Preface

"Self-Custody Consensus System: Breaking Free from Traditional Capital Constraints, Unlocking a New Era of Investment and Financing."

The Meaning of Blockchain from an Internet-Centric Perspective

When we interact with our phones or computers, we deeply sense that the current internet primarily serves as an efficiency tool. This is particularly evident even in online meetings or debates. From a human-centric perspective, considering blockchain as part of internet technology, it seems it should similarly enhance efficiency, bringing convenience or enabling large-scale societal applications. However, current trends show that aside from speculative trading based on its concepts, the rationale for blockchain's existence appears unclear.

To better understand blockchain technology, we can argue from another perspective: "Blockchain did not emerge solely for applications; it emerged for the 'self-sovereignty' of the internet." Here, "self-sovereignty" refers to a network's ability to operate independently of centralized control and provide sovereign-like services based on its own capabilities. Take Bitcoin's sovereign network, for instance (despite its challenges)—owning a certain amount of Bitcoin provides a deeper understanding of blockchain's true implications in achieving internet sovereignty.

The internet needs blockchain just as it needs artificial intelligence—both are indispensable foundational elements in the Web3 era. Blockchain is the core technology for constructing programmable sovereignty in the Web3 internet, while artificial intelligence helps us engage with the internet through natural language. AI liberates our means of production, while blockchain, through its sovereign service capabilities, offers a self-custodial, decentralized trust mechanism for production resources. This, in turn, gives rise to new forms of social distribution and collaborative paradigms.

The development of Web1 and Web2 has largely been about creating efficiency tools for the real world. But if we think from the perspective of the internet as a native entity, what should the future of the internet look like? We can envision Web3 building a sovereign service network for the internet itself, enabled by blockchain technology and equipped with inherent "trust." Combined with artificial intelligence, this network will allow for natural semantic dialogue and interaction. Thus, the future of the internet is likely to be a super network with both self-sovereign service capabilities and natural interaction abilities—a parallel world that is both virtual and real to humans.

From this standpoint, we can clearly perceive that blockchain's core value lies in aiding the internet to achieve trustless "self-sovereignty" services, promoting decentralized self-custodial management and new collaborative distribution methods for societal means of production. Consensus algorithms, on-chain ledgers, incentive structures, and smart contracts are all programmable means to achieve self-sovereignty services.

Artificial Intelligence Will Accelerate the Dissolution of Capitalism

In its history of rapid development, internet technology has greatly enhanced the convenience of information exchange and commercial activities. People can now connect instantly on a global scale, significantly improving business operations and boosting market economies. However, with the breakthrough advancements and fast-paced development in general artificial intelligence, AI's application in productivity is gradually permeating various industries. AI can replace much of the repetitive and low-skill work traditionally done by humans. Intelligent algorithms are capable of simulating human communication patterns, processing vast amounts of data, conducting complex analyses, writing articles, generating code, creating videos, and executing basic process management tasks.

As automation advances and manufacturing costs decrease, driven by the maximization of capital profits, AI may gradually replace 50% to 80% of jobs. For instance, Alex, a senior programmer with over a decade of experience at a top tech company, found himself on the optimization list when the board decided to introduce AI agent services, leading to the elimination of nearly 50% to 60% of technical positions. Similarly, Linda faced unemployment in technology and financial analysis, Jenny was laid off in financial management, and Jack, as a freelance writer, saw declining compensation. These are all inevitable choices driven by capital cost reduction and efficiency enhancement. For example, in a certain country, if all 5 million taxi drivers were replaced by AI-driven vehicles, capital would reduce the original 70% of the total cost and optimize management to improve consumer experience, meaning that nearly 5 million blue-collar workers need to find new career paths.

In the face of profit, the capital-dominated "capital-employment" model will face significant impacts from AI. The "capital-employment" model is based on capital holding, controlling, and dominating most of the means of production, obtaining profits through surplus value from employees (blue-collar and white-collar workers), who depend on selling their labor for wage compensation in social collaborative distribution relationships. Since the Industrial Revolution, the "capital-employment" model has driven continuous societal progress as the mainstream cooperative distribution method. However, as AI increasingly accurately mimics human behavior and thinking, the trend of capital replacing a large number of employees with AI is irreversible.

This change will disrupt the employment-dominated distribution model, highlighting the growing contradictions between capital's pursuit of cost reduction and increased production efficiency and the declining social consumption capacity of employees. Society may temporarily lose balance, potentially accelerating the collapse of capitalism through AI. Meanwhile, the paradigm of social core means of production and productivity scheduling dominated by capital, including equipment, raw materials, and labor, is undergoing crucial transformations due to the continued development of the internet and the breakthroughs in AI.

Evolution: Exploring New Social Collaborative Distribution Relationships

Historical experience indicates that human society's development has always optimized production organization paradigms through the transformation of core means of production, thereby evolving into more suitable and scientific social collaborative distribution methods.

For example:

• During the agricultural and pastoral ages, land as the core means of production gave rise to the land-tenant model of social collaborative distribution.

• Entering the electricity and industrial ages, with capital dominating equipment, raw materials, and labor as core means of production, the capital-employment model under corporate organizational paradigms emerged as the mainstream social collaborative distribution relationship.

• Today, with the rapid development of the internet and artificial intelligence, computational power, data, and other elements are poised to become new core means of production. Consequently, will the capital-employment model gradually fade from societal mainstream, evolving into a more fair and scientific social collaborative distribution relationship?

Reflecting on the development of the internet, it's evident that the rise of numerous giant internet platform service systems has achieved great success by hosting producers' means of production. With the proliferation of these platform services, more people are abandoning traditional employment relationships in favor of this hosting method to establish new "labor relations." For instance, many short video platforms have attracted thousands of freelancers who earn income through the platform. However, current hosting models predominantly involve agent hosting rather than self-custody, posing challenges in ensuring fair protection of hosts' interests and potentially placing ordinary producers in more vulnerable positions compared to employment relationships.

This situation stems primarily from two reasons:

• These internet platform service systems still act as agents of capital, essentially functioning as agent hosting models with ongoing profit exploitation.

• The era where "computational power and data" serve as core means of societal development has not yet fully arrived.

Therefore, the author boldly proposes a new social collaborative distribution relationship—"Consensus-Self-Custody" mode—for discussion. Consensus entails scheduling and governing societal means of production through decentralized consensus systems to ensure equality for all under consensus, eliminating profit exploitation. Self-custody refers to a societal collaborative distribution method where producers can freely host their means of production with a consensus system to earn income, while retaining ownership and freedom to manage their means of production.

As artificial intelligence further develops, this presents both challenges and opportunities for the majority of traditionally employed individuals. We cannot remain stagnant in the "capital-employment" social collaboration model but must actively seek change. Perhaps in the near future, everything can be self-custodial, ushering society into a new era of fairness and freedom. Blockchain internet, with its capability for "self-sovereignty" services, is pivotal in achieving this self-custodial service.

Since 2009, we have witnessed the rapid development and widespread application of trustless blockchain technology, indicating that the internet may construct a self-sovereign service network through blockchain. This also signifies that producers can emancipate themselves from capital control and domination through blockchain consensus systems, achieving self-custody of means of production, thereby eliminating profit exploitation and constructing a more equitable and free economic society.

Based on this potential and the backdrop of core means of production transformation, I believe society should actively focus on and explore new, more scientific paradigms of social resource organization. This will better seize the current historical opportunities of core means of production transformation and effectively mitigate the imbalance crisis between capital and employees that may arise from the development of artificial intelligence.

Evolution: Exploring Decentralized Consensus Systems

As the internet information technology evolves from WEB1 and WEB2 to the deep exploration of WEB3 today, we deeply feel the profound transformation brought by agent-hosted platform service systems to "labor relations." Concurrently, the practical application of blockchain technology has given rise to the consensus-self-custody model of decentralized protocols, with decentralized consensus systems emerging as a new organizational paradigm.

Trust, as the cornerstone of civilization development, is undeniably crucial. It forms the underlying logic that is more fundamental than social collaborative distribution relationships. Efficiently creating and utilizing "trust" would undoubtedly constitute a breakthrough innovation for civilization. Blockchain technology represents such a groundbreaking invention. It relies on consensus algorithms to build a self-sovereign decentralized trust network that breaks away from centralized authority and agent-hosted dependencies. Smart contracts, a vital component of blockchain technology leveraging ledger technology, provide the ability to execute predefined rules and protocols in a decentralized, transparent, and secure manner, thus laying a solid foundation for constructing more complex decentralized consensus systems.

Through decentralized consensus systems, producers can achieve self-custody and scheduling of their production materials, ensuring continuous value output and effectively eliminating profit exploitation. This advancement is not only technological but also represents the development direction of fair, free, efficient, and democratic social collaborative relationships pursued by human society throughout history. With ongoing technological evolution and expanding application scenarios, we have reason to believe that decentralized consensus systems will play an increasingly important role in future societies, driving human society towards a better direction.

As decentralized consensus systems gradually improve and expand their application scenarios, society will move towards a new era that is more fair, free, and efficient. We look forward to blockchain and smart contract technologies continuing to drive innovation in social collaborative distribution relationships, promoting trust and cooperation globally, and achieving sustained progress in human society.

Decentralized consensus systems not only represent a new technological trend but also a new form of social organization. They offer us the possibility to explore more fair and free social collaborative distribution relationships, potentially realizing comprehensive evolution and development of human society in the future.

Breaking free from traditional capital constraints, unlocking a new era of investment and financing.

In the context of blockchain applications, if our hypothesis holds true, all current WEB2 agent-hosted platform service systems can utilize blockchain's sovereign service capabilities to achieve a self-custody model of production materials, thus reshaping social collaborative distribution relationships and breaking free from capital constraints.

For example, in the realm of self-custody financial protocols, innovations such as SWAP protocols and decentralized lending protocols have emerged. These protocols allow anyone to participate in liquidity provision activities through self-custody assets and earn capital gains. While from the perspective of traditional capital, protocols like Uniswap may have shortcomings in terms of capital efficiency and utilization compared to traditional centralized exchanges, they have successfully met people's aspirations for a fair world and have to some extent driven the development of the blockchain industry.

However, many blockchain projects are packaged by traditional capital in a "new wine in old bottles" manner for speculation and hype. This not only misleads the public's understanding of the essence of blockchain technology but also raises widespread doubts about its social significance and value.

Therefore, we continue to explore a core question: can traditional capital achieve breakthroughs through decentralized consensus systems, allowing everyone the opportunity to become "capital" or an investor, thereby eliminating capital exploitation and market barriers, breaking free from capital constraints, unlocking a new era of investment and financing, and reshaping a fair and equal financial environment for investment and financing.

Under this vision, the "Synbo Protocol" emerged—a fully self-custodial decentralized venture capital protocol. Its core aim is to help any consensus system and producers break free from the constraints of traditional capital by using a more scientific and efficient method to achieve direct investment and financing through consensus matchmaking, incentive negotiation, and consensus issuance.

In this consensus system, everyone can fairly participate in self-custodial liquidity pools by providing liquidity and earning capital returns. At the same time, individuals can freely and fairly rely on their own cognition and judgment to engage in the decentralized investment and financing decision-making process, assisting in capital allocation while earning reasonable Alpha incentive returns.