What Does It Mean to Become a Self-Sovereign Individual?
Money and philosophy are two distinct topics that are not often associated with one another. Dig deeper into the mechanics of fiat money however and you’ll soon see how intertwined these two concepts have become. The effects of modern-day monetary control span through society and effect each and every individual where it hits hardest: their self-sovereignty.
This article breaks down what it means to have true self-ownership and how Bitcoin can help individuals with achieving their financial sovereignty.
The Responsibilities of Freedom
Sigmund Freud has been quoted as saying “Most people do not really want freedom, because freedom involves responsibility, and most people are frightened of responsibility.” It is through this philosophical paradigm that mankind currently finds itself under the clutches and oversight of a powerful few.
When it comes to money, more specifically the control of money, one learns that by achieving financial sovereignty, you restore power to the individual in the form of choice. Banks do not choose who you send your money to, but they sure can limit your choices when it comes to the amounts (large and small), timeframes and national borders through which you can transact.
Banks assume the responsibility of custodianship. In doing so, the banks becomes sovereign over you as they control the choice.
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Financial Sovereignty in the Era of Digital IOUs
Our reliance upon e-commerce has led to the adoption of convenient payment systems facilitated through user-friendly digital wallets. These wallets provided by online companies and centralized payment processors are essentially software applications providing you with an IOU on the claim to your funds. The money itself does not move as often as you think; balances of accounts are merely updated on a regular basis.
As a user, you don’t really notice what’s going on under the hood. As with most things in our modern lives, convenience comes at a cost and in the online world that usually amounts to your data or the true ownership of your digital assets.
Unsurprisingly, the main culprit here is centralization, a phenomenon that all too often leads to the freezing of accounts, rising costs and irresponsible corporate behavior. Not all that convenient when the system pivots and begins to work against you.
It becomes apparent that you don’t really own the money and the strict limitations set out by anti-money laundering regulations make financial sovereignty within a fiat economy basically impossible.
Bitcoin Sovereignty
The offering of self-sovereignty is one of the main reasons why Bitcoin has value. While it’s easy to understand this concept from the individual point’s out of view, this is ironically due to the powerlessness of that individual within the larger network. Self-sovereignty in Bitcoin exists because everyone is on the same page.
Anybody is free to mine, host a node, create an address or secure their own wallet. Transactions are permissionless and further increase the aspects of self-sovereignty. Users are free to express their financial sovereignty by virtue of size, direction and frequency of movement.
Bitcoin’s code is open-source and not controlled by any single entity. Control over the protocol would lead to control over the individual’s choices.
It is through the liberty of individual choice that people convert their purchasing power into Bitcoin’s store of value protocol, away from the meddling of centralized banks and authorities.
Participants on the Bitcoin network are self-sovereign as they execute personal choices without the fear of censorship or confiscation. No matter the political cause, Bitcoin serves both sides equally and without bias.
With sovereign liberties come great responsibilities as bitcoin holders are required to ensure the security of their private keys. Freedom and responsibility: you can’t have one without the other.
Our Future Need Not Be Dystopian
The adoption of Bitcoin as legal tender in El Salvador and the Central African Republic paves the way for hope. The digital currency lives alongside fiat currencies, allowing individuals a taste of the responsibilities that self-sovereignty brings.
Further cryptographic developments are also underway in the blockchain industry that aim to bring self-sovereignty over a user’s online data and ultimately their digital identity.
If people take a bold step forward and embrace the responsibilities of freedom, our future digital lives can break away from the technological dystopia we have so long been threatened with.
Fear can often be attributed to a lack of understanding. The iterative process of continued learning and gaining experience is what helps an individual overcome the fear of the unknown.
The journey to a more liberal future begins and ends with choice. Your choice.
