Blockchain and Automation: The Digital Revolution as It Unfolds
“If I had asked people what they wanted, they would have said faster horses.” ― Henry Ford
The first revolution began when man discovered fire. The second one, when our ancestors discovered coal and the steam engine. Then it was our great-great-grandparents who witnessed the third revolution. It began when the first spark of electric current was created by Tesla and Edison.
Fast forward two centuries. The digital revolution entered quietly — right before our eyes. The peak of this revolution happened during year 2008, a time of global financial panic. While all hell broke loose, gasoline prices cranked up, people were getting laid off, and banks were bailing out. At that same tumultuous moment marked the introduction of the world’s first blockchain, Bitcoin.
For centuries, our dependence to fossil fuels, capitalism and an elitist banking system zapped our society dry — while leaving only the top one percent green and prosperous. It was said that it takes 7–15 years to transform dry sandy soil into fertile land. And it will take twice that time to turn an entire arid desert into a lush rain forest. In that same vein, our society has yet to invent a thousand other uses for blockchain. Its digital infrastructure is still in its infancy. Since its conception last 2008, we are metaphorically watering the desert with garden hoses, wadding through the mud and planting the first seeds.
Blockchain didn’t came out of the blue. It was created just in time when more and more people were becoming disillusioned with the state of the world that we are in.
Imagine waking up the next day to find out that your government printed a hundred billion dollars more than they should — all that while you are sleeping. You’ll pump in gas and get your first-morning shock as the gas price doubled right before your eyes. You’ll then line up for a quick cup of latte, only to hear that you’ll have to pay twice as much now for the same cup of coffee you’ve been drinking every day. At that quick span of time, has your salary doubled? Nope, not even a stretch! Welcome to real-world fiat money inflation.
As you can see, the same system that kept our great grandparents secured up to retirement was fast becoming obsolete. Gone are the old days when hard work automatically guarantees money and comfort. We’ve been investing our retirement money on supposedly “conservative” funds, only to find out the next thing that its worth was now cut in half. Looking further down the same horizon, in 20 years, our hundred thousand cash will pay no more than a month’s gas.
In this time and age, stability and security are no longer our birthright. You and I know that we are living in a world where sophisticated criminals have the technology to counterfeit the same money that you have in your pocket. While at it, you are also at the whims of a central government authority who can change the rules as they see fit. Will you sleep at night knowing that even the government can’t protect us?
Such a twisted society! But unless you are living in a cave off the far-flung North Pole, this is also your reality. This is precisely the world that we are living in.
Now, imagine this same society suddenly in possession of a new technology that will wipe out all the problems mentioned above. To say that blockchain will disrupt industries is an understatement. More than levelling the playing field, it will literally create value and wealth.
Yet while we’re at it, let me tell you that widespread automation isn’t far off the horizon. As you could have noticed, time is speeding up. Likewise, recent technologies are like Lego blocks stacking up one on top of the other. The future is catching up on us faster than we think. And before long, our computers will double its capability faster than we can blink.
There’s a good chance that we’ll also be witnessing another major change in decades. Various researches indicate the possibility that at least one-fifth of the global workforce will be rendered obsolete and replaceable by robots in 2030 or earlier. Farmers, teachers, law enforcement officers, drivers, chefs, researchers, factory workers — robots will be replacing all these jobs soon.
The sustainable solution to this upcoming job loss will be Universal Basic Income (UBI). UBI can be achieved either through a centralized government “payout” subsidized by taxes or better yet, through a blockchain-backed investment vehicle with dividend distribution. We at Joint Commonwealth Fund (JCF) have designed such a fund for this purpose. If it succeeds, it will show us that UBI is possible (and even profitable) even without the help of any government or institution.
It’s understandable if you’re feeling scared or concerned because anytime soon, we could be replaceable. Yet we must be optimistic. Like our own children, it’s us who created all these technologies. These are all our doing and undoing. Technology should serve humanity, not the other way around.
The future’s fast approaching. Are we ready?
If you’d like to learn more, please visit us at Joint Commonwealth Fund (JCF)!
