by Kate McFarland | Aug 20, 2017 | News
Café Grundeinkommen, a tiny coffee shop in Berlin, Germany, doubles as a center for meetings and discussion of basic income. The café is now preparing to release a prototype of Circles, a cryptocurrency designed by one of its founders as a means to implement basic income.
Cafe Grundeinkommen
Members of Berlin Basic Income first discussed plans for a basic income café in June 2016, inspired by Swiss People’s Initiative. The hub of the Swiss campaign–which culminated that month in a highly publicized vote on a national referendum on basic income–was a café in Basel, unternehmen mitte, cofounded and managed by basic income advocate Daniel Häni.
A year later, in June 2017, Café Grundeinkommen opened as part of the Tinyhouse university project, an art exhibition at the Bauhaus Archive Museum in Berlin.
The café contains a small library for its guests–consisting of one shelf and a coffee table stocked with books on basic income, alternative economics, and cryptocurrency–and provides meeting place for small groups (including the weekly meetings of a local branch of Bündnis Grundeinkommen, a basic income political party competing in Germany’s federal elections in September). Due to its diminutive size, Café Grundeinkommen cannot house meetings of more than ten people. However, its team holds larger events at nearby buildings–such as a recent public presentation on Basic Income on the Blockchain held at the Bauhaus Pavilion.
Vegan baked goods
Currently open five afternoons per week, Café Grundeinkommen serves direct-trade coffee from the Berlin-based roastery Populus, meeting its commitment to using only “local, ethical, and sustainable” coffee.
Understandably, going to a restaurant/café for a cup of coffee may not be the best option for some people. Just as soon as they hear “you can buy coffee in wholesale” those people may become transfixed, and a spark might appear on their faces. Several companies, including Iron & Fire, deliver high-quality roasted coffee beans and even ground coffee beans right to your door. If interested, you can learn more about their services by visiting their website.
Anyway, in addition to coffee, the café offers one or two kinds of baked goods each day, usually vegan muffins or cookies.
Soon, guests of Café Grundeinkommen will be able to purchase coffee and snacks using a prototype version of Circles–a cryptocurrency designed by one café’s founders, Martin Köppelmann, as a possible mechanism for implementing universal basic income.
Discussing Circles
In the proposed monetary system, first put forth by Köppelmann at Berlin Basic Income’s inaugural meeting in December 2015, all individuals have their own currencies, in which their basic income grants would be paid. To engage in market exchanges, they must create “trust connections” with others with whom they are willing to trade currency. Exchanges can occur between–and only between–individuals who trust one another’s currencies. This type of trade exchange is interesting, especially for those who are interested in learning more about stock and currency trades and investments. Most may find a forex trading course interesting to take if they wish to further their experience within the investment market.
Köppelmann believes that such a digital currency provides the best medium for the distribution of a universal basic income. In his explainer “Introducing Circles,” he writes, “A world wide basic income is something so powerful that no single entity in the world should have control over it in order to preclude manipulation. Particularly, there should be no central authority that decides which person can get a basic income and which person cannot.”
Holy Foods House and Cafe Grundeinkommen
Café Grundeinkommen is currently nearing the launch of an app to put Circles to its first “real world” test. Users of the app will receive monthly credits (their “basic income”), which they will be able to use to “buy” products at the café, in addition to food from HolyFoods House (a food-sharing house neighboring the café), usage hours at the co-working space The New Work Studio, and tickets to events at the Bauhaus Campus.
Café Grundeinkommen’s Ronit Kory told Basic Income News, “We want to see how people will use it on their own, encouraging them to use the app to offer their own goods and services, including ones that might not be considered conventionally valuable in a capitalist system.”
It should be noted that the release of the prototype version of Circles is not a trial of basic income, merely a trial of a type of currency that Köppelmann proposes as a means by which a UBI might be distributed.
In addition to launching the Circles app, Café Grundeinkommen is planning monthly meetings featuring various speakers on subjects related to basic income, which it will announce on its Facebook and MeetUp pages.
Reviewed by Russell Ingram.
Photos used by permission from Cafe Grundeinkommen – Berlin’s Basic Income Cafe. Cover photo: Ronit Kory stands outside Café Grundeinkommen during its construction.
by Kate McFarland | Aug 7, 2017 | News
With the primary election for Mayor of Detroit on the horizon on August 8, write-in candidate Ingrid LaFleur has proposed a city-wide basic income as part of her Plan of Action for the city.
LaFleur is a curator, arts advocate, and founder of the creative research project AFROTOPIA, whose candidacy for Detroit mayor has previously received coverage in the New York Times.
She frames her campaign around a vision for a new economy that “meets human needs, enhances the quality of life and allows us to live in balance with nature.”
The cornerstone of LaFleur’s plan for a new economy is a municipal basic income of $2000 per month based on blockchain technology. She proposes a new cryptocurrency for the city of Detroit, which she calls “D-coin,” which can only be used to pay for goods and services provided by local businesses, fares for public transportation and other city services, and local taxes.
Under LaFleur’s plan, one half of the $2000 basic income would be paid in D-coins, the other half in US currency. She further proposes that “[a]dditional D-coins can be received for volunteering time at a Detroit organization or program in need of assistance.”
All Detroit residents over 18 years of age, including those who are incarcerated, would be eligible to receive the basic income after having resided in the city for three years.
According to LaFleur, a basic income is necessary to alleviate poverty and offset the economic effects of job loss due to automation. Meanwhile, she argues that her plan for a local cryptocurrency would boost the economy of Detroit.
The two leading candidates in Tuesday’s primary will advance to the ballot for the general election, to be held on November 7. The current frontrunner is incumbent Mike Duggan, trailed by state senator Coleman A. Young II. Six other candidates are also on the ballot, but trail Duggan and Young by wide margins.
Reviewed by Genevieve Shanahan
Photo (Detroit skyline) CC BY-NC-ND 2.0 Mike Boening Photography
by Tyler Prochazka | Jan 8, 2017 | Opinion
While many basic income advocates concentrate on shifting government policy, some in the tech world are taking the fight into their own hands.
Cyrptocurrencies have the potential to dramatically disrupt the government system of fiat issued currency. When new money is created, some cryptocurrencies are planning to distribute the dividend as a basic income to its members. This is a very exciting time because cryptocurrencies are completely separate from the government and the more it becomes mainstream, the more people are investing in it. Many investors are looking to comprar bitcoin (BTC) for their long-term investments because they can only see the prices of the cryptocurrency to increase. Many are interested in investing in it, and instead of jumping straight in they are rightly researching some useful tips from xCoins and other online sites on how to invest in it properly, successfully and safely.
However, despite this positive potential outcome people are still nervous about doing it all digitally and with their money, luckily now there are VPNs that can be put in place here that can keep traders’ privacy safe and secure if they so choose to do it. It’s not just Bitcoin that’s making big waves in the crypto industry. Reading up online resources about investing in cryptocurrencies could be a good place to start. Someone looking to buy Bitcoin and Ethereum could also look up a few great review of crypto exchanges on the internet.
Duniter (formerly known as uCoin) is helping to push this monetary revolution. Duniter would evenly distribute all of the money created, potentially even on a daily basis, to add up to 10 percent growth each year.
One of the lead developers of Duniter, Gaël, said he was inspired by the basic income after the financial crisis in 2008, when he realized something was wrong with the global economic system.
“We needed a system that would let people create without having to prove to the institutions, be it the banks, or the state, that what they were doing was useful,” Gaël said.
The full interview can be found below:
1. What is your involvement in Duniter? What is your background?
My name is Gaël and I’m known as “inso” in the Duniter project. I am the Lead Developer of Sakia, a desktop client for Duniter networks.
I am an engineer in Software and Systems. I have been working as part of the Duniter team in my free time for 3 years. At the beginning, I was building the only client existing on Duniter network, so that advanced users could see and test it for real. I gave cgeek (the founder of Duniter) some feedback about his developments and the API (a set of functionality for the developers) of the Duniter network. Our goal at this moment is to help more developers to contribute to the project, by testing and working with us.
Apart from the technical stuff, I communicate about the project as much as I can on Twitter and diaspora (inso@framasphere.org). I translate our French articles into English on our blog. I try to explain what we are doing and why : what are the problems with modern money systems (debt-money, crypto-currencies, etc.) and what we are trying to fix by developing Duniter.
2. What inspired you to get involved in this project ?
I grew up with the Internet and I have always been passionate about the decentralized aspect of it.
When the 2008 financial crisis hit the planet, I suddenly realized that something was inherently wrong in modern economics. I discovered that if banks disappeared with their debts, the common money we were using would disappear with them. The banking system was too important — “Too Big To Fail”. At the same time, the Universal Basic Income was starting to become a real topic on the social networks. Automation was going to replace a lot of manual jobs really fast, what is called “Disruption” today. We needed a system that would let people create without having to prove to the institutions, be it the banks, or the state, that what they were doing was useful. Because if the society was not agile enough to adapt, social crisis were going to hit soon or later.
This is where I discovered the Relative Theory of Money (Here in French or here for a basic English translation). This theory describes a money which is issued by every individuals, using a symmetric distribution in space and time. It means it is decentralized and growing regularly. There is no one who has the power of money issuance on others. It understands the fact that nobody can definitively say what is valuable, and so it is respectful to what humans want to do with their own life.
A first crypto-currency project began, called Open-UDC. But it was complicated and I did not understood exactly how it would work. This is were cgeek forked Open-UDC by creating what was called by then uCoin, now Duniter. He used technologies I could understand, and it was based on concepts which were proven to work (Web of Trust, Blockchains), so I was willing to work with him.
3. What is the goal of Duniter ?
The Duniter project wants to create a Libre Money, as defined by the Relative Theory of Money. A Libre Money is issued as a Universal Dividend, which is a percentage of the existing monetary mass, shared to all the money members. For a Libre Money to issue a valuable Universal Dividend, it will need a lot of users. We would like the first Libre Money to be issued by 1 million to 10 million users. So Duniter has to be easy enough to use and secure enough to be trusted.
4. How does Duniter work ?
The Duniter network is decentralized. It is using a blockchain to synchronize the money state across its nodes. As opposed to Bitcoin, there is no power race in Duniter. In Bitcoin, because of the CPU race, the power is given to the ones who own the more computing power. In Duniter, it is democratic; because every user is identified as a unique human, they can write in the blockchain in turns. Simply put, each node is associated to a member of the money. When a member writes data in the blockchain, he has to wait before being able to write again. This is what ensures that the blockchain does not end in the hand of a few users, and that it does not burn too much energy.
To identify users, Duniter makes the choice of a self-regulated system by its own members. This is the Web of Trust. Each member can certify new users. When a user receives enough certifications and is not too far away from the existing members in the web of trust, he becomes a member.
For example, if I certified cgeek and that cgeek certifies you, your distance from me is two steps. This distance is checked with all the members of the Web of trust, and if it is below a given limit, let’s say four or five, you join the web of trust and start to issue your own Universal Dividend. Simple as that!
5. How much of a basic income does Duniter include for each member ?
Duniter issues around 10 percent of new money each year. This new money is shared to all the members. The rhythm can be faster: for example, we can issue every day 0.026 percent of new money, and at the end of the year, it will be a growth of 10 percent.
Ten percent is not a number chosen randomly. It respects the symmetry in time. If a new user join the Duniter network in 35 years, he will start to issue the Universal Dividend at the same speed as we did before. Ten percent is calibrated so that in half a human life, 40 years, you create the same share of the monetary mass as every members did before. One should not be privileged and create a bigger share of money during his life just because he joined Duniter earlier or later.
6. What are the reasons Duniter is utilizing a basic income and how did the team first get introduced to the basic income concept?
I think most of the team discovered Basic Income before reading about the Relative Theory of Money. One of the biggest debate within basic income community is “how much should we give to individuals?”
The Relative Theory of Money demonstrate that to consider individuals equals and free, a money has to be issued symmetrically between individuals, in space and time. It means that it has to be issued by a Basic Income called Universal Dividend.
Yoland Bresson (an early advocate and participant in the Basic Income Earth Network), who wrote the preface of the Relative Theory of Money, is the author of the theory of “Time-Value”. Interesting enough, both theories, applied to the euro-zone, result in almost the same Universal Basic Income amount.
Another interesting thing is the Theorem of equivalence between a Libre Money and a Universal Basic Income. This demonstration states that a Universal Dividend, based on money issuance, is strictly equivalent to a Universal Basic Income based on a tax with a lower issuance rate of money. Basically, issuing 10 percent of new money each year is strictly the same as issuing three percent of new money and taxing seven percent of every accounts. But the Occam’s razor principle states that the simpler a system is, the better. The Universal Dividend is really simple: no taxation is required, no administration is necessary to check for the redistribution. It is only about issuing new money. And it is strictly equivalent to a Universal Basic Income! You can analyze on the website of cuckooland how it works (in french).
7. How many members does Duniter currently have and what is the utilization rate? What have the trends been so far?
Our current testing money is issued at the rhythm of 10 percent per day. This is huge because we do not want this money to take any value: we are just using it to test Duniter network. This money currently has 200 members. This is pretty good for a test. We have seen a growing interest for Duniter recently. In France we are doing events every six months to work on Duniter and find new contributors. More and more people are coming each time, so this is really encouraging.
We will start a new test money at the beginning of January, called “GTest”, and then the first real money, calibrated at 10 percent growth a year, will be started. We expect a lot of people to register at this time. For the first time in history, we will be able to create our own Universal Basic Income without having to wait for governments and banks to understand its importance!
by Tyler Prochazka | Dec 21, 2016 | Opinion
With the emergence of cryptocurrencies (digital money) as an alternative to traditional cash, there has been
discussion about how new currencies can be used to implement a Universal Basic Income.
Some crytopcurrency startups, such as
uCoin (now Duniter), automatically distribute a basic income dividend to all of its verified members, thereby slightly growing the monetary base but in an egalitarian way.
Author Duke Johnson said because they rely on internet and electricity, these digital currencies are not easy enough for mainstream adoption and as of now are not “appropriate for UBI.”
Johnson has a slightly different system in mind for a currency: Creator Currency Octaves. He has
written about how a Universal Basic Income of a “complementary currency” can “protect a currency from pitfalls of hyper-inflation” and has said it would also “put a real price on everything.”
He explains the complementary currency would be enough to cover basic necessities, but would also expire.
“Those who join a Creator Collective could accept active or expired Basic Bucks as rewards (and of course dollars/euros/gold/whatever) but depending on the level of their work and their individual Creator Octave, they would be able to exchange Basic Bucks for dollars at an elevated level, say 1.5x or even 4 dollars for 1 Basic Buck,” Johnson said.
“This would put both a supply and demand onto Basic Bucks into any system, without negatively altering the primary currency, and still providing incentive for people to work for collective projects and do great innovative or artistic work.”
For Johnson, the push for this new system is about making a fairer society.
“I want to participate in a fair system, where children don’t starve, and I’d like to see poverty eliminated in my lifetime,” Johnson said.
The full interview with Duke Johnson can be found below:
1. You said in “CurrentSea X-Change” that “A function of UBI would put a real price on what everything”. What did you mean by this, and how would basic income accomplish that?
For UBI, I feel financial freedom is true independence, and of course, with freedom, that which UBI could provide, people will be free to follow their passion instead of a paycheck.
When I mention that this system could put a real price on what everything is truly worth, including time, I’m speaking to the affect that manufactured scarcity places upon economics, where the current central banking system has far too much influence on what things cost, as opposed to what they should cost. One example, in the USA, the average price of a house in the 1970s cost ~8k hours of minimum wage work. Today, the average price is ~45k hours of min wage work. Therefore, a generation ago, life was affordable, but today low income people can typically only get by with debt and/or government assistance.
2. How would a basic income challenge our current economic system and expose its “flaws”?
If people didn’t have to work for housing/food/utilities, would they still be willing work a 40-50 hour/week job to afford, say, a new car every 2 years? If not, the car companies would likely lower their prices. Similarly, people would be in a better position to refuse jobs they dislike, therefore the cost of all labor would balance upon what people deem fair compensation, as opposed to what they’re forced to accept due to desperation in the current system.
Some other flaws UBI could expose in the current systems are the problems with disproportionate “making vs taking.” Today, Wall St. investors typically don’t actually make anything, except everything more expensive. If Creative Currency Octaves came into play, the people being rewarded would be the artistic creators and developers within a collective, as opposed to people making millions and billions from interest/dividends/ownership.
3. What is the appeal of implementing universal basic income?
Poverty elimination is the best reason to introduce UBI, and when people don’t have to work to support a family, that reduces stress from a population, which in turn could free people from the chains of debt servitude. I also argue that placing property ownership back into the people’s hands and away from institutions, would have a major balancing affect on communities in a positive way.
4. What is your view of cryptocurrencies as a way to distribute basic income?
As far as crypto-currencies go, I’m in favor of new ways to transfer money online that are secure and takes power away from central banks, however BlockChains rely on electricity and a functioning internet connection, which is a potential downfall. When people can buy lunch on the go as easily with BlockChain as with cash, then there will be a monetary revolution. Ultimately, mainstream money transfer is all about ease, which is why cash is king and credit/debit cards are more prevalent today. Of course it takes millions/billions of investment and decades to implement what visa/mastercard/debit cards have achieved in safe payment solutions, but again cash is the simplest for everyday purchases. BlockChain may become easier for large transactions than card/bank services, and of course cash can’t be transferred online, so I think BlockChain will prove it’s worth to the masses in the near future, though I don’t think it’s appropriate for UBI, unless as an option to be offered instead of, say, a monthly reloaded debit card.
5. What appeals to you about basic income and how did you get interested in the movement?
In conclusion, my efforts are focused on UBI through generating awareness of the system I’ve put forth- Creator Currency Octaves and a UBI of a complementary currency- that both protects the primary currencies and provides an incentive for workers/creators to innovate and still participate in the economy.
In my view, this system:
1) negates all arguments against Basic Income
2) can’t be claimed as unfair, because it works for all citizens
3) is the best way to introduce UBI into an existing monetary system
4) balances economic power away from profit-above-all institutions and towards a creative, innovating, and artistically eager populous
5) can eliminate poverty
It’s my goal to help create a future where college grads follow their passion as opposed to a paycheck, artists actualize their dream projects without a producer limiting their creativity, and people power trumps the power of financial desperation leveled upon communities like an economic weapon. I want to live in a city where parents don’t have to explain to their kids why people are homeless starving on the street in an era of exceeding abundance. I don’t want to enable those who inherit wealth to exploit those who have unmet basic needs. Ultimately, I want to participate in a fair system, where children don’t starve, and I’d like to see poverty eliminated in my lifetime.
by Nick Yeretsian | Oct 29, 2016 | News
The Grantcoin Foundation, a U.S.-based nonprofit, distributes digital currency in the form of unconditional basic income grants. Grantcoin is the first cryptocurrency managed and distributed by an NPO.
On October 1st, Grantcoin made its second distribution of basic income grants, this time to 750 people in 69 countries–chiefly the US (227), Puerto Rico (114), and Germany (84). This was about three times as many people, and four times as many countries, as their first distribution on June 30th–which had 255 recipients in about 17 countries.
Some might think that this is a pyramid scheme, given that the year-and-a-half-old Foundation is handing out money, and that it promises extra payments for enrolling other members. But Grantcoin is free to join, and those who sign up receive basic income grants regardless of whether or not they refer others to sign up (one receives “referral bonuses” for that). Furthermore, the IRS officially recognizes The Grantcoin Foundation as a 501(c)(3) tax-exempt public charity. The Grantcoin blockchain stores evidence of their past distributions (their records are organized by country in the middle of this press release).
The Numbers
In this second distribution, Grantcoin gave a total of 10,647,758.62 GRT through Basic Income Grants (5,790,483.68 GRT) and Referral Bonuses (4,857,274.95 GRT). That is approximately $5,323.88 U.S. dollars (at the October 1 price of Grantcoin on Bittrex, the largest exchange for the currency) — an increase from the first distribution’s $1,322.19 USD.
The average recipient received 14,065.73 GRT (about $7.03 USD) in combined Basic Income Grants and Referral Bonuses — an increase from the first distribution’s $5.19 USD. Each recipient received an unconditional 7,649.25 GRT (about $3.82 USD) in Basic Income Grants alone — slightly more than the first distributions $3.80 USD.
While this may appear comically low for a “basic income,” remember that this is only the second distribution. The price of Grantcoin has doubled since the first distribution.
Besides, one of greatest values of Grantcoin is its ability to demonstrate a sustainable, equitable monetary system to the world.
“Grantcoin is… the first currency in world history that’s backed by a nonprofit NGO and designed to help create a more fair global distribution of wealth.”
— founder and executive director Eric Stetson
Future Goals
The Grantcoin Foundation aims to start automating much of their work in order to grow and maximize efficiency (somewhat ironic for a BI-supporting organization). They expect to have the signup, verification, and distribution processes almost completely automated by the end of 2016.
Participants will be able to receive and spend their Grantcoin through Ekata.social, a social media platform, which the organization expects to provide an easier experience for the user.
Looking further forward, the foundation writes,
“Smart contracts can be setup to enable charitable givers to donate money directly, instantly, to the people of nations and localities. Grantcoin could therefore become a powerful tool for direct charitable giving.”
If they meet this long-term goal, it might be reminiscent of what GiveDirectly does currently.
Get Involved
The easiest way to get Grantcoin is to sign up and verify your account (the verification is simply to confirm that each account is held by a unique human being). The next distribution is on December 30th (distributions are quarterly).
Lastly, they are looking for help–asking people to consider donating to the Foundation, or buying Grantcoin, or volunteering their time and talent.
All of this effort goes toward creating a world in which money serves a humanitarian purpose.
