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1) There is something profoundly different about @decredproject that many can& #39;t quite put their finger on.
This thread will briefly discuss ethical advantages in #Decred.
Compericlity (balanced risk-sharing) tends to enhance robustness of a given technology.
This thread will briefly discuss ethical advantages in #Decred.
Compericlity (balanced risk-sharing) tends to enhance robustness of a given technology.
2) In Hammurabi& #39;s ethics (circa 1754 BC), there was a symmetry in risk-bearing that resulted in accountability for society at large (eg. eye for an eye; tooth for a tooth).
Bridge builders had to sleep under the bridge they created with their very own family.
Bridge builders had to sleep under the bridge they created with their very own family.
3) Today, our society is punished by a lack of accountability that is practically ubiquitous.
@nntaleb calls this the Rob Rubin trade.
A society lacking compericlitous ethics is fragile to black swan blowups.
@nntaleb calls this the Rob Rubin trade.
A society lacking compericlitous ethics is fragile to black swan blowups.
4) As a refresher on fragility vs antifragility, it helps to picture the graphic of a convex vs concave exposure to stress.
Fragility is often hidden because it takes a certain amount of stress for something to break or blowup (think of dropping a glass from 3 ft. vs 30 ft.)
Fragility is often hidden because it takes a certain amount of stress for something to break or blowup (think of dropping a glass from 3 ft. vs 30 ft.)
5) So how does risk-sharing or skin-in-the-game benefit technology?
This should be somewhat obvious.
The bridge builder who has to sleep under his end product will do his very best to ensure his family& #39;s own survival.
Symmetry in risk-bearing enhances robustness.
This should be somewhat obvious.
The bridge builder who has to sleep under his end product will do his very best to ensure his family& #39;s own survival.
Symmetry in risk-bearing enhances robustness.
6) Symmetry in risk-bearing, i.e. compericlity, is what makes @decredproject something unique.. something profoundly special.
Let us investigate where risks are beautifully balanced in #Decred.
Let us investigate where risks are beautifully balanced in #Decred.
7) What is analogous to @decredproject sleeping under its own bridge?
First thing& #39;s first.
When Decred implements a new code change, the ENTIRE network is organized to upgrade the code as a unit.
This is a miraculous step forward in decentralized network infrastructure.
First thing& #39;s first.
When Decred implements a new code change, the ENTIRE network is organized to upgrade the code as a unit.
This is a miraculous step forward in decentralized network infrastructure.
8) #Decred is upgraded when both instances are true:
https://abs.twimg.com/emoji/v2/... draggable="false" alt="✅" title="Fettes weißes Häkchen" aria-label="Emoji: Fettes weißes Häkchen">The PoW upgrade is complete once 95% of the latest 1,000 blocks are mined with the latest version.
https://abs.twimg.com/emoji/v2/... draggable="false" alt="✅" title="Fettes weißes Häkchen" aria-label="Emoji: Fettes weißes Häkchen">The PoS upgrade is complete once 75% of the votes in a complete stake version interval are cast using the latest version.
9) Decred& #39;s upgrade mechanism ensures the entire network is simultaneously using the same code.
This means the network, for better or for worse, completely shares the risks embedded in a given software update.
Code adaptations are compericlitous and universal in #Decred.
This means the network, for better or for worse, completely shares the risks embedded in a given software update.
Code adaptations are compericlitous and universal in #Decred.
10) Contrast @decredproject& #39;s upgrade mechanism with #Bitcoin https://abs.twimg.com/hashflags... draggable="false" alt=""> and you will discover why Decred is quite different.
Upgrading Bitcoin& #39;s code can come from factions of users (UASF) Miners, or Developers.
In virtually all instances, the Bitcoin network is fractured.
Upgrading Bitcoin& #39;s code can come from factions of users (UASF) Miners, or Developers.
In virtually all instances, the Bitcoin network is fractured.
11) Some fractures in the #Bitcoin https://abs.twimg.com/hashflags... draggable="false" alt=""> network are self-evident; others are concealed.
Hard-forks that result in multiple assets (see $BCH, $BSV, etc.) represent obvious instances where the $BTC network is split and there are multiple assets for users and miners to migrate to.
Hard-forks that result in multiple assets (see $BCH, $BSV, etc.) represent obvious instances where the $BTC network is split and there are multiple assets for users and miners to migrate to.
12) What are instances where fractures in #Bitcoin https://abs.twimg.com/hashflags... draggable="false" alt=""> are somewhat obscure?
-User Activated Soft Fork (USAF): Today, only a portion of the Bitcoin network uses segwit.
-Updates to Bitcoin Core or other implementations result in portions of the network using different software.
-User Activated Soft Fork (USAF): Today, only a portion of the Bitcoin network uses segwit.
-Updates to Bitcoin Core or other implementations result in portions of the network using different software.
13) @decredproject has solved the riddle of how to get everyone using open source software to share risks embedded in the code.
The advantage here is similar to the builder sleeping under his bridge. The risk of ruin ensures code updates are executed with utmost care.
The advantage here is similar to the builder sleeping under his bridge. The risk of ruin ensures code updates are executed with utmost care.
14) Where else does @decredproject set itself apart in terms of balancing risks?
Complete transparency behind all decision-making, i.e. governance.
#Decred& #39;s Politeia (Pi) is an off-chain (sybil resistant) method for users to openly discuss proposals.
Complete transparency behind all decision-making, i.e. governance.
#Decred& #39;s Politeia (Pi) is an off-chain (sybil resistant) method for users to openly discuss proposals.
15) Conversations in Pi are permanent.
The network& #39;s reasons behind various decisions will be displayed for all to see.
This transparency demonstrates how the #Decred DAO is a leader in ethics and accountability. https://twitter.com/CATO_io/status/1298263919354470401">https://twitter.com/CATO_io/s...
The network& #39;s reasons behind various decisions will be displayed for all to see.
This transparency demonstrates how the #Decred DAO is a leader in ethics and accountability. https://twitter.com/CATO_io/status/1298263919354470401">https://twitter.com/CATO_io/s...
16) Where else does #Decred manage to assert itself as a dominant superpower of compericlity?
@PermabullNino elegantly explains how #Decred manages to better segregate the duties of accounting.
This article is a must-read: https://medium.com/@permabullnino/introduction-to-crypto-accounting-an-analysis-of-decred-as-an-accounting-system-4d3e67fce28">https://medium.com/@permabul...
@PermabullNino elegantly explains how #Decred manages to better segregate the duties of accounting.
This article is a must-read: https://medium.com/@permabullnino/introduction-to-crypto-accounting-an-analysis-of-decred-as-an-accounting-system-4d3e67fce28">https://medium.com/@permabul...
17) In short, the segregation of duties in $BTC & $DCR look like this:
#Bitcoinhttps://abs.twimg.com/hashflags... draggable="false" alt=""> (PoW):
Custody: Block creatorshttps://abs.twimg.com/emoji/v2/... draggable="false" alt="❌" title="Kreuzzeichen" aria-label="Emoji: Kreuzzeichen">
Authorization: Block creatorshttps://abs.twimg.com/emoji/v2/... draggable="false" alt="❌" title="Kreuzzeichen" aria-label="Emoji: Kreuzzeichen">
Recording: Full nodeshttps://abs.twimg.com/emoji/v2/... draggable="false" alt="✅" title="Fettes weißes Häkchen" aria-label="Emoji: Fettes weißes Häkchen">
#Decred (PoW/PoS):
Custody: PoW Minershttps://abs.twimg.com/emoji/v2/... draggable="false" alt="✅" title="Fettes weißes Häkchen" aria-label="Emoji: Fettes weißes Häkchen">
Authorization: PoS Stakershttps://abs.twimg.com/emoji/v2/... draggable="false" alt="✅" title="Fettes weißes Häkchen" aria-label="Emoji: Fettes weißes Häkchen">
Recording: ALL fully validating nodeshttps://abs.twimg.com/emoji/v2/... draggable="false" alt="✅" title="Fettes weißes Häkchen" aria-label="Emoji: Fettes weißes Häkchen">
#Bitcoin
Custody: Block creators
Authorization: Block creators
Recording: Full nodes
#Decred (PoW/PoS):
Custody: PoW Miners
Authorization: PoS Stakers
Recording: ALL fully validating nodes
18) In #Decred& #39;s PoW/PoS accounting scheme, malicious miners are held accountable.
Decred elegantly inserts a PoS element to check the PoW miners& #39; work.
The PoS element ensures PoW miners are behaving favorably and removes their duty as sole authorizers of the ledger.
Decred elegantly inserts a PoS element to check the PoW miners& #39; work.
The PoS element ensures PoW miners are behaving favorably and removes their duty as sole authorizers of the ledger.
19) Aside from balancing risks in code adaptability, governance, and accounting, @Decredproject also mitigates instances of risk-transfer with a self-funding model.
10% of Decred& #39;s block reward is reserved for the treasury. This will ensure favorable development finds funding.
10% of Decred& #39;s block reward is reserved for the treasury. This will ensure favorable development finds funding.
20) @decredproject& #39;s war chest of $DCR will only be spent with explicit consent of the Decred stakeholders.
Soon, full decentralization of treasury expenditures will be implemented. This is arguably the largest transfer of power to occur in the cryptocurrency space to date.
Soon, full decentralization of treasury expenditures will be implemented. This is arguably the largest transfer of power to occur in the cryptocurrency space to date.
21) In summation, @decredproject has masterfully balanced risks so that users, developers, miners, and stakeholders are all on equal footing.
There is an elegant balance of accountability behind everything #Decred does.
There is an elegant balance of accountability behind everything #Decred does.
