We can no longer say Money doesn’t grow on Trees…
Look this point cannot be stated enough, as a project with a highly intuitive brand for a currency we do not wish to compete in the small undersized realm of the crypto world. We wish to take our platform straight to the hearts and minds of mainstream consumers in the real world. The world where no crypto community so far has gone or has been able to go (not even the current love child Ethereum). The world where trillion dollar market caps exist and real currencies play.
Look we understand that the crypto world now has its own politics and it must be stated from the outset that our purpose is not to seek fleeting approval from these new crypto-elite who think they are somehow different from the Fiat elites. Our main purpose is to seek our approval from the People or We The People as we say in America. In other words our purpose is to be a mainstream digital currency that is used or can be used everyday for commerce and other daily banking activities by mainstream consumers.
And in order to do that one needs stability of its crypto unit against the current market leaders. As described in part 1 there is a carefully thought out road map that will get us to a 1 trillion Sollar economy. At some point on the road there includes Sollars and Sense switching from being a UIA, that is manually pegged to the Dollar, to being its own independent DAC where its stability to the Dollar is automated with no human involvement. One can rail against the evils of the current market leaders such as the Dollar, Yuan, Euro and so forth, but if you want to change minds you have to first be stable. Its basic economics here people.
With this in mind the Sollars and Sense DAC will have two main economic units that work to mimic the United States government’s funding of itself as a country. Those units are of course the Sollar Bond and Sollars and $ense the currency of the system. Compared to current blockchain technologies the Sollar Bond is most similar to Bitshares, while Sollars and Sense in this conceptualization would contain an economic model and stability algorithm more in line with Emunie’s stability technology.
As Bitshares and other stability platforms have proven, having the two types of units playing two different economic roles allows us to divorce the speculation and appreciating asset from the everyday currency asset. The Sollar bond takes the role of appreciating and speculative asset while it has not been redeemed (Bitshares,NuShares, Bitcoin). And Sollars and Sense plays the stable money unit of the system that can be used everyday (emunie, nubits, BitUSD, Tether). Platforms like Bitshares have already proven the two unit model works and we will look to continue that tradition with a slightly different vision for how the DAC should be implemented and evangelized.
Choosing A Stability Mechanism – Balance
The reason why Sollars will take on a role more in line with emunie’s stability mechanism than a stabilizing mechanism such as BitUSD with BitShares is that we do not want the long term value of Sollars to be specifically and unequivocally tied to the Dollar. Therefore having the market peg of BitUSD be its main mechanism for creation and stability is not desirable. But the BitUSD mechanism for creation can serve another crucial role in this type of system when it comes to Sollars and Sense. That role is being a sort of quasi-FDIC insurance policy for all Sollar deposits in the system. This is specifically when it comes to exchanging in and out of the system, not security of money deposits. This means when consumers enter and exit our system they are always guaranteed to do it at the very least a 1-1 exchange engraining that crucial and psychological notion that there is no difference between a Dollar or a Sollar.
Consumers will already be acquainted with this psychological notion far before the DAC’s official implementation as they will have to purchase it at a 1-1 exchange when it is a UIA (if they are not earning it in other ways). This psychological notion begins with our KickStarter. But this DAC’s configuration will continue that notion and cement it. When this notion is created it is then up to us to march our asses out of Hollywood (where we start) and into the rest of the world where it makes $ense for the currency to go economically. The system would fund this decentralized insurance policy when new Sollars and Sollar Bonds are created. A percentage of both creations would go into a system wide fund (essentially Smart Contract) that is specifically meant to insure the system with again the BitUSD type mechanism.
So what have we learned here today about the basics of the future Sollars and Sense Money Tree (DAC)? We know that when new supply is created, according to this stability economic model, part of it will go to the decentralized bond fund. This fund is essentially a smart contract that lives on the Money Tree (block chain) and will use the BitUSD type pegging mechanism to insure itself against the current market leaders in currencies (specifically the American Dollar).
Also when Sollars and Sense is its own DAC its economics will be configured for mass adoption of its currency unit by mainstream consumers. This means it will not be Bitcoin it will not be deflationary but will be much more in line with platforms like Bitshares/BitUSD, NuShares/NuBits and Emunie/emu. We are aiming at mass adoption of its currency unit Sollars and Sense. We are already halfway there with the branding, our message and the smart start in Hollywood. The stable programmed economics will complete it.
These are the basic ideas and concepts behind Sollars and Sense having its own DAC. Some of them will change when it comes to technological implementation but our main goals and objectives will be the same. Being a mainstream digital currency for mainstream consumers. But in order to do that right now Sollars does not need to have its own DAC instead it needs to change Hollywood as a simple UIA to show consumers a clear example of the power of New Money technologies. If you want access to that future Money Tree’s value now. Then it is time to get involved with the token to start it all…
In our next section we will dive into the token certificate we will be using to represent Sollar SSS Bonds today for individuals who see the opportunity in this New Money vision.