@michaelten have you seen Circles? It's a cryptocurrency for universal basic income that's designed to address the verification issue. I just discovered it today—I have no involvement with it. Their approach to the verification problem is to:
- Use a network of trust to establish value (for example: if you trust my coins because you know me, they have value).
- Use "validators" to help people establish trust, especially if they don't know anyone currently using Circles.
The file linked above provides many details, and examples, and is worth a read. I may also summarize it and try to connect with the people who launched it.