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the decentralization ethos arose over
recent years due to a backlash with
respect to the operating structure of
the financial world loss of trust and
centralized institutions like national
governments and the hypothesis that
top-down command and control may have
served humanity well when communication
and decision-making were slow and
expensive but now we have global instant
comms and can make decisions together
within 15 seconds on aetherium even if
up to half half of the actors on the
network or malicious this makes
decentralization as an organizing
principle viable for all sorts of
systems hierarchical organizational
structures are often rigid not agile or
responsive they suffer from decision
making near the top far from the
situated awareness managers and
hierarchies tend to silo information to
keep power decision-making is often slow
because the authority to do so is layers
above creative problem-solving and
innovation don't tend to thrive or
survive in rigid hierarchy it can be
soul-crushing for most in a corporate
pyramid experimenting with decentralized
architectures holds much promise these
systems can be flatter more fluid and
more effective we and our many cousins
in the decentralization ecosystem have
much to explore together the theorem
project and community are dedicated to
radical decentralization as much
decentralization as is practical
the theorem governance in forward
progress of the platform is proceeding
in a decentralized fashion as it always
had with many classes of actor core devs
devs researchers security auditors
miners pools exchanges hardware
manufacturers software firms the vocal
community industry pundits regulators
and even legacy finance industry experts
with no familiar familiarity let alone
understanding of the facts all weighing
in when the bigger decisions are being
made I know real if you're watching
thanks for taking time to do a bit of
research
Vlad's governance 101 post recently
kicked off a new round of fruitful
discussions we have all much work to do
on this front fortunately it's
proceeding in a decentralized fashion
as an aside and before I dive into the
talk I would like to call it Vitalik s--
leadership it is leadership by doing an
example never by Fiat Vitalik has
remained in the background with respect
to various issues at a time
intentionally out of concern that his
words might be weighted too heavily this
is what I think of as leadership in the
area of decentralization I don't think
anything can begin significantly
decentralized and aetherium certainly
started in one man's cranium
but Vitalik from day zero has been doing
his best to empower people and to
continuously open the project as many as
have many others of course but if we
consider the responsibility the world
has heaped on his shoulders and the
that the trolls and the idiots on the
interwebs sling at him it's one of the
most historic stories heroic stories I
know with integrity with integrity
genius and grace Vitalik goes about his
business doing a job that even a
decentralized army of crypto heads have
trouble keeping up with similarly
consensus started one in started in one
individuals head but decentralized
rapidly since the beginning we've been
threading the needle between practical
forward progress and decentralization
our goal always is to build better
systems and we believe that
decentralized architectures will usually
win out more so as the technology
matures and scales consensus is
dedicated to building appropriately
decentralized systems but also to
walking the walk working to decentralize
ourselves throughout we started as a
venture production studio intending to
build taps wrap them in companies and
put them out for investment we spun out
a few projects and continued continue to
do so but we've also been able to be
patient with many more we consider
consensus of fluid mesh of projects and
companies all sharing some DNA and
internally we refer to it as the mesh
early on necessity drove infrastructure
invention Tim Coulter's work on DAP
store led to a set of scripts that
evolved over time into the truffle suite
on month on Monday night a go truffle on
Monday night the truffle team was
gathered as the counter flipped over on
the 1 million
full download huge congrats to the team
Baron Davison later Dan Finley and the
meta math team rescued us all from
having to tell users to go download and
sync death before add app can connect to
the network
they remain on the bleeding edge of the
technology but labored tirelessly to
ensure that nobody gets hurt deep
respect to the team for always choosing
the safer path for the end user yet
continually breaking new ground for the
ecosystem as we see in the 15-second
Mobile meta Mass new wallet import
Stephane George and Martin Kopelman of
gnosis began with the dream of enabling
liquid financial markets for all of our
issues and decisions they piloted the
prediction market technology and they've
built and they've also built core
infrastructure the multi-sig wallet
which protects billions in value gnosis
safe and Dutch X an exchange that
removes the ability for a centralized
party to corrupt the fairness of token
exchanges in 2015 the in Fuhrer team
Michael wheeler more easy Peter Zack in
eg Galano
and now so many more helped out some
consensus projects by consolidating our
internal test Nets by DEFCON 2 they had
externalized the service and offered it
to the world by DEFCON 5 we expect to
have an open inferior protocol that
enables anyone to get paid to run nodes
that bundle different protocols these
and so many more infrastructural
elements are helping to rapidly mature a
theorem and turn it into a foundational
element of the decentralized world wide
web these are some of the reasons that
ray Valdez while at Gartner estimated
that the etherium developer community
was 40 times larger than the number two
IBM's fabric community viewport should
probably be in that infrastructure list
as well
the U port team is dogged leaks florid
identity and reputation since early days
at consensus when we realized we needed
an identity construct they would not
just enable access to apps via a single
sign-on but also present the world with
an alternative to the exploitative
business models that are enabled because
the web never had a native identity
construction
you port iterated solutions over the
years collecting constraints and
concerns and whittling its offerings
down to a minimal yet sufficient
decentralized offering one that doesn't
even need a blockchain but can certainly
benefit from one and in turn provide
great benefit to a theorem the airport
team is a founding and steering
committee member of the 56 company
decentralized identity foundation whose
mission is to build an open-source
decentralized identity ecosystem for
people organizations apps and devices
where decentralized identities like you
ports are anchored by blockchain IDs
linked to zero trust data stores like
three box for instance and are
universally discoverable on a theorem
and other platforms interoperability
across platforms as an essential goal
and self sovereign identity and personal
information should be fully under the
control of the individual as we turn web
to business models upside down and
architect web 3 services to be user
centric you port in three box personal
data Locker facilitate interoperation
from the perspective and to the benefit
of the user please check out you ports
new developer libraries version 1.0 just
released last week theorem is emerging
is one of the foundational components of
a world computer a web 3 flavored
constellation of inter operating
protocols web 3 the decentralized
worldwide web would consist of many
decentralized protocols for trusted
transactions automated agreements smart
software object storage bandwidth heavy
compute identity reputation proof of
location legally enforceable agreements
certificates resources and asset
tokenization like for kilowatt hours and
equities and real estate synergies among
various projects on a theorem are more
easily achieved than in the web to world
as the platform can be considered a
single execution space interoperation
within a theorem or across protocols is
what will enable us to move beyond
siloed walled garden approaches on the
web and in the business world leaving
the us-against-them
ethos behind in making collaboration
standard across applications within
sectors and industries and along value
chains like supply chains or content
creation and sharing
the new trust foundation enabled by the
radically decentralized that they're in
base layer is what is facilitating this
evolution towards collaboration
it is trustful collaboration even with
those who don't know even with those you
don't know or with whom you compete that
will enable a world of decentralized
actors to thrive as they no longer have
to depend on the embedded intermediaries
the music companies the banks the law
firms insurers brokers and existing
sharing economy companies who currently
provide necessary trust and from that
privileged position suck up much of the
value in their sectors in these early
days the ecosystem is being built out by
the builders largely for the builders
yes we've attracted financial and
speculator types but mostly it is about
devs engineers entrepreneurs and
cybersecurity professionals these are
the people who are bidding in maturing
the components in the standards elements
like different styles of tokens swap
protocols and exchanges data feeds
markets IOT protocols registries name
services legally and automatically
enforceable agreements and certificates
hundreds of components like these are
composable into a compelling app because
the theorem is all about easy synergy
and standards that ensure exchanges
while it's swap protocols and other
tools can interoperate with what is
built the theorem is where standards are
being forged while protocols that
consensus have a high degree of autonomy
we emphasize rich communication
collaboration and Inter operation among
teams as much as possible the standard
bounty bounty smart contract integrates
with git coin so devs can easily fulfill
open source bug bounties air swap plugs
in stalkers prediction market Meridius
tokenized real estate platform and
offers browser so users can swap ERC
tokens instantly bounties maker dower
working together to verify ocean
cleanups aragon Dharma Zeppelin and
several other projects share technical
docs on the Kauri knowledge network and
encourage their communities to
contribute tutorials and help one
another so that we can build together
faster Carrie get coin and bounties
Network are enabling us and others to
get more work done better and faster
these platforms enable dynamic workforce
assembly enabling us to have smaller
focus teams and bring more global and
often specialized talent into our
projects and for the developer bounty
hunters on those platforms they can work
on what they want when they want enjoy
diversity of projects get paid at higher
hourly rates if they choose to work
faster and work from anywhere in the
world in both parties that they like
each other can choose to solidify the
relationship into a long term employment
consensus builds protocol-based open
platforms that represent collections of
people and businesses inhabiting various
collaborative roles in a network of
services we expect this approach will
unify in flat in many industries
enabling smaller groups to interoperate
with one another to get the same work
done more effectively than current
monoliths in industries like financial
services entertainment and law the
protocol-based open platforms can be
stacked upon our interoperate with one
another an open music industry platform
like you Joe enabling artists to
directly interact with their consumers
or with other artists can reside on
aetherium an open event management and
ticketing platform can sit on or
alongside huge-o enabling artists to
coordinate gigs directly with venues a
blocking platform can link to music on
you Joe and get paid for curation and an
insurance platform can provide a
parameterised insurance policy that
protects the band pushing more and more
functionality into these open Network
business platforms will enable more
people to connect to these systems with
their self sovereign identity so that
they can have an inter mediate 'add
agency on all of these platforms
enabling greater satisfaction in their
livelihoods and broader wealth
distribution pundits attacked our space
with accusations that there have been no
killer apps I disagree
file sharing platforms could be
considered the first killer app of the
decentralization space while piracy is a
problem these systems pioneered
revolutionary approaches to distribution
and disintermediation great value
accrued to the Pirates since then Apple
and Spotify have shown that if price
points and ui/ux are good people will
just pay for the music rather than
stealing it now we just have to build
platforms that enable artists to
directly access consumer
so that content creators can
disintermediate the entertainment
companies and get directly paid last
night Oh Joe music crested 1,000 artists
on its creator on its content creator
portal the second killer app has to be
crypto currencies themselves with
millions around the world benefiting
from better ways of transferring or
storing value especially in developing
nations
the third killer app is the creation
issuance distribution exchange and
management to so many different kinds of
crypto assets pretty much all of which
is happening on aetherium projects are
being funded and infrastructure for a
next generation natively digital economy
is being built to the tune of tens of
billions of dollars that clear and
settle on a theorem every day but the
pundits don't notice because the
benefits accrue in a decentralized
fashion pundits are having trouble
recognizing these killer applications
because they don't reward existing
intermediaries or pile stacks of value
into new intermediaries but many lives
are improving in referring to the
lamenting over lack of an obvious killer
app Vitalik said the killing will be
death by a thousand cuts
decentralization is the killer
organizing principle it's ushering in
the web three world watch chains are the
killer automated trust foundation
promoting synergy and collaboration and
a theorem is the killer ecosystem an
ecosystem that will transform global
economic social and political systems
and of course there will be killer apps
on a theorem that the pundits will
recognize I expect with the many
independent layer to scalability
breakthroughs that are coming online
every day we will see one or more in
2019 applications in gaming journalism
law supply chain financial products
journalism music and other Nicias will
breakthrough into the consumer space the
user user experience once in a game for
instance should be excellent but
blockchain UX in general might be a bit
clunky to start just as web 1 and free
web experiences were to address this the
consensus Design Group is developing a
design system and language called
Rimbaud similar to Google material but
with many new elements unique to web 3
we're in the early era of
decentralization looking at our wheedies
centralized yet.com a theorem is in the
lead with nearly 20,000 public nodes
Bitcoin has nearly 10,000 q2 nearly
5,000 and - or 7,000 in - nearly 5,000
34 percent of ether is held in the top
100 accounts 19 percent of Bitcoin 75
percent of queue time and 15 percent of
- as more dabs come online the ether
number should shrink faster than the
others
Chinese miners dominate Bitcoin mining
but this is not the case for a theorem
I've seen lumber numbers as low as 13%
for a theorem when proof of stake
arrives the low barrier to entry and
lack of efficiencies of scale will
strongly decentralized validation of
transactions on a theorem if theorem is
foreign the lead as a viable candidate
for the base trust layer and it may be a
few years before our ecosystem achieves
profound decentralization in the base
and higher layers that's ok we can grow
into a radically decentralized future as
we have lots of adoption use case
exploration and definition and ui/ux
issues to take care of which will keep
us busy for a few years
one near-term killer app that started to
gain traction is open law the business
model of many law firms is to create
irrelevant issues as much and as much
detailed friction as possible and charge
their clients by the hour to handle it
the trillion-dollar global legal
industry has enabled us to be more civil
for a few hundred years but it has
evolved into a pay-to-play manufactured
gatekeeping function open law is a
platform for blockchain based legally
enforceable agreements the protocol
ingests agreements and turns them into
structured computable living objects
embedded into agreements embedding into
agreements variables that can be
assigned values like names numbers and
other complex logic that populate the
document in these agreements one can tie
the smart contract code to a real-world
agreement which renders the entire
transaction legally enforceable open law
is developing a library of smart
contract components that can be easily
plugged into any arrangement clauses or
agreements can be assembled like Lego
blocks for example a party can grab a
standard open law based escrow agreement
and embed a smart contract test grow
money tokens or other blockchain based
assets actions can be triggered when
conditions are met based on timing or
injected or
data evidence of agreements and the
counterparty signatures are time-stamped
on the blockchain while the plain text
can be published or kept confidential
open law enables peer-to-peer digital
contracting our legal team worked with
open law to create an aetherium based
NDA generator accessible by all our
teams as we are integrating open law
solutions into many of our processes
huija music for instance will soon use
open law to enable artists to attach
usage policies to their music for
instant purchases of licenses for
download streaming public performance
synchronization or derivative works
Rocket Lawyer a service with two with
twenty million users is embedding
various aspects of open law into its
platform as we speak open law just
released its library and API
David you're out there to enable
developers to build on top of open law
it's converting tens of thousands
agreements into blockchain compatible
contracts and surfacing them through
api's and agate lat
github like platform type open law into
youtube to see demos of decentralizing
the deal or blockchain based lending or
the end-to-end the purchase of and sale
of real estate property it will be a
holy moment for you the journalism
industry is on life support radio TV
print have been rolled up and are owned
by a few holding companies or funds and
are being milked the local news industry
has been gutted we get our news today in
sound bytes and snippets on hyper
stimulating social media promoting
basically binary views subtlety of
issues and measure discourses lost in
such a context how can we adequately
govern ourselves healthy governance is
breaking down in the face of overlapping
exponential technologies that are being
wielded by central powers we have these
emerging tools self sovereign identity
blockchain based transparency
cryptography based voting systems liquid
democracy and quadratic voting to
experiment with but they're useless if
we can't access information we can trust
a project that is breaking through as we
speak as civil a platform for ethical
and sustainable journalism there are
already 30-plus newsrooms on the
platform websites and podcasts
exploring topical or regional news it
had a token sale for a consumer utility
token there was the most and least
successful token sale we've run most
successful and that it attracted far
more interested parties into the top of
the marketing funnel than we had yet
seen by an order of magnitude but the
sale failed to reach its target for
ui/ux reasons because these were normal
people not crypto heads and because we
made it a rigorous process forcing
people to pass a test ensuring that they
knew what they were doing and they were
technically accredited to purchase
tokens so the conversion rate of people
actually able to unboard to the system
was low but the platform will launch
anyway and we will get know-how and
tokens into the hands of the interested
parties one way or another civil has a
constitution in a foundation run by the
former CEO of National Public Radio in
the US newsrooms of Professional
Journalists have formed written a
charter and can soon attach themselves
to a token curated registry by staking
tokens if they act unethically their
audience can challenge them and perhaps
have them bumped them bumped off the
platform The Associated Press and Forbes
have committed to operating on the
platform and more announcements are in
the offing violent our supply chain
track and trace product and team is
reimagining a world where trust and
transparency are incorporated into the
goods we buy every day this summer the
team working with the World Wildlife
Foundation served yellowfin in albacore
tuna that etherial participants in New
York could trustingly consume able to
track the journey of the fish from bait
to plate via an app very soon you'll be
able to experience the same as this
technology rolls out to consumers buying
tuna and retail stores
the vayan team is applying the
fundamentals of the bait to play
technology to bring transparency to
other consumer products imagine the
ability to scan products from store
shelves and get the origin purity etc
from raw material through manufacturing
to the end product all this verifiable
and anchored on aetherium consensus
invests in our product teams education
and events and we Co venture with
existing companies our ventures arm has
made 30-plus investments in a theorem
and related startups we're working to
build out the token economy from
defining standards and evolving
legalities globally to the
creation issuance exchange and
management of tokens we see all of this
as the evolving democratization of
Finance yesterday we released the covin
or Co venturing project Kovan is an open
platform for venture capital investment
on Kovan prospectors proposed companies
for possible investment subject matter
expert experts can diligence these
projects facilitated by a staking game
and investors can either challenge and
capture the stakes or invest in the
projects I expect it will improve access
to capital while greater expertise is
brought to bear to diligence projects
and good projects get broader exposure
and to end stakeholder ship consensus
makes monetary investments but like all
of you out there our dearest investment
involves the heart and soul that we put
into our work we're constantly working
to apply our approach and our tools to
our own internal prop organization and
processes consensus endeavors to be a
flat organization and we've developed
novel software and processes to help us
in that regard so bold I owe is a
project that used to be called TMNT
traditional management nullification
tool we had to change the name for
obvious reasons so ball dot IO is a
cross between a corporate intranet
LinkedIn and kill management software
like systems designed to support
holacracy teal organizations are or
governance and day-to-day operations
the teal paradigm envisions the company
as an organism with various functional
organs and lots of measurement processes
and feedback loops designed to keep the
organism healthy without traditional org
charts and managers everyone can log
into their Sobel profile from there you
port we can see how consensus is
organized as circles within circles with
each having its own identity vision
mission values operations and lifecycle
people are associated with different
projects and their percent of attention
to those projects is depicted ok ours
and KPIs can be defined for people in
projects and soon an agreements tooling
will be offered so that two people and
people a person and a team or a team
itself can Forge the operating
agreements yes using open law by which
they pledge to interact consensus
members self-organized nobody tells
anyone what to do we do we don't do 20%
time at consensus we have 100
% time we as we prefer that everyone
work on what they are passionate about
as a result our organization requires
new ways of taking responsibility and
assuring accountability we're working to
put processes into place that enables
autonomous or decentralized governance
and decision-making as much as possible
each of our functional groups service
circles like finance or legal product
teams or companies it's a budget that is
allocated often via peer driven process
and it's free to chart its course for
the most part which includes defining
how it conducts its day-to-day and long
range business we're working to have
each of these groups wrap themselves in
public api's so that others can know
what is available and we will soon use
open law to place SLA s on each API so a
consumer of an API knows the terms under
which the provider offers it with such
living agreements available if a product
team makes use of an offering from the
marketing team data can be sent into the
agreement that memorializes and conducts
that interaction in compensation from
the product team can flow to marketing
based on measured performance we're in
the early days of exploration of
exploring what a decentralized company
can be but the vision emerging is one of
many autonomous units each operating as
though they're embedded in an efficient
free market the consensus mesh is a
hybrid organization in various ways part
software company our professional
services consultancy part VC it is a
hybrid in that it maintains structures
required to operate in the legacy world
especially in our finance HR and legal
groups but it is also mapping out what
we might what might be possible with
respect to operating in the
decentralized future as we get better in
articulating api's and SLA s for our
various functional groups we can imagine
that even marketing HR finance and legal
will be able to offer tools and services
not just to our internal groups but to
other companies as well our marketing
group has recently started doing this
under the catalyst brand legal we have
some coders on the team is building
software tools designed to protect
consumers better in the new token
economy with respect to dynamic
workforce assembly Oppel is a project
that we're close to enabling
professional employment organizations to
serve our ecosystem
will evolve these into decentralized
employment organizations so that many
small companies in our space can band
together to handle human resources needs
and issues like get coin and bounties
Network up lists will enable an increase
in the velocity of work and enable
individuals to engage in self sovereign
employment balancing the power the
developer with that of the organization
that she develops for as many of our
groups externalize their offerings and
as we all evolve towards greater
decentralization soon it won't be hard
to imagine companies using our various
services and effectively permissionless
lee attaching themselves to the mesh one
last item consensus believes investing
in the ecosystem is critical perhaps now
more than ever as this experiment that
we've been privileged to be part of is
moving towards usability by consumers
and towards becoming globally
systemically important we're also
passionate about open source get coin
and code fund enable open source
developers to get compensated for their
important work our protocol and systems
engineering group Pegasus just released
Pantheon a new Java based a theorem
client that has synced to and running on
main net now the code was open source on
github a few days ago and released under
the Apache 2 license we welcome Jim
Jagielski to the mesh a few months ago
Jim is one of the original eight Apache
group members this evolved this evolved
into him co-founding and directing the
Apache Software Foundation and serving
as a core developer on several several
ASF projects at consensus Jim is our
open source guru helping our projects
with their open source strategy and
mechanics a decentralized future is one
worth imagining and investing in so
we're excited to announce the new
consensus Grants Program
soon we'll be unveiling a $500,000 fund
that will be dispersed in amounts of ten
to twenty five thousand dollars
successful projects in this round will
be eligible for follow-on grants the
Grants Program is an effort to encourage
the growth of the etherium
infrastructure layer with bounties and
grants for open source projects grant
awards will focus on infrastructure
research interoperability usability and
developer tools the
cooperate with get coin in the Bounty's
Network for some of the dispersals more
information including categories and
application process will be coming soon
learn more and sign up for more
information at this link consensus net /
crap thank you very much
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you