Circlesv2 is doomed to fail

[citrullin]

just as much as v1, but you can fix it. First things first. UBI doesn’t work in developed countries.

The Finland the experiment was inconclusive. The US experiment by OpenAI failed in economic terms.
Same for the German ongoing one.

On the other hand developing countries have a HUGE benefit and actually use it properly.

It’s fair to assume this just come with the fact people get richer and don’t see the need for more.
Which is a fair thing. But something you have to take into account in Circles or it will die.

Long story short: Circles will fail if it doesn’t address the fact UBI drains the system when people become rich.

How to do that? Social Bonds.
As straight forward as you think it is. Someone suggest a bond for some activity on chain.
People vouch for it by putting CRC onto it. The contract is able to mint more CRC.
Something new is created with those new minted CRC and the minted + interest have to get paid back.
There are some scoring parts for it necessary, but you’ll figure it out.

Made a video about how this all plays into my whole those who know. Gachapon, Tinyblocks stuff.
(It’s 35 min, so I seriously assume no one is giving themselves that. Not Tiktok brainrot enough. Plus I realized I am so tired I screwed up quite a lot. Any way. You deal with it, or not. Guess probably not )

Any way. You all don’t care any way. Why do I even bother? Guess it’s out there, you do you.

Those who know,
Philipp-Alexander Blum (@citrullin on x, github, stackoverflow and others)

[refri]

Maybe I am too old to look or hear (personal talk would be different) too long…so I stopped after a few minutes although you might have a valuable point. Do you mind to bring it up as as a write up? Would be glad to participate in a discussion about it.

[refri]

and to add my view without listening to your video: UBI isn’t sustainable on it’s own…but circles V2 is not so much about UBI but more about trust to ppl doing something valuable. I suggested in circles discord to make it possible to buy single crc token from ppl you like to support, this could give the system another layer of value accrual if you do good in the view of others. And this will also benefit those group crc this individual crc is part of.

[citrullin]

There is no incentive to do anything. So, it falls apart in itself. It’s cool I can put people in there and say I trust them. Then what? I can do that on Ethos too. Even more. They have AI scoring on twitter users, you can slash them etc. I don’t see why I would like to reproduce that in Circles, when Ethos is already the superior product in that regard. The only thing that they are going to add is chat and marketplace last time I checked. So I chat with them and extract the CRC → USD. Which is happening, since the price already dropped from 3 cent to 1 cent. You can probably say more about the on chain activity here. Haven’t checked yet and honestly also not too committed on this idea rn. Have yet to meet anyone who really finds it exciting. Whoever I talk to, they also see these fundamental flaws one way or the other. The whole marketplace for example. What’s the point really? Those services probably also accept other currencies. Especially on Gnosis, I just use EURe. And even more interesting now are EURe ↔ eYuan swaps.

I give you a tldr; 24 cent per day is not enough for anything. My Sets in the Gachapon machine are 10 EUR(e). Maybe you could offer digital services of sorts. But we are just circling (pun indented) around gambling one way or the other. That’s what crypto is mostly all about, and this just contributes to it.
If you really wanted to make it work, you need to get assets from the outside into the system, have it generate actual real value. Not some DeFi leveraged gambling instrument like Lido, Maker, Aave and such. And in order to do so you need to offer interesting opportunities. I only see this as you use this trust based approach by allowing a group of people to mint some currency. Basically giving a group of people the power to be a bank.

But hey, let’s see what is going on in the discord server.

[citrullin]

I went to the discord and had some lovely exchange. So. . . the message after. Do I really have to say more? Like cmon guys. You can’t be for real here. This is ridiculous. You get handed an empire and that’s the respect you treat it with? face palm

This is my initial message as reference point.

[citrullin]

You are all so unfucking unbelievable. literally.

You had one job. Literally. The bar is so low and you don’t even can pass that. Unbelievable.
Like little kids with way too much money.

[citrullin]

Maybe I have to take some things back. Wrapping my head around it. But I would still check the on chain activity and the trust swaps. It really seems like no one is using it as intended.

[citrullin]

Wouldn’t it make more sense to describe it more as packets? Or banknotes itself in a way which gets passed from one person to another person who trust each other. Speaking of trust. I don’t know if it’s that binary. 0 or 1. I don’t 1 or 1 trust someone. I trust my wife more than a friend or some college. But then you probably also model it after the network. But for me personally. Yeah, the network of trust certainly matters. But there are red flags you can pick up that makes you trust one person less than others. Plus, I don’t want to risk my part getting drained just because I gave someone a chance. So, you may end up people only really letting someone in when they REALLY trust them. You know what I mean? So, you are not really incentivizing to give someone a chance. On the other hand, you probably should rather then build the trust relationship on economical interactions first. Let the system do the routing for you and then, after multiple exchanges, trust someone. On the other hand, you have handing out those trust relationships quite easily and it seems to quite a lot of people. Can I see the trust swaps somewhere? There are some CRC swaps I see in descreener. Are those the trust swaps. So, we end up with multiple trust swaps eventually. Jesus, how does that work? Fascinating. Okay. So, if I wanted to have eYuan, I wouldn’t even have to go over EURe. All I have to get someone into a Circles group as well. Ohhh gosh, you are really not making it easy to understand. Not to mention. Where does the Gachapon machine come into play. And paying the licnese back to the user. I need to think about this. Maybe talk to someone in person I guess. lol
I did a video trying to explain my issues with it. Also, wealth distribution. Wouldn’t you just bring the same wealth distribution into the system? So, it’s not really changing anything in that regard, is it?

In short, couldn’t you just say it works kind of like Hawala?