Internet 1.0 was about information and Internet 2.0 is about value. Like we share information at a click of a mouse, we are soon going to do that with money, music, and other asset that can be digitized. The technology that’s driving this enormous shift is blockchain technology also called Distributed Ledger Technology or simply DLT.
Our modern, civilized society runs on oil and majorly on trust. This trust is essentially achieved by intermediation. Lawyers insure trust by ensuring fulfillment of contracts, bankers ensure that we transact not with worthless paper but currency in which we have confidence, governments insure that by effective regulation and policies they continue to enjoy the trust of millions of people, insurance agents give us the power to deal with unforeseen circumstances and uncertainty. All these functions are forms intermediation which requires handling, maintaining and retrieving lots of records. But due to a number of factors, this system which was created to invigorate economies and nations is also causing it to stifle. Bureaucracy, red tape, delays, corruption and fraud are undermining the system and creating a trust deficit. This could change with Blockchain.
The technology that was at the heart of Bitcoins is Blockchain, an open, distributed ledger that can record transactions between two parties efficiently and in a verifiable and permanent way. The ledger itself can also be programmed to trigger certain transactions automatically.
With Blockchain, contracts are digital, encoded, stored permanently in a transparent shared ledgers with access to all. All records are indelible meaning tamper proof. All payments will have a digital signature which is identified, validated, stored and shared.
“We have elected to put our money and faith in a mathematical framework that is free of politics and human error.” - Tyler Winklevoss
Meanwhile some people have taken the application of Blockchain technology to another level.
Bitnation is a world without borders where its citizens have made their own constitution and rules and is being run on blockchain technology. Described as the world’s first operational, decentralized, borderless, voluntary nation. A blockchain powered jurisdiction.
The following is on the website:
“Use the public notary to sign and permanently record your legal documents on the blockchain – a public ledger distributed amongst hundreds of thousands of computers around the world. The process of ‘filing’ the document in the blockchain is called time-stamping – it proves your record existed at a given time, eliminating any possibility of forgery. Blockchain notarization is an effective way to record marriage contracts, wills, birth certificates, child care contracts, land titles and business deals, among many other records. The security of the blockchain protects the document permanently, ensures its easy access, and proves its authenticity and ownership anytime you need it.”
The vision of Bitnation can best be captured in their own words
“We’re a holacratic organization and we strive to become a fully functional Decentralized Autonomous Organization (DAO). This means that there are no old-school management structures or barriers to entry. Anyone can join or create a team (‘holon’), whether for-profit or nonprofit, and benefit from the support and technological infrastructure of the Bitnation community.A Holon is something that is simultaneously a “part” and a “whole” and everyone can join and create their own operational centers (“holons”). This allows Bitnation to remain fluid, be autonomous and thus not limited or controlled by a centralized hierarchy.”
This is the future organization, virtual, borderless, non-hierarchical and fluid and created by the people pursuing their own ends . Now, what might seem farfetched and quixotic is already a reality for some. It is imperative to understand that geography and political borders can no longer bind people together. It’s a shared meaning and purpose.
While the anti globalization rhetoric is on the rise, it is about the old concept of globalization when the world was divided by tangible borders. But what we need to understand the globalization as a force is changing shape. Globalization now is invisible with a network of users , using digital highways to connect with each other.