Ethereum can be thought of as a transaction based state machine, where transactions can change the state and the state keeps track of interactions. Here we examine at a high level, the constituents of a transaction and explain how most of the gibberish hex values are determined.
The problem with all of the plans before now, from UBI to socialism (high taxes on the rich to spread the wealth across the game) is that to redistribute the money after it’s already been distributed is nearly impossible. The people with that money rightfully resist its redistribution. And as Margret Thatcher said “The trouble with Socialism is that eventually you run out of other people’s money.”
That’s precisely what the kings and queens of the ancient world did, and that’s what nation states do today. As Naval Ravikant said in his epic series of tweets on blockchain, today’s networks are run by “kings, corporations, aristocracies, and mobs.” “And the Rulers of these networks [are] the most powerful people in society.”
Think of economics as a game. Everyone in the system is a player, looking to maximize their advantage and the advantage of their team (a company, their family and friends, etc.) to get more of the money. But to start the game you need to initially distribute the money or nobody can play. Distributing money sets the playing field.