Virtual Economies: Why They Are The Key To Overcoming Income Inequality

It is widely recognized that the income and wealth inequality around the world is reaching unsustainable levels. Basically we are looking at two classes of people: the rich and the poor. Third world nations have been burdened with debt, keeping them under the thumb of the richer countries. In those nations, the rich are controlling more of the pie as the middle class is wiped out.

We basically live in three worlds. There is the physical world which is made up of all that we can see. We have the real world which is all the things that are not physical but are an accepted part such as laws, corporations, and culture. And finally, we have the virtual world.

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Over the last couple decades. many aspects of the virtual world became accepted as real since they are such a major part of our lives.

The challenge with the way the present system is the fact that the elites own most of the physical and real world assets. They control the natural resources such as land, food, and minerals. At the same time, their ownership of the financial system through corporations, bonds, and other assets means that very little is left for everyone else. Either we are looking at finite resources (as in the physical) or the fact that we are not able to participate (as in real world resources). This has evolved into the virtual worlds with the "ownership" of the Internet by a few companies.

Virtual economies are the answer to this. More specifically, decentralized virtual economies. They will provide the solution to income inequality and allow billions of people to change their financial state in a short period of time.

The key here is to create millions, and then billions, of virtual economies. We have a tendency to want to look at things through a centralized lens, meaning bigger is better. That is a dangerous step when dealing with a very powerful foe which the elites are.

Centralization allows for the few to control the many. This is rather obvious when we look at governments and our legal system. Unfortunately, it also bled over into our virtual worlds. Today, virtual economies are, for the most part, controlled.

One of the largest is Minecraft. This quickly becomes a very popular game and, over the years, amassed a user base into the hundreds of millions. However, this particular game is owned by MIcrosoft.

Governments are also looking to exert control over virtual economies. To start, they want their piece of the action by taxing what takes place. The government, true to its history, believes that everything falls under its control. Anything new is instantly theirs to profit from.

They also want to regulate things to "protect the people". I put this in quotes because this is really a bullcrap statement. Regulators excel at protecting incumbents and the status quo. They are there to protect those who finance their operations. Guess who tends to do that.

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Thus, the only solution is to go far and wide. One of the major benefits to decentralization is the fact that it eliminates the single point of access. As more is developed, there are more options for individuals. If one aspect is taken down, there are others.

Cryptocurrency offers an incredible solution since anyone is able to create currency. The opportunities to transfer values using millions of different tokens is something that cannot be stressed enough. While all the focus is upon Bitcoin and its march to hundreds of thousands of dollars per coin, the real value is going to come from the millions of projects going unnoticed. That is where freedom lies.

Digital assets can provide enormous value, thus generating great wealth. It is a foundation for people looking at getting out of extreme poverty. This is also a tactic that will help to alter the breakdown of power.

As people accumulate more wealth through the growth of virtual economies, some of that money can be used to amass more in the physical and real worlds. This is why the bridge between them is vital. It is also the reason why the governments and other assorted entities are looking to keep them separate. Notice how in game tokens are meant to remain there. The ability to convert them into real world assets is dangerous.

Anything that is on the radar becomes a target. We know the present power brokers will do anything they can to remain in place. This is something that we learned all throughout history.

Therefore, stealth and rapid action is our ally. One of the biggest benefits to the virtual world is the pace at which is can expand. Presently, we are seeing many new projects come online each day. The cryptocurrency (digital asset) world is growing enormously. Even the fork of Steem which created Hive ended up producing more combined wealth than was present before. This is before we account for all the new projects.

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Decentralized virtual economies give control back to individual communities. People who were hindered from benefiting under the existing system suddenly find themselves empowered through the freedom to excel. Anyone can enter a virtual economy and partake. There are no favorites upon entry. One simply needs to get involved in whatever the base premise is. Whether it is gaming, social media, trading, or investing, all are welcome regardless of where they are from.

On top of that, each is free to create whatever economy is seen fit. People can band together and develop something totally new. There is nothing that says one has to join something that already exists.

Innovation and creativity are key. Over time, we can see millions of developments coming from all corners of the globe. All will have monetary potential. Those that serve the needs of a certain amount of people will have value.

Economies are not created by governments or even corporations. It is individuals who are the ones who power them. This is a point that governments around the world (as well as central banks) forgot. They believe they can control them by passing regulation or manipulating the fiscal policy. In the end, we end up seeing how impotent these organizations truly are.

The near limitlessness of the virtual world means that we are able to see a massive explosion that can benefit the 7 trillion people on the planet. Basically, the two things that cannot take place in this realm are human reproduction and feeding ourselves (at least at this time). Outside of that, most everything else can be digitized and placed into the virtual economy.

We talk about the global economy in trillions of dollars. The potential of the virtual world can quickly take us into quadrillions. At present, about 35% of the world is still not on the Internet. We also see more than 5.5 billion who are not in the financial system since they do not have access to reliable banking services.

This creates a situation where most of the planet is omitted from being part of the global economy. If we could create trillions with only 20% of the population partaking, what can we see if all of humanity is involved?

We have the opportunity to create an entirely new system through the development of millions of virtual economies. The ability to monetize most any digital transaction is likely the basis for enormous wealth in the future.

By decentralizing in a grassroots fashion, we see the ability to empower all individuals to partake.

And this is something that scares the daylights out of those in power.

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