Equity for using or consuming a product or service democratizes participation for anyone. You no longer have to put your hand in your pocket to take invest, you get ownership through use, and more for using or consuming it more.
The incentive to be an early adopter is massive:
- The more you buy or use the service, the higher your ownership stake
- The more you tell friends and family about it, the higher the value of the company and the shares you own, the faster the company grows.
People are incentivized to act as selfishly as possible — to increase their piece of the pie and how much it’s worth — which simultaneously grow the value for everyone else. This changes the entire financial system and the way companies are created and funded. It enables physical ICO’s where products are tokens of ownership while the consumer still gets the product to use and consume.
These are huge benefits for consumers
In the same way early bitcoin miners are now sitting on a treasure chest of value due to the monumental rise in the price of the asset, imagine having been one of the first users or driver for Uber under this model. Every ride gives you a tiny fraction of ownership is the service providing company.
You don’t have to imagine that for much longer
Stocks and shares will be disrupted by tokenization, where products become tiny fractions of equity in the manufacturing company.
Everyday purchasing behavior will result in equity for billions
This is exactly what we are about to do
The implications of this are the disruption of the stock market as we know it. Rather than the rewards being filtered to the few through dividends due to the choices actions and behaviors WE make, we could alter them to harness, influence and benefit from our own spending habits instead.
That means equity for grocery shoppers in every product they purchase from a supermarket. It means shares in the new brands of sparkling mineral water for millennials or for every image they send to their friends.
The more you buy, the more equity you have
The earlier you buy, the higher value of those initial shares
For me, it is as simple as this
We consume products with no inclination to wield the considerable power we have over these companies. We care whether they deploy methods of manufacture which are environmentally unsound, uses child labor, or exploits the privacy of citizens, so why do we let it happen?
We don’t change our behavior to punish them
We should and we must
Instead, we could receive equity in these businesses by changing the company we decide to buy products from. We could reward companies who create organic, recyclable products who pay the people who produce them a living wage. Rather than participating in a system that inflates the price of a product to cover the unfathomable cost of acquiring new customers — in other words, Billion Dollar CPG brands subsidizing the marketing industry — we could purchase from brands we know are working within the confines of moral and ethical decisions we approve and dictate to them.
We receive equity without having to claim a thing
Our data is measured, and when a certain thing happens, smart contracts are triggered which instantly transfer ownership to our wallets.
That’s not to say it’s simple or straight forward, only that it is possible due to the rise of blockchain technology. In order to achieve this new world order, we have to ensure that the equity from any tube of toothpaste, bottle of soda, or packet of chips was only claimed once.
We have to solve the double spend problem in the physical world which means ensuring with 100% accuracy that the person who bought the product is the person who receives the token of equity with 100% certainty.
To achieve that a level of granularity in data has to be achieved. We must have a mechanism to confirm any purchase made with cash or debit/credit cards.
We are finally here
Thinking about this in those terms effectively enables companies who produce physical product to hold initial coin offerings with their products, where the initial run could be sold at a higher cost. Purchasing choice becomes a proof of work algorithm computed in the physical world through consumer choice. The initial product sold at a higher cost than it will be in the future means that the first customers receive a higher stake of ownership, while the cost of the product lowers in the future.
The profit margin on each product would remain stable as the price of the product fell as the % of equity transferred with each product would fall with demand. Higher demand equals more product created meaning lower prices, meaning each product is worth less equity.
Profit would then be shared in the future with all token holders as per there stake of ownership ad infinitum.
We choose to buy these products because:
- they are ethically sourced and produced
- containers are recyclable
- labor is rewarded fairly
- we benefit from our purchasing behavior and power
- any other principal consensus dictates
Furthermore, this is a mechanism to fight human displacement in the labor market. Where these manufacturing jobs are replaced by machines, we establish a mechanism which rewards you with ownership in the underlying producers of these products no longer employing humans.
We insulate ourselves against the likelihood of monopolization by the few already in control
Make no mistake, this is the defacto endgame of human purchasing power, where a select few are overlords of the technology which produces every product and service we use and consume.