The Abundance Protocol seeks to provide a comprehensive and decentralized solution to the problem of public goods and resolve the free rider problem. The protocol offers an economic paradigm to enable funding of all types of public and common goods in the long term, where contributors are compensated based on the impact of their work.
The idea starts with protocols like Bitcoin or Ethereum, which both provided hundreds of billions of dollars to funding a specific public good - network security - through PoW/PoS consensus mechanism. Then adapt their model (inflationary currency issuance) by generalizing it to any public good through the Proof-of-Impact Consensus Mechanism.
The goal is to expand the scope of the economy and reward meaningful contributions to society. The Abundance Protocol aims to create a self-sustaining economy for public goods and a new paradigm for scientific research and open-source projects.
When to use
- For digital content creation and valuation - to reward and incentivize quality content creation in areas such as open-source projects, articles, videos, social media posts, etc.
- For open-source development - to provide a business model for developers to directly profit from their open-source projects, instead of relying on other methods such as paid support, Open Core, etc.
- For scientific research - as an alternative to government grants and paywalled scientific journals, allowing scientists to profit directly from their research based on its accuracy and importance to the public.
- For investing in public goods - to allow users to request funding for public goods projects, in exchange for a share of the project's returns, creating a self-sustaining economy for public goods.
How to use
- New public goods project is posted: A community member proposes a new public goods project and posts it to the protocol. This could include proposals for open-source projects, scientific research, social media content, or other public goods initiatives.
- Estimates are posted: Other community members can post estimates for the proposed project, including their expectations for the project's economic impact, its level of credibility, and the required expertise to complete it.
- Estimates are sorted: The estimates are sorted based on credibility, expected impact, and required expertise, allowing the protocol to determine which projects are most likely to succeed and have the greatest impact on society.
- Validators are selected: Validators are selected at random from the community to review the estimates and verify the expected impact and credibility of the project. This ensures that the protocol's results are unbiased and accurate.
- Validators review realized project impact: Periodically, validators are selected at random to review the actual impact of completed projects, ensuring that contributors are accurately rewarded based on the actual impact of their work.
What you get
- Decentralized and blockchain-powered economy: The Abundance Protocol operates on a decentralized network, using blockchain technology to secure transactions and ensure trust.
- Proof-of-Value mechanism: The protocol values digital content, such as open-source projects, articles, videos, and social media posts, based on their credibility and relative importance.
- Investment in public goods: Users can request funding for creating public goods projects and receive a share of the project's returns, allowing for the creation of a self-sustaining economy for public goods.
- Promotes collaboration and creativity: The protocol allows for permissionless use of intellectual property and rewards original creators for every derivative work, encouraging collaboration and free flow of ideas.
More information and resources
Whitepaper: Transforming the Economy and Goverment with web3
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