Recent decades have seen the rise of a small number of extraordinarily successful companies with huge levels of power and little accountability. Many of these same monopolistic companies store huge amounts of data about billions of people like us, which they use to make billions of dollars of profit. Therefore, shareholders gain from data that belongs to you and me and businesses have to pay increasingly large sums to these companies in order to reach their customers. They are the gatekeepers of the online world. The value is created by us through our intent and data, but captured by these huge companies with no gain by us.
Similarly, the value of any business increases almost in direct proportion to the number of customers it has and the revenue and profit it generates from them. So in the capitalist system, the capitalists invest capital in a business to become shareholders and the business spends that capital on creating a product or service and getting customers. As the business gets more customers, makes more revenue and eventually more profit, the share price increases at a similar level and the shareholders make money. Therefore, capital has a correlative relationship with shareholder value, but does not cause it.
So, who causes it? We do as consumers of and contributors to products and services. If we don’t buy products from a business, they make no revenue which results in no shareholder value and shareholders don’t make money. So capitalists are kind of like gamblers betting on which businesses are going to be able to create the products and services that businesses and consumers want. This is a rather inefficient system when you really think about it. But only we as consumers have the ability to cause an increase in shareholder value through our consumption so actually it should be the consumers that benefit as much if not more than the capitalists.
We are flipping capitalism in its current form on its head. Instead of capitalists getting the rewards from our consumption, we do. Every time we buy something through our network, we and the business and everyone that helped gets a token, kind of like a share thats value is tied to the growth of our network and token holders share the profit the network makes. The only way to get these tokens is by contributing to the platform and the more we all consume through the network, the more the tokens will be worth. Therefore all people that participate in our economy can also share in the rewards of our economy, rather than just those with capital.
By aggregating demand in this way, businesses are willing to pay to be matched with our intent, but instead of technology companies benefitting, we do as the token holders of the economy. As a community we have the ability to encourage and reward the right behaviour from businesses in a way that can’t be done as individuals. If companies are destroying forests to fuel cheaper palm oil or exploiting the poorest people on the planet, we can decide as a community whether to allow them on our network. We’re moving the power from the capitalists to the people by connecting everyone in the network and allowing everyone to share the rewards, not just those with capital.
A fairer system
"A distributed peer-to-peer network that is designed to match supply of product and services more efficiently with demand for products and services. A decentralised network, system or protocol where all value created is captured by those that contribute to creating that value"