Economic Principles of PoPCoin, a Democratic Time-based Cryptocurrency

• URL: http://arxiv.org/abs/2011.01712v1
• Date: Tue, 3 Nov 2020 13:57:22 GMT
• Title: Economic Principles of PoPCoin, a Democratic Time-based Cryptocurrency
• Authors: Haoqian Zhang, Cristina Basescu, and Bryan Ford
• Abstract summary: PoPCoin proposes to leverage the unique historical opportunities that digital cryptocurrencies present for a "clean-slate" redesign of money. We develop and analyze a monetary policy for PoPCoin that embodies these equitability goals in two basic rules. We find that these rules in combination yield a unique form of money with numerous intriguing and promising properties.
• Score: 1.0418647759223965
• License: http://arxiv.org/licenses/nonexclusive-distrib/1.0/
• Abstract: While democracy is founded on the principle of equal opportunity to manage our lives and pursue our fortunes, the forms of money we have inherited from millenia of evolution has brought us to an unsustainable dead-end of exploding inequality. PoPCoin proposes to leverage the unique historical opportunities that digital cryptocurrencies present for a "clean-slate" redesign of money, in particular around long-term equitability and sustainability, rather than solely stability, as our primary goals. We develop and analyze a monetary policy for PoPCoin that embodies these equitability goals in two basic rules that maybe summarized as supporting equal opportunity in "space" and "time": the first by regularly distributing new money equally to all participants much like a basic income, the second by holding the aggregate value of these distributions to a constant and non-diminishing portion of total money supply through demurrage. Through preliminary economic analysis, we find that these rules in combination yield a unique form of money with numerous intriguing and promising properties, such as a quantifiable and provable upper bound on monetary inequality, a natural "early adopter's reward" that could incentivize rapid growth while tapering off as participation saturates, resistance to the risk of deflationary spirals, and migration incentives opposite those created by conventional basic incomes.

Related papers

• Computing for Community-Based Economies: A Sociotechnical Ecosystem for Democratic, Egalitarian and Sustainable Futures [0.9071144333827891]
  AI, robotics and other emerging technologies could provide a transition to community-based economies. We propose the use of computational technologies to develop a specifically generative form of community-based economy.
  arXiv  Detail & Related papers  (2025-04-08T15:06:10Z)
• Likelihood Reward Redistribution [0.0]
  We propose a emphLikelihood Reward Redistribution (LRR) framework for reward redistribution. When integrated with an off-policy algorithm such as Soft Actor-Critic, LRR yields dense and informative reward signals.
  arXiv  Detail & Related papers  (2025-03-20T20:50:49Z)
• Regularized Proportional Fairness Mechanism for Resource Allocation Without Money [18.593061465167363]
  We design an innovative neural network architecture tailored to the resource allocation problem, which we name Regularized Proportional Fairness Network (RPF-Net) RPF-Net regularizes the output of the proportional fairness (PF) mechanism by a learned function approximator of the most exploitable allocation. We derive generalization bounds that guarantee the mechanism performance when trained under finite and out-of-distribution samples.
  arXiv  Detail & Related papers  (2025-01-02T07:17:23Z)
• The recessionary pressures of generative AI: A threat to wellbeing [0.0]
  Generative Artificial Intelligence (AI) stands as a transformative force that presents a paradox. It offers unprecedented opportunities for productivity growth while potentially posing significant threats to economic stability and societal wellbeing. This paper explores the conditions under which both may be true.
  arXiv  Detail & Related papers  (2024-03-26T05:51:05Z)
• A new economic and financial theory of money [0.0]
  The valuation of electronic currencies will be based on macroeconomic theory and the fundamental equation of monetary policy. The view of electronic currency as a transactional equity associated with tangible assets of a sub-economy will be developed.
  arXiv  Detail & Related papers  (2023-10-08T03:16:06Z)
• Social Diversity Reduces the Complexity and Cost of Fostering Fairness [63.70639083665108]
  We investigate the effects of interference mechanisms which assume incomplete information and flexible standards of fairness. We quantify the role of diversity and show how it reduces the need for information gathering. Our results indicate that diversity changes and opens up novel mechanisms available to institutions wishing to promote fairness.
  arXiv  Detail & Related papers  (2022-11-18T21:58:35Z)
• Latent State Marginalization as a Low-cost Approach for Improving Exploration [79.12247903178934]
  We propose the adoption of latent variable policies within the MaxEnt framework. We show that latent variable policies naturally emerges under the use of world models with a latent belief state. We experimentally validate our method on continuous control tasks, showing that effective marginalization can lead to better exploration and more robust training.
  arXiv  Detail & Related papers  (2022-10-03T15:09:12Z)
• Monotonic Improvement Guarantees under Non-stationarity for Decentralized PPO [66.5384483339413]
  We present a new monotonic improvement guarantee for optimizing decentralized policies in cooperative Multi-Agent Reinforcement Learning (MARL) We show that a trust region constraint can be effectively enforced in a principled way by bounding independent ratios based on the number of agents in training.
  arXiv  Detail & Related papers  (2022-01-31T20:39:48Z)
• Decentralized Basic Income: Creating Wealth with On-Chain Staking and Fixed-Rate Protocols [0.0]
  We evaluate the mechanisms behind the decentralized finance protocols for generating stable, passive income. Currently, such savings interest rates can be as high as 20% annually, payable in traditional currency values such as US dollars. We will discuss potential pitfalls, assess how these protocols may behave in market cycles, as well as suggest areas for further research and development.
  arXiv  Detail & Related papers  (2021-07-29T20:21:55Z)
• Addressing the Long-term Impact of ML Decisions via Policy Regret [49.92903850297013]
  We study a setting in which the reward from each arm evolves every time the decision-maker pulls that arm. We argue that an acceptable sequential allocation of opportunities must take an arm's potential for growth into account. We present an algorithm with provably sub-linear policy regret for sufficiently long time horizons.
  arXiv  Detail & Related papers  (2021-06-02T17:38:10Z)
• Dealing with Non-Stationarity in Multi-Agent Reinforcement Learning via Trust Region Decomposition [52.06086375833474]
  Non-stationarity is one thorny issue in multi-agent reinforcement learning. We introduce a $delta$-stationarity measurement to explicitly model the stationarity of a policy sequence. We propose a trust region decomposition network based on message passing to estimate the joint policy divergence.
  arXiv  Detail & Related papers  (2021-02-21T14:46:50Z)
• On Digital Currency and the Transfer of World Wealth and Technology Centers [0.0]
  Sovereign currency and bonds have gradually become modern forms of wealth. The sustainability of sovereign currency and bonds is not certain. Digital currency may be an effective carrier of value.
  arXiv  Detail & Related papers  (2020-08-13T07:28:40Z)
• Regulation conform DLT-operable payment adapter based on trustless - justified trust combined generalized state channels [77.34726150561087]
  Economy of Things (EoT) will be based on software agents running on peer-to-peer trustless networks. We give an overview of current solutions that differ in their fundamental values and technological possibilities. We propose to combine the strengths of the crypto based, decentralized trustless elements with established and well regulated means of payment.
  arXiv  Detail & Related papers  (2020-07-03T10:45:55Z)
• Democratic Value and Money for Decentralized Digital Society [1.3833241949666322]
  This idea paper explores how alternate monetary principles might result in a form of money more compatible with democratic principles. In this alternative macroeconomic philosophy, both the supply of and the demand for money must be rooted in people. An intriguing approach to implementing and deploying democratic money is via a cryptocurrency built on a proof-of-personhood foundation.
  arXiv  Detail & Related papers  (2020-03-26T09:30:47Z)

This list is automatically generated from the titles and abstracts of the papers in this site.

This site does not guarantee the quality of this site (including all information) and is not responsible for any consequences.