Re: RUBI: A Self-Sovereign Identity-Based Retroactive UBI System - Seeking Community Feedback

Hi Chris,

Thanks so much for sharing your thoughts on Universal Basic Capital—it’s a
powerful framing and really does scratch that missing itch in UBI
conversations. I deeply resonate with the idea of long-term wealth creation
over just periodic income, and I see UBC as an important lens to include in
the broader design space.

That said, my key concern is that no single institution—whether state or
private—should rigidly define how UBI or UBC systems operate for the
masses. My approach leans more toward empowering communities to co-govern
monetary design itself. Why limit democratic participation only to choosing
political leaders? Why not extend it to the core levers of economic systems?

In the prototype I'm working on, two key parameters—UBI generation rate and
demurrage rate—are decided periodically by community vote before receiving
that day’s UBI. Over time, people can propose new parameters or modules
(like UBC parameters). It’s a governance-first approach that allows
frameworks like UBC, or even voluntary UBI, to emerge based on what people
collectively choose.

Rather than hard-coding monetary logic, I believe we can offer a flexible
starting point and let communities evolve the rest.

P.S. We can make UBC an optional subset of RUBI (leaving it to network
participants to decide how they want to govern their respective 'democratic
money').

Curious to hear your thoughts in this direction.

Warmly,
Nivas

On Sat, Mar 22, 2025 at 11:09 AM Christopher Allen <
ChristopherA@lifewithalacrity.com> wrote:

> On Fri, Mar 21, 2025 at 23:11 Christopher Allen <
> ChristopherA@lifewithalacrity.com> wrote:
>
>> I heard this week from Mark Miller about a concept of Universal Basic
>> Capital, which though I don’t completely understand, scratches an itch that
>> I feel has been missing from UBI ideas.
>>
>
> On Fri, Mar 21, 2025 at 8:43 PM Wayne Chang <wayne@spruceid.com> wrote:
>
>> chris pls tell us more
>>
>
> I'm not an expert, but just trying to succinctly explain what I understand
> about it.
>
> The essential idea of Universal Basic Capital is to offer economic
> security by shifting the focus from periodic cash benefits to sustainable,
> long-term wealth creation. This model ensures that every citizen can share
> in the nation's prosperity, laying the groundwork for enduring financial
> stability rather than simply addressing immediate income needs.
>
> At its core, UBC provides a capital grant at key life stages—such as at
> birth or upon reaching adulthood—that individuals can invest in assets like
> real property, stocks, or other investment vehicles. The returns generated
> through dividends, interest, or capital gains aim to build sustainable
> wealth over time, empowering citizens to develop a secure financial future,
> but also with benefits to the larger economy.
>
> This approach not only supports immediate financial needs but also
> democratizes wealth by giving every person a stake in the country’s
> economic success. By emphasizing asset accumulation over recurring cash
> payments, Universal Basic Capital seeks to reduce economic inequality and
> promote long-term stability.
>
> However, implementing UBC presents significant challenges. While citizen
> choice in managing investments is a key advantage, it also carries the risk
> of poor decision-making, potentially necessitating safeguards like
> requiring diversified portfolios or standardized national funds unless
> individual competency can be demonstrated. Additionally, the system must
> ensure sufficient liquidity for accessing funds in times of personal
> crisis, and to address issues of intergenerational equity—deciding whether
> UBC assets should be inherited or redistributed—to maintain fairness across
> society.
>
> In many ways it has all the challenges that Manu pointed out about UBI,
> but as I said I feel "it scratches an itch", a twist on UBI that I'd never
> heard of before. Possibly combined with ideas from some other UBI variants
> (like voluntary UBI) it could be poweful.
>
> -- Christopher Allen
>