Overview of White Paper 2.0 Part 1
Written by BlockchainOS DEV Team
May 10 2018
Why we are publishing White Paper 2.0
We have decided to publish our ‘BOScoin White Paper 2.0′ to include the vision of the BOS team and that had previously not been included in the first white paper.
In preparing the White Paper 2.0, we studied the fundamental problems of the capitalist system and various alternative propositions to combat those issues. In the end, we decided that a new strategy was needed to overcome the limitations of the cryptographic economy.
We have revised the strategy based on a new concept called ‘Public Financing’, which contrasts the existing ICO model. Through this, we hope to mitigate the problems which the first white paper lacked in addressing.
Plans for publishing White Paper 2.0
The BOScoin White Paper 2.0 will be published in two parts.
In Part 1, the BOS team plans to introduce the concept of “Public Financing” as a solution to the current problems facing the cryptographic economy.
In implementing the PF concept, the Congress Network voting mechanism will be used in conjunction with a homomorphic encrypted password to provide anonymity of the vote and preventing Sybil attacks.
In Part 2, we will propose the ‘Generic Trust Third Party (GTTP)’ concept as a means to link the offline world with online.
In addition, we will propose a BOScoin economic model that includes Public Financing, Commons Budgets, GTTP model, Economic Participant Compensation System and the modified token issuance plan.
We have assessed that the cryptographic economy is the most effective way to tackle the issues facing our current economic system. The cryptographic economy utilizes capitalistic credit creation whilst solving the problem of wealth distribution.
However, price volatility caused by fixed issuance of cryptographic currency remains a key problem. Public Financing is our new strategy to resolve this issue and a means to effectively distribute the generated credit back to the community.
Public Financing (hereinafter PF) is the issuance of BOScoin as a credit-generating means to acquire various assets of the real economy from the community.
The community itself suggests, reviews and votes on additional issuance through the Congress Network and this decision is processed through the Trust Contract.
We define this process as Public Financing, which we deem to be ‘public’ in two respects.
Securing financial sovereignty
As opposed to the conventional project financing model that is decided by a very small number of people at the top of existing financial institutions, any finance related decision-making on BOScoin is determined by the consensus of its community members.
PF can solve the problem of financial sovereignty, a key flaw of the capitalist system, by a credit creation system driven by a community-based decision making process.
Solving the Wealth Distribution Problem
Real economic asset secured by the credit generated through public financing is seen as the Common Wealth. The wealth generated by the BOScoin community will be seen as such and will be distributed equally.
We believe that PF can solve the issues surrounding the reduction of human labour caused by technological development and capital injection; a fundamental problem with the capitalist system.
The PF will propose, review and vote on additional BOScoin issuance via the Congress Network and the decisions made by the community itself will be made through the Trust Contract.
We would like to establish a specific and detailed PF policy by conducting a pilot project of a certain size.
Through this pilot project, we plan to provide the community with a detailed process and additional issuance data in order to raise the quality of decision making. We will then proceed to implement the full Congress Network voting process.
When we wrote the first white paper, we recognized that there was a problem with the Congress Network’s decision making process and wanted to address it.
We recognised that the current Congress Network’s voting mechanism allowed a large number of BOScoin owners to create a number of nodes that may significantly impact the community’s decision-making process.
In order to provide equal rights and opportunities to participate whilst increasing the benefits to all members of the community, equal representation on the network must be given. We have concluded that to enable such representation, each participant should be given one single vote.
However, we also realised that the network needed to collect identification information on each member which puts privacy and freedom of expression rights at risk.
We sought a way to create a solution that could accommodate real existence on the blockchain while ensuring both privacy and accessibility
BOScoin needed a voting system on the Congress Network to ensure anonymity and demarcation, while at the same time allowing individual identification and granting one vote per person.
At the end of the research, we decided that the ideal design of the Congress Voting System is to base it on the use of a private key which directly interacts with encrypted data without requiring access to the private key itself.
Once the Congress Network membership is obtained, the member account represented by the IDA public address.
Congress membership can be obtained by any BOScoin member but they must undergo a verification process to prove their uniqueness in order to prevent a Sybil Attack.
During the verification process, the account isolates the direct connectivity between the member and the Uniqueness Verification Server (Registry) for privacy protection and validates the token to prove the uniqueness.
Following this process one token and one account will be assigned to the member.
The account is formed on the blockchain and the member is able to prove their uniqueness and Congress Network membership with their token.
The account will be used only for membership verification and will not contain any personal information, eliminating the risk of a leak.
If a vote is on a specific subject, a voting program will be created to execute that specific vote.
Thus Individual voting programs are created for each subject (agenda), and each voting program is represented by a IDV public address.
Community members who have obtained membership in the Congress Network can vote by issuing a BallotStamp through the voting system using an IDA member account and voting program (IDV).
BallotStamp is generated from a verifiable trust system, but it is generated in a manner which does not infer a BallotStamp’s association with its members, thus protecting the privacy of its members.
Voting systems using the same IDA account and voting program (IDV) issues the same Ballotstamp everytime which means it can prevent Sybil Attacks.
BOScoin started the project as a global community currency with the aim of distributing it with real money status.
By publishing White Paper 2.0, we are introducing a credit-generating system called ‘Public Financing’, which aims to compensate the shortfall of credit generating capabilities of existing cryptographic currencies compared to sovereign currencies.
When a community wants to acquire new assets, we want to eliminate the fundamental problems of the existing capitalist system by creating credit through PF and distributing the generated wealth back to the community.
In addition, Congress will introduce Congress Voting with the same private key to eliminate the concentration of credit creation, give equal voting rights to all members and allow them to participate with ease.
We consider Public Financing to be one of the key features to give BOScoin the recognition as the universal money for the unbanked and as a global community currency. A more detailed report of our research will be disclosed on our White Paper 2.0.
We will be sequentially releasing the contents of our White Paper 2.0 to the community in the near future.