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When Ostrom Meets Blockchain: Exploring the Potentials of Blockchain for Com...David Rozas
Slides from presentation "When Ostrom Meets Blockchain: Exploring the Potentials of Blockchain for Commons Governance”. Symposium “Mereologies” at Bartlett School of Architecture. University College London (London, 25/04/2019)
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Sildes from presentation at "Science, politics, activism and citizenship". Redes CTS & Catalan Society for the History of Science and Technology (Valencia, 31/05/2018).
There’s a lot of hype right now about blockchain, the technology that underpins the Bitcoin virtual currency, with speculation that it could transform just about every aspect of our lives. In this webinar I’ll consider possible blockchain applications in research and education, and do a little myth-busting about when and where it makes sense to use blockchain.
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When Ostrom Meets Blockchain: Exploring the Potentials of Blockchain for Comm...David Rozas
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In the next decade or so, we may witness waves of disruption and migration from the classic Internet model — proprietary IP, ads / freemium, user data lock in — to the new open protocol model, spanning across many industries, starting with finance, sharing economy, marketplaces, and IoT."
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When Ostrom Meets Blockchain: Exploring the Potentials of Blockchain for Commons Governance
1. When Ostrom Meets Blockchain
This work was partially supported by the project P2P Models funded by the European Research Council ERC-2017-STG (grant no.: 759207)
David Rozas1
, Antonio Tenorio-Fornés1
, Silvia Díaz-Molina1
& Samer Hassan1,2
Exploring the Potentials of Blockchain for Commons
Governance
2. ¡Hola!
I’m David Rozas (@drozas)
Postdoc researcher @p2pmod. ½ computer
scientist, ½ sociologist. Trying to bring
together the social and the technical to foster
Commons-Based Peer Production.
3. OUTLINE
1.
P2PModels & key
concepts around
decentralised
technologies.
2.
Debate on
blockchain-based
governance:
beyond markets
and states?
3.
Commons
governance,
Ostrom’s principles
and example:
community
network.
4.
Affordances of
blockchain for
commons
governance.
5.
Conclusion and
future work.
7. ● Distributed & persistent ledger/database.
● Without a third party.
● E.g. cryptocurrency, such as Bitcoin
(Nakamoto, 2008), without banks.
● But more than that!
○ Storing in a decentralised way
○ Executing in a decentralised way
BLOCKCHAIN
1. Key concepts around decentralised technologies.
8. ● Snippets of code on the blockchain.
● Decentralised execution.
● Rules automatically enforced without central
authority.
SMART CONTRACT
1. Key concepts around decentralised technologies.
(Szabo, 1997)
9. ● Self-governed organisation controlled by
rules implemented in smart contracts.
● Analogy with legal organisation.
Legal documents (bylaws), define rules of
interaction amongst members.
DAO members’ interactions are mediated
by rules embedded in DAO code.
DAO
1. Key concepts around decentralised technologies.
DISTRIBUTED
AUTONOMOUS ORGANIZATION
10. ● Predominant techno-determinist discourses
(e.g. Swan, 2015; Heuermann, 2015; Hayes 2016)
○ Over-reductionist with social aspects, such
as distribution of power.
○ Embed market-driven, utilitarian,
individualistic value
● Not new... Internet as space for utopia/dystopia
(Wellman, 2004)
* Governance with/through blockchains… not of!
BLOCKCHAIN BASED
GOVERNANCE*
2.Debate on blockchain-based governance: beyond markets and states?
11. ● Critical stand, but reinforcing traditional
institutions (e.g. Atzori, 2015; Atzori & Ulieru, 2017)
○ Central authorities necessary for democratic
governance.
○ Blockchain in non-transformative ways (e.g.
increase transparency of institutions (Nguyen,
2016), avoid tax fraud (Ainsworth & Shact, 2016)
○ Ignore power for collective action &
self-organisation.
BLOCKCHAIN BASED
GOVERNANCE*
2.Debate on blockchain-based governance: beyond markets and states?
12. ● Perspectives of blockchain-based
governance beyond markets & states?
BLOCKCHAIN BASED
GOVERNANCE*
2.Debate on blockchain-based governance: beyond markets and states?
● Bringing together literature and
commons perspectives.
● Blockchain as source of potentialities
(and risks) for commons governance
(Benkler, 2006; Fuster-Morell et al., 2014)
● Disclaimer:
○ Theoretical, starting empirical
work!
○ Focus on potentialities, plenty of
tensions and risks
13. Collaborative process
COMMONS-BASED
PEER PRODUCTION
3.Commons governance, Ostrom’s principles and example: community network.
Mode of production (Benkler, 2006)
characterised by (Fuster-Morell et al., 2014)
Radically different to
“Silicon Valley” sharing economy
Peer-based
Commons
process
Favouring
reproducibility
14. OSTROM PRINCIPLES(1990)
1. Community boundaries
2. Rules adapted to local conditions
3. Participatory decision-making
4. Monitoring
5. Graduated sanctions
6. Conflict resolution mechanisms
7. Recognition by higher authorities
8. Multiple layers of nested enterprises
15. 3. Commons governance, Ostrom’s principles
and example: community network.
1.
2. Rules adapted to local conditions
3. Participatory decision-making
4. Monitoring
5. Graduated sanctions
6. Conflict resolution mechanisms
7. Recognition by higher authorities
8. Multiple layers of nested enterprises
COMMUNITY BOUNDARIES
16. 3. Commons governance, Ostrom’s principles
and example: community network.
1. Community boundaries
2.
3. Participatory decision-making
4. Monitoring
5. Graduated sanctions
6. Conflict resolution mechanisms
7. Recognition by higher authorities
8. Multiple layers of nested enterprises
RULES ADAPTED TO LOCAL CONDITIONS
17. 3. Commons governance, Ostrom’s principles
and example: community network.
1. Community boundaries
2. Rules adapted to local conditions
3.
4. Monitoring
5. Graduated sanctions
6. Conflict resolution mechanisms
7. Recognition by higher authorities
8. Multiple layers of nested enterprises
PARTICIPATORY DECISION-MAKING
18. 3. Commons governance, Ostrom’s principles
and example: community network.
1. Community boundaries
2. Rules adapted to local conditions
3. Participatory decision-making
4.
5. Graduated sanctions
6. Conflict resolution mechanisms
7. Recognition by higher authorities
8. Multiple layers of nested enterprises
MONITORING
19. 3. Commons governance, Ostrom’s principles
and example: community network.
1. Community boundaries
2. Rules adapted to local conditions
3. Participatory decision-making
4. Monitoring
5.
6. Conflict resolution mechanisms
7. Recognition by higher authorities
8. Multiple layers of nested enterprises
GRADUATED SANCTIONS
20. 3. Commons governance, Ostrom’s principles
and example: community network.
1. Community boundaries
2. Rules adapted to local conditions
3. Participatory decision-making
4. Monitoring
5. Graduated sanctions
6.
7. Recognition by higher authorities
8. Multiple layers of nested enterprises
CONFLICT RESOLUTION MECHANISMS
21. 3. Commons governance, Ostrom’s principles
and example: community network.
1. Community boundaries
2. Rules adapted to local conditions
3. Participatory decision-making
4. Monitoring
5. Graduated sanctions
6. Conflict resolution mechanisms
7.
8. Multiple layers of nested enterprises
RECOGNITION BY HIGHER AUTHORITIES
22. 3. Commons governance, Ostrom’s principles
and example: community network.
1. Community boundaries
2. Rules adapted to local conditions
3. Participatory decision-making
4. Monitoring
5. Graduated sanctions
6. Conflict resolution mechanisms
7. Recognition by higher authorities
8. MULTIPLE LAYERS OF
NESTED ENTERPRISES
23. ● Free, open & neutral Community Network
(CN).
● +35k nodes.
● Internet Service Provider, infrastructure as
a commons.
● Ostrom principles (Baig et al. , 2015).
● Not only wireless, fiber.
AN EXAMPLE:
GUIFI.NET
3.Commons governance, Ostrom’s principles and example: community network.
24. ● Users/customers.
● Community network hackers & makers.
● Professional operators.
● Formal institution: Fundació.
GUIFI.NET
SOME ACTORS
3.Commons governance, Ostrom’s principles and example: community network.
25. Balances contributions accounted for
resource usage of operators, monitored
by Fundació (Baig et al. , 2015)
GUIFI.NET
COMPENSATION SYSTEM
3.Commons governance, Ostrom’s principles and example: community network.
26. Tokenisation
* “functional and relational aspects which frame, while not
determining, the possibilities for agentic action in relation to
an object” (Hutchby, 2001; p.244).
We frame them as processes in this analysis.
BLOCKCHAIN AS SOURCE
OF AFFORDANCES*?
4. Affordances of blockchain for commons governance.
Self-enforcement and
formalisation of rules
Autonomous
automatisation
Decentralisation of
power over the
infrastructure
Transparentisation Codification of trust
I II III
IV V VI
27. Transforming rights to perform an action on an asset
into a data element on the blockchain (e.g. access
reports in medical field).
TOKENISATION
4. Affordances of blockchain for commons governance.
I
28. ● Guifi.net: measure and distribute value drawing
on tokens (Selimi et al., 2018)
● Beyond:
○ Rights more easily and granularly defined,
propagated and/or revoked.
○ Artefacts as source of explicitation of less
visible forms of power and value.
TOKENISATION
4. Affordances of blockchain for commons governance.
29. Encoding clauses into source code, automatically
self-enforced, executed without the need for a
central authority: smart contracts (Szabo, 1997)
SELF-ENFORCEMENT &
FORMALISATION OF RULES
4. Affordances of blockchain for commons governance.
II
30. ● Guifi.net:
○ Capping rules for network use:
e.g. enforces a bandwidth limit,
penalises misuse.
○ Local rules of compensation system
more visibly discussed.
○ Autonomy for decision-making for
local aspects in Barcelona by those
in Barcelona, and vice-versa.
SELF-ENFORCEMENT &
FORMALISATION
4. Affordances of blockchain for commons governance.
● Beyond:
○ Rules for pooling, capping or
mutualising.
○ Explicitation.
○ Autonomy from higher
authorities.
31. AUTONOMOUS
AUTOMATISATION
4. Affordances of blockchain for commons governance.
IIIUsing DAOs (Decentralised Autonomous
Organisations) to automatise organisational
processes.
32. AUTONOMOUS
AUTOMATISATION
4. Affordances of blockchain for commons governance.
Guifi.net (and beyond):
Monitoring and/or graduated
sanctions to the DAO.
Exploration of potential conflicts.
Facilitating creation of nested
layers:
Transferring resources
amongst nodes DAOs
coordinating smaller DAOs.
33. Communalising ownership and
control of tools through decentralised
infrastructure.
DECENTRALISATION OF POWER
OVER THE INFRASTRUCTURE
4. Affordances of blockchain for commons governance.
IV
34. Beyond:
Relationships between technical and social power
(Forte et al., 2009, pp. 64-68). As in Wikipedia (Tkacz, 2014;
Jemielniak, 2016)
Facilitates “right to fork”.
New conditions of negotiation.
DECENTRALISATION OF POWER
OVER THE INFRASTRUCTURE
4. Affordances of blockchain for commons governance.
Guifi.net:
Main platform of collaboration (www.guifi.net)
controlled by Fundació.
Monitoring infrastructure could be
decentralised.
Shape power dynamics for negotiations
between Fundació and local levels.
35. Opening organisational processes and associated
data, relying on persistency and immutability of
blockchain
TRANSPARENTISATION
4. Affordances of blockchain for commons governance.
V
36. ● Guifi.net:
○ More transparency in maintaining
common infrastructure
● Beyond:
○ Long tradition in open and participative
processes
○ Scaling up monitoring and conflict
resolution
Who fixed
what?
How much
was it?
Monitored by Fundació
(and operators unofficially)
TRANSPARENTISATION
4. Affordances of blockchain for commons governance.
37. CODIFICATION OF TRUST
4. Affordances of blockchain for commons governance.
VI
Codifying trust into “trustless systems”:
facilitate agreement between agents without
requiring a third party, providing certain
degree of trust.
38. ● Aware of techno-determinist market-driven
discourses:
○ Focus on contractual transactions amongst
selfish individuals, hobbessian values:
“Crypto-leviathan” (Reijers et al. ,2016)
○ Shift of trust: code is law?
● Re-interpret “trustlessness” as:
○ Partial, limited property.
○ Integrating social culture and practices ->
encoding (certain) degree of trust between
nodes: interoperability.
CODIFICATION OF TRUST
4. Affordances of blockchain for commons governance.
39. ● Guifi.net (and beyond):
○ Internal interoperability: locally-shaped platforms,
autonomously governed, interoperating between
them and/or broader level.
E.g. local nodes in Guifi.net
○ External interoperability: coordination between
different colectives.
E.g. meta-cooperatives, different notions of value
(De Filippi and Hassan, 2015)
CODIFICATION OF TRUST
4. Affordances of blockchain for commons governance.
40. (I)
Tokenisation
(II)
Self-enforcement
and formalisation
(III)
Autonomous
automatisation
(IV)
Decentralisation
of power over
the
infrastructure
(V)
Transparentisation
(VI)
Codification
of trust
(1) Clearly defined community
boundaries ✓
(2) Congruence between
rules and local conditions ✓ ✓ ✓
(3) Collective choice
arrangements ✓ ✓
(4) Monitoring ✓ ✓ ✓ ✓
(5) Graduated sanctions ✓ ✓
(6) Conflict resolution
mechanisms ✓ ✓
(7) Local enforcement of local
rules ✓ ✓ ✓
(8) Multiple layers of nested
enterprises ✓ ✓
SUMMING UP
5.Conclusion and future work
41. … and beyond: social economy, platform cooperativism
Diversity of areas (Fuster-Morell et al. 2016) ...
PEER PRODUCTION
5.Conclusion and future work
(AND BEYOND)
42. Extreme quantification
and data fetishism (Sharon &
Zanderbengen, 2017)
PLENTY OF TENSIONS
& RISK TO EXPLORE
5.Conclusion and future work
TOKENISATION
SELF-ENFORCEMENT
& FORMALISATION TRANSPARENTISATION
Concentration of power in
coders, lack of reflexivity (De
Filippi and Hassan, 2018), extreme
formalisation, breaking
dynamics, gaming the
platform…
Opening processes is far more
than opening data (Atzori, 2015),
right to be forgotten (Khan, 2016;
Mayer-Schönberger, 2011)
43. Situated technology:
focus on situational parameters, aware of
cultural context, making visible the invisible,
incorporating social meanings. (Bell, Genevieve,
et al. 2013)
5.Conclusion and future work
BLOCKCHAIN-BASED
GOVERNANCE: OUR APPROACH
Mutual-shaping (Quan-Haase, 2012)
● Critical with technological determinist
perspectives & limitations.
● Social shaped character of blockchain.
● But understood as possible agent of
change.
As potential source of affordances (Gibson, 1979; Hutchby, 2001)
44. 5.Conclusion and future work
When Ostrom meets Blockchain:
Exploring the Potentials of Blockchain for
Commons Governance
Advice on
target
(JCR-indexed)
journals
welcome!
WORKING PAPER
AT SSRN
45. 1. Bringing together literature on peer
production to governance through/with
blockchain debate: Ostrom’s principles.
2. Identification of potential affordances.
3. Emergence of research questions and
useful categories for empirical
exploration.
Theoretical, need to explore boundaries,
risks, models, culture, as situated
technology… time to go to the field!
5.Conclusion and future work
IN CONCLUSION &
FUTURE WORK
46. ● Ainsworth, R. T., & Shact, A. (2016). Blockchain (Distributed Ledger Technology) Solves VAT Fraud. SSRN Electronic Journal.
https://doi.org/10.2139/ssrn.2853428
● Atzori, M. (2015). Blockchain Technology and Decentralized Governance: Is the State Still Necessary? SSRN Electronic Journal.
https://doi.org/10.2139/ssrn.2709713
● Atzori, M., & Ulieru, M. (2017). Architecting the eSociety on Blockchain: A Provocation to Human Nature.
https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2999715
● Baig, R., Roca, R., Freitag, F., & Navarro, L. (2015). Guifi. net, a crowdsourced network infrastructure held in common. Computer Networks, 90,
150-165.
● Bell, G., et al. "Designing culturally situated technologies for the home." CHI'03 extended abstracts on Human factors in computing systems.
ACM, 2003.
● Benkler, Y. (2006). The wealth of networks: how social production transforms markets and freedom. Yale University Press.
● De Filippi, P. and Hassan, S. (2015), Measuring Value in Commons-Based Ecosystem: Bridging the Gap between the Commons and the
Market (January 31, 2015). Lovink, G., Tkacz, N. (eds.) The MoneyLab Reader. Institute of Network Cultures, University of Warwick, 2015.
Available at SSRN: https://ssrn.com/abstract=2725399
● De Filippi, P. and Hassan, S. (2018). "Blockchain technology as a regulatory technology: From code is law to law is code." arXiv preprint
arXiv:1801.02507
● Forte, A., Larco, V., & Bruckman, A. (2009). Decentralization in Wikipedia Governance. Journal of Management Information Systems, 26(1),
49–72. https://doi.org/10.2753/MIS0742-1222260103
● Fuster-Morell, M. (2010). Governance of Online Creation Communities: Provision of infrastructure for the building of digital commons
(Doctoral dissertation, European University Institute). Retrieved from http://cadmus.eui.eu//handle/1814/14709
● Fuster-Morell, M., Berlinguer, M., Martíınez, R., Salcedo, J. L. et al. (2014). Theoretical synthesis: Final theoretical synthesis of WP1, including
research reports on data collection. Deliverable 1.2. P2PValue. Retrieved from
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Beyond Banks and Money (pp. 121–131). Cham: Springer International Publishing. https://doi.org/10.1007/978-3-319-42448-4_7
● Hess, C. (2008). Mapping the New Commons. Governing shared resources: connecting local experience to global challenges. International
Association for the Study of the Commons, University of Gloucestershire. doi:http://dx.doi.org/10.2139/ssrn.1356835
REFERENCES
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REFERENCES
48. Any questions?
You can find me at:
● https://davidrozas.cc
● @drozas
● drozas@ucm.es
This presentation is a composition of text and images. The text is released as Creative Commons Attribution 4.0 International. The
images are mostly copyrighted and used under Fair Use. The image logos belong to their corresponding brands. Sources:
CodeCentric, Samer Hassan (2017),, Wikipedia, Drupal, GNU/Linux, Arduino, SmartIb, SomEnergia, Guifinet, Coop57, QmP, Guifinet
Foundation, Goufone, Amara, P2P University, Bitsonblocks, Baran (1964), P2Pvalue, P2PModels, SSRN and unknown others
Slides at https://bit.ly/2UIb9Xg
THANKS!