Layer of consensus building
Public.icon
"A mechanism based on distributed consensus building" = Society is also politics that determines the current state of land to some extent.
/emoji/twitter.icon In addition, I will release my thoughts that I have been thinking about recently. Blockchain... or rather, a "mechanism based on distributed consensus building" is society. It is a virtual society in which people with different ideologies and interests participate.
Current public blockchains mainly function on market principles. They reach consensus not through discussion, but through price and supply and demand, calculation, and dice. However, social problems cannot be solved by market principles alone, and "discussion" is always necessary. (Hint: Amartya Sen's Pareto liberal Impossibility theorem)
Impossibility theorem of Pareto liberal
There are problems in society that can be solved by force and problems that can be solved by market principles. However, the principles of our society are to accumulate objections, deliberate, and improve through democratic procedures.
@Sg-sanSg-san.icon August 19, 2021
There are many places where market principles do not function in practical politics because they rely on discussion.
However, in the current world of crypto, decision-making is based on market principles.
Governance of DAO
/emoji/twitter.icon If such a social process could be constructed to function fairly and efficiently using digital technology--it would be a very powerful tool for solving the complex and difficult problems of modern times. Whether it is blockchain or another tool, there is potential. I have such thoughts.
@Sg-sanSg-san.icon August 19, 2021
/emoji/twitter.icon Well, the current blockchain trend is more driven by market principles rather than discussions. However, there is a discussion about the governance function similar to a shareholder meeting in the context of DAO. We are thinking about whether there is a possibility of creating a scenario for some kind of social consensus formation beyond that.
@Sg-sanSg-san.icon August 19, 2021
If the consensus formation of DAO is derived from governance tokens, it is only one of the principles in history and does not lead to the realization of democracy.
Crypto-era shareholder meeting
/emoji/twitter.icon The market determines the price and buyer. This layer decides who verifies the block and receives the reward. On the other hand, in a shareholder meeting, you vote on approval or disapproval of the agenda. Therefore, Layer of consensus formation is different.
For example, Fractals incorporated governance for specification changes into the protocol, and the first The DAO adopted voting by governance tokens. I think these have functions that are different from pure markets in that they decide on issues by voting.
I used the phrase "pure market" to mean that decisions are made solely by market principles without discussion.
And if we can create and operate governance functions similar to a shareholder meeting that includes "discussion," can't we implement Democracy as an extension of that? This is the starting point of my thinking.
@Sg-sanSg-san.icon August 19, 2021
Democracy in DAO