Crypto Needs to be Circular

As long as cryptocurrencies are related – in any way – to traditional currencies, they don’t have a chance.

They need to be able to stand on their own two feet, to work in isolation.

It is possible, we just need to find a set of services that form a circular economy. Here is a non-exhaustive starting point.

Platforms/Currencies that it can revolve around

Crypto
Game
Metaverse
Advertising (Google/FB)
Venture Capital
Crowdfunding
Equity Crowdfunding
Peer2Peer Lending
Services Platform (Fiverr)

Digital uses for the currency (must be primarily labour-intensive)

Web design
Game design
Graphic design
Writing
Journalism
Guest Posting
Translation
Programming
Tech Support
Consulting
Life Coaching
Virtual Assistant
Customer Care
Tutoring
Music / Voice Over / Jingles
Video Editing
Transcription
Influencer Marketing
Community Management

Offline (must be primarily labour-intensive)

Modelling
Personal Trainer
Gardening / Landscaping
Driving / Delivery (not own vehicle)
Hairdressing (for someone else’s salon, or from home)
Massage
Child care
Cleaner
Housesitter
Photography
Mystery Shopper
Furniture Assembly

The above is literally a starting point. Somebody might need to intuit the system that works, for it isn’t easy to deduce. What is likely needed is degrees of separation that connect the above.

For example:

Game Developer pays Graphic Designer 1LC (LifeCoin)
Graphic Designer pays Accountant 1LC
Accountant pays Bakery 1LC <<< is not a primarily labour-intensive business, has real-world, fiat currency costs!
Bakery pays SEO company 1LC
SEO Company pays Game Developer (for in-app ads) 1LC

We effectively have a bartering system that uses a cryptocurrency. It works great on a simplistic level.

Major issue – the balancing act

What if the Graphic Designer gets more LC than they can spend? With a fiat currency, our entire world revolves around it, and finds a use for it. Not so with a fledgling currency that needs to be different and not convertible.
(Why not convertible? Well, it renders it meaningless – why not just use the dollar anyway??)

So we need an extra mechanism, one that takes care of deficits and surpluses. A bank? With interest rates?
That still doesn’t work – because you can’t cash out beyond what is available to buy with a LC. And, initially, that is limited.

And we cannot convert it to a fiat currency. So what else can it be used for? What has value and is open-ended?

Here are some random ideas, not to be taken seriously, just testing the water:

Status – hey look at me, I have many!
Offspring – your great-great-grandchildren might need a personal trainer
Capital Investment – there is value in ownership beyond dividends
Charity – labor-intensive charity work could be paid

My Best Guess (so far)

Some Facebook-esque corporation will create an Augmented Reality overlay of our world (info, social and advertising), and link it to a virtual world of socialising and gaming. It will have an internal currency.

There are 2 ways a crypto-currency can launch, aside from speculation and ponzi schemes:

  1. A major corporation with a digital product simply brings it into being:

Google – receives money for digital advertising, and digital entertainment products, and gives money in the AdSense network.

2. A circular economy, based on labour-intensive work:

It still needs a catalyst. A play-to-earn video game is my best bet. A game so good that is success drives the model.

Robot Wheelie Bins

wheelie_bins

In Australia the way of getting rid of domestic trash in cities is pretty standard: empty your kitchen bin into the wheelie bin outside, and once a week wheel that bin the kerb outside of your home where the “garbos” will empty it into their truck.

Why not give these bins wheels, powered by solar?

The kitchen bin will need to be connected to a power socket, but that in turn can be solar-powered. When it is close to being full, the kitchen bin rolls out to the wheelie bin outside (which is solar powered). A hoist, just like those used by trash trucks, empties the kitchen bin into the wheelie bin.

Once a week the wheelie bin goes for a wander to a local, designated spot. There, the trash truck empties all of the wheelie bins that have queued up, and then they go home.

This is more efficient for the trash truck, especially if it will be self driving in the future.

And it saves humans the tedious task of taking the trash out.