In the first part of this article we talked about the Pangea Arbitration Token (PAT). We've learnt that citizens could create and execute smart contracts as well as act as arbitrators and resolve disputes. These actions earn the citizens non-tradable reputation points/tokens which are in turn rewarded by the Tradable Pangea Arbitration Tokens (PAT). We also learnt that PAT governs three non-tradable reputation tokens, each with specific functions and attributes:
● Proof-of-Agreement (POA): A non-tradable reputation token for Pangea users and arbitrators which is governed by performance criteria for smart contract creation and execution;
● Proof-of-Collective (POC): A non-tradable reputation token for DBVNs, user groups and governance services created on Pangea, it is governed by user satisfaction with collective contract creation and execution;
● Proof-of-Nomic (PON): A non-tradable reputation token for contracts, laws and legal codes governed by user satisfaction.
We discussed Proof of Agreement and Proof of Collective. In this article we shall look at Proof of Nomic.
First a quick recap,
Bitnation is the world's first Decentralized Borderless Voluntary Nation (DBVN). Bitnation started in July 2014 by Susanne Tarkowski Tempelhof.
Bitnation is a very broad platform and offers decentralized sovereignty to everyone on its Voluntarily Joined Jurisdiction software - Pangea. Bitnation believes that everyone has the right to total freedom and choice of governance. Pangea allows users (referred to as Citizens) to create and join virtual nations, set governance types, choose legal codes and jurisdictions to abide by.
PROOF OF NOMIC
Nomic structure is a suitable architecture for rule-making in digital space. For those not aware, Nomic is a game in which changing the rules is considered a move. The logic behind it is that in any system where rule changes are possible, a situation may arise in which the resulting laws are contradictory or insufficient to determine what is in fact legal. Wiki
Pangea applies this concept via smart contracts allowing citizens to create and follow chains of rules, self-enforcing smart contracts, and rules for changing rules. The blockchains immutable record is leveraged to create a collective memory for a shared consensus.
Every smart contract on Pangea will have a set of rules. Every smart contract will also have a reputation score attached to it. This reputation score is measured in proof-of-Nomic sub-tokens. Citizens will rate each contract and this will serve as valuable feedback to the contract creators helping to improve quality in the Pangea Jurisdiction.
The blockchain is a public ledger. This means all actions of all citizens are transparent. If a particular smart contract is good, then as more participants in the community discover how good it is, they can follow this set of rules and strengthen its digital pheromone trail.
According to the Bitnation whitepaper, reputation is based on human judgment: peer-reviewing and rating the laws, legal codes and contracts created on Pangea based upon their utility, including but not limited to:
● User Friendliness and Comprehensiveness;
● Efficiency, Security, Trustworthiness and Predictability;
● Openness (source code access and documentation).
Allocation and distribution of the PON token will be done via the computational Oracle in collaboration with the Lucy AI based on an Ethereum smart contract. By rating the contracts, legal codes and laws, the citizens help them evolve naturally, similar to how common law has evolved in the real world. Positive can be in the form of upvotes which will award the contract/law/code with PON sub-tokens. PON sub-tokens are non-transferable, but their value can be eliminated through downvotes.
Basically, the community helps “catch” the flaw and if necessary downvote the contract, which will serve as motivation for the contract creator to address the problem as he/she will not desire to lose reputation as a contract template creator.
User Case Scenario
Austin Joins Bitnation and downloads the Pangea app. He chooses to create a nation called NADEL. Austin selects his type of governance and chooses to use the Pangea jurisdiction. After a series of diplomatic issues, Austin chooses to create a new smart contract legal code, but failed to specify a few parameters leaving some loopholes that offenders could exploit. As citizens of NADEL try to execute the smart contract, they discover the missing parameters and downvote the smart contract. Austin receives notification of these downvotes and reviews the contract till he discovers and fixes the error. Thus, the rating system has helped him improve upon the smart contract.
The number of people who used a contract before rating it is also taken into consideration when calculating the PON sub-token. The reputation of the voters (the POA they have) is also a factor. This is to safeguard against Sybil Attacks.
"A Sybil attack is an attack wherein a reputation system is subverted by forging identities in peer-to-peer networks." Wikipedia
Raising one's reputation is a time-consuming process so it is theoretically unfeasible for a person (or group of persons) to fraudulently upvote a bad contract with many accounts as they would all have to be high reputation accounts.
“Holacracy is not a governance process “of the people, by the people, for the people”; it’s governance of the organization, through the people, for the purpose.”
Brian Robertson, Holacracyone
In Pangea, "majority votes" aren't used to push decisions. This is because sometimes even the majority can be wrong. Also, a bad leader can still get many followers and potentially oppress a minority good. To avoid this, Bitnation allows the formation of Holons - small groups that can function individually and execute their own ideas without external influence. This way if citizens discover that a community/nation has deviated from the ideals that attracted them, they can leave to another nation, or better yet, form their own!
DBVNs can be formed directly on Pangea and will stand or fall based upon their ability to attract Citizens or members.
FUN FACT
The original Bitnation DBVN contract was developed in 2016 by Alex Van de Sande together with Susanne Tarkowski Tempelhof in Rio de Janeiro, Brazil, based on an existing MIST wallet DAO contract. Bitnation Whitepaper Pg 31
If you would like to be a part of this wonderful project or need more information about them feel free to drop a comment and I'll do my best to answer your questions. You can also check them out yourself by following any of the links below.
Bitnation Website - https://tse.bitnation.co/
BitNation Blog https://blog.bitnation.co/
Bitnation Constitution - https://github.com/Bit-Nation/BITNATION-Constitution
Bitnation Social Media
Bitnation Telegram | Bitnation Facebook | Bitnation Steemit
DISCLAIMER: The information contained within this post shall not be taken as financial advice. I am not a financial advisor and none of your investing should be carried out based on any information presented here. You can lose all of your money by not investing wisely. The above information is for educational and awareness purposes only. Kindly Endeavor to DO YOUR OWN RESEARCH
Love the concept! I even have some friends who are looking into the concept very seriously, with plans to create their own nation. We'll see how that goes, i guess.
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Nice of you guys to check it out. I think it's very important that humans have a way to decentralize governance.
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