Bitcoin based UBI encourages transparency, long-term thinking, says Jack Dorsey
Jack Dorsey, Twitter
co-founder and Block (previously Square) CEO, recently spoke with Aarika
Rhodes, a full-time elementary school teacher and US congressional candidate
about the possibility of a Bitcoin (BTC)-based universal basic income (UBI).
Start Small, Dorsey's initiative to experiment with universal basic income, has invested over $55 million in the United States and overseas. Dorsey believes that crypto's fundamental structure can help to remedy many of the issues associated with fiat currencies.
Dorsey criticized the existing centralized financial system for its lack of transparency.
"Obscurity of information forces and incentivizes people to negative (financial) behaviors that don’t work for them, their community or family.”
He adds, “If there’s one thing to focus on in Bitcoin — the operations are transparent, the code is transparent, the policy is transparent.”
Dorsey plans to create a tiny, closed-loop community of merchants and sellers to discover whether these Bitcoin rules can be deployed on a large scale if people enjoy it.
The chief executive of Twitter said that adopting Bitcoin inculcates a long-term sense of thinking. However, he said that as this experiment unfolds, his scepticism becomes less significant about the prospect of a BTC-powered universal basic income.
The congressional candidate as well as a Bitcoin advocate, Rhodes believes that the use of Bitcoin can reduce banking costs. The Lightning network, for example, can be used to make banking transactions cheaper.
Jack Dorsey also recognizes the downsides. He highlighted the inefficiencies of government policies, and how UBI can address these challenges.
Apparently, Dorsey thinks Mark Zuckerberg's Facebook (Meta) would have been better off using an open-ended protocol such as Bitcoin rather than creating its own currency, Diem.
The Twitter CEO said increasing BTC accessibility would also benefit many of Meta's voice-over IP and instant messaging services such as Facebook Messenger, Instagram, and WhatsApp, as reported by Cointelegraph.
CBW - External Analyst