Fermat unveils distributed governance model

Fermat today released its distributed governance system which features a Dash-inspired embedded voting system that also includes community-cancellable contracts.

Launched one year ago, Fermat’s infrastructure includes an open social graph, direct access to people, and device-to-device communication. Also known as the Internet of People, it reduces transaction costs through intermediary elimination.

“Fermat’s graphchain technology enables both a global mapping of everybody with verified proof of how they are related, and also people-to-people and company-to-people interactions without going through intermediaries,” founder Luis Molina said. “In order to achieve this as a decentralized open source project we need a sound distributed governance system, one which includes Contribution Contracts.”

Those contracts allow anyone interested in offering software development, marketing and business development support services to submit a proposal to the token holder community, where each holder has a vote. Contracts paying out over time can be terminated post-acceptance if providers are not continuously proving value. The community can discuss developments via a mobile app.
The blockchain tracks contracts and votes, funds community projects, and immediately allocates a portion newly minted tokens to those executing the projects.
“At the beginning, only token holders may vote. In the future, it is our aim that the system will evolve to include reputation of the participants and will consider their voting history and project outcomes,” Mr. Molina said.
Fermat is also developing the third phase of its governance system. Guillermo Villanueva leads the effort. Mr. Villanueva designed, implanted and sold his own core banking system throughout Latin America and worked at Microsoft and Grupo Sabra.
“Phase three of our governance system is about communities, identity and reputation,” Mr. Villanueva said. “Once released, it will allow us to govern a large project such as Fermat, which is in turn a set of different inter-related communities, but it will also offer governance, identity and reputation as a service for decentralized applications.”