[P2P-F] eco-systemic supply chains are on their way

[Michel Bauwens]

I don't really share the pessimistic assessment of James,

for all measures that I know, the commons are in pretty much exponential
uptake

the issue is more that the commons are captured by capital, but again,
given historical precedents of phase change, this is to be expected,

Michel

On Wed, Aug 8, 2018 at 6:13 PM David Ronfeldt <ronfeldt at icloud.com> wrote:

> Many thanks for your reply
>
> I see points I agree with, notably that "those who represent the interests
> of the commons are on the back foot” for all the reasons you name.
> Moreover, for now it’s indeed true that "markets and governments are
> impositions on the commons” — that’s long been so, but the rise of the
> info-age network form may change that, if TIMN is correct. I also generally
> agree that "the possibilities of visionary leadership for decentralized
> commons through public ledgers are thus far unable to generate network
> effects for the public good” — though I’m not all sure what that means
> specifically.
>
> However, I must note that you seem to misunderstand me/TIMN when you say
> that the kind of blockchain project you want "does not involve isolating
> the commons as a separate unit from markets and governments as you [I]
> suggest, since these are in fact not independent sectors but actually vital
> parts of the underlying commons”. But I have never conceived of the commons
> as a “separate unit”. Distinct and boundaried, yes, but separate no.
> Whatever the best words for what I think TIMN implies, they are words that
> should apply to all four TIMN sectors, as aspects of its general system
> dynamics. All four forms are vital to a quadriform society; each is
> distinct and different; independent to a degree, but also interdependent;
> and they interact constantly.
>
> I have additional overarching comments as well, but I’ll put them in my
> reply to Michel. I’m sensing that we have in mind very different concepts
> of the commons sector, more different than I had thought. P2P’s concept
> seems geared primarily to economic  matters, whereas i think TIMN’s isn’t.
> More on that later.
>
>
> ===
>
> > On Aug 6, 2018, at 8:08 PM, jbquilligan3 at charter.net wrote:
> >
> > well, David, that would be a great objective but the evidence indicates
> that blockchain is well on its way to becoming a central management tool of
> the capitalist economy
> >
> > once again those who represent the interests of the commons are on the
> back foot, have no political portfolio, lack financing and generally do not
> have an integrated plan
> >
> > indeed, markets and governments are impositions on the commons, but the
> countervailing power of the commons is not in seeing the commons as a
> dialectical synthesis which results from and/or works in
> counter-distinction to markets and governments
> >
> > our theorists are so thoroughly conditioned by the liberal tradition
> that the possibilities of visionary leadership for  decentralized commons
> through public ledgers are thus far unable to generate network effects for
> the public good
> >
> > I will be first in line for a blockchain which links the resource
> thresholds of an ecology with the allocations for meeting the needs of the
> population within that ecology, but this project does not involve isolating
> the commons as a separate unit from markets and governments as you suggest,
> since these are in fact not independent sectors but actually vital parts of
> the underlying commons
> >
> > isn't it really about developing a blockchain that transforms markets
> and governments back to their proto-distributional functions for the
> sustainability of the commons in meeting human needs?
> >
> > frankly I've not seen a single blockchain plan that actually links
> resources with population, which leads me to believe that the opportunity
> for a commons blockchain is rapidly slipping away if not already entirely
> lost
> >
> > what I do see is a few commoners creating circles of self-sufficiency
> while a crusade of Libertarians marches to the slogan, Onward Venture
> Capital
> >
> > -----------------------------------------
> >
> > From: "David Ronfeldt"
> > To: "Michel Bauwens"
> > Cc: "David Ronfeldt", "James Bernard Quilligan", "Alex Pazaitis", "Sarah
> Grace Manski", "xavier rizos", "Xavier BlaqSwans", "Andrea Fumagalli",
> "Alex Foti", "jose ramos", "p2p-foundation"
> > Sent: Monday August 6 2018 6:29:16PM
> > Subject: Re: eco-systemic supply chains are on their way
> >
> > Your email refers to an article about applying blockchain to business
> actors in a market economy. What interests me far more is the nature of
> actors who will end up in a new commons sector, possibly after migrating
> there from the old public and private sectors. Will blockchain-like methods
> give them advantages? Enough to help form and sustain a distinct commons
> sector?
> >
> > As you know, I think good candidates for this sector will come from
> health, education, environment, and welfare activities and related
> insurance entities, following huge reorganizations. A while back I saw an
> article about blockchain’s promise for insurance, observing among other
> points that "Blockchain adoption has the power to transition new and
> existing models of insurance, including P2P insurance, parametric insurance
> and microinsurance, into a new digital age.”
> >
> > The article you circulated about “V-form networks” implies improvements
> for the market sector. Fine with me. But I’d sure like to see lots more
> about competitive advantages for a commons sector vis a vis the old public
> and private sectors, along with cooperative advantages within and without
> this prospective commons sector. At least I’ve seen few references to using
> blockchain/ holochain/ whatever in hospitals and schools.
> >
> > More generally, i shall hope that this prospective new commons sector
> (which will be decades in the making) focuses on being itself, the commons
> sector, and not on transforming all of society. Many problems we have now
> stem from the public and private sectors trying to be so much more than
> they should be, distorting our society (including by squeezing and
> burdening the family /community /household sector). All of which helps
> explain why I’d say politicians like Bernie Sanders and Alexandra
> Ocasio-Perez would be well-advised to cease calling for socialism across
> society as a whole and instead call for socialism in one sector, since the
> commons sector should meet many of their values and principles. TIMN is not
> a socialist theory, but it could commend what I just suggested.
> >
> > Onward.
> >
> >
> > ===
> >
> > > On Aug 5, 2018, at 8:19 AM, Michel Bauwens <michelsub2004 at gmail.com>
> wrote:
> > >
> > > dear James,
> > >
> > > in the context of our study,
> https://www.foprop.org/stewarding-material-commons
> > /> >
> > > perhaps this context is precisely what you could offer us ? I am also
> still in particular need of a good explanation, for a separate 'explanatory
> box' of the 3 thermodynamic laws,
> > >
> > > Michel
> > >
> > > On Sun, Aug 5, 2018 at 2:31 AM <jbquilligan3 at charter.net> wrote:
> > > beyond earthquake, Michel
> > >
> > > the global political economy of supply chains restructured by
> blockchain will be in full operation when emergency rationing is instituted
> about 2040-2045 due to swelling populations, diminishing levels of arable
> land, water, fossil fuels and rare minerals and the debilitating effects of
> climate change
> > >
> > > -----------------------------------------
> > >
> > > From: "Michel Bauwens"
> > > To: "Alex Pazaitis", "David Ronfeldt", "Sarah Grace Manski", "xavier
> rizos", "Xavier BlaqSwans", "Andrea Fumagalli", "Alex Foti", "jose ramos",
> "p2p-foundation"
> > > Cc:
> > > Sent: Saturday August 4 2018 3:27:49AM
> > > Subject: eco-systemic supply chains are on their way
> > >
> > > I hope this can impress some people that are still on the sidelines of
> this major earthquake, to understand the significance of what is occuring
> right now, a fundamental re-ordering of the capitalist economy under new
> models:
> > >
> > > first of all, see this article, that shows successfull blockchain
> trials for supply chains,
> https://which-50.com/commbank-and-logistics-giants-complete-blockchain-trade-from-regional-victoria-to-germany/
> ?
> > /> >
> > > and what it all means in terms of industrial structures see the
> article quoted below,
> > >
> > > but in fact, I don't think their analysis goes far enough, because in
> the ethereum networks, corporates are already subsumed to a eco-system
> consisting not just of companies, but of a multitude of other players,
> including lots of single individuals:
> > >
> > > QUOTE
> > >
> > > Blockchain-Based Corporate V-Networks
> > > = "V-form networks consist of a number of fully independent companies
> that effectively operate as one vertically integrated company through
> blockchain technology". [1]
> > >
> > > Contents [hide]
> > > • 1 Contextual Citation
> > > • 2 Description
> > > • 3 Example
> > > • 3.1 The IBM and Maersk TradeTech
> > > Contextual Citation[edit]
> > > "A blockchain economy will have more, smaller firms linked together by
> protocols. .. It’s worth pointing out that these networks are inherently
> global, and any regulatory questions global as well."
> > > - Chris Berg, Sinclair Davidson and Jason Potts [2]
> > >
> > > Description[edit]
> > > "The Nobel laureate Oliver Williamson distinguishes between U-form
> companies and M-form companies.
> > > Traditional U-form companies are unitary — their units are divided by
> business process (for instance, accounting, human resources, component
> manufacturing, assembly) and are not treated as separate cost centres.
> > > M-form companies are multidivisional — their units are self-contained
> divisions that report profits and losses to an umbrella central body.
> They’re fully owned by a parent company, but they tend to have their own
> business services (accounting and human resources departments, for
> instance) and even market relationships.
> > > But now we see a new corporate form — the V-form network — made
> possible because thanks to the application of distributed ledger technology
> to supply chain problems.
> > > These V-form networks consist of a number of fully independent
> companies that effectively operate as one vertically integrated company
> through blockchain technology, coordinated and supplied by a third party.
> > > This is a big change to the nature of the firm. We can already see
> V-form networks in the real world. They date as far back as January. It is
> surprising the economics community haven’t noticed them yet.
> > > ...
> > >
> > > Blockchains can work to coordinate supply chains without the need for
> either (traditional) vertical integration or regulation. The vertical
> integration is outsourced to a distributed ledger. The blockchain provides
> the managerial service that coordinates each ‘unit’ (that is, firm) in the
> supply chain.
> > > Regulators in any country can deal any firm in the supply chain as if
> it was a small unit of a larger, global company.
> > > Each firm in the supply chain get the benefits of vertical integration
> through a network rather than a hierarchy.
> > >
> > > ...
> > >
> > > In the V-form network, the blockchain’s token establishes the
> consortium, and incentivizes cooperative behaviour.
> > > The token also serves to move rents around the network. In this way,
> the blockchain provides a market mechanism to solve the sort of bargaining
> problems described by another Nobel laureate, Ronald Coase, that may occur
> as the network operates.
> > > Outsourced vertical integration could be applied to many industries
> that are now integrated. Energy firms that currently integrate the
> exploration, production, generation, and retail of electricity might be
> better decomposed, with blockchains and tokens taking the place of head
> offices. The token economy, rather than energy regulators, could make
> decisions about the distribution of rents around the network." (
> https://medium.com/cryptoeconomics-australia/outsourcing-vertical-integration-introducing-the-v-form-network-78e1aa93a814
> )
> > /> >
> > > Example[edit]
> > > The IBM and Maersk TradeTech[edit]
> > > Chris Berg, Sinclair Davidson and Jason Potts:
> > > "Two weeks into 2018, IBM and the shipping giant Maersk announced a
> joint venture to develop a digital supply chain management system on their
> Hyperledger blockchain platform. Hyperledger is a private blockchain which
> requires permission to access.
> > > In a previous Cryptoeconomics piece, we described how international
> trade is an information problem. As goods are shipped around the world,
> they are accompanied by information — really stacks of paperwork — that
> describe their provenance, destinations, regulatory and tax liabilities and
> so on.
> > > In the IBM-Maersk system, each firm and bureaucracy in the supply
> chain — producers, shippers, port authorities, regulators, importers,
> retailers — will access and update a shared blockchain ledger containing
> all the information needed by each organisation.
> > > And each organisation would have access to that information
> everywhere, ensuring complete visibility on where goods are in the world
> and which economic and regulatory hurdles they next need to overcome." (
> https://medium.com/cryptoeconomics-australia/outsourcing-vertical-integration-introducing-the-v-form-network-78e1aa93a814
> )
> > /> >
> > > --
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> > >
> > >
> > >
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