Iolynet [ʒɔ.li-nɛt]

stands for "pretty neat" and staying true to one's name it endeavours to be an elegantly simple and transparent platform for an alternative medium of exchange. Designed with one goal in mind - to curb growing wealth inequality in the world - it tackles one of the most complex problems in the economy.

Check the full story below

Zeitgeist of the last decade

  • Despite growing environmental awareness resources are consumed at the record pace.
  • Wealthier countries experiment with basic income while others are coping with hyperinflation.
  • For a large part of world's population migration is a more accessible option to succeed than a hard work or education.
  • Social networks allow us to connect with each other like never before, yet nations are more and more divided by social and political views.
  • Class struggle intensifies as individuals are feeling left out by the ongoing Fourth Industrial Revolution.
  • Interest in cryptocurrencies skyrockets; believers in technology become dwarfed by the profit seekers.
  • People self-verify more in their wealth position rather than their skills or personality.
  • We lose trust in governments and each other.

Presentiment

Today with the help of mass media and social networks an ordinary citizen is much more aware of wealth distribution imbalance and as a result, a high psychological burden emerges upon our society. Growing inequality becomes identified as one the greatest problems humanity will face in the current millennium as (if not dealt with) it is bound to cause general unhappiness, prevalent sense of unfairness, civil unrest, and poverty.

Straightforward programs created to cope with it are failing as any redistributed money eventually forms basically the same pattern. Trying to find a working solution suddenly becomes a very complex task. It seems that the problem is actually hardcoded in the economy and one of the reasons might be the aspects of money in use.

Insight

The present economic system was shaped to support growth and because of that, a need for increasing money supply emerged. Currently, a lot of the newly created money goes to the debt management. Consequently, we may say that most of a currency in the world is covered by the trust to pay off debts. It might appear as a negative trait but essentially it is neutral and actually provides more flexibility than any currency based on a gold standard.

The dark side is that largest creditors are represented by a comparably small number of institutions. These institutions are in a position of great power to not only make direct profits but eventually also control other aspects of our lives like mortgage loans, student loans, social security, pension funds, health insurance, energy sector, etc. Observations show that status quo maintains itself and to change it a paradigm shift is necessary.

Idea

In order to solve complex problems, science often tries to simplify them by removing unimportant details and making approximations where possible. One of the most obvious observations is that any economy is powered by the people. People are the best representation of strength and potential, and while technological advantage or natural resources play an important role as well, their potential should mostly be realized through trade.

Accordingly, it would not be outrageous to approximate whole economy to the people alone. By taking other variables out of the equation we make a playground fairer as advanced players are still allowed to outplay others by trade or debt but it is harder to achieve both at the same time (loan money to someone who then spends it to pay for your goods). This together with an aspiration to have authority independent and transparent quantity of money led to the idea of a system in which money supply is only tied to the number of members. Correspondingly, every person is trusted to be a creditor as entire newly created medium of exchange is distributed among them. Governments in need to borrow could simply crowdfund a loan with the help of their citizens.

Approach

The distributed new medium can also be considered as a basic income. As such, its buying power is totally dependant on economic growth and wealth distribution of the system and is not mandatory to provide a livable income; albeit it should adjust itself and stabilize the whole system by encouraging members to be more active during stagnation (to cover their minimal needs) and distribute growth more equally in prosperous times.

By attaching a high but constant inflation rate to the basic income we can also devalue past earnings at a faster rate without destabilizing the system. All of this can be outlined by the mechanics which highly values innovation and economic activity, also provides better and more equal starting positions for everyone around the world.

Mechanics

Iolynet takes aforementioned ideas and turns them into a set of rules to create simple mechanics. Every week starting from 2018-01-18 a new issue of base income is assigned to the members' live accounts. Initial size is 2718 tokens called mediums (ɱ). Base income increases every weak by 0.31416 percent. 1/2768 of current weeks base income is called an atom (α). For simplicity's sake prices, wages, and loans may be tied to the atom rather than the medium. Atom represents a fee of a single transfer of medium, thus a minimum transfer amount is always equal to two atoms. After the transfer, this fee is immediately destroyed as it is in place only to prevent a possible load from the fake transfers.

The platform has no hidden founder's reward; initially, it should support itself from donations, later from exchange and credit services (members are encouraged to offer these services as well). Iolynet will keep evolving, yet main rules set in this section are not to be changed without a majority consent of the members.

Vision

Iolynet does not try to reinvent the wheel and create a completely new economy - it is supposed to thrive together with the same laws of the free market we are familiar with. However, it does introduce a new money supply solution designed to not only curb growing wealth inequality but also shift people's economic mindset back from earners to producers, creators, inventors, and artisans, eventually creating an environment where a trust and desire to invest in each other is much more rewarding than passivity and indifference.

Today Iolynet is far from a complete platform, it is nothing more than a small step but it just might be in the right direction. Ergo for the Iolynet greatest success lies not in acknowledgement or adoption but in the voice to inspire - inspire to never settle and continue working towards the greater common good.

Execution

If you like what Iolynet tries to achieve and want to support the development (which is currently run by a single person), you may do that on Patreon.

You are also welcome to join the Facebook group and help Iolynet evolve with your ideas and input. For news and updates please follow the Facebook page. Let's create the future of money together!

Timeline

Check a list of things in the works. Share your ideas on the Facebook group.

  • Verification

    Enable verification for live accounts

  • Login

    Introduce more login options

  • Exchange

    Exchange to/from crypto

  • API

    API for payments and exchange

  • Blockchain

    Decentralize simple accounts and all transactions

  • ...

    Your great idea

Join

Currently, anyone holding a Facebook account may join Iolynet; more authentication methods will be added in the future.

Ambassadors

Become Iolynet ambassador and help spread the idea around the world. Everyone is welcome to join, click here to apply.

Mindaugas Simonavičius

Eurasia

Jevgenij Zagoniajev

Dubai

Ugnė

Lithuania

Click here to meet more Iolynet ambassadors!