Can Blacks use the law of discovery to carve out new territory and capital?

One of the failures of black leadership is its unwillingness to pursue a truly self-interested agenda for the people they allegedly represent. The current narrative of assimilation does not work. It puts blacks in an unequal and weak position compared to whites and other non-white populations who have pursued a capital acquisition policy first versus a political empowerment/assimilation approach still preferred by most blacks. It never discusses in any significant way the acquisition of productive capital around which communities can be built. Rather, the assimilationist argument centers on fluffy subjects such as social justice, membership of degreed blacks on the boards of white-owned corporations, and affirmative action in the workplace and in colleges and universities.

To be fair, a number of grass roots advocates do bring up the topic of access to capital by black-owned firms, but the problem is that business capital, whether in the form of loanable funds or equity investment is small compared to the number of black businesses in need of funding. Also, there is the risk that terms and conditions underlying the funding of black enterprise firms may not representative of the black population primarily because the boards that direct these underwriters are probably not members of the community in the first place. Just take a look at the names and faces of the members of the typical executive committee or board of directors and you see my point.

Blacks, as a people, simply are not calling their own shots. If you listen to the rhetoric of current black political leaders, liberty and freedom as it pertains to capital, are not a part of the lexicon. Black political leadership is more concerned with keeping blacks available to vote for white Democratic Party candidates as opposed to self-reliance. Probably in the minds of black political leadership, self-reliance would be akin to self-determination or nationalism and these leaders are afraid that such an approach would sever their attachment to America. But the attachment to America is false one, as I have argued before, because blacks did not come here voluntarily and apply the law of discovery.

To summarize Chief Justice John Marshall, the European came to North America but while acknowledging its Native American occupants, the law of discovery, of showing up first, gave title to the country making the discovery. That Native Americans were there first was irrelevant. Once, say England, made its discovery of what would later become the United States, it created a title that excluded claims by any other European power. Establishing this “title” over the land meant of course establishing control over its natural resources; land, air, water, minerals, the stuff that supports production, transportation, communications, energy generation and distribution.

To the activities that land, water, air, minerals, paid, indentured, and enslaved labor supported, the European was able to attach “coin”; to monetize. He would later create a centralized banking system to underwrite his government’s issue of debt as well as serve as the lender of last resort to commercial banks. The European’s financial system would, in conjunction with public sector investment, underwrite technological innovations that would further spur the design and production of consumer goods and services.

Blacks have been left largely out of the ownership of productive capital in the American political economy and as I have discussed in previous posts, it is too late and probably impractical to attempt any action under the laws of discovery for the purpose of acquiring the natural resources that underpin an economy that would support 43 million people on a self-sustainable, self-reliant way. But I do not think this is impossible.

Cyberspace provides “territory” that blacks can conquer and extract capital from. From the time I immigrated to the mainland I have always believed that blacks had the intellectual resources to construct their own vibrant economy. It boils down to a willingness of the black population to use broadband technology to connect to and import resources from outside of the United States and mixing those resources with the access to land, air, minerals, and water that blacks have here in the United States. It means the black population using its engineering skills to build a renewable energy infrastructure that provides electricity to its population. It means building communications networks using unlicensed to spectrum to tie black households to basic services. It means using the black population’s legal talent to advocate for laws that protect the importation of items into the United States that can be processed by plants designed and built in the U.S. by black engineers. It means using financial talent to reinvest these proceeds back into the black population and further growing its resources and income.

The great thing about applying the “law of discovery” to cyberspace is that no one has to be kicked out or enslaved. There is still plenty of territory to carve up; to reverse colonize but this time with equitable results.

When Bitcoin becomes a transmitter of valuable information

Bitcoin is not for speculation. Bitcoin is about the transmission and exchange of valuable information attached to a digital currency that measures the value of the information. The volatility we are seeing in the market for Bitcoin is based on the fear of missing out on a pop in value.

I think in the near future what will eventually drive the value of Bitcoin is the underlying value of the information that the individual sovereign either possesses or can produce. It is likely that person A holding Bitcoin may look at person B who allegedly has some information, x, and determine that the person B’s information or ability to generate useful information has no value. Think of someone in London approached by someone from Somalia who wishes to trade in Somalian currency. The Londoner wouldn’t touch it.

You may argue that scenario already occurs in the real world, that trader A is not required to transact with trader B. In a centralized world, trader B would bring a discrimination grievance against trader A for refusing to trade. In a decentralized, voluntaryist cyber world, no matter how much cryptocurrency you hold, the value of your true currency, the information that you possess or can produce, will determine your digital currency’s value.

As for the speculators, the error they make is using valuation methods created in a centralized, coercive political economy to assess the value of a currency designed for a decentralized cyber society. A speculators are enjoying the upside of Bitcoin’s market appreciation, but as the currency becomes more expensive and reaches its 21 million digital currency cap, will these speculators be able to purchase any more of the currency? Or, will they be able to ride out the inflationary characteristic the coin takes on should it become a matter of two few Bitcoin chasing too many goods? Will lower income individuals who may have made their first purchases with their credit cards be able to recover the dollar value of the coin in order to pay off increasing interest rates?

Not to mention the competing currencies that will eventually knock off Bitcoin from its perch. As technology improves such that “information rich” individuals create their own cryptocurrency, individual sovereignty will be complete. Just like western nations trade with each other based primarily on similar values and culture, the information rich will do the same. As the value of their currency increases so to will the demand from vendors who will likely prefer hold in reserve the currency of the information rich versus the “information poor.”

I believe that the information poor or “information losers” who were lucky to get a few pieces of a coin in the early days will not be able to participate on either side of a cyber trade in the future. Their focus should be on building their information gathering tools versus pursuing a quick fix, get rich path.

Cyber space will remain decentralized by the silos created by the information rich will prove daunting for the information poor.