memo note written with text ETF stands for Exchange Traded Fund

Privatized Universal Basic Income Through a Nonprofit

Having a private non-profit organization implement a basic income cryptocurrency might be quite possible and fruitful. A universal basic income is an idea which includes distributing someone amount of currency/money/cash to every individual regardless of their income. A national or state government could implement this theoretical. Some states sort of have, like with their Alaska Permanent Fund oil dividend.

This is an idea for a privatized universal basic income through a nonprofit that verifies unique identifies and invests funds into a trust. Profits from investments (in ETF’s) are half reinvested and half dispersed in cryptocurrency payments to those who have had their uniqueness verified.

There are a variety of possible ways that basic income could be implemented by a nonprofit. A nonprofit could partner with a cryptocurrency exchange to help implement a cryptocurrency universal basic income (crypto UBI). Bitcoin Cash or another cryptocurrency with extremely low transaction feeds could be utilized as the basic income means of distribution. An established cryptocurrency exchange (that utilizes KYC or something effectively like KYC) teaming up with a nonprofit that helps to implement this, could be great marketing for such an exchange, and also help to accelerate the adoption of cryptocurrencies.

There are projects like Bright ID and Hedge For Humanity that might implement a basic income cryptocurrency in a rather distributed way. The problem that distributed basic income cryptocurrencies encounter is Sybil issues (a user creating many accounts and collecting a crypto UBI in an unfair proportion compared to everyone else). Bright ID is a project which is attempting to solve Sybil problems for cryptocurrency projects and so forth. It is unclear how efficiently and how soon Bright ID can serve to frictionless solve Sybil problems for projects that might have millions of participants.

Perhaps a nonprofit would not even have to team up with a cryptocurrency exchange. For example, suppose a nonprofit implementing a crypto UBI has a large endowment (relatively), perhaps $150,000 or more. What if $50,000 was used to acquire 35,000 KYC requests from a service like Jumio and setup the integrated into a system that could somehow send Bitcoin Cash (or any popular cryptocurrency with low transaction feeds) to individuals verified as being unique real humans. The rest of the money or what’s left after the former could be put into a trust (or endowment?) that would invest in various assets like bond ETFs, equities (like $VOO, $QYLD/$XYLD, and clean energy ETFs), and cryptocurrencies. The funds could grow, and a percentage of net profits/gains could be distributed to all verified participants as a weekly or monthly cryptocurrency distribution. Half the profits and dividends from ETF’s and cryptocurrencies could be reinvested. Until free KYC is fiscally sustainable, participants could pay or volunteer to pay for their own KYC and also someone else (get one, give one). This could be done in parallel and complimentary to Bright ID (maybe, if Bright ID can be shown to be scalable and reliable to tens or hundreds of millions of human). Distributed solutions seem preferable, at least in theory. Those solutions may emerge eventually; however, distributed solutions to crypto UBI are already being worked on by Mannabase, Hedge For Humanity, and Bright ID.

It might be best for such a nonprofit to team up with a cryptocurrency exchange, since crypto exchanges can already have a cryptocurrency wallet and already have verified a humans uniqueness/identity. KYC providers like Jumio claim to have verified 400 million unique individuals it appears. Trulioo seems to claim to be able to uniquely verify up to 5 billion humans on Earth. So a nonprofit teaming up with a cryptocurrency exchange to implement a universal basic income cryptocurrency that utilizes Bitcoin Cash distributions (or another cryptocurrency with extremely low transaction fees) to unique humans may be an efficient way to drive adoption of cryptocurrencies and universal basic income.

Diverting legacy stock market and traditional economic wealth to many humans in a humanitarian way (crypto UBI) seems good, and also accelerating cryptocurrency adoption is good. Driving cryptocurrency adoption can be good, since it can help move humanity away from fiat currencies that can be affected by economic manipulation (like printing 19.5 trillion dollars out of thin air by a central bank). At least for now, I do not have time to lead an efforts on this (although in the future I might). I could be on the board, or act as an advisor or consultant to a nonprofit implementing this. If my direct participation is not needed, and this is implemented without me, that is OK too. What is described here can serve a dual purpose of helping to eliminate poverty through a universal basic income cryptocurrency and also help to accelerate cryptocurrency usage and adoption all over Earth.