare people and to enhance inclusive logics in our changing and transforming society, so in very broad lines I would say that if health and education were the basic redistributive policies of the 20th century, in the 21st century we must incorporate culture as a basic redistributive policy. Because before, the job market had very specific demands for the education sector: it knew very well what types of job profiles it needed because there was a very Taylorist logic to the world of work – what is the profile of a baker, of a plumber, of a miller? How many years you have to study for this kind of work. There is now a great deal of uncertainty about the future of the labour market, about how people will be able to work in the future and the key words that appear are innovation, creativity, entrepreneurship, flexibility, ability to understand a diverse world, teamwork , being open to new ideas: this has little to do with traditional educational profiles, but it has much to do with culture, with things that allow you to acquire that backpack of basic tools that will help you navigate in a much more uncertain environment. And for me, to find the right connection between culture and education is very important because it allows the educational system to constantly transform itself by taking advantage of the creative potential of an environment that is much more accessible now than before because of new technologies, and therefore to make the transition from a deductive system where there is a teacher who knows and tells people what they need to know – to an inductive system: how do we explore what we need to know in order to be able to act. And that more inductive, more experimental logic has to do with creativity whereas the traditional education system didn’t postulate creativity, it postulated your ability to learn what someone else had decided you needed to study. It’s art, it is culture that allows you to play in that field much more easily …

Translated from Spanish by Nancy Thede.

1 Joan Subirats is Commissioner for culture in the city government of Barcelona led by the group Barcelona en comu. He is also professor of political science at the Universitat
autonoma de Barcelona and founder of the Institute on Governance and Public Policy.

2 “Salvara la cultura a las ciudades?”, La Vanguardia (Barcelona), Culturals supplement, 12
May 2018, pp. 20-21. https://www.lavanguardia.com/cultura/20180511/443518454074/cultura-ciudadesbarcelona-crisis.html

3 Nancy Fraser, “A Triple Movement”, New Left Review 81, May-June 2013. Published in Spanish in Jean-Louis Laville and José Luis Coraggio (Eds.), La izquierda del
siglo XXI. Ideas y diálogo Norte-Sur para un proyecto necesario Icaria, Madrid 2018.

4 Festival Grec, an annual multidisciplinary festival in Barcelona, now in its 42nd year. It is
named for the Greek Theatre built for the 1929 Universal Exhibition in Barcelona:
http://lameva.barcelona.cat/grec/en/.

5 Barcelona’s annual ‘Festival of Festivals’ begins on Sept 24, day of Our Lady of Mercy, a city holiday in Barcelona. It especially highlights catalan and barcelonian cultural traditions and in recent years has especially featured neighbourhood cultural activities like street theatre. See: https://en.wikipedia.org/wiki/La_Mercè.

 

Photo by PJ Nelson

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Thoughts on OPEN 2018 https://blog.p2pfoundation.net/thoughts-on-open-2018/2018/08/01 https://blog.p2pfoundation.net/thoughts-on-open-2018/2018/08/01#respond Wed, 01 Aug 2018 10:30:00 +0000 https://blog.p2pfoundation.net/?p=72078 Republished from Medium.com Laura James: OPEN 2018 last week was an exciting event, not only because of the incredible people the organisers brought together, but because it felt like something new was starting to take off. There were people from many different organisations, sectors, and backgrounds, and they found sometimes unexpected things in common with... Continue reading

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Republished from Medium.com

Laura James: OPEN 2018 last week was an exciting event, not only because of the incredible people the organisers brought together, but because it felt like something new was starting to take off.

There were people from many different organisations, sectors, and backgrounds, and they found sometimes unexpected things in common with each other. Although we heard some big ideas from the stage, it felt like most attendees were actually working on things, and had practical questions and collaborative opportunities they wanted to discuss. To me, the diversity and the blend of pragmatic action and shared big vision feels like a new movement getting off the starting line.

But what is the movement? OPEN 2018 has “platform cooperatives” next to the logo and yet a lot of the most interesting conversations weren’t actually about platform co-ops. It felt like a melange of several things:

  • internet technologies
  • open source
  • open standards and protocols (as distinct from open platforms)
  • commons (not just of code, but of knowledge, public space and more); a mixture of collective goods, and public goods (echoing the Public Stack Summit)
  • co-operatives, the co-op principles, and the broader co-op movement
  • entrepreneurship — people trying new ideas and ventures
  • networks and ecosystems of mutual support
  • a desire for impact at meaningful scale (looking beyond local activities)
  • resilience and distributed systems (in the technical sense)
  • equality and fairness, specifically around technology and data

This is a powerful set of ideas.

They are things I’ve been thinking about and working on in different ways for some time, but I didn’t have a clear sense of them as a group or a coherent whole until now.

I wonder whether others would recognise this list as the facets of OPEN 2018?

It all fits together quite coherently, to me at least, although we’ve no catchy phrase to explain it as a whole. “Platform co-operatives” doesn’t quite do it. “Collaborative technology for the cooperative economy” is the event byline, which is good, although maybe not quite the visionary call to action a movement might coalesce around. Oli Sylvester-Bradley talked in his thoughtful introduction about “people and planet before profit” which seemed to resonate with many of us as a grand vision, although it’s perhaps a little vague? Or maybe it sets out a general dream, without defining what this particular community is doing to achieve it. Gary Alexander talked about a movement and a shared vision too: working together for mutual benefit rather than competing; a society organised for the wellbeing of people and planet (not for money and profit). He also helpfully checked what the audience thought about this (positive, but a little mixed), and admitted some of this may be too much like “new age bollocks.” Recently John Elkington, creator of the triple bottom line (where social and environmental factors are considered alongside economic ones), announced earlier this year that it was time to review whether it is still fit for purpose. So maybe we need to thrash out some more specific, compelling and useful framing…

Part of what made it feel like the emergence of a new thing was that, whilst there is a big vision for a new economy, fit for the internet age, still a little vague in some details, it didn’t feel like a hyped up rally where we all unhesitatingly cheered. Even on the main stage, as well as in smaller conversations, critical questions were posed which we do not have answers to. And there was an energy and a focus on practical action as well as reflection and learning.

Of course, there were ways the event could have been better, and I’m sure 2019’s equivalent will be different, more diverse, and maybe more interactive. But it’s quite something to convene across interests in this way and to frame an event which felt so special. Huge thanks and congratulations to Oli, Thomas and the Open.coop team!

Nathan Schneider had questions about the cooperative side of things. Are we using the language of commons, or the language of ownership? Are we escaping ownership, or doubling down on it? As I feel I’m barely on the edge of the cooperative movement, still figuring out how it works, and its relationship to technology, Nathan’s musing on whether this community is part of the traditional co-op movement or something new and different was interesting. I remain astonished how many co-operatives there are around us. In the UK there’s the Coop Group, John Lewis (as I think John Bevan said, you can take a radical stance just by getting your groceries at Waitrose), but also many others such as dairy co-ops. I learned at OPEN2018 that in the US, a surprisingly large proportion of electricity cable networks are co-operatives. I hadn’t realised that Visa and Mastercard were mutuals until early this century. But they are pretty much invisible in everyday life, in conversations about economic growth and enterprise. Cooperatives UK’s 2018 co-op economy report highlights the scale and scope of co-ops in the UK.

Nathan also talked about where we all sit relative to the mainstream, for-profit startup world. Are we doing entrepreneurship but a bit differently? Or are we doing something radically different, entirely away from concepts like disruption?

One of the things I found really encouraging at the conference was the number of enthusiastic initiatives setting out to make it easier to set up and grow co-operatives, with different combinations of toolkits, mentoring, and funding (Platform6, start.coop, incubator.coop, Solidfund, CoopStarter, and more). And boy, are there more ways to get risk financing in the co-op space than I’d realised. There’s paying a regular cash return, investment from other co-ops, token issues, specialist investment houses such as Purpose Ventures; and depending where you are, tax breaks and specialist co-op startup funds. I was surprised how different the co-op startup financing environment is in different countries. Regardless, platform co-ops are out there already, and in diverse sectors — eg. Stocksy, Savvy.coop and Arcade City. There are more tools than ever before to support scalable co-ops too, with collaborative budgeting (eg. Cobudget), decision-making (eg. Loomio), and day to day participation. There are co-ops you can work with on technical stuff, such as Outlandish or the other denizens of CoTech, and co-ops who can help you with other things such as working openly. Coming soon there will be new ways of distributing computing, organised by co-ops like RChain. Of course, there are also support networks and communities of practice, such as Enspiral.

Cristina Flesher Fominaya talked about the words we use, in a great session on narrative and the importance of stories. In particular, she highlighted that some of the most successful campaigns and movements avoided using the words that one might expect to define them; instead, focussing on stories, and getting away from polarising framings such as anti-capitalism (maybe a story about corruption might be more persuasive?). Cristina also highlighted a point I tried to make in my talk earlier that day, that collaboration is not always built on a shared discursive framework, but might involve parties with very different world views and ways of communicating.

I’m delighted to hear there will be an OPEN 2019, and looking forward to it already. (This is also motivating me to make sure that I can show up next year and feel I’ve done something useful in the interim!)

A note on hyphens: I’m sticking with “co-op.” I can’t bring myself to say “coop,” like a place chickens might live, and I think I know enough people who, like me until very recently, don’t know much about co-ops, and would be confused by coops in this business context 🙂

Some rights reserved – CC-BY-SA 4.0

Laura James  is the editor of Digital Life Collective

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Essay of the Day: The Collaborative Roots of Corruption https://blog.p2pfoundation.net/essay-day-collaborative-roots-corruption/2016/07/12 https://blog.p2pfoundation.net/essay-day-collaborative-roots-corruption/2016/07/12#comments Tue, 12 Jul 2016 08:30:00 +0000 https://blog.p2pfoundation.net/?p=57650 Counter-intuitive conclusions, which I find hard to believe: we show that collaboration, particularly on equal terms, is inductive to the emergence of corruption. * Article: The collaborative roots of corruption. By Ori Weisela and Shaul Shalvib. Edited by Susan T. Fiske. PNAS August 25, 2015 vol. 112 no. 34 10651-10656  “Cooperation is essential for... Continue reading

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Counter-intuitive conclusions, which I find hard to believe:

we show that collaboration, particularly on equal terms, is inductive to the emergence of corruption.

* Article: The collaborative roots of corruption. By Ori Weisela and Shaul Shalvib. Edited by Susan T. Fiske. PNAS August 25, 2015 vol. 112 no. 34 10651-10656


“Cooperation is essential for completing tasks that individuals cannot accomplish alone. Whereas the benefits of cooperation are clear, little is known about its possible negative aspects. Introducing a novel sequential dyadic die-rolling paradigm, we show that collaborative settings provide fertile ground for the emergence of corruption. In the main experimental treatment the outcomes of the two players are perfectly aligned. Player A privately rolls a die, reports the result to player B, who then privately rolls and reports the result as well. Both players are paid the value of the reports if, and only if, they are identical (e.g., if both report 6, each earns €6). Because rolls are truly private, players can inflate their profit by misreporting the actual outcomes. Indeed, the proportion of reported doubles was 489% higher than the expected proportion assuming honesty, 48% higher than when individuals rolled and reported alone, and 96% higher than when lies only benefited the other player. Breaking the alignment in payoffs between player A and player B reduced the extent of brazen lying. Despite player B’s central role in determining whether a double was reported, modifying the incentive structure of either player A or player B had nearly identical effects on the frequency of reported doubles. Our results highlight the role of collaboration—particularly on equal terms—in shaping corruption. These findings fit a functional perspective on morality. When facing opposing moral sentiments—to be honest vs. to join forces in collaboration—people often opt for engaging in corrupt collaboration.”

“Recent financial scandals highlight the devastating consequences of corruption. While much is known about individual immoral behavior, little is known about the collaborative roots of curruption. In a novel experimental paradigm, people could adhere to one of two competing moral norms: collaborate vs. be honest. Whereas collaborative settings may boost honesty due to increased observability, accountability, and reluctance to force others to become accomplices, we show that collaboration, particularly on equal terms, is inductive to the emergence of corruption.
When partners’ profits are not aligned, or when individuals complete a comparable task alone, corruption levels drop. These findings reveal a dark side of collaboration, suggesting that human cooperative tendencies, and not merely greed, take part in shaping corruption.”Photo by Jan Tik

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Riane Eisler on the Partnership Model of Society https://blog.p2pfoundation.net/riane-eisler-partnership-model-society/2016/03/28 https://blog.p2pfoundation.net/riane-eisler-partnership-model-society/2016/03/28#comments Mon, 28 Mar 2016 01:56:00 +0000 https://blog.p2pfoundation.net/?p=55051 Riane Eisler distinguishes partnership and dominator societies and sees both positive and negative trends towards a possible evolution to more egalitarian partnership societies. The following is excerpted from an interview that was conducted by Cecilia Gingerich for The Next System Project: “CG: In your work you describe moving to a “partnership system.” Can you briefly... Continue reading

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Riane Eisler distinguishes partnership and dominator societies and sees both positive and negative trends towards a possible evolution to more egalitarian partnership societies.

The following is excerpted from an interview that was conducted by Cecilia Gingerich for The Next System Project:

“CG: In your work you describe moving to a “partnership system.” Can you briefly describe what a partnership system is?

RE: The method I used in my research, the study of relational dynamics, differs from other approaches in a number of critical respects. It draws from a much larger database than most studies of society: it includes the whole of humanity (both its male and female halves), the whole of our history (including prehistory), and the whole of our lives (not only the public spheres of politics and economics, but also the private spheres of family and other intimate relations). It focuses on two systems dynamics; First: What is the relationship between key elements of a social system in maintaining or altering the system’s basic character? And second: What kinds of relationships – from intimate to international – does a social system support: top down ranking or relations based on mutuality?

This methodology revealed two underlying social patterns or configurations: the partnership model and the domination model. These new social categories transcend conventional ones such as right vs. left, religious vs. secular, ancient vs. modern, capitalist vs. socialist, and so on – which focus only on particular aspects of a system and pay scant, if any, attention to the cultural construction of the primary human relations between the female and male halves of humanity and between them and their daughters and sons. The partnership model and the domination model have two very different core configurations.

In contrast to domination systems, where there is top-down authoritarian rule in both the family and state or tribe, partnership systems have democracy and equality in both the family and state or tribe.

Unlike domination systems, where the male half of humanity is ranked over the female half, in partnership systems there is gender equity, and with this, a greater valuing of “feminine” traits and activities such as caring, caregiving, and nonviolence – in both women and men as well as in social and economic policy.

Whereas domination systems are ultimately held together by fear, force, and the threat of pain, partnership systems are based on mutuality; there are hierarchies, but rather than hierarchies of domination, these are hierarchies of actualization where power is empowering rather than disempowering and accountability, respect, and benefits flow both ways, rather than just from the bottom up. These configurations or models are the two ends of a partnership-domination continuum, as no society is a pure partnership or domination model. But the degree of orientation to either end of this continuum makes for very different social systems. For example, Nazi Germany (secular, Western) and Khomeini’s Iran and ISIL (religious, Eastern) orient closely to the domination model. The Minangkabau (religious, Eastern) and Nordic nations (secular, Western) orient to the partnership model.”

* CG: Can you spend a bit more time describing how a partnership system would address current environmental issues, and particularly climate change?

RE: Both capitalist and socialist theory fail to recognize the value of caring for nature. The applications of socialism in both the former Soviet Union and China have been characterized by environmental disasters. In other words, it is not just unregulated capitalism that has been bad for our natural environment.

By contrast, caring for people and for nature is highly valued in partnership systems, and these values would inform policies. For example, high taxes would be levied on activities that create carbon emissions and there would be tax credits for companies that protect our natural life support system, such as manufacturing that recycles. Keeping a clean and healthy environment in both our homes and our planet would be highly valued. So would caring for people, which would be honored as both men’s and women’s work. The pejorative “nanny state” would be recognized as sexist and absurd.

* CG: How quickly could large domination-oriented societies like the United States and China transition to a partnership-oriented society? Could the change occur quickly enough to address some of the major “tipping points” for climate change, which climate scientists expect to occur in the next several decades?

RE: To achieve this, we have to recognize that the devaluation of caring for people and for nature is deeply rooted in the system of gendered valuations we have inherited. Unless we make this visible we will not see fundamental change. This is why an important part of the partnership political agenda is to bring partnership education into schools and universities. Many people recognize that old thinking cannot help us solve the problems it created. Young people are especially hungry for a new paradigm, a new way of looking at the world and living in it. If they are to be effective agents of change, starting now, they need to recognize beliefs, myths, and stories that promote domination or partnership, and learn the terrible consequences of domination and the benefits of partnership.

* CG: Are there any specific economic elements that are necessary for a partnership system in a post-industrial country? (markets, money, etc.)

RE: Systemic change requires both cultural and institutional or structural change, especially in economics. To achieve this, we need a new economic map. The old economic map fails to recognize the contributions of the three unpaid economic sectors: the household economy, the community volunteer economy, and the natural economy. My book The Real Wealth of Nations introduces a new economic map that – along with the market, government, and illegal economies – includes these essential economic sectors. This integrative map is the foundation for a partnership economic system that recognizes that the real wealth of a nation consists of the contributions of people and nature.

* CG: Can you explain to us the importance of economic indicators, and specifically the Social Wealth Economic Indicators (SWEIs) that you have developed at the Center for Partnership Studies?

RE: The main economic indicator policy makers rely on today is GDP or Gross Domestic Product. It is a strange indicator. It includes activities that harm and take life. Selling cigarettes and the medical and funeral costs of smoking boost GDP; so do oil spills, since cleanup, litigation, and their other costs augment GDP. But GDP fails to include activities essential to support life, such as the work in households of caring for people, starting in early childhood, even though without it there would be no workforce. GDP also gives no value to caring for our natural life-support systems, without which we could not survive.

The “informal” work carried out principally by women makes up a large proportion of the U.S. economy.

Social Wealth Economic Indicators (SWEIs) are unique tools for both progressive policy makers and advocates for a more equitable and environmentally sustainable society. They differ not only from GDP but also from most other GDP alternatives by demonstrating the enormous economic value of caring for people and nature. For example, a recent Australian study showed that if the work of caring for people in households were included in GDP, it would add 50% to it. SWEIs also pay much more attention to gender than other GDP alternatives. For instance, they reveal the link between the disproportionate poverty of women and the lack of policies that support the care work still primarily performed by them. Also unlike other GDP alternatives, SWEIs not only measure outputs (where a nation stands in its quality of life); it pays equal attention to inputs: what kinds of investments lead to better outcomes. SWEIs show that the United States lags way behind other developed nations in its public support for early childhood care and education. This is a major factor in our high poverty rates. It also means that we are not adequately investing in creating the “high quality human capital” economists tell us is essential for success in our post-industrial, knowledge/service age.

* CG: How might a partnership system in a post-industrial country deal with currently unpaid work, including unpaid care work?

RE: There are policies already in place in other developed nations – from publicly funded paid parental leave to stipends to help families with children and refundable tax credits for caregivers of the elderly. Our county has to catch up! So also do poorer nations, which is why we are seeking funding to adapt SWEIs into a global Index: one number per nation, like GDP.

The combination of overpopulation (due to denying women reproductive freedom) and resources depletion makes a shift from the present market consumer-driven economics essential. This shift is also essential because we are entering an era of structural unemployment and underemployment due to a massive technological shift. A guaranteed annual income or negative income tax where people are given monetary stipends is one response to the replacement of human workers by automation and robotics – trends that will exponentially increase with the advent of artificial intelligence. The response I propose in The Real Wealth of Nations is linking this monetary support to the work that only humans can perform: caring, caregiving, creating. People need meaningful work to be fulfilled, and just handing out money does not encourage positive contributions.”

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One Perspective: The Liberating Potential of Bitcoin https://blog.p2pfoundation.net/one-perspective-the-liberating-potential-of-bitcoin/2014/10/21 https://blog.p2pfoundation.net/one-perspective-the-liberating-potential-of-bitcoin/2014/10/21#comments Tue, 21 Oct 2014 15:06:43 +0000 http://blog.p2pfoundation.net/?p=45695 One of the recurring themes on the P2P Facebook group is whether Bitcoin is a ‘good’ or a ‘bad’ thing, or whether it is even a fit subject for discussion in such a group (many think not) – but when one subject generates so much discussion and controversy I inevitably conclude that there must be... Continue reading

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Nozomi Hayase

Nozomi Hayase

One of the recurring themes on the P2P Facebook group is whether Bitcoin is a ‘good’ or a ‘bad’ thing, or whether it is even a fit subject for discussion in such a group (many think not) – but when one subject generates so much discussion and controversy I inevitably conclude that there must be some real ‘juice’ in the topic and that it is worth looking at it from all possible perspectives, even if they may not necessarily chime with what we personally happen to believe – in other words to consider things in an open-minded spirit of experimentation.

So for that reason I think the following article is worthy of reproducing here, not only because it is clearly written from the heart and with a clear conviction for the potential positive benefits which Bitcoin can bring to the world, but also because it is, I believe, by way of a reply to the discussion between its author and myself that followed my last posting on this subject here. (Another reason for posting the whole article here is that its parent site, falkvinge.net appears to be down right now and so the article is only available on the Internet Archive’s Wayback Machine).

I would take the point that this article would appear to be more or less from a ‘true believer’ perspective and obviously concentrates on the positive aspects of the potential of Bitcoin – and at this point both the positive and negative aspects of cryptocurrencies in general are more in a potential state than an actual one as they are clearly still in the infancy of their development. I do find myself fairly convinced by some of the arguments here, even if they would need the ‘winds of change’ to be blowing in certain favourable directions to fully realise their potential.

Another more critical perspective from the founder of the P2P Foundation, Michel Bauwens, can be found here and might be worth reading after this article if you haven’t already to get a more balanced view of the subject.

Also a very promising project (which I should hasten to add that several members of the P2P Foundation, including myself, are involved with) is fair.coop, the ambitious project to create a global ethical cooperative backed by a cryptocurrency. A nice introduction to this project can be found here.

So if you ask me at this point whether Bitcoin will be a ‘good’ or a ‘bad’ thing I would have to reply ‘both’, and the only people I think are wrong about it are those who think cryptocurrencies are not going to have any impact at all on society. People said that about the internet itself, remember…?


Here’s the article:

Bitcoin, Open Source Movement for Decentralized Future

It all started with a white paper published in 2008. An unknown innovator under the pseudonym Satoshi Nakamoto outlined an open source protocol for a public ledger that has come to be known as Bitcoin – which among other things is a peer-to-peer form of digital cash. Five years since its inception, more people are coming to recognize the revolutionary force behind the underlying technology of the Bitcoin blockchain that enables this decentralized network to achieve consensus amongst strangers at a global scale.

The disruptive force this innovation brings to existing systems is enormous. From potentially replacing the remittance industry to empowering the underbanked and those whose currencies are tightly controlled and subject to hyperinflation, the world is just beginning to see its effects in the financial realm. This capacity of Bitcoin to transform society is attracting activists and global citizens dedicated to promoting equality and a more just world. In particular, the ability of the blockchain’s decentralized trust to build a truly peer-to-peer platform for transactions is a very powerful force for those who seek to flatten the current hierarchical system that favors the one percent oligarchs who have their hands on the levers of power.

Yet as with any new invention in its early phase, many are still skeptical and hesitant to get behind this technology. They call for a more critical examination of Bitcoin as a digital currency. One argument revolves around perceived inequalities embedded within the design of the currency that create certain privilege of early adopters. The contention is that Bitcoin is centralized; that roughly half of all bitcoins belong to around 927 individuals. If true, this puts half of the world’s Bitcoin currency in the hands of a tenth of a percent of all accounts. A Washington Post published an article called, “Forget the 1 percent. In the Bitcoin world, half the wealth belongs to the 0.1 percent”. It called out Bitcoin’s apparent inequality and highlighted the gap between those who own Bitcoin and those who don’t.

All new technology takes time for mainstream adoption and in the beginning it is inevitable that the user base and innovator pool are relatively small. This is certainly true with Bitcoin. Compared to the situation in its early stages, bitcoin adoption now is moving very quickly. That said, what lies beneath this concern about the imbalance between users appears to be a fear that Bitcoin early adopters could end up replacing the current 1% oligarchy of bankster gangs of Wall Street and Goldman Sachs and would simply recycle the old world order of robber-baron capitalism. So the question arises, could Bitcoin’s revolutionary potential be overshadowed by this imagined pitfall, or worse yet become just another tool for neoliberal forces? By engaging this question, we can deepen our understanding of the genius and revolutionary potential of this innovation.

Perhaps the ideal currency in the minds of some of those who criticize Bitcoin’s perceived design of inequality is one that could bring all of Bitcoin’s positive features without creating so-called ‘early adopters’. For this to happen, coins would need to be premined and distributed to all people equally while still achieving the massive hashing power needed to secure the system from any external force determined to hijack or compromise it. This all sounds good, but practically speaking, who has the resources to set it in motion and bring it to that point?

These kinds of efforts might be achieved at a local and smaller scale, like Auroracoin in Iceland, even though it was reported that the experiment stumbled with problems in its design that caused a dramatic drop in value. In addition to scale vulnerability of the blockchain hashing power with a smaller currency, the larger question remains regarding how to effectively challenge the current global cartel of Western financial institutions that have over the years undermined sovereignty of local communities and destroyed whole countries through limiting access to payment networks, debt peonage, rent seeking and money printing. How is it possible to create a common currency that connects people around the world in a truly peer-to-peer way without it being intermediated or hijacked by a patronage network of states and corporate banksters that regularly steal from the commons and act against the interests of the people?

Decentralized Organizing

The creation of Bitcoin and its ecosystem follows a trend of decentralization that has emerged in recent years, such as the Occupy movement’s leaderless horizontal organizing, the Free and Open Source Software movement and collaborative production like Wikipedia and Linux. In traditional movements, a group of individuals or a particular organization takes the lead and organizes the cause. Activists generally struggle to fund their efforts, as altruism does not get rewarded financially in the current extreme capitalistic environment. Across the board in struggles for social justice, funding is often the most challenging issue. Identified leaders communicate the purpose of a project and rely on existing networks and systems for funding and material support. Oftentimes for the sake of efficiency and lack of alternatives, such organizing tends to crystallize into another form of hierarchy.

In addition, over the years, the old methods of dissent and social change have been shown to be less and less effective. Establishment forces target leaders and recognized organizers as a point of control for co-option and weakening movements. This is likely one reason why the inventor of Bitcoin decided to be anonymous and minimize his influence in the operation. Any open declaration of resistance against state and corporate power will not go unnoticed and a direct confrontation with the establishment is inevitable if what is created is at all effective. Such efforts are often met with attacks and in most cases easily squashed.

In a case of building Bitcoin network, the hashing infrastructure of the Bitcoin blockchain needed to attain a stable and impervious size before it could go truly viral and gain more mainstream appeal. Early on, Satoshi Nakamoto appeared to have strong concerns for protecting the development of the software against any just such external threats. This revelation surfaced in Julian Assange’s latest book “When Google Met WikiLeaks”. In a footnote, the founder of WikiLeaks depicted an alliance with Bitcoin community that goes back years before this new cryptographic invention matured into the currency of contagious courage it has become (bitcoin was eventually used to support funds for WikiLeaks and Edward Snowden).

In December 2010, just after WikiLeaks faced the unlawful financial blockade imposed by Bank of America, Visa, MasterCard, PayPal and Western Union, a debate emerged on the Bitcoin Forum, concerning a risk that using bitcoin for donations to WikiLeaks could “provoke unwanted government interest in the then nascent crypto-currency”. Responding to one poster who welcomed such challenge, Nakamoto emphasized the importance of protecting the software development at this early stage. “Bitcoin is a small beta community in its infancy. You would not stand to get more than pocket change and the heat you would bring would likely destroy us at this stage.” Six days later Nakamoto disappeared from the Bitcoin community. WikiLeaks read the analysis, agreed with his view and decided to postpone launching the Bitcoin donation until the currency attained stability.

Perhaps past protest and resistance movements can teach us something. In order for the creation of an alternative system to be truly effective, it needs to be subversive and under the radar until it gains strength. In a sense, Bitcoin is a living example of such an effective decentralized organization. After 5 years of existence, it has created the largest global network of supercomputing power. It has now grown to such a level that it is virtually impossible for one nation-state or corporation to undermine or hijack the network.
Swarm Effect

The idea of blockchain crypto-currency was put forward in 2008. The following year the Bitcoin software was launched and the first blockchain network came into existence by miners producing and transacting bitcoins. Someone had to do the early work of building of this open source ledger and securing the system at a time when few would even believe it possible or support this innovation. Where did the impetus for this work come from?

The unfolding process of the growing Bitcoin ecosystem can be looked at as an expression of a phenomenon called the “Swarm”. Rick Falkvinge, founder of the first Pirate Party describes the Swarm as a new style of organizing. He explains how this differs both from an egalitarian way of working where no single person or group has authority for guiding the process. He notes how it is a “scaffolding set up by a few individuals that enables tens of thousands of people to cooperate on a common goal in their life.” Falkvinge describes a Swarm is driven by voluntarism. People join the cause because they believe in the idea. There is no leader, but each person’s action inspires others and guides the Swarm in moving forward together.

Bitcoin is an open source project that generates a Swarm effect. From outside, this might appear mysterious or unsettling with its lack of a traditional core. Some have difficulty believing there is no controlling authority and are compelled to try to unveil a “ghost outside the machine”. Whether it is innovation or activism, people tend to first look for some subversion behind a seemingly progressive idea and then look for individuals or entities that are possibly pulling strings to divert the original intention. This can be a healthy skepticism, yet in the case of Bitcoin, there is no company, director or physical entity. There are no CEOs, no offices; no group of individuals running the operation.

At this time, the origin of the blockchain technology has been traced only to an anonymous unknown creator. The idea itself is not attached to a particular individual or group. It is somewhat similar to the way the online collective Anonymous express themselves as simply “ideas without origin” and claim that “there is no authorship … no control, no leadership, only influence, the influence of thought”.

Bitcoin is simply an ingenious idea and an open source computer code that anyone can read, take up, modify and develop. Whoever created it didn’t give it only to specific people, but instead made it accessible to everyone in the world. Doug Carrillo, founder of Bitstop.co tweeted, “Satoshi’s greatest gift was uniting all the intelligent, altruistic, visionary people from all over the world working on Bitcoin”. The impulse that got this global currency enterprise going was this gift of protocol.
#Satoshis greatest gift was uniting all the intelligent,altruistic, visionary people from all over the world working on #Bitcoin .

— Doug Carrillo (@docBTC) September 8, 2014

Incentive Structure

One notable characteristic that emerged within the Swarm surrounding the Bitcoin ecosystem is the creation of an unique form of volunteerism. Volunteering is generally associated with charity; one gives time, resources and skills for free. Traditionally one does not expect their work to be compensated. The Bitcoin ecosystem generates a new volunteerism in the form of innovation without permission, where those who engage both generate and expand new economic activity simply by creating, acquiring or using the currency. The value they create and the efforts that support it are rewarded in a way that strengthens the system as a whole, while further encouraging innovation on the edges. This all works with a network effect where voluntary peer-to-peer interaction creates and expands an autonomous zone impervious to patronage and monopolization. Each person moves toward something they believe in, while building a kind of common wealth that inspires further participation.

This is made possible through one particular feature of the Bitcoin currency. When we look at Bitcoin technology as a distributed trust foundation upon which global society is building a network that empowers everyone, we can begin to understand the brilliance of its design and why its first application is an open source mineable currency.

With a cap of 21M, Bitcoin has a fixed monetary policy. This design seems deflationary in fiat economy terms, yet Bitcoin’s infinite divisibility (8 decimal points and more if consensus is reached) makes it possible to accommodate any level of economic growth. Some view this design as an inherent flaw, arguing that it rewards early adopters and encourages hoarding, yet this element has played a crucial role in the development of the blockchain. It provided a way of building a global public asset ledger through integrating a reward structure by means of increasingly difficult proof of work tied to network capacity and value expansion.

This all functions as an incentive for volunteerism by creating the Swarm, which creator of Netscape and early web browsers Marc Andreessen characterizes as “a four-sided network effect”, namely “four constituencies that participate in expanding the value of Bitcoin”. Andreessen explains these 4 participants as “(1) consumers who pay with Bitcoin, (2) merchants who accept Bitcoin, (3) “miners” who run the computers that process and validate all the transactions and enable the distributed trust network to exist, and (4) developers and entrepreneurs who are building new products and services with and on top of Bitcoin”. This design, combined with unparalleled flow and infinite divisibility creates an open source network effect – not just squared, but cubed.

The Bitcoin incentive structures have shown to be very effective. Bitcoin is expanding infrastructure with ATMs and exchanges and improved POS interfaces. When people are invested enough in something, it motivates them to solve challenges that come along the way. In fact, it has generated enough incentive to make people keep the network decentralized and avoid the issue of a 51% attack (the phenomenon of concentration of a hashing majority and temporary takeover by one mining pool). Each member of the global mining pool has a strong incentive to strengthen and maintain the integrity of the system.

Many early adopters put resources into creating new start-ups to support the ecosystem. After becoming the first major retailer to accept Bitcoin globally, Overstock announced it would donate four percent of cryptocurrency revenue to foundations that promote the use of digital currency in the world. A new Bitcoin Exchange in Norway is reported to donate 5% of their profits to charities fighting poverty.

Bitcoin is an open source project that is self-organized and crowd-sourced by all who are involved in it. Early adopters are like shareholders who also can take responsibility for maintaining the system. Although justification of the percentage of reward accruing to them may be debatable, if we look at how vital their role was in building the system and the risk they took early on in supporting the innovation, it looks different. One should also note that their accumulation of bitcoin was not made through cheating, manipulation and exploitation like with fiat and debt ownership, so we may be compelled to draw more nuanced conclusions about this perceived inequality.

Genesis Block and the Network of Affinity

So what was the idea encoded in protocol that set this in motion? Bitcoin is a neutral technology, yet the genesis of the idea is not neutral. It had clear political implications. The Bitcoin protocol emerged during the financial crisis of 08 and the creator was aware of how badly governments were handling monetary policies. The first block of the Bitcoin blockchain known as the genesis block includes the following quote in its metadata. “The Times 03/Jan/2009 Chancellor on brink of second bailout for banks.” Although this might have been intended to be just a timestamp, his choice of this Times of London article as a date of proof might give a sense of his background motivation.

Satoshi’s white paper pointed to the “inherent weakness of trust based model” of the existing financial system and proposed “an electronic payment system based on cryptographic proof” as a viable alternative. The Bitcoin open source protocol was a response to the crisis of the existing centralized financial system. Over time, this has created a network of affinity through voluntary association and mutual aid based on trust in the common person.

In this network, individuals out of themselves turn their computers into mines. Out of themselves they create start-ups and test the system. Some might be driven to earn bitcoin or build a cutting edge business, while others are motivated by a principle and vision of a decentralized future and redistribution of power. Whatever the motives driving users, miners and innovators, by choosing to be a part of Bitcoin network, they are all bound by one shared idea – that of supporting and maintaining the integrity of the public ledger for all the world to use.

This may remind us of what fueled the Occupy Movement. In fall of 2011, people from all walks of life came together in lower Manhattan. There were socialists, libertarians, housewives, anarchists and teachers. Those whose houses were foreclosed, students with onerous debt, businessmen – all came together because they could see how the system was rigged against them. They were not willing to put up with the current hierarchical financial and economic system that is run and controlled by the 1%. Their shared frustration became a network of affinity bringing people together to engage in efforts to solve problems of corrupt hierarchical institutions and false forms of representation. Through activating trust in one another, they attempted to create a peer-to-peer decentralized network. They were willing to work together and abide by this particular protocol of consensus and egalitarian form of decision-making.

Bitcoin is a similar social movement empowered by decentralized consensus decision-making processes. While the Occupy movement was crushed by a brutal police force as it tried to build decentralized networks on existing centralized corporate occupied territory, with Bitcoin, a whole new network is built upon a distributed trust platform that is structurally autonomous and out of reach of any private third party authority. We now have an alternative to over-centralized social forms that were programmed to manage wealth and resources for the rich and powerful and can enter into a network of peers impervious to these forces of control.

As noted, some see and criticize the existence of privilege within this Bitcoin network of affinity. Yet the issue of equality disparity was brought up even within the 99%. Concerns surfaced within Occupy that it was not truly addressing issues of racism and class divides. In the U.S, the Occupy movement arose mostly out of white middle-class issues such as mortgages and student loans, while for people of color in US cities like Oakland and Detroit, the oppressive issues were more about police brutality, not having grocery stores in their community and lack of the basic work and means to fulfill the needs of everyday life.

The same thing might be said about the Bitcoin network, as it is potentially composed of people of different backgrounds, nationalities, cultures or economic classes, within which there is clear inequality. This is really a reflection of our current social structure that carries a long history of colonialism in the form of Western hegemony. Despite all the differences, there is one thing in common. Participation in the blockchain network is voluntary. Both with the Occupy network motto of “In Each Other We Trust” and with Bitcoin, those who are in it choose to join because they see what an improvement it is over the current system and how it could at least offer benefit beyond monopolized rent seeking for oligarchic powers.

Whatever incentives bring people into the network, by joining they are working to build on the genesis idea that brought them together. It is to eliminate the need for central authority and replace hierarchical third party based representative forms of governance with a truly peer-to-peer decentralized trust network. They do this by each person simply participating and becoming the change they wish to see in the world.

Beyond Levers of Control

Perhaps in transitioning into the Bitcoin ecosystem, the biggest challenge we face is the limit of our ability to imagine. Corporate colonization has not only created vast inequality of wealth by way of an economy based on exploitation and wars, but its real damage was creating a poverty of the mind that cuts humanity off from its connection to the earth. It captured the imagination into materialistic economy of exploitation and extraction and many no longer think with the earth as the First Nations used to do.

We are now so used to centrally planned and hierarchically organized societies, it is difficult for many to imagine how a truly decentralized society might work. People are conditioned by the old paradigm and tend to look for levers of control even where there are none. They cannot even imagine a system that does not create such points of control. So when faced with the idea of a Bitcoin 1%, so called early adopters, it is easy to automatically apply the current reality of the 1% that can print money at will, create debt slavery and rent seek at every choke point. Some fail to understand how radically different the Bitcoin ecosystem is from the existing centrally controlled economy and forms of governance.

Let’s examine this more closely. The existing fiat world is organized by physical and social confinement of populations within nation-state boundaries, where sovereignty of nations ostensibly determines currency and monetary policy. Creation of currency has been enforced by monopolies by means of taxation. This central authority creates levers of control that are now mostly co-opted by corporations. These levers prevent ordinary people from fully counting themselves in as the true source of legitimacy. It creates a chain of command where institutions and professionals can gain power to coerce others to serve the interests of those at the top of the hierarchy and make people work against their own interests.

In this environment, accumulation of money can be easily translated to power and corruption. We see how this has panned out in history. Those who have money can control the flow, get to the top of the system, buy politicians and even take over governments. As a result, we now have a massive inequality where a tiny percent of the population, 0.001 percent controls access to the majority of the wealth and transactional flow of the entire world.

In the last few decades, this corruption reached an extreme level after taking the dollar off the gold standard, with the Federal Reserve and other private central banks (private corporations) using this power to print money out of thin air. With this and the monopolization of banks and payment systems, they maintained massive power to fund divisive resource wars and debase currency through inflation. This is now destroying the middle class and slowly turning the whole population toward a medieval-like debt servitude. Bitcoin completely challenges this system of control through enabling a decentralized network that cuts out third parties that create monopolies and insidious levers of control.

Money as Flow

In the Bitcoin distributed trust network, there are no choke- and checkpoints. Currency gains its true meaning – pure flow. What would it be like if currency functions as flow rather than a form of control? As we move into a more decentralized future, the current hierarchical institutions and central authorities lose power. In the Bitcoin network, accumulation of money is not easily translated into power over others. All that those 1% Bitcoin adopters can do with their acquired money is to spend it. They cannot interfere with or undermine the integrity of the value transfer network. They cannot print more and debase the whole system and they can’t rent seek each transaction.

So let’s imagine a scenario where they try to buy up all the media, lobby politicians and buy real estate and land. With new blockchain based social media and forms of crowd-funding and micro-payments, it will become harder for big media organizations to own the airwaves, to control and dictate narratives. Also, it would be difficult for individuals and corporations to buy up politicians, as their transactions are transparent in the blockchain and private agendas would be harder to hide. Besides, politicians will themselves become increasingly irrelevant as taxation is completely transformed in a Bitcoin world.

In a Bitcoin ecosystem, the familiar world crumbles. It is an entirely new world. A 1% here looks a lot different than the 1% in the current fiat world. This is a world where people interact through voluntary association rather than coerced will. The current monopolies seen in the existing financial system would become difficult to maintain. It makes the government more transparent and eventually more accountable.

Perhaps the larger ramification of the blockchain invention is the potential of code to facilitate an equal application of law that ensures the principle of consensus. If a Bitcoin 1%er wants to buy land from farmers or even buy whole cities, the land owners would have to be willing to sell. People won’t as easily be manipulated and forced to act against their will. In a Bitcoin decentralized society, farmers and others have a choice to say no and this ability of each person to decide what to consent to defines personal power.

In the world created through this two-way voluntary participation, accumulation of money or goods means isolation. If one wants to create a society of control and domination, it would have to be a little pond kingdom where one can maintain an illusion of control. But the same rules of consensus apply and the participation in this pond is also voluntary. Everyone can freely choose what kind of community and people they wish to associate with.

As the two worlds interface at this early stage, some voice concern about the current 1% trying to buy up bitcoin. But if they do this in order to maintain the current power which they gained in the fiat world, they will shoot themselves in the foot. They cannot buy out the system, but can only buy into the new network just like everyone else, which would only lead to expanding and strengthening the decentralized network and accelerating the demise of the fiat system itself and the illegitimate authority that goes with it.

New Sovereignty

The Bitcoin network creates decentralized consensus at a large scale without anyone in the middle. Can we really understand the significance of this and imagine what a future created through a truly peer-to-peer network looks like?

With the invention of the blockchain, we are entering into a new era. Security expert and technologist Andreas Antonopoulos describes how up till 2008, sovereignty created currency. He notes how the world of sovereign currency ended in 2008 and that after 2008, currencies could be created by individuals. When broadly adopted, these currencies create their own sovereignty and purchasing power.

The current sociopolitical system is built on a long history of colonization. Western civilization has a dark past of violence, brutal subjugation of indigenous people to enforce domination and resource extraction. This unredeemed shadow is carried on even now as a force that has morphed into a pervasive globalized corporate power with its privatization and financialization of everyday life.

While the concept of sovereignty in the current nation-state paradigm is based on a colonial mentality where independence of a country was attained through conquest of others, the blockchain invention opens a door for a new kind of sovereignty, one that is not based on the logic of control and domination, but through mutually shared ideals and voluntary association.

Bitcoin is the world’s first stateless currency that transcends borders in a similar way as the Internet. Its unmediated flow delivers more power to the periphery. As a result it could dissolve the hegemony of U.S. empire and end the monarchy of the petrodollar that controls flows of oil, finance and global geopolitics. This could potentially shrink the wealth gap between the Global South and the North. For the first time in history, humanity has the option to really heal the wound of long history of brutal colonization; to end major wars, transform poverty and inequality and move toward a more humane world. Humanity has a chance to embark on a new path, where technology of Western society is used to serve for the wisdom of indigenous cultures and together create a new civilization.

If we let the imagination follow its natural current freely, it leads into a future where collective creativity can solve the centralized problems of the old world. Even if Bitcoin as money dies tomorrow, that will only happen because a better designed blockchain cryptocurrency has come to replace it.

We don’t know exactly where this will go, as this kind of thing has never occurred before. But one thing is certain: The invention of the blockchain has already changed the world forever. No one can think of this world in the same way as before. The blockchain has already unleashed the flow of radical imagination, becoming the waves of uprising of a decentralized future.

 

The post One Perspective: The Liberating Potential of Bitcoin appeared first on P2P Foundation.

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