Requirements for Self-Sustainable Blockchain, Part 7

[CONFIRM™ with Spiral Dynamics, AQAL]

I have been writing a series of articles about why self-sustainability is necessary for blockchain platforms and cryptocurrency, and what good properties of self-sustainability are in a main-net. This is the last one of the series.
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  1. Introduction

In the previous two parts of this series, AI-DPoC and CONFIRM™ were both introduced as a means to attain self-sustainability, the goal of the EcoVerse ecosystem. The problems with traditional blockchain cryptocurrency that AI-DPoC will solve are as follows:

· Unfair wealth distribution

· Poor performance

· Abstraction of decentralized ideology.

In Part 6 of the series, as part of the EcoVerse vision for creating a more advanced blockchain cryptocurrency ecosystem, we introduced AI-DPoC and our strategies to solve these problems:

· Establish an environment for daily use of cryptocurrency

· Mutual cooperation and balanced growth for dApp ecosystem

· Implementation of self-sustaining governance mechanisms

CONFIRM™ was introduced to implement these 3 tasks. It’s a methodology for designing an Incentive Compatibility-based mechanism. As EcoVerse pursues the Ubuntu “win-win” economy, this will help the dApp ecosystem achieve long-term growth.

2. Components of CONFIRM™

2.1. Mechanism Design Theory

Before discussing CONFIRM™ any further, it is necessary to have an understanding of Mechanism Design and Incentive Compatibility. First we’ll talk about Mechanism Design. When a game developer who does not have much information designs a game against an economic entity that has a lot of information, Mechanism Design is referring to how the designer designs a way to ensure that the outcome of the game goes in his favor. The difference here is that if game theory is interested in what individuals do when the rules of the game are provided, and mechanism design theory focuses on how to set the rules of the game. Mechanism design theory assumes that people will prioritize their own interests, so it explains best how policies or institutions can be designed to minimize conflict of interests and achieve socially desirable goals.

There are plenty examples to illustrate this. Let’s say there is a cake and two persons, A and B. How will the cake be divided in a fair way? One method is that A has the right to cut the cake in equal halves, and B has the right to choose the first piece. B would be satisfied with this method and the result is fair. In other words, by designing a policy’s implementation procedures and methods, the mechanism design methodology enables a specific, desired outcome.

Another example of mechanism design comes from the Chinese idiom “three in the morning, four in the evening” 朝三暮四: In this Chinese folktale, a man, who must reduce how much he feeds his monkeys, uses a trick of speech to convince them to be satisfied with less food. While this story is usually referenced as a means to deceive a foolish group of people, I think it can be used as a good example of mechanism design. Mechanism design produces a desired policy without force, in which stakeholders are allowed to choose their own implementation methods and achieve their goals. As such, mechanism design plays a very important role in helping a social system function well.

2.2. Incentive Compatibility

The basic premise of mechanism design is that individual incentives should be respected so that a society can function effectively, but in reality it is difficult for members to come to a consensus. Even for the design of a simple system, many variables, such as an individual’s personal circumstances, must be taken into consideration. If a design is based on a person’s false reports, fundamental problems will arise. So it is crucial that a healthy functioning economic system is “incentive compatible”, in that it provides incentives for people to report and act honestly.

In addition to the economic system, incentive compatibility must be reflected in the design schemes such as voting, auctions, and contracts, so that people will voluntarily participate. In this way, mechanism design is optimal for incentive compatibility.

2.3. Spiral Dynamics & AQAL

As mentioned before, the core of Mechanism Design is design and implementation of a system that optimizes incentive compatibility. But here we must talk about the problem of desire: Incentive is ultimately about satisfying human desires. With this in mind, the EcoVerse™ team thinks that a cryptocurrency project that focuses only on technology and ignores human desires is useless.

Revolutionaries often forget, or do not like to recognize, that one wants and makes revolutions out of desire, not duty.” These words, written in Deleuze and Guattari’s Anti-Oedipus, are used as the opener in the EcoVerse™ Manifesto. As such, the EcoVerse™ project aims to develop a blockchain system that, from the outset, optimizes the fulfillment of human desire through cryptocurrency. Only then can members, through voluntary participation, form a network that is self-sustainable.

Human desire is as diverse as the human population. There is no way to satisfy each desire 100%. If one were to categorize these desires, however, it is possible to design common incentives that are optimized for each. Incentive design optimized for each individual can be achieved by using Big Data analysis and Artificial Intelligence tools. All dApps built into the EcoVerse ™ dApp ecosystem will provide an optimized Incentive Curation Service for all users through the Incentive Design and Support System provided on the EcoVerse ™ dApp World platform. As users choose their own incentive, it will improve user satisfaction, lead to active participation, and ultimately create a sustainable ecosystem.

CONFIRM™ is a dApp business support model based on an incentive design system aimed at meeting the individual needs of each person. These optimized incentives are based on the following theory:

“Ninety-five percent of thought, emotion, and learning occur in the unconscious mind — that is, without our awareness” and that unconsciousness is a source for marketing. — Gerald Zaltman, Professor Emeritus at Harvard Business School

Designing an Incentive optimized for a broad range of needs first requires dealing with the origins and development of desire, as well as the unconscious behavior and reward psychology of development. In this process, to enhance incentive compatibility, the design must incorporate the mechanism of unconsciousness that affects behavior, feeling, and judgment. In this manner, CONFIRM™ was incorporated into the design by categorizing the logic systems and components of unconsciousness according to Carl Jung’s study on social, evolutionary, and depth psychologies as well as behavior economics. Also reflected in the design is how human behavior and the resulting rewards psychology works differently according to the inherited human type and subsequent cognitive development stages.

The classification of human types will be based on Carl Jung’s typology, and will increase universality and accuracy by referring to the Enneagram, MBTI, and human design. Integral Theory’s Spiral Dynamics Value Meme and AQAL are applied accordingly, using these learned behaviors and world views. Based on the study by Professor Clare Graves, the Spiral Dynamics Value Meme theory, created by Dr. Don Beck and Dr. Chris Cowan in the 1990s, was used as an approach to building a system that identifies the world views and values that form according to the development process and level of individuals and groups. Using this theory, CONFIRM ™ will be able to understand how individual and group desires and values ​​work, and will design an incentive that can best meet these needs. It is also possible to use this theoretical model to solve problems even if there is a clash of values and desires. For example, it could broaden the narrow criteria of judgement that contribute to problems such as conferencing or conflicts. For example, it can broaden narrow judging criteria that may cause problems such as abuse and conflict.

[The right side represents each level’s core desire or motivation. The left side represents each level’s social state as reflected in its world view]

AQAL (All Quadrants All Level), the core of Ken Wilber’s Integral Theory, is applied to the interaction mechanisms of individual and group behaviors, and culture and system areas, including the psychological factors of the individual behavior (eg. human type, cognitive development level).

AQAL is a compound word of AQ and AL that shows all areas and levels of consciousness.

  • AQ reveals the four quadrants of the universe, including objects and groups, visible and invisible.
  • AL represents consciousness and unconsciousness, the hierarchy of desire, development line and condition, and characteristics of each step/level.
[The stage of development of human consciousness seen in 4 quadrants (Ken Wilber, “A Theory of Everything” p.70)]

By applying the Spiral Dynamics Value Meme and AQAL theories, the EcoVerse™ dApp ecosystem is able to achieve sustainable growth — users’ voluntary participation — by enabling the design of an appropriate incentive mechanism for the behaviors of individuals and groups.

2.4. CONFIRM™ and dApp Business Model Support

The EcoVerse™ dApp ecosystem will utilize CONFIRM™ as a framework to maximize the synergy between the dApp World business models. The application of the MECE (Mutually Exclusive Collectively Exhaustive) method will help select dApp World™ business models in any field, while AQAL ensures that the business models are not duplicated or omitted. Database mining and sharing will be devised to facilitate exchanges and collaboration between business models. For example, linking healthcare, the green meme’s non-profit (public interest) business model, with concierge service, the orange meme’s profitability business model, creates a shared economy model of goodwill and concierge services. While these models may not appear profitable in the short term, increased participation rates and continuous activity will create long-term benefits for the whole ecosystem.

[dApp World Framework]

In conclusion, CONFIRM ™, based on Jungian Psychology, Spiral Dynamics Value Meme theory, and AQAL theory, will be the driving force behind the evolution of EcoVerse ™ dApp ecosystem into one that ensures long-term self-sustainability by maximizing the convergence of all participants’ desires.

This article has been translated from its original Korean text, viewable on Steemit:


[1] Youngwhan Nick Lee. Requirements for Self-Sustainable Blockchain, Part 1.

[2] Youngwhan Nick Lee. Requirements for Self-Sustainable Blockchain, Part 2.

[3] Youngwhan Nick Lee. Requirements for Self-Sustainable Blockchain, Part 3.

[4] Youngwhan Nick Lee. Requirements for Self-Sustainable Blockchain, Part 4.

[5] Youngwhan Nick Lee. Requirements for Self-Sustainable Blockchain, Part 5.

[6] Youngwhan Nick Lee. Requirements for Self-Sustainable Blockchain, Part 6.

[7] EcoVerse Whitepaper.

Requirements for Self-Sustainable Blockchain, Part 7 was originally published in Data Driven Investor on Medium, where people are continuing the conversation by highlighting and responding to this story.