Decentralized Scarcity and the End of War

JcollinsCultural, Economics, FREEPOM, Geopolitical7 Comments

Blockchain Resource Management and Removing Our Ideological Justifications

The biggest benefit to blockchain technology is trust.

As a traditional career I have chosen to work in the mining industry. The core function of this industry is to ensure a sufficient supply of raw materials to feed manufacturing and services in other industries, as demand dictates. When demand is high the price of raw material values upward, which creates a level of scarcity based on sell price and increasing production levels which are meant to sell the maximum amount of the product at a maximum of the price.

Once production levels catch up to demand the scarcity will adjust, meaning demand is lowered and the raw materials value downward. Many miners are left with overstretched labor pools and budgets as production and operating costs are reduced to meet the new market prices for the raw materials.

There is a certain level of mistrust in this relationship as companies cautiously inch forward on increasing capital expenditures and asset acquisitions which are meant to grow revenue and increase return on capital employed. All of which is meant to align with the increasing market valuations. Investors don’t like companies which overextend themselves, and those who get caught are often acquired by other companies who better managed the environment of mistrust.

Every second or third I week I spend on a mine site in Northern Canada. The one particular site is a fly-in and fly-out operation. This means that I fly on a plane arranged by the mine company and stay in a lodge which is also operated by them. A picture of the room is provided below so you can see how glamorous my life is.

Over the last few years we have built an excellent team of mine equipment technicians, electricians, reliability engineers, and supervision to manage our operation on that particular site. We have built trust with one another and function as an extremely safe and efficient team of individuals with varying talents and shortfalls.

Much like industries and nations around the world have talents and shortfalls.

While interviewing and hiring one of the important questions we ask is “What makes a good team?” The answers are usually around good management and communication. Those are indirect contributors to what makes a great team for sure, but a great team is built on trust. Plain and simple. We trust one another to meet our own individual micro-accountabilities and keep each other safe from hazards while achieving our macro-accountabilities.

The raw materials industry, as in all industries, has a built-in level of distrust which is based on the fluctuating demand and scarcity factors outlined above. Building a team based on trust in an environment which is financially and operationally structured around the recognition and acceptance of distrust is challenging.

An added dimension of distrust comes into effect when we consider that industries are centralized around national currencies which are utilized in an international manner. The US dollar is such a currency, and up until recently, most raw materials were denominated and operated on the USD platform.

This platform has been promoted and secured through the use of American military prominence and its pre-negotiated mobilization to support allies and nations who agree to maintain the USD status-quo. This is how it has been for thousands of years. A strong caveman protected his small creek or pond, and built up a tribe of weaker subordinates who did his wishing so they could have access to resources.

But soon the caveman’s following became too large and he had to seek out other sources of water. The caveman, and the strongest of his followers, waged war against those who controlled the other creeks and ponds. Eventually those cavemen also came to accept his rule and went to work acquiring more resources for the growing group.

Inevitably at some point the caveman would develop an ideological justification for conquering other people and ensuring access to the resources which were located on the foreign land. This was all meant to address scarcity of resources and the fear of that scarcity. The strong caveman would eventually have more resources then were needed for him and his followers, while others didn’t have enough, or couldn’t afford to buy into the system which was designed to manage the perceived scarcity of resources.

All wars in the history of mankind can be explained through this exact logic.

Blockchain technology is based on the application of unquestionable trust which has been built within the structure of the system. One can almost state that the value of blockchain, and all process which utilize it, is based on the history of proven trust and efficiency within the technology itself.

Is it that simple? Is the value of blockchain a track record, or ledger, of seamless trust? Maybe.

Trust based network logic will expand to encompass all industries, from banking to mining. The improvements to resource allocation and the strategies which develop around ensuring access to enough resources, will have a large impact on how we have defined scarcity throughout human history.

Smart contracts which are based on the blockchain will lead to improved cultural and socioeconomic conditions across the spectrums of economics, academia, and governance. De-centralized governance based on trust is empowering for all of those who participate in the system. Much like our team on the mine site is empowered through undeniable trust amongst the group. We have no need for mantras, corporate values, slogans, ideologies, or propaganda, because we simply trust one another and promote the empowerment of the individual.

Smart commodities contracts and smart stock and bond contracts are coming. It will revolutionize the world and establish trust across all the financial and monetary spectrums. These smart contracts will not be based on the USD or any one national currency. These contracts will be based on the blockchain technology. The crypto method which one chooses to use while interacting with the blockchain will not erode trust in the system.

Do you see? The blockchain itself will be the reserve method. The blockchain is de-centralized trust. It will never be scarce. It can never be hoarded. It does not matter what asset or coin any individual, nation, or institution decides to use. The impact this will have on human warfare and the need for fear-based resource hoarding will be dramatic. Mankind is truly on the threshold of something wonderful. - JC

JC Collins can be contacted at jcollins@philosophyofmetrics.com

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7 Comments on “Decentralized Scarcity and the End of War”

  1. I do see. It was the point I was attempting to to make in a short couple of exchanges with Dane. Of course you make it many times better than I. Thanks for that and this fine post.

    PTM

  2. I see the concept, which is intellectually sound. But I suspect that the innate depravity of human nature will limit how far this utopian concept can go.

    Will there not still need to be an enforcement mechanism? I recall seeing Bitcoin "robberies" being reported already. Once an enforcement mechanism is in place, the potential for abuse by those empowered thusly is omnipresent. If the opportunity of abuse is present, the abuse is inevitable, which can destroy the trust in the block chain itself.

    I suppose we'll see!

  3. Dear Mr, Milr@att.net(strange last name)

    Anyway, more than a few times in the past three or four years JC has stated that the best of man's days soon enough corrupt. I suspect he attributes it to our present nature. That's his business, he thinks of himself as some kind of a philosopher, you know. So.

    I had the fortune, not the good or bad, just the fortune to hangout with gangsters, pimps, hookers and players of all stripes going down thru there in my life. 'Mac'.

    Putting your 'Mac' out there was the thing. Your 'Mac ' was your thing. Like who are you? What are you? What do you believe? Where are you coming from? What is your 'Mac'? How to you use your 'Mac'? How do you use your 'Mac' on others to your advantage?

    This from the real big 'Mac Daddy'.

    "There is nothing more difficult to plan, more doubtful of success, and more dangerous to manage than the CREATION OF A NEW SYSTEM.

    For the initiator has the enmity of all who would profit from the preservation of the old and merely lukewarm defenders from those who would profit from the new."
    'Mac' hiavelli (1533)

    PTM

  4. Something not mentioned is managing tangible assests. With blockchain a corrupt government couldn't steal land from citizens and gift it to cohorts.

    To me blockchain is a game changer. Individual empowerment is a necessary step to coherent and faceted collective identity. Individual empowerment is the necessary step to resolve the identity crisis.

    Having a system where no intermediaries are needed is revolutionary.

    The definition of value due to technology is changing. The mind of modern man is distracted by so many things. Blockchain represents a new baseline. 'Disorganized masses' is a good term. On a personal level emotions are fundamentally disorganized.

    Thinking is based upon perception of position. Tech keeps creates more and more abstract positions. The trend of overall positions is simplification down the line as attention is focused up the line.

    Within a few generations those not in line with the trend will die, naturally.

    The fascination man has with classifying and cataloging phenomena has become technology.

    When basic precepts of spiritually are universally accepted and defined we may see the re-evaluation of tech over personality disciplines. To me this is what is meant when I hear some say 'the eastern body and western mind'

    The abstract positions entertained must reach a certain appreciation of non-physical phenomena. As this gradientally increases we will see the reorganization of power structures. To a bystander it may seem random. Nonetheless we are in a transitional period. Attritution is always the bottomline for change.

  5. "Bitcoin Helps People Circumvent Economic Sanctions in Iran"

    https://news.bitcoin.com/bitcoin-circumvent-economic-sanctions-iran/

    "Iranian Banker Calls for Cryptocurrency Acceptance"

    https://news.bitcoin.com/iranian-banker-calls-for-cryptocurrency-acceptance/

    "Russia May Turn To Cryptocurrencies For Oil Trade"

    https://oilprice.com/Latest-Energy-News/World-News/Russia-May-Turn-To-Cryptocurrencies-For-Oil-Trade.html

    "US Senators Blast Venezuela's Oil-Backed Cryptocurrency Plan"

    https://www.google.com/amp/s/www.coindesk.com/u-s-senators-decry-venezuelan-petro/amp/

    1. Hi Dane and thanks for the links, in particular regarding the head of Tech division of Iran's central bank comment on Blockchain.

      The Iranian central bank has been in charge of the most catastrophic economic mismanagement in the last century as well as in this century. In 1978 a few months before the arrival of the Khomeinist pan-Islamist thugs with the direct assistance of the US government, One Dollar was around 100 Rials. Right now, for one USD, Iranians must pay 33,333 Rials (Today's rate of exchange). In this way has been decimated and totally destroyed by the globalist CIA run Mullahs.

      In this way, Islamic Republic is a failed state that manages to run a show ONLY because Iran has vast reserves of oil/gas where it has been systematically stolen and with lack of care and investment the revival of existing oil wells is very expensive. That leaves the Marxist Globalist Mullahs to survive by making ridiculous claims such as this one. Iran ahs educated workforce and is capable of such enterprize but a lawless and corrupt judiciary that does not stop looters will make any change to the existing economic system impossible. Nevertheless, IRI survived through continual exdurations and wild claims such as this one.

      Islamic Republic of Mullahs AND North Korea are absolutely controlled by Globalists and one of their pillars of survival is propaganda. Crypto currencies of any shape or form requires technology and a reasonable internet speed and distribution in rural areas but the Islamist regime has taken the control of internet and deliberately slowing the speed so to dissuade users. I am not certain therefore how such currency will work in Iran but we shall see.

      Interesting article though and one that made me think! Thanks again.

      1. My apologies to all, I have no idea where "exdurations" came from as I meant, "exaggerations"! ...but I am sure you are not new to my terrible spellings and bad grammar...I will try, I promise! 🙂

        As I was writing the above postings on the subject of the Iranian cryptocurrency as kindly posted by Dane, I thought of this rather strange appearance of the head of a "Taxi company" at the Davos, economic forum in Switzerland who happens to be of Iranian origin, a Mr. Dara Khosrowshahi! I can not even begin to understand why a Taxi company manager albeit and really a Software company that has no asset of its own, other than to act as extra eyes and ears of the globalist elite! ...I mean the millions of cars under its control owned by deluded owners who want to make extra cash, that is Uber!

        https://www.cnbc.com/2018/01/23/uber-ceo-khosrowshahi-how-to-get-a-great-rating-on-uber--give-tips.html

        Nonetheless, if the ever-annoying Bono goes there who collects lots of money as charitable donations (possibly from mad folks with money to burn perhaps!) and pays back only 1 percent to a charity (Red Cross probably!), what harm can a Middle-Eastern Taxi boss that presides over many many Billion Dollars business do as an additional invitee to a festival of looters and deceivers?! None of it makes much sense to me, it may be the case that I am going mad, OR, I am living in a mad world! Thank you for putting up with me.

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