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We need network societies, not network states — The Collective Intelligence Project

Feb 05, 2025 - cip.org
The article critiques Balaji Srinivasan's book, _The Network State_, which proposes a new form of social contract enabled by Web3 technology and centered on blockchains. Srinivasan envisions "network states" as startup countries formed by highly aligned online communities that crowdfund territory and seek diplomatic recognition. The authors argue that while the book is a bestseller and endorsed by Silicon Valley figures, it presents a backward-looking solution that revives traditional hierarchies and promotes an ideology of "exitocracy," where individuals exit existing systems for new, ideologically aligned communities. This vision is criticized for its potential to create digital fiefs ruled by founder-kings, lacking in democratic voice and diversity, and appealing to a narrow segment of the population.

The authors advocate for a more pluralistic and participatory approach to leveraging networks, emphasizing the need for systems that accommodate diverse affiliations and enable collective intelligence. They argue that the true potential of networks lies in fostering inter-coordination, fluid recombination, and participatory governance to address global challenges like climate change and pandemics. The article suggests that while _The Network State_ raises important questions about reimagining political and social systems, its proposed solutions undermine the very networks it seeks to leverage, and a brighter future lies in embracing the complexity and richness of shared lives rather than retreating into fragmented network states.

Key takeaways:

  • The concept of a network state, as proposed by Balaji Srinivasan, envisions a startup country enabled by Web3 technology, centered on blockchains, and governed by a single ideological commandment.
  • Srinivasan's vision is criticized for being backward-looking, emphasizing exitocracy and enforced morality, and lacking the pluralism and participatory governance needed for a truly networked society.
  • The article argues that networks should embrace complexity and diversity, enabling collective intelligence and coordination to address global challenges rather than creating fragmented, homogenous statelets.
  • Technological advances, such as blockchain and AI, should be leveraged to build systems that empower local communities and facilitate global cooperation, rather than establishing new sovereignties based on singular identities.
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