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domingo, 2 de junho de 2019

Tackling the 'culture' conundrum

Coindesk Weekly
for the week ending June 2, 2019
Coindesk Weekly is sponsored by
Coindesk Weekly

Tackling toxicity head-on

Open conversation and honest is needed to confront the problem of cultural toxicity in the crypto ecosystem, writes Michael J. Casey.

Read more in THE TAKEAWAY below.

TOP TRENDS ON COINDESK

Some of the big stories this week on CoinDesk.com...

KIK CAMPAIGN:  Canada-based messaging app firm Kik has launched a crypto crowdfunding campaign to support a likely court battle with the U.S. Securities and Exchange Commission (SEC) over its ICO token, kin. The campaign, aimed to raise $5 million, is being launched in the hopes that “a lawsuit would eventually result in a new Howey test for crypto tokens, to determine which ones are a security,” according to Kik founder and CEO Ted Livingston. While Kik maintains that its token is used as a currency, the SEC has expressed concerns that kin might be a security and may seek an enforcement action against the firm.  Full story

PRESIDENTIAL APPEAL: A group of U.S. lawmakers have written an open letter to the National Economic Council and its head, Larry Kudlow, asking them to include blockchain on its list of emerging technology initiatives. The council, which directly advises U.S. President Donald Trump, is tasked with both informing his economic policies, as well as finding ways to further his goals.  Full story

NO CODING: Salesforce, the provider of cloud solutions for business management, has revealed its own blockchain solution built on the Hyperledger Sawtooth platform. The product, named Salesforce Blockchain, is aimed to help users build and maintain blockchain networks, apps and smart contracts, allowing them to “create and share blockchain objects in the same process as any CRM data object – with clicks, not code,” according to a press release. Several clients are already testing the product.  Full story

AUTO PLAY: U.S. insurance giants State Farm and USAA have entered advanced testing of a blockchain system that automates the time-consuming and paper-heavy processing of automobile claims. Announced Thursday, the companies developed this system using Quorum, the private enterprise version of ethereum created by JPMorgan Chase. State Farm disclosed the project was in early trials in December, but kept USAA’s involvement under wraps. Now, the firms are using real claims data and expect to go into production by the end of the year.  Full story
 
SEE ALL COINDESK STORIES
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QUOTE OF THE WEEK

Digital assets may evolve into an instrument that no longer needs to be regulated as such."
– SEC director of corporate finance William Hinman speaking last week about how crypto assets are capable of shifting from being a potential security to very clearly not being one.
 

The Takeaway

 

Let’s talk about bitcoin, toxicity and inclusiveness.


(Boy, my Twitter feed is going to fun over the next few days.)


To start with, let me take a position: I stand with those people, especially women, who’ve lately been calling out maltreatment from members of the bitcoin community and citing rude and abusive behavior as proof of that community’s lack of inclusiveness. These are people who believe in cryptocurrency technology's potential but feel discouraged to believe that they belong to the community’s dominant white-male subculture. If this technology is to fulfill its global potential, the community associated with it must confront this problem.


But the real point of this column is not to just defend these critics. It’s to debunk one of the more common positions adopted by those who take issue with their complaints, particularly on Twitter. In doing so, I hope to emphasize just how important the concepts of “community” and “culture” are to the healthy development of crypto technology and the ecosystem growing around it.


Hammer culture?


The line that’s most often thrown back at those calling out incivility is that bitcoin is nothing more than a technology, a tool, and that it’s meaningless to attach to it value judgments relating to human behavior. Bitcoin is amoral, apolitical and a-cultural, the argument goes, and like any technology it is used by good and bad people alike.

 
These pundits, warning of a political correctness-based threat to free speech, will then advise the injured party to take issue directly with the bad actors but refrain from agitating for community-wide change.


A perfect example of the genre came from outspoken lawyer Preston Byrne.


 
Clever, yes.  But it’s extremely unhelpful, because the examples given do not share equivalent terms of reference.

 
Byrne’s “hammer” refers solely to the steel implement that tradesmen use. By contrast, people complaining about “bitcoin” are clearly using the word in a much wider context than in merely  a reference to the code, to the ones and zeros that comprise the bitcoin protocol. They are inherently talking about the wider ecosystem and community gathered around the idea of bitcoin.


So, let’s equalize the terms, shall we? We can turn each of these nouns into a modifier of the word “community.”

 
While it might sound silly to talk about a “hammer community,” there may well be groups of hammer-obsessed souls who debate questions of design and ease of use at meetups and in chat rooms. If so, I’m going to guess that that community would probably also be predominantly male.


But the real issue is that such a hammer community is going to be far less important to the future design and evolution of hammer technology than bitcoin’s community is to its. I’m no expert, but I don’t see a great deal of change in hammer technology having occurred over the centuries and I’m not sure people expect much in the future. As such, we don’t see much jockeying among users to ensure that proposals for hammer upgrades are implemented and standardized to their preferred design.


By contrast, the open-source technology behind bitcoin is in a constant state of evolution. It is, by definition, under development, which is why we talk about the engineers who work on it as “developers,” not “custodians.” As such, there is a constant battle of interests over who gets to modify the code. Exhibit A: the block-size debate.


Counter-arguing that those who don’t like the process can just fork the code, as the large-blockers did, and set up their own new community, doesn’t cut it for me. Bitcoin is the brand that matters. Any newcomer will struggle to achieve the same network effects. Secession just isn’t viable for anyone who likes its current design but doesn’t like how its future is being defined.


Also, is there a “hammer ecosystem?” Maybe. But beyond producers of nails, and perhaps steel and rubber or wood suppliers, you can hardly call it a complex ecosystem.

 
Bitcoin, by contrast, which purports to reinvent the global system of money, has attracted an inherently vast array of different technology providers, all of whom have competing interests in how it is designed, managed and marketed to the world. I’m not just talking about businesses applications built on top of it, but also the developers of related encryption, payment channel, smart contract and other vitally important technologies, all of which are themselves in a constant state of flux.


(I’m guessing that the exhibition halls at hammer conventions don’t have quite the same spread of offerings as cryptocurrency events such as Consensus.)


Saying that bitcoin is nothing but a tool, is like saying that music is nothing but a system for ordering different audible tones.


Money = community


When Paul Vigna and I wrote The Age of Cryptocurrency, we spent a lot of time chronicling the emergence of the community that had formed around bitcoin, which we saw as fundamental to its success. It struck us that the notion of a bitcoin community was so prominent -- the "c" word was always being bandied about -- because bitcoin embodied a profound and sweeping social idea. It offered nothing less than a reinvention of money, a revolution in the entire system for coordinating human value exchange.


Money only works to the extent that there is widespread belief in it, that people buy into its core myth. Money, Felix Martin says, is a social technology, by which he means that its functionality and usability depend far less on the physical qualities of the token that represents it than on the collective agreement among large communities of people that their token captures, represents and communicates transferable value. This is true whether we’re talking about gold, dollar bills, entries in a bank account, or cryptocurrency.


By extension, then, for any form of money to succeed, it must sustain a vibrant, growing community.


Communities = culture


The thing about communities is that they inevitably develop cultures. In self-defining their boundaries of belonging, they develop shared ways of seeing and language -- akin to a kind of social protocol – that regulate (in a very unofficial, and quite subconscious way) their members’ behavior.


As they evolve, cultures can become more or less open, more or less inclusive, more or less abrasive in their treatment of outsiders. And inevitably, these cultural features will either encourage or impede the growth of the community.


All this should hardly be a revelation. Anthropology, the study of culture, is a globally widespread and influential field (one that is now appropriately turning its attention to cryptocurrency communities.)


Studies of U.S. culture, from Alexis de Tocqueville down, have rightly pointed to the inclusiveness of the founding fathers’ ideas as a key driver of its economic expansion. In fact, American culture is arguably its most important ingredient for success, a social manifestation of Joseph Nye’s notion of the United States’ “soft power.”


So, yes, bitcoin culture really, really matters. If the compelling ideas behind permissionless, peer-to-peer exchange and censorship-resistant money that attract people of all stripes to it are to retain those people’s interest and grow in influence, the bitcoin community needs to evolve a more inclusive culture.


The only way to do that is to spur the kind of open debates that have always driven the progress of human culture -- those which shifted norms and mores to the point that it became unacceptable to own slaves, to spit in public, or to jump a queue.


So, listen up, bitcoin. It’s time to confront your toxicity.
 


 
 

BEYOND COINDESK...


CITY SCAM: A man who said he was building a crypto city that would have bitcoin as its currency has been busted for selling land he didn’t own. According to Forbes, Morgan Rockcoons said the city, to be called Bitcointopia, would in  time secede from the U.S.  to become a tax-free, 1,000-acre community in Nevada. However, while the libertarian owned only 4.9 acres of land he took money from supporters for over 18 acres, the report says. Rockcoons is also in hot water for operating an unlicensed bitcoin exchange business.

SANCTIONS SIDE EFFECT: The FBI has said that North Korea carried out cybercrimes including  hacks and crypto malware attacks  to circumvent sanctions, according to U.S. broadcaster Voice of America. As reported by The Korea Herald, Tonya Ugoretz from the FBI’s cyber readiness, outreach and intelligence branch, said at an event this week: “Sanctions are having an economic impact, so cyber operations are a means to make money, whether it’s through cryptocurrency mining or bank theft.” The FBI is working to find ways to prevent crypto and fiat currency “going to places where it should not,” Ugoretz added.

TOKEN REWARDS: The U.K. city of Bristol is trialing a blockchain-based scheme that  rewards employees  for being more energy efficient. For the initiative, the city council has turned to a rewards platform from EnergyMine, Energy Live News says. Employees can either accept their crypto rewards and claim offers from partners of the initiative or donate the equivalent value to a registered charity.   

 

WHAT WE'VE BEEN UP TO

CoinDesk Meetups will host London Bitcoin Devs on Feb 6. Come and hear Eric Voskuil and James Chiang talk about their work on libbitcoin.

The leader in cryptocurrency news and events, CoinDesk has been following the world's first cryptocurrency closely since its earliest days, and this week, we launched our largest-ever offering – 40 pieces of original content – to mark the historic moment.

An unprecedented project that combines video, audio and text, Bitcoin At 10: Untold Stories is filled with history and reflections from scores of early adopters, evangelists and insiders, allowing you to relive the crypto revolution with a front-row seat.

Bitcoin at 10: Untold Stories includes...

VIDEO: A tipsy history with the man who coined the term 'HODL,' the bitcoin buzzword that's become a rallying cry throughout the crypto industry.

MEAN TWEETS: Bitcoin's biggest celebrities reading the pointed words of those who love to hate them on Twitter.

AUDIO: An interview with the man who has watched bitcoin die more than 300 times... and lived to tell the tale.

SPECIAL REPORTS: Deep dives into the stories that led to the creation of bitcoin's core technological innovations and the sometimes mysterious figures behind them.

LISTS: What are the best bitcoin memes? The best entries in its sprawling community lexicon? We'll be counting down the best of the decade.

But this is just the beginning. In the weeks and months ahead, we'll be publishing even more articles, videos and audio segments that put a spotlight on bitcoin, the world-changing software project that started it all.

FOLLOW OUR FEATURE: #BitcoinAt10 and view the series here.

We also recently launched a new Twitter feed, @CoinDeskMovers, documenting significant hires, departures and executive searches in the blockchain and crypto space. If you just got a new job in the industry, if you're hiring or you want to share a tip on a major personnel move, send the account a direct message or email marc@coindesk.com
 

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