THE NEW ECONOMY
Distributed Networks form the backbone of the New Economy. Sacred Capital helps value in these networks to be validated and ported across eco-systems.
Read on, or watch this video from our Virtual Interaction.
Value in distributed networks is best captured by reputation systems. Unlike material value, reputation can't be transferred via exchanges. For network-effects to kick in, and for reputation to function as an economy, we need a Reputation Interchange. For more about the basics of the Reputation Economy, visit our Medium page.
There are two key principles that must guide the interchange of reputation:
1. CONTEXTUAL
Reputation, unlike material capital, is firmly linked to an entity's identity. While sovereign money, or tokens/coins are perfectly fungible commodities, reputation can only be staked wherever appropriate.
Our staking protocol ensures specific kinds of behaviour is amplified, which means when reputation is ported it is contextual and appropriate.
2. CHAOTIC
Reputation is fundamentally a 'bottom-up' wealth system. The key lies in enabling people to 'stake' it as they seem fit, and enabling entrepreneurs to create diverse designs for reputation in their eco-system. By doing so, we end up with a thriving mileu of reputation scores - which seem chaotic on the surface, but are inter-linked by a distributed, resilient intelligence.
THE REPUTATION INTERCHANGE
Based on a principle we call 'Contextual Chaos', our staking protocol ensures reputation can be ported across eco-systems while ensuring the two aspects mentioned above are honoured.
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In doing so, we're helping build a formal economic language, that helps validate and carry more distributed forms of value i.e. Social and Cultural Capital, Information and more.
