In order to achieve better outcomes for people and the planet, a new economic model or system is a necessity. If it is necessary then it is also inevitable and the only remaining questions are when and what those new systems will be. Core components of such a system are listed below.  

Existing within planetary boundaries

We are perhaps accustomed to the industrial definitions of recycling or repurposing products when thinking of circular businesses. A core component that’s often forgotten is nature regeneration. Simply not having a negative environmental impact does not suffice, one’s impact must be both positive and regenerative.

There are three principles which are inherent in any circular economic model: 

• Circular products – products or materials are used multiple times to maximise productivity. 
• Eliminate waste and pollution – no permanent waste materials with net-zero emissions. 
• Regenerate nature – the use or production of products has a positive impact on nature. 

What if one applied these principles to a macro-economic system and not just individual businesses? 

We have a finite planet so this is an inevitability, it is just a question of when, how and is it too late? 

Democratised 

The “ownership economy” is a term often used to describe an alternative economic system in which individuals and organisations have more control over the systems they live within. Where individuals not only retain governance rights over that system, but also have some form of ownership within that system. This creates a direct economic and social connection between people and the systems they chose to be part of. 

Blockchain technology provides the basis for an ownership economy whereby everyone on Earth has ownership and governance rights over their digital and non-digital existence and that of our planet. Our hope is that Web3 will consist of organisations that truly decentralise power with a view to create a safer, greener and more equitable planet. 

A check on the power dynamics within any system is pivotal to its long-term success, especially when they must exist within planetary boundaries. 

Purpose-owned 

Too often organisations will have a purpose but are not structured or incentivised to serve that purpose, one can claim to be driven by a purpose, but the force that owns them is often something else. This is true for an individual or organisation. 

A company may be driven by its purpose to provide safe drinking water, but it is owned by its purpose to provide shareholder value. A government administration may be driven by its purpose to create prosperity for its citizens, but it is owned by its purpose to retain power. Charity may be driven by its purpose to reduce poverty, but is owned by its purpose to raise money and will spend much of its money on advertising. A person may be driven by their purpose to protect the environment, but they are owned by their purpose to provide for their loved ones. 

It is very easy for “purpose-driven” to be marginalised in place of what owns you. Alternative systems of the future must be owned by their purpose in order to serve it. 

Borderless and ownerless 

The legal structure must be both borderless and ownerless to ensure control over the rules of such a system are retained by the people and purpose it serves. 

Being borderless simply means that the legal structure or rules of an organisation cannot be changed or manipulated by any single legal or political authority. This is not an easy task as legal entities will have to be registered in some jurisdiction in order to exist and operate, however steps can be taken to effectively be borderless. It is important to note that these organisations will have to also operate in other jurisdictions across the world if they are to achieve real-world impact and must be structured to make that possible. 

Being “ownerless” in an “ownership economy” sounds like an oxymoron. However, the ownership economy can simply mean one has autonomy and ownership over their assets and the system they live within. This can sit alongside a system being ownerless, in that nobody owns that system and it therefore becomes part of the commons. 

Ecosystem that provides for all stakeholders 

We cannot build new systems that do not provide for multiple stakeholders in society if we want them to scale at a planetary level. Below are the core considerations that should be taken into account when designing the systems of our future. 

• People – must provide economic security and social well-being for individuals of every economic standing.  
• System administrators – must be incentivised (positively and negatively) to operate the system without prejudice and towards a common goal. 
• Governments – must not override their authority and ideally provide sitting administrations with a solution to long-term problems that cannot be solved by them. 
• Businesses – must provide economic opportunity for businesses in order to drive adoption and create innovation within the model. 
• Large corporations – must provide economic opportunity in order to attract institutional money to drive scale. 
• Investors – must provide a return on investment in order to create the energy required for a system to work at speed. 
• Environment – lastly, and most importantly, it must restore and protect our natural world, not emit carbon into the atmosphere and eliminate waste.