Hello Cardano community!
I recently watched the following video:
and have some questions regarding how Cardano plans to deal with sustainability of the Cardano ecosystem.
In the video, when discussing the challenges of sustainability, Charles Hoskinson, describes the concept of a worldwide, decentralized government with a treasury that funds projects through inflation of the currency of Cardano and through voting by the stakeholders of Cardano.
I would like to better understand how this would work.
Would the majority vote (most tokens) determine which projects are funded? I can see how those that initially fund Cardano or that invest heavily in Cardano would be able to control which projects are completed. Even if everyone were initially given the same amount of tokens, eventually some people would end up with more tokens and would be able to control the system by forming an oligarchy.
One way to possibly address this issue would be to have a senate (token rich people) and house of representatives (everyone else) to balance the needs of those with most of the tokens and the larger community in general. However, this system would be able to be abused unless there is complete visibility (aka, no privacy) in determining who controls which tokens. If token ownership is private, I can see how a “senator” could have multiple addresses to appear like a large voting block in the “house of representatives”.
Previously, when the US dollar was based on the gold standard, and other nations had their currencies pegged to the dollar, there were problems due to countries growing at different rates. Those that wanted to promote growth in their countries did not have a way to devalue their currency to make their area more attractive for investment without breaking off the gold standard. If there were a worldwide Cardano cryptocurrency, do you see the same problem occurring, causing people to abandon Cardano for their own regional cryptocurrency?
Also, do you foresee those upset that they are not getting projects funded because they lack voting strength in the system to break off and form their own cryptocurrency?
Regards,
Doug