I would say that BitShares is about freedom and is more suited to a anarchic free market society.
Taxes cannot be collected without force.
The taxation and distribution of funds by a single entity, even if it's a blockchain, is going to be less efficient than an anarchic free market.
The prediction market idea you pose sounds must better than the current 'democracy' we have now, but the best solution in my opinion is to allow everyone to be free to use their real voting power (capital) to allocate however they choose.
Over time the most popular and most profitable businesses and industries will thrive.
I think this kind of blockchain democracy will also be less honest than a completely free market. The "solution" to a "perfect" society will have a near infinite number of parameters as the preferences of EVERYONE in society will be catered to.
It is therefore impossible to present all of these parameters to a public blockchain vote.
Individuals will have a tendency to 'vote' in the prediction market in a selfish way and not necessarily vote on behalf society as a whole.
A free market does benefit all of society because if there is demand for a particular product or service profit seeking entrepreneurs will move into the market to provide. There are no barriers to entry so the poor are not excluded and power is not consolidated with the few.
Well said Permie. I do agree with your statement I highlighted, provided you're talking about a truly free market.
However, I don't think it will be a TRULY free market if on and off ramps are subject to regulation by the mainstream banking world. Through that mechanism they can control the majority of the BitShares "money supply". I put that in quotes b/c I'm not talking about the number of BTS fixed by the code, but rather the flow of funds or the "velocity of money", which is highly influenced by the rate of adoption which is highly influenced by on/off ramp availability and the friction those ramps impose. Mainstream is the "whale" that controls the BitShares spec of a marketplace like a damn controls the level of a river.
I see involvement with mainstream banking as a shortcut to grow BitShares adoption and marketcap, but long term it will come at the cost of freedom. It won't be apparent initially, but over time more and more restrictions will be imposed until the day when you look around at that future BitShares ecosystem and ask, how did we get here, why do I have to pay so much in taxes on my crypto transactions and what is causing such major swings in the ecosystem's liquidity? What happened to all the advantages crypto used to provide? Do you think the existing money powers are gonna just sit in the bleachers and watch as we build a system that will make theirs obsolete? Don't fool yourself. This is not a game, this is a v e r y serious struggle for freedom that will either dramatically change the course of the future or leave posterity cursing us for failing.
This project was started in pursuit of a true free market and financial freedom from centralized control. I'm not exaggerating when I say it is about changing the world in a very profound way. It is about creating a new and independent alternative, as a means of boycotting the corrupt system and starting fresh. Those who are looking primarily at profit and not principles just don't get it. They are blind to the mistakes of the past and fail to learn from them.
If we could finance the continued development of the ecosystem while staying focused on that grandiose goal I believe BitShares would gain adoption, albeit far more slowly, simply b/c it is far superior in every respect to the mainstream alternatives. More and more people will begin to see that as time goes on. BitShares is a far better mousetrap. Most people gravitate towards freedom, but it is fearful to others or they are under the illusion their wants and desires will come without taking on the responsibility to achieve them themselves, so they believe in the promise of others who steal from the future (i.e. debt) to pay for the excesses of the present.
I think the dev team is struggling to remain firmly dedicated to the foundational principles under the weight of practical pressures such as the impatience of major investors and the reduction of enthusiasm of the staff and community that occurs on a project with lofty, long term goals. Face it, most people are not here for the long term, principled vision of BitShares, they're here primarily for monetary gain, and they want it as fast as they can get it.
Face it, the BItShares ecosystem is not yet self sustaining. If it were we wouldn't be all that concerned about marketcap. If it were we would be attracting enough new shareholders (i.e. grassroots investors) to grow the dev staff, fund effective marketing and expand the product features.
Investment capitol is pouring into crypto space at least as fast if not faster than money flowed into dot coms in the 90s. Very shortly we will hopefully all find out what source of capital is fueling the impending wave of changes to the BitShares ecosystem.