After planning it for seven years, a social currency network based on trust was officially launched on October 17, 2020, called Circles UBI. Within a few short hours after Circle UBI went live, it started receiving attention and was the subject of discussions from well-known figures in the industry, including Ethereum founder Vitalik Buterin and Uniswap founder Hayden Adams. What exactly is Circles UBI? What makes it unique?
In this article, KuCoin Blog will reveal the magic behind Circles UBI.
1. What is UBI?
UBI is also known as universal basic income. To put it simply, UBI means that the government gives money to its residents, and each resident will get the same amount, regardless of qualifications or conditions.
The concept of UBI was created long ago. Famous figures like Martin Luther King Jr. and Stephen Hawking have supported UBI in modern history. Today, as the gap between the rich and the poor widens globally, and the purchasing power of inflation-adjusted income has declined, UBI has become even more popular.
2. What is Circles UBI?
Circles UBI is an emerging cryptocurrency system running on the xDai Chain blockchain. When a new user joins, they earn a currency called CIRCLES. CIRCLES are regularly minted, forming the basis of Circles’ UBI properties. Users have the ability to trust the personal currencies of other users, which requires them to treat this personal currency as identical to any other Circles’ currencies that they hold. As the social graph becomes more interconnected, these personal currencies converge on one single global monetary system.
The project aims to import physical “trust relationships” onto the blockchain. It is composed of a personalized cryptocurrency and trust between individuals, and through the concept of the universal basic income, over time, it will gradually drive the distr...