Avalanche’s Evolutionary Economics
A Node Validator’s Role
“The analysis does not run back to the same ground, or appeal to the same standard of finality or adequacy, in the one case as in the other.” Veblen
“ There is the economic life process still in great measure awaiting theoretical formulation.” p387
The consequence of potentially increased scalability provided by the new consensus mechanism as implemented on Avalabs’ avalanche platform (avalancheavax) results in a new economic class of computer programmer operator, the node validator. A defining element of any distributed ledger blockchain technology is the distributed node operator but these operator-programmer-developers have a new economically emergent role to play as this potential becomes realized on avalancheavax that does not exist for the same class of worker-users on other chains. The differentiation of validators on avalanche can to a first approximation be represented as divided into three different categories, light, full and archival as presented in the platform paper ( ref) but “the graduated validator hierarchy” Sirer(ref) that will actually arise is not likely to be a simple linearly classificatory distinction. Instead, the supervenience relation ( X is said to supervene on Y if and only if some difference in Y is necessary for any difference in X to be possible) amongst validator classes is like to be intricately reticulate while nevertheless dissectible into organons of action and use.
This difference was highlighted and remarked on in the conversation between Sergey Nazarov and Emin Gun Sirer on June, 25, 2020 around the relation of security and scalability in which flexibility and scalability were presented as different poles of a contrasted but composable overall system.
The new validator/developer type that Avalanche node operators provide to the computer science discipline and the economies it participates in are ones who will become specialists not only in coding particular kinds of tokenized smart contracts in addition to validatng the main chain, but they will also become specialized as particular value making experts. Many blockchains are going to see this trend as well as DeFi becomes more than the cusp of the next new thing but the kinds of skills that most desirable avalanche computer programmers are going to have will be ones that also include economic expertise and social analysis of value locomotion within particular economic sectors, segments and industries. Before the invention of the avalancheavax these jobs would be done by two different classes of employees but the new kind of multiplicatively exponentiating value increase potential that a platform of platform offers to archtecterize and govern with it’s own native token offers a rationally accessible way to balance contrasting constraints that come from both outside and inside the tech by creative ways to unite the programmed capital with circulating value generally. The combination of these two job tasks has been envisioned by Sergev of Chain link when he detailed their new research funding initiative but it has some unique properties when applied to avalanche. This is not strictly possible on Ethereum for instance. This is because the ability to create digital asset subnets on avalancheavax where they create
1 virtual machine — behavior of coin
2- who participates
These subnets will then determine what kind of node developers you may want . They can decide to have validators who are particularly interested in understanding the kind of value(s) the subnet digitized and they can even require that the node operators while working on the life -cycle of the subnet study and incorporate analyses outside the currently programmed operation of the subnet. This is particular the case where oracles are involved and explains why Chain Link and Avalachheavcx close relationship and understanding. This kind of thing about the validator’s and their particular hardware and software systems is not something you can express in a smart contract on Ethereum.
Thus there is a totally new kind of computer programmer that Avalabs through avalachaneavax is offering to the business world. As John Wu has expressed it on numerous occasions , Avalabs is working towards creating a bridge between a developer and business person. In the future these people will be one and the same, as the best and most highly paid validators will be those who can do both. The linear relation of a validator into light, full and archival will be overlaid on various kinds of validators who master value increase comprehension that will be come clear as the composablitly of the relation of the security and scaling gets worked out. New course work that combines both skill sets are a necessity once the avalanche main net comes out.
N ode operators may like to connect to distributed computing platforms lime fold — as is being presented for an Avalanche X grant. They may also choose to operate a chain link node that may be of value to the subnet on which they may additionally validate.
This can be seen by looking a bit more closely at the example that sergev presented to Gun. To have different scalable oracle nodes with scaling of the subnet in it’s life cycle and making it such that it does not have to reinvented for each subnet and for each different veritical industry needs to imagined. I suggest that the math of tetrations may provide a means to taxonomize the validator horizontality across the supervienece relation where the light and full nodes superviene on the archival nodes.
The value while growing may grow additionally , exponentially or even faster, If we model the value increase with tetration we will be able to decompose the potential yield increases trajectories into transverally cooordinatable (catastrophe) sets and the formation of these with various defintions of light and full may be able to format a kind of taxonomy that economically segments agnostically and able to unite the actions and uses into various wholes that are composable into assembleges of various kinds/types.
Thus the new class of validator falls directly into the kind of person that Veblen presented in his attempt to show that economics while not evolutionary could be. These new validators are the evolutionary economcists of Veblen. His time has finally appeared. The validator is not simply subject to external impinging forces but by chaging the amount of full, light and arvhival amounts, the subnets it validates and the external data it connects to , it has for the value increase it validates probablistically with avalanche which can depend on external social events the dya nicas is dependent not simply on the users or the business model but on the programmers with their own skin in the game.
And further by focusing only the virtuosity of this relation the DeFi goodness may become the driver away from some of the less desirable directions blochchain technology has optionally open to it as a material system. The positivity however could be set up top down without giving the validators this freedom but then an ideal that avalanchavax offers would be hindered from realizing a value that while not spiritual is certainly philosophical — the decentralization writ. There is a place here for cooperation to replace competition but this will require more than a sketch of the horizontal will actual information on the avalanche internet of fianancne. By then the potential past will be working with it’s presently kinetic future. When we know more about how avalanche will completely redo the financial infrastructure of the globe.
A way to increase a validator’s interaction with the larger subnet and main net it is a part of is to create cyberphysical UIs that link token dyanamics to physical actions that may be operated by the node operators themselves when not general users. This dramatically opens up the possibility that Veblen suggested and brings blockchain economics into an evolutionary science if the validator sets are tied for instance to the research acceleration in chain link between node operators and data providers.
Again this new form of economic validator that the combination of avalanche and chain link will provide is quite amazing. The Chain link virtuous cycle connections can be made to part of a postivie feed back loop of validators moving into and out of subnet validation while remaining dedicated to validating the main net.
We can see how the relation of the validator of alvanahe suing chain link as a node as well is part o fveblens idea by
. If however we reduce all of this dynamics to two simple kinematically contributable sources and build up the interactions of these two mechanics it appears that the apparent intractability of cryptocurrency future becomes presently obvious. Furthermore with the a theory of the two sourcing formats (detailed), it becomes possible to start to describe evolutionary formations that will accumulate and diversify and surprisingly we will see because of a difference in the potential rate of memetic replication than biological evolution that crypto economic evolution like human cultural evolution can proceed to make things more complex, much faster than our past informs us has already happened to us.
The validator as a user /node operator can make transactions an d alos operate data feeds ( making adaptors etc).
The two isolated mechanics are the moving of tokens by users, I call a beam and the moving of tokens by smart contracts, I call rays. The interaction of the motions is what determines a dynamic behavior of a cryptocurrency ecosystem . That is the reduction I have in mind. What is new to blockchain engineering is determining the social or business aspects of people that will want to move tokens around and the software means to preprogram these behavioral determinants to sync up and correspondingly move in parallel with the moving of otherwise programmed moves of tokens that may be triggered to change addresses based on external data, such as oracle or any data outside the information contained in the blockchain itself (which includes all of the data on the users movements of tokens ( transactions)). It is not simply about individual token “dynamics” participating in a open market for price.
Thus the validator class could not merely working within an accelerating dynamic of funding but can snap crackle and pop the tangential value making it is a part of . These are clearly Vebeln’s economic living things that .
With a business plan that works this kinematic of the ecnomonics of the validator into the user and business plan it is possible to enlarge the entities that the evolutionary economic individual of Veblen applies to.
Finally I will sketch a cyberphysical system UI UX
That can bring all of this into being.
Here we describe a UX UI for Token NFT trading that provides kinematic access to price fluctuations kinesthetically. The concept is memetic imitation of individual token interest into specifiable human motion imitation behaviors. This converts psychological intent and interest into robotically simulated dynamic motions which are engineered in synchronoy with actual token transactions and thus the kinesethetic activities of users become a compenent of the token price dyanmics. This is a user interface which will cause the price fluctuation to depend on human physical as well as human mental behavior.
The coupling of human physical behavior to human mental decision making is provided by the device apparatus possessing two personally and physically maninuaple degrees of freedom. One of which is always in control of the user the other of which may be influenced by programmed price clinametic diretums which may or may not be correlated with the user controlled influence they can physically force to change.
The ability of a UI which permits price human physical manipulation to drive equilibrium phenoma of price stability in other regions of attainment allows the user to provide cumulative personal and individually operative behaviors to cumulative sequeitalize the price dynamic trajectories/orbit . Whether this will prove of interest beyond some search , diversify and classifify and gaming applications remains to be seen as to how human defi affordances drive human technology interface consumption in non-linear but navigationally recognizable path to be taken ways or not but
Synchronization of the wrist with rotor causes the gryo to spin up. The continued user synchronization is measured by the rate of rotor turning in one direction and this is responsible for the physical phenomenon being engineered. The two degrees of freedom are not completely independent of each other with respect to prior turning of the two kinds of rotations and it is the relation of the these effects to the sequence of prior turnings that is the basis for the ability of the physical influence to affect changes to the price dynamic sequences that otherwise are determined by price feeds from an oracle such as chain link.