Brad Miller

Posts Tagged ‘Billions’

How to raise billions of dollars and change the world

In Cryptocurrency, Free Market Miracles, natural rights, True nature of the State on December 30, 2017 at 12:02 am

Those who attempt to use the force of government to improve material progress and the moral improvement of society will always be disappointed by the results.

Government is force. It can never be a charitable or a moral institution. It’s mainly funded through Taxation, which is the taking of the property of one person and giving it to another. When the government spends more then it brings in with taxes it borrows money from the Federal Reserve. Both of these actions produce havoc in the economy, make people poorer, encourages envy and enmity between those in power and those seeking power, and destroys individual initiative.

That is the problem with politics. Two parties vie to buy the votes of 50.1% of the population in order to control the power to tax, borrow, spend and regulate. The party that buys the votes of the majority now has unlimited power over the remaining minority.

That is why there is so much vitriol in politics. It will always be this way because it creates a ruling and ruled class. If we keep looking to the state to create prosperity and cure the ills of society we will continue to get the same results. Trillions of debt, a divided society, and an enormous bureaucratic and increasingly violent police state that crushes individual initiative and voluntary cooperation.

There is a far better way to get people to work together than to force people at the barrel of a gun to cooperate in an attempt to create wealth, peace and prosperity for all.

Voluntary cooperation is the only true way to produce lasting material and moral progress. Civilization advances not by government edict but through the creative acts of individuals adapting to and shaping their environments through experimentation and voluntary cooperation.

Now we have the technology to connect like minded individuals around the world in order to combine their creativity, intelligence and capital to build businesses, start charities and other types of organizations that can create positive change in the world. The rapidly evolving technologies of cryptocurrencies, blockchain and smart contracts will make this extremely easy to implement.

I call this type of invention a Voluntary Crypto-secured Capital Pool (VCSCP). These are self directed, self funded, organizations that individuals who agree on a specific purpose for the accumulated funds.

Most people complain that what we need is capital! Here is a way in which anyone in the world can become involved in helping to acquire and spend massive amounts of capital that can be used to start businesses or charitable organizations. This is how you can raise billions and change the world!

Here are the startling numbers of how quickly a relatively small group of people can accumulate massive amounts of capital in a short period of time. These examples are based on the belief that individuals who want to positively affect the world will be willing to contribute a $1 or $5 per week to their preferred VCSCP.

1. One million people contributing $1 per week would have at the end of 52 weeks $52,000,000. How many urban farms could be funded with this? How many meals could be bought for the homeless?

2. One million people contributing $5 per week would have at the end of 52 weeks $260,000,000. That’s over a quarter of a billion dollars!

3. Ten million people contributing $1 per week would have at the end of 52 weeks $520,000,000. Could you think of ways this could be spent to create positive change in the world?

4. Ten million people contributing $5 per week would have at the end of 52 weeks $2,600,000,000. That’s two billion six hundred million dollars! What business couldn’t be started with this amount of money? How many millions of people could be fed, houses and educated with this amount of money?

The idea that capital is in hands of only a few is totally wrong. The problem with capital is that we don’t realize we already have it and that it’s just dispersed. Everyone who has just $4 per month has the capital to contribute to a VCSCP and change their life and the lives of potentially millions.

We no longer live in a world in which only banks can decide who gets the funds needed to open a business. Nor do those who want to improve the world have to spend billions in an attempt to gain the levers of power to help others.

I do believe that most socialists, communists and conservatives are compassionate people and have been sold the wrong idea that only through forced cooperation made possible by government can things get better.

Those who’ve sold this idea of Collectivism to the majority of people are the very people who benefit from the current political system. The media benefits through increased advertising ads, politicians benefit from donations and increased power, professors benefit through consultation and appearance fees as well as government largesse for the university system. All the pundits, media personalities and politicians who are currently involved in drumming up the political hysteria on the MAGA side and the Resistance side are benefiting in some way.

Those who ultimately pay the price for all this political fighting are the normal individuals who only want a better life for themselves and those they love.

Through VCSCPs individuals in this country and those around the world can pool massive amounts of capital for whatever purposes they want it to go for with no need for the political process. Each one will be a separate entity that could be for profit or strictly for charitable purposes.

VCSCPs would be extremely easy to set up and to administer due to the use of new technologies. By utilizing cryptocurrencies these pools would allow small weekly contributions, be able to hold massive amounts of wealth without the need for banks and utilize blockchain technology and smart contracts to enable all the contributors to vote on fund distribution.

These funds could be held for years or be put to use immediately. Let’s say a group wants to accumulate an endowment to help the homeless. A million people decide to give one dollar a week for five years and then only use the investment gains would be used to help feed and clothe the homeless. The principal amount would never be spent.

In five years the endowment would be worth $260,000,000. If it could earn 5% per year then $13,000,000 could be used in perpetuity to help feed, clothe and house homeless people. Now imagine hundreds or thousands of these type of VCSCPs operating around the globe without the bloated and corrupt overhead of government bureaucracy. Think of it as a streamlined automated charity.

Now let’s say a hundred thousand people in a city want to have more locally grown organic foods. They contribute $5 per week for 52 weeks. At the end of the year they’ll have a pool of capital of $26,000,000. How many organic urban farms can be funded by this pool of capital?

Let’s say on average a half acre organic urban farm costs about $40,000 to get up and running. That means up to 650 mini organic farms could be created. They might not want to do that so they only fund 100 the first year to see how it goes and all the while they continue contributing because they believe that more organic local food should be produced.

Next year they’ll have the expertise of the the ten farms plus a pool of capital of $48,000,000 plus a percentage of the profits from the farms. Now they can expand into larger farms, create farmers markets, create organic products from the excess produce or other opportunities that they decide. Hundreds or thousands of jobs would be created – people who contributed could be employed by the VCSCP as well. That’s a win-win.

Capital isn’t the problem now. The real problem will be how to decide on what type of business you want to be a part of.

This works on a smaller scale as well.

Let’s say you have a network of 500 people who want to have a park in their area. Instead of relying on the force of government to create it, this small group of people can accumulate enough cash to make it happen. In two years they’ll have $260,000 in capital contributed. That’s enough to buy a few acres and to install a walking trail.

The following years they’ll continue to contribute and make improvements and to fund upkeep. How awesome would it be to have your name on a brick on that walking trail? Instead of having the name of a politicians or bureaucrats associated with the park it will have the names of the actual people who payed for it.

Now when the park users see one of the park founders they thank them directly. This helps to create community.

The uses for these pools of capital, whether small or enormous are endless.

Each VCSCP would have its own rules as to what the funds will be used for and how much of a consensus would be needed for the distribution of the funds. By using the blockchain the people contributing will have a direct vote on how the funds are spent. Smart contracts will lock funds away until a consensus is reached.

The administration and the contributions could all be handled through a smartphone. Each VCSCPs would have their own app that would allow individual contributors to vote, set up their weekly contributions, suggest projects to fund and keep track in real time progress of any projects being funded.

Unlike with taxation the money contributed to VCSCP’s are voluntary and the spending is directly voted on. I believe when people join these VCSCPs which support their favorite causes or create the businesses they want to have in their communities they will no longer be interested in the struggle for control of the State.

VCSCPs could implement the changes in the world that people want to see in a peaceful and voluntary way. Feelings of community and friendship will be increased when individuals join together without force to help their fellow humans.

Politics will always breed hatred and mistrust in society. That’s because with a two party system the majority has unlimited power over the minority. Voluntary cooperation increases peace, prosperity and harmony because individuals are working together towards shared goals.

Peace and prosperity are what we all want. Politics and government create violence between individuals and countries. With the borderless nature of cryptocurrencies VCSCPs could be joined by people from anywhere in the world.

An example would be if a group of people around the world who were all against war wanted to help those who’ve been hurt by it. They could pool their capital through a VCSCP and buy a hospital type ship and park it off the coast of a war torn country. They could buy the supplies and pay for the staff to heal those who are being killed and maimed. And at the same time they could paint on the side of the ship in huge letters “End War”.

This is an exciting time to be alive. Anyone who wants to create positive change in the world can do so. Lacking the money is no longer an excuse. Lacking political power is no longer an excuse. Individuals have the power to cooperate and help shape the uncertain future.

I envision a world where millions of these VCSCPs are funding new businesses and creating new charities that are borderless that will help bring about the biggest leap in prosperity and peace the world has ever seen.

I don’t have all the answers. No one does. But individuals cooperating together have the best chance at improving the state of the world. That’s what’s great about voluntary cooperation – you have millions and millions of people experimenting, analyzing and adapting to an ever changing world. This is what Adam Smith called “Spontaneous Order”.

If you are interested reading more about the benefits of voluntary cooperation I “highly recommend Auberon Herbert’s The Voluntaryist Creed” and “A Plea for Voluntaryism”.

http://lf-oll.s3.amazonaws.com/titles/1026/0545_Bk.pdf

Brad Miller

Advocate of Liberty