EQUID WHITE
S EPTEMBER
P APER
2016
Executive Summary
The world economy is stagnating as humanity reaches the limits of capitalism to
create wealth and income equality. Despite developing the technology to do incredible things in transportation, health care, communication and energy, we are
no longer seeing measurable improvements in the quality of life for the average
worker.
Humanity faces a conundrum: How can we improve our quality of life while consuming less and decreasing our impact on the environment?
The answers lie in our money system. Who creates money? How is the quantity controlled? And how does it get
injected into the economy?
The money system is ripe for disruption. So far, digital currencies like Bitcoin and Ethereum have begun to chip away
at the seemingly untouchable monetary system, but they
have not yet shaken the foundation. The underlying technology behind digital currencies, the blockchain, doesn’t
represent a drastic shift from the current Automated
Clearing House (ACH) system that all credit cards and debit
cards currently rely on. Sure, the blockchain is more efficient than the ACH, but due to the way it is injected, it doesn’t stimulate the economy.
How can we improve our quality
of life while consuming less and
eQuid provides a solution. The redecreasing our impact on the enal power to initiate change lies in the
vironment?
way currency is created and injected
into the economy. This is the nut at
the very core of the eQuid mission. We provide a platform for new currencies with
specific goals to seamlessly be injected into the economy through labor, resulting
in job security and a healthier, cleaner planet.
All we need is participation.
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Table of Contents
Digital currency: a game
changer……………………....4
What is traditional currency
good at?...................................5
Where does traditional currency fall short?....................5
What can digital currency
do?...............................................6
How is eQuid different?....6
How does eQuid work?....7
How do I join eQuid?.........9
How do I participate in the
pre-sale?..................................10
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Digital currency: a game changer
Why do humans harm the environment? Does anyone actually want to see fossil
fuels depleted, endangered species go extinct or the temperature increase?
These questions started Garth Wells on a journey that led to the creation of eQuid
in the early 2000s. After much research, observation, and pontificating, Wells concluded that we the people do this because we don’t have a choice. We do whatever it takes to survive, whether that means buying products made through unsustainable processes or subsistence hunting endangered wildlife in order to eat.
When we measure success in money, the economy focuses on profitable ventures,
neglecting the unprofitable sectors of health care, education and planet care.
Some companies are starting to embrace the concept of the triple bottom line,
looking out for people and the planet
as well as profit. But as long as the
source of their capital comes in the
form of a loan, they will always be
hamstrung by the need to create a
profit, leaving the end goals of people
and planet at the mercy of the profit.
And while governments play a small
role in regulating planet care, they
cannot afford to actively fund the
work needed to protect the planet.
But digital currency, and the invention of secure and
cheap peer-to-peer transactions, is changing the game.
This transaction technology opens a world of possibilities for implementing a
money system that can launch us into a new era of prosperity. Digital currency
offers a solution from the private sector, with a decentralized currency that can incentivize previously unprofitable activities and allow us to put back more than we
take.
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What is traditional currency good at?
Traditional money has had an undeniably positive overall impact on the world
economy thus far. The industrial revolution, unbelievable advances in productivity
through robotics, and many life-saving health care discoveries all owe their creation to the motivation of a capitalistic society seeking increased profit.
The current monetary
system exists through the
cooperation of banks and
governments, who regulate and verify money creation and money transactions, all of which helps
companies produce consumer goods and services
and advance their goals.
It has also paved the way
for technology advances
that allow humans to produce more goods with less effort, and it raises the question: Will there always be enough work to go around?
Where does traditional currency fall short?
Look at the two primary players in the current monetary system: banks and governments. Banks, in search of a profit, can’t make loans to companies unless those
companies can produce a profit, so the banking system leaves unprofitable—but
desperately needed—services out in the cold.
Government has a limited set of tools for impacting the economy through money.
They can borrow and spend on infrastructure and human services while putting
the burden of interest payments on taxpayers, but the system is unsustainable in
the long term. Unfortunately, this debt-based money system of banks cannot sustainably create jobs whose chief objective is to invest in human and natural resources.
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What can digital currency do?
Digital currency puts the power to create and regulate money into the hands of
the people. Many innovators have responded by creating a variety of currencies
that focus on the almost-free transactions, calling their currency the new ‘digital
cash.’ If a small business were to adopt Bitcoin as a valid payment option, it could
save money on transaction fees associated with credit and debit cards. Digital currency also provides transparency — every transaction is recorded publicly — and accountability for
all users of the currency. Banks are most interested in this aspect of the technology, because it
promises a way to lower their costs, and their customers’ costs.
But the real power of digital currency lies in experimenting with the new ways currency can be generated. Bitcoin models itself after gold, rewarding
digital “miners” with units of Bitcoin if they successfully “find” more by solving complicated math
problems, a time consuming process that requires
expensive hardware. The theory behind Bitcoin is
that if it’s difficult to mine coins, they will be valuable by virtue of their scarcity and the amount of
work they represent.
To a limited extent, Bitcoin has created new jobs:
skilled coders can buy the hardware and download
the software and begin mining, and earn Bitcoins
in exchange for their time.
How is eQuid different?
eQuid taps into the power of digital currencies to
create jobs and impact the planet for good. eQuid
is built on a similar block chain technology enabling secure peer-to-peer transactions as other
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Earning v. Mining
A core difference between
eQuid and other digital currencies is
the concept of “earning coins into
existence.” If you’re familiar with
Bitcoins, you know they are “mined
into existence,” a difficult, timeconsuming process requiring both
know-how and proper equipment.
The effort justifies the value of the
coin.
eQuid-affiliated coins will be
earned by employees of private
companies under the eQuid platform to tackle humanitarian challenges. Work will be completed,
and payment will be received, in the
form of the coin operated by the
company. The finished work, which
solves real-world problems, justifies
the value of the coin.
The mining process is also integral to the smooth operation of the
Bitcoin system, but it falls short of
the promise of digital currency: it
does not automatically inject new
capital into the economy.
By contrast, when money is
earned into existence under the
eQuid system, it stimulates the
economy by providing capital to
fund necessary work without draining capital from other existing necessary projects.
digital currencies, but instead of mining coins into existence through difficult coding, eQuid members can earn coins that didn’t yet exist (earn them into existence)
by performing work that enhances the welfare of people and the planet.
eQuid will do this through not just one currency, but an entire network of currencies built and maintained by private companies that meet the strict guidelines of
the eQuid platform. Much like Bitcoin, which has spawned the creation of multiple
coding teams each with different strategies for mining coins into existence, eQuid
will trigger the creation of multiple
companies with different tactics for
earning coins into existence.
Unlike most digital currencies, which
simply mimic existing currencies or
commodities, and can only be used in
limited circles to pay for goods and
services, eQuid will completely disrupt
the money system.
How does eQuid work?
As an organization, eQuid provides the platform for members to create new currencies, earn coins, and perform secure financial transactions. eQuid will develop
this platform with the proceeds from the launch of its flagship currency. Once that
currency is established, eQuid will move into its regulatory role to oversee transactions and the creation of other
eQuid will completely disrupt currencies.
the money system.
Our job is to make sure that the user experience when making transactions is as easy as or easier than our current
technology. Making purchases with eQuid should feel similar to using a debit card
or using PayPal, and whenever possible, will use existing infrastructure (card readers and processing software). Anticipating the increased focus on using
smartphones to make payments, eQuid will develop a secure payment method for
smartphones.
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eQuid will also support entrepreneurs in creating new currencies with specific
goals. Those goals could include providing better health care, better dental care,
educational support services, or any other humanitarian effort.
Case Study: Tim is an entrepreneur and he has a great idea for
a business that creates jobs and
is good for the planet. This fits
the eQuid criteria, and he is
willing to follow the 10 to 1 pay
ratio rule. Tim has two options:
get funded by an existing coin
or start his own coin. Either
way, his first step is to get users
to agree to accept his business.
The number of users required is
much fewer if funded by an existing coin. Once he gathers
enough support he will be
funded and can get to work. If
he reaches his milestones as
stated he will continue to be
funded.
To qualify to create a currency, the company
must meet eQuid’s criteria: 1) participate in
open accounting, 2) operate with no more than
a 10 to one ratio pay discrepancy between the
highest paid and lowest paid employee, 3) present a valid plan for accomplishing its goals for
the planet or people, 4) meet its own established milestones for that work and 5) maintain
a minimum membership threshold.
Some currencies might resemble company
stocks while others will resemble grants and
some will be similar to insurance. The private
company is set with the task of controlling the
quantity and injecting it into the economy in a
way that will achieve its primary purpose. For
example, the first currency created will be the
original eQuid, a currency designed to build a
trade infrastructure that creates jobs and helps
the environment. This will resemble a stock.
Ocean coin, which resembles a grant, would invest in infrastructure to ensure we have clean
oceans. And dental coin, functioning like insurance, would make it possible for everyone to receive excellent dental care for a nominal month-
ly payment.
To join as a coin creator, a private company must submit an application and plan.
If the plan meets the criteria, the user will begin promoting the coin within the
eQuid network. When the coin gains enough interested followers, the currency
will launch. The company is then on the hook to accomplish the goals they set and
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keep their minimum followers in order to keep going. If the company doesn’t
meet its goals or breaches the network rules, it will lose its license to create new
coins and be dissolved or sold, while the existing coins remain in the system.
How do I join eQuid as a user?
Joining eQuid is free for everyone. The power to transform the world economy
grows with each user that joins the system.
Joining eQuid is completely free.
When the network is live, an
individual can create an account and begin using it like any other debit account. A
user can invest in multiple currencies, similar to holding a diversified stock portfolio. The total value of the portfolio can be expressed in its equivalent in dollars,
based on the market value of those coins. But instead of having to sell stocks in
order to get a form of currency usable at most vendors, the coins themselves can
be freely traded with vendors who accept them as payment.
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