The monetary system works primarily on the principle of standard value exchange for goods or services. Over time it has adapted to a ‘pyramid’ structure, the richest people are the smallest in number and have the most money. The cryptocurrency also finds an analogy to the ‘pyramid’ in the fact that early adopters and ‘holders’ or ‘HODLers’ will have more advantage than the next group of investors in time. It requires the ‘HODLers’ to invest an amount in it. Initiative Q is developing a new payment system that will be ubiquitous, and they will control the release and total supply to maintain parity.
The whitepaper of most cryptocurrencies boast of promising technology, but it hasn’t seen ‘useful adoption’ on levels similar to its investment growth. The initiative taken by people is the ‘profit motive’ so that the early adopters have the maximum value.
Enter Initiative Q, developed by Saar Wilf; developer of ‘science fraud’ payment system in 2008 that was later acquired by Paypal. Saar is a serial entrepreneur for his five technological start-ups including PointGrab and Trivnet Ltd. He has served at senior engineering positions and led the developments of these endeavours.
Lawrence White, the economist and architect of the payment model, is an American Economics professor at the George Mason University. He has completed his PhD from the University of California and is a Harvard graduate. He is an expert in the history of monetary policies and free banking.
Initiative Q is proposed to grow like a viral network, like the ‘kiki challenge’ instead of performing a gig the participants need to send invitations to trusted friends and people. This will form a secure network which will later hold value in Q tokens.
The main attraction to make such a small initiative is participating early in the innovative payment channel. The company had control over the total supply of money in the system and estimated their price to be 1 USD. This is ambitious, but it’s a speculation build on a referral marketing scheme that is free and promising. The company is centralised and has given the timeline for its release (mid-2019) and development.
Initiative Q vs Bitcoin
Initiative Q is tagged as Future Bitcoin, and the company states that it follows a self-fulfilling prophecy scenario instead of being stuck in the classic chicken-egg barrier. According to the theory, the cryptocurrency payment scheme is stuck in a loop because no seller is accepting cryptocurrency as no buyer is holding them. They are hence caught in a denial cycle, and traditional transactions although flawed and outdated continue to thrive. They have solved this problem by first building the network by distributing the tokens for free and then starting a payment channel on it.
The Initiative Q payment network comes in light of the cryptocurrency system because they both share the same ideology. Employing a new payment and value storing that would break the shackles of the corrupt and non-transparent world economy.
The cryptocurrency developers seemed to do it by introducing a fixed number for the cryptocurrency, like 21 million Bitcoins that will ever be, and introducing a transparent credit system where value cannot be created out of thin air.
The Initiative Q recognises the need of such a system but has found some flaws in the cryptocurrency system of fixed size being unfeasible in the actual economy, as purchasing power parity must be maintained.
The initial referral system is free of cost, a certain amount of Q tokens out of the 2 trillion tokens estimated will be distributed on the first-come basis. They have avoided paying all the early initiators to prevent inflation.2 Trillion tokens is estimated to be distributed by Initiative Q! Click To Tweet
The initiative Q will be governed by a monetary committee whose selection will be done by a democratic process. The initiative has also made a proposition for an agent that would be employed to help in the process. These local agents will be responsible for customer service, safeguarding members’ funds, connecting local stores, legal compliance, and settling with other agents.
Viral things on the internet are short-lived on social media; Bitcoin has a total market capitalisation of $100 billion, Initiative Q, on the other hand, is worthless. Bitcoin recently celebrated its tenth anniversary since the release of the official white paper by Satoshi Nakamoto. Initiative Q needs sincerity from the developers of the network and must reach its target invitations to become an efficient payment channel it proposes to become.