decentralization – Is it attainable to have a decentralized alternate like Bisq, however for presidency safety contracts?
The thought right here is to have a market place for competing governments.
Since every authorities will get its energy from having a monopoly on violence, what if we had a free market of safety companies that may provide a alternative for presidency safety? This can basically put the facility of the federal government again into the arms of the individuals.
The thought is just like how Bisq works:
Each the customers and the safety corporations deposit cash and enter a voluntary contract to succeed in a sure objective of reducing crime price. The deposited cash makes certain either side are incentivized to succeed in the objective within the contract. All the things is finished utilizing Bitcoin and Tor, so all members hold their privateness.
Right here is how the concept works in 3 steps:
The safety firm who desires to do the police work opens the app and marks an space on the map that at present has 10% crime price. they usually’re prepared to stake cash (a deposit) to decrease the crime price, to illustrate they deposit $10K. The safety firm claims that they’ll decrease the crime price from 10% to five% inside 6 months within the marked space, they usually’re asking for $5K in return in the event that they achieve doing so.
The individuals who reside within the marked zone see the safety contract provide on the app, and put up a collective deposit of $5K and settle for the contract.
If the safety firm fails to succeed in the 5% objective, then they lose the $10K deposit to the customers. But when the safety firm succeeds to succeed in the 5% objective, then they get their 10K deposit again + the 5K from the customers.
- The app operator (fully nameless individual) is an arbitrator for the cash staked from either side, and he handles the cost in case of a dispute, or just pays the successful aspect if the contract is accomplished as deliberate. He clearly will get a price from the deposit for offering this arbitration service. The arbitrator will not steal the cash as a result of he’ll lose his repute and lose future enterprise to his competing “different police app” operators.
What are attainable pitfalls on this mannequin?