Decentralised Autonomous Governance

  • First, by passing laws and regulations protecting its people and their environment;
  • Second, by taxing the population and redistributing those taxes.

Decentralised Autonomous Governance

Pre-requisite: First, we must imagine that transactions in society are routed through a publicly owned distributed ledger (this could be blockchain or a DAG — it matters not).

How will the tax rate be determined?

The tax rate will be automatically determined by ‘price oracles’ connected to the ‘Internet of things’ (IOT). In other words, a smart contract will automatically adjust the size of the UBI each person receives according to price data sent to it from price oracles connected to data-points around society (such as the local price of rent, food, education etc). As the cost of living goes up and down at the local level, this will in turn be reflected in an overall adjustment to the universal transaction tax rate.

What about privacy?

Individuals transaction information & history will be hidden from public view with the use of privacy enabling technologies. The only information required for the smart contract is the total amount of transactions on the network.

BENEFITS

  • The entire system is self regulating. Runaway inflation is prevented through the variability of the transaction tax.
  • Automatic taxation will increase tax receipts reducing the overall tax rate of society.
  • As everyone pays this tax, the never-ending issue of “who pays for it?” ceases to be relevant.
  • Market stability will increase due to a decrease in short term unproductive financial speculation.

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