U.S. House Financial Services Committee Publishes Copy of Stablecoin Bill: What is a Stablecoin?

Stay tuned for a hearing on Stable Coin that will be coming up by the 'Digital Assets, Financial Technology and Inclusion Subcommittee'   (Here is the Stablecoin Draft Bill they created. I think it will be discussed more in that meeting.) You can read a solid article on 'Stablecoin Bill is an ‘Extraordinary Moment For the Future of Dollar,’ Says Circle CEO'. Because of way in which the economy is changing and adjusting these new digital currencies/assets will come out to fill the market gap. Expect some debates and discussions. 

The Digital Era is a platform shift over a relatively short time frame (i.e. a Digital Renaissance which the U.S. could capitalize on the shift. These eras are often marked by changes in the way we think and conduct our daily affairs. See the last Renaissance, Science, Technology) That creates a problem in terms of management. Regulation allows the government to have some control over these currencies and ensure they are not being misused or manipulated. Larger central currencies provide higher levels of system management and in turn economic stability (People can argue too little and too much but all in all its necessary for a nation this large.). 

Stablecoins are in the process of being regulated. I'm not sure where the name comes from but I suspect that if they are backed by more tangible assets that is related to the term "stable". It means that a stablecoin is eventually convertible for hard assets of some form or another. (That could probably go through another medium like the dollar but each time you make something dependent on something else dependent on something else you create complexity that can't be managed well when economic shocks and issues occur. I like the concept of the gold standard and/or a modified form of a basket of precious commodities as a currency anchor to hedge inflation and/or decline. Many ways to sort of think about it.)

The World Economic System discusses spill over effects of stablecoin and their definition in 'Understanding the macroeconomic impact of cryptocurrency and stablecoin economics' (WEF, para 9, 2023). The following bold sections are bold:

Stablecoin, on the other hand, is a DLT-based cryptocurrency designed to maintain a stable value relative to another asset. It originated from a demand for a stable monetary unit in distributed ledger applications and is used more frequently for transactions than crypto. 

Fiat-backed stablecoins hold 1:1 reserves of fiat currency and the promise of convertibility.

With regulations actively being considered, it is important to prioritise taking action as soon as possible.

• Policymakers should create an international classification framework with nuanced regulations
• Crypto and stablecoins should be included in monetary and financial statistics
• Governments should coordinate with other governments to mitigate regulatory arbitrage and consider economic projections when designing regulations
• Businesses should proactively work in partnership with regulators when designing business Models

Its Important to Improve Our Justice System: Even if its not wanted.

In my humblest of opinions the justice system needs some work in order to better fulfill its stated mission. There are elements that are functioning for the higher purposes of the nation and its people existing along with other aspects that are either not functioning or not functionally well. I can talk about that all day and I could give example upon example but in the end it comes down to who we are as a people and what we hope to achieve. 

I see a nation that treats people fairly and knows how to maximize its human capital. Some agree with me on those aspects and some radically oppose. However, there is a significant element in society who feel that the laws should apply to help their specific religion, clan, race, or group and that others should have little to no rights or protections (Because someone feels that way doesn't mean it actually is or should be that way. It only means they feel that way and some of those who feel that way will misuse any system to mitigate those feelings.). 

For the most part I cannot tell you why or how those distorted beliefs persist but it appears to be an acceptable part of society reaching into nearly ever corner of the justice system. The grotesque and the good seem to exist in the same time and space. One reaches toward our nation's principles and the other persists as a left over of a darker time and era. 

(I have to use the term fellow citizens because even if someone has a different race or religion they are still true Americans endowed with certain rights no matter what those who violate our laws believe or how they act. Nor the wink and nod protections they sometimes get for behaviors that would be considered inappropriate if conducted against members of their own group.)

We could fix this of course but we have not yet done so. We have only started on that path more recently. I have seen the default where anything goes, even putting innocent people in harm's way, as long as certain groups are advantaged by these behaviors. The system for them has become a tool to self-enrich and push distorted values. We may rely on those systems for safety and security but they see them as tools to use against others which can make them appear unsafe and insecure (This is why different communities see different things.)

The good news is that the majority of the system doesn't function that way on an official level so there are occasionally checks and balances that come into play (Enough so that criminals don't feel 100% comfortable but they also feel a little too comfortable with the way laws are often applied). However, because these more appropriate checks and balances are being currently implemented poor, unconstitutional, and often criminal behavior may continue to persist for a decade or so until we realize our diversity is our strength (If used properly in human capital development and/or appreciate it for what it is.).

To me, every system must focus on its essential purpose each and every day. If there are people who misuse those systems, manipulate those systems, adjust the intent of such systems to harm people in their community, and violating the essential purpose of our nation there should be consequences. However, because we are just starting on the path of building integrity into it there will be lots of hiccups (We should never treat hiccups as inconsequential. They are signs of misapplication of justice.)

Someone might ask, "We know that a lot of people in society are saying it but aren't you afraid the consequences of using free speech?" I say, everyone is afraid of retaliation. However, patriotism to me is to correct that which is broken so as to ensure it fulfills our stated national purpose. I'm not always right but I can see the system divergently; good and bad. There is room for change, there is room for muted praise. The macro data coming out in the next few years will likely align more with my perspective from a scientific perspective. 

Another might ask, "You do know that typically people like you are going to lose a lot for standing up for justice right?" I might retort. If someone can take it away, it was only on loan. In this life I expect nothing from anyone because I know how selfish people can be. I expect retaliation as a sign of where we currently are. Not that it has any real value and likely more of a foolish perspective but there may be some small solace in not selling our principles where others have so willing given them away.

We know that systems that use our money wisely and with the greatest good in mind will persist and those that don't will be legitimately and rightfully criticized. Fixing the system means we can better catch bad guys/gals, use our resources efficiently, and do so in a manner that helps the nation achieve its stated purpose. We seem to miss out on the practical and scientific aspects of the debate and lean more into the ideological weeds where its intentionally murky (Where loud voices sort of distort the truth).

My political idea of the day? Let us keep what works, let us fix what is broken, let us stay focused on our core purpose as a nation. If that is confusing, then I would encourage our leadership to find other lines of work where problem solving isn't necessary. I fully expect to be a dishwasher for having values, would you like to join me in this new found occupation of integrity? (Maybe maybe not...roll the dice.)

The Impact of Education on Human Capital and Community Development

Development of people through education is part of the solution in creating a high performing society. That will become increasingly important as we move into the digital world where technology and human capital will determine a great many things about our future economic health. Education, and I'm going to include skilled trades, appears to make broad based improvement in non-market and market aspects of society. Non-market factors could further create the right environment for non-linear societal growth (i.e. meaning new unexplored paths).

Consider this study 'The Impact of Human Capital on Non-Market Outcomes and Feedbacks on Economic Development'. You will notice a few of the things they say happen when we improve education within an area:

1.  Human capital (and R&D) investment and externalities offset diminishing returns from physical capital (i.e. raises the value of physical labor).

2. There is a lag between increased education and direct/indirect measures in the community.

3. Education reduces disparity gaps. 

4.  There is a broad impact on a community in the long run. (The study talks about how education impacts structural human capital issues such as pollution, technology i.e. education dissemination through technology, savings rates, growth rates, and political stability. )

What I pick from this is that if we improve education we find broad based enhancement in the economy. Many of these are going to be indirect measures, but overall there is a net positive to society from educational attainment. I suspect that also includes skilled trades and crafts. While the study doesn't say this specifically, I would believe that skilled trades would impact certain areas while broader education will impact other areas. Both appear necessary in one form or another. 

Furthermore, we might consider improving education quality versus the longevity of educational process. Let us admit it, education is expensive and is a big commitment. Ensuring it is effective is important. This is why I came up with a measurable competency based system that can used to map learning in school and then compare that to what is needed by industry (and various industry sectors if needed) to ensure everyone is leaning what the market needs (i.e. employability)

Before you get all excited. That doesn't mean I don't support the arts. As a matter of point, in today's world the arts and creative development is another important aspect of human capital development. You need new innovative ideas and that comes from neural exploration of concepts. i.e. innovation as a new and unique furthering of an idea and/or paradigm shift breakthroughs. That occurs best in creative environment with creative experiences. 

*In my transactional cluster theory it is going to be important to have the necessary skills and education within the cluster and that could impact the rest of the local economy in a broad based way.

Marquette Harbor Fishing

I was in Marquette yesterday and had an hour to spare so I threw my line in at the harbor. I didn't catch anything and I don't think the people down from me caught anything either. Its probably about 15 feet deep a few feet off of the wall. Used a bobber and weight with the hook about 2.5 feet below the surface. I should try off the bottom next time. Was using artificial worms again but am switching to live  bait for the next time for next time ($4.95 Holiday gas station in Escanaba. I'm sort of looking around for an actual fishing store/baitshop.).

Just in case you want some regulations on size and stuff. Familiarizing myself in the event I actually do catch something. DNR 2023 Michigan Fishing Guide 

Mostly I fish near home. You can also check out this map on Delta County Fishing. There are more places then that, but that will give you some spots to check out. Walley, Rock Bass, Small Mouth Bass, Sun Fish, etc.

Building the Army of 2030: A video on the diverse nature of a modern military

In any society there are going to be the warrior class and they have an important role in defending our boarders from emerging threats. Our diversity is one of our core strengths and the military has been an equalizer in our society. When it comes to building our nation, the people who serve have a special place. They walked the talk already and took a step that others did not take. That leads to interesting and unique lives in many cases. No matter what, they should be honored for their sacrifices. It is the one institution that has broad support because it is inclusive and purposeful in its activities.

The military is one place young people can do a lot of good. College is great, the military is great, both are great. You can make a life long career out of the military. Institutions like the military, along with others, have a long history of honor, service and excellence.  It is the one place that you can make a big contribution that would not be possible in other environments. You can be a physical warrior or you could be a cyber or intellectual warrior (A little of both/all might be important with some of the emerging VR technologies.)

There is even something called the warrior-scholar. You can read a little about how officer training might include more scholars. In this case they are talking about sociologists Warrior-Scholar. There is also a Warrior-Scholarship Project that helps vets make a transition to civil society (Ok its not actually always civil but we can always hope. A truthful pun.). Warrior Scholar Project. Because the technology and complexity of the modern age I think that we should scholars that already have degrees and include more of them in military roles. Its a knowledge game in todays world so we need to recruit from those who have specific knowledge skill sets. New skills encourages adaptability of the military through knowledge acquisition. You can also read about the Army Research Office and the research they fund (Personally I think they should spend some of that on 3-4 layer deep narrative online learning systems. That is just my humble and often useless opinion.)

Let me say this because I think its important. I have seen people disrespect our vets. People who either never served or people who have an incorrect understanding of patriotism and what it means to be an American. To me, these behaviors lean a little extremist and that is something we are struggling with in some of our small towns (Based in surface and underdeveloped perspectives). We will overcome issues like this as a society because we all know on a deeper level such groups are detractors and they intentionally create problems and issues  which weakens us all (That is a core purpose of their existence often developed around a dominant toxic personality or two. There is a mental health component of hate. Try selling that to people who know everything! ). They just have bad karma so deflate by not buying into the narrative (Asking question like "why" is important to solving those type of issues. You might be surprised to find they are projecting their own fears and insecurities onto others.)

Personally, I like the throw back to the American Revolution and the historical line that is drawn. It is correct, you become part of something bigger and in many ways continue to serve throughout your life in different forms and manners. It is an old institution and its becoming increasingly important in the modern world but for slightly different reasons. A sociological perspective.

Marquette Fashion Show: Down to Earth Style (Cultural and Creative Centers)

Today was a Marquette Day! While Escanaba is soon to hopefully be (received some big investments recently) an investment draw, Marquette is known for its high society culture. It has to do with the larger university and exposure to new ideas. However, I think Escanaba could have something very unique and trendy about it soon. Its starting to attract more interest in the market and can offer something other places would have a more difficult time copying. Marquette as a cultural center and Escanaba as a creative start-up center. (🤔 Sounds like its got a ring to it. Cultural Hub and Creative Sand Box)

I'm not saying its going to happen I'm saying theoretically there is a possibility if all the cards are played right and we snag a few good bites along the way anything is possible. The global market is looking for places to obtain high returns and we have a push to develop small export businesses. That starts with the right environment and investment interest (Look, its like this. Developed nations like the U.S. must find ways of attracting start-up interest and growth that investors experience in emerging economies. Our infrastructure/platforms, entrepenuerial assumptions within our culture, can be matched with the right environment and investment pack dollars. i.e. DC hedge fund. These microcosms of transactional clusters create high innovation environments that can produce prototypes and small batch production products. Start-up companies bring innovation and need affordable vacation oriented places to stay to develop that creativity. Such products can then be put into mass production in other places. i.e. Detroit, Green Bay, Milwaukee and Chicago. You are building a pro-growth creative environment. That is the Theory of Innovative Transactional Clusters. Its an unfinished theory but this is a thought experiment so I'm going to run like the wind with my fanciful thought frolics! 😆 Ok seriously, I'm kind of watching how and if it unfolds. I mean really, watching it while it happens would be cool.)

Ok...sorry...off on tangent! Back on track.....

I went to support my friend's daughter who was a fashion designer. There were really good pieces. They are the kind most people would wear. Out of New York you sometimes get these crazy designs that are awe inspiring but then sort of not practical at $10K or wearable in normal events. The stuff in this show was very practical and thought my son might like a piece or two. I'm working on getting the site where they list their stuff. Then I can save up and get them a unique piece for their birthdays or something (I didn't come from the connected class so ever penny I got was sort of clawed out of the earth unwilling. You know how corporate culture is when your on the bottom of the pile. I sort of was on my own at like 16 and a half or something like that so I found my own path. Its good experience to share with others so they know someone who has been in the thicket and found a way out.)

(I have been to a few of these fashion shows in my life, even been on stage in a few. Suits but only a couple. If I lost 10 lbs I could probably cut into a suit again. Its all just good fun and variety that I love in life. Its fun and you meet a lot of people in that realm. I thought it would be old people who want to look young that buy expensive suits. I looked up the suit buying demographic and found that I'm past my prime! 44 is prime. 😬 I guess I can look forward to senior discounts. Modeling out and bingo in!😂 💨.)  

The Importance of Building a Fair Society: Human Capital Comes from Maximizing Diverse Talent

 We are a society whether we like it or not. We know that there are different rules for different types of people. Its not everywhere but its enough to be of concern. While there will always be "in group" and "out group" members in any society the laws should apply fairly to each. A fair society can draw additional talent and skill from the 60% that may not feel as though their concerns are not given full weight (Another person may say 10%, 20%, etc. but I have met a lot of people from various backgrounds so I'm going to say 60% that don't fit within a certain perceptual range.) 

There are really good people out there from every walks of life, stations in life, education and in positions of prominence. I have met many of them. I have also met some where the rules don't matter and anything that banks in their favor is acceptable. When power and poor behavior mix, most people sort of cower in fear of losing something but then fail their bigger duties.

I encourage people to support those loftier pro American and pro social values so we can build a strong society where everyone is engaged in the betterment of the nation and its people. That can be difficult if we struggle with the basics such as the Golden Rule or general civility. Nations are built off of pro-social behaviors of inclusion and not division and exclusion (Exclusion base societies are damaged and run all types of risks. Thus I encourage the former. Seems like a good ideas to me, but some disagree. Some of us are improving and some are taking away.). 

I've seen very good people and very bad people. We seem to forget the importance of the former when we vote, promote, conduct business, and socialize with. Someone may ask why I would say such things and I say to them because I have a Muslim sounding name and Black kids. I know the differences in society that occurs and have been called every name in the book. Its a hate thing (It is just the way a certain percentage of society is but we can create the pressure for more enlightened society by being involved and encouraging better values. Most people are good natured but those who do engage in hate are often given free passes to do so.). 

These differences are not insurmountable but does require thoughtfulness by our leadership. We cannot expect to stay #1 without innovation and human capital development (As well as infrastructure, investment, education, etc.). We have some human capital struggles and we will need to think about how to maximize our diverse talent to be the best performing nation we can be (It shouldn't be a contentious but its difficult to change minds when we fail to be self reflective and certain people benefit off of poor behaviors.) 

If you are one of those people who the rules are sort of a mixed bag don't fret too much. Every great thinker in society has said the same thing and those who believe it is perfect are often the most advantaged (and often the most delusional. Every system could be improved and to think not means they are not taking their roles seriously and/or don't have the capacity to be constructive or look beyond themselves.). Consider that in life we have certain responsibilities to be better, be good people, and contribute in a meaningful way. By doing this, we are not shirking from mistreatment but embracing it as an essential truth of where we are starting and where we need to go. 

Patriotism is not just symbols alone, as it moves into how we treat each other and how we develop our diverse talent. Anything else is sort surface oriented. I believe very much in developing our country and dealing with the difficult things that many of our leaders shirk from even though its fairly important and obvious to deal with if we want to move into the growth era.  In this country race and religion should not be a deciding factor in anything, it is the soul and character of people that counts. We just need to see the value in each other (Try getting people to vote for that amebic concept. Its not a sound byte so its hard to sell.)