Is Hive becoming a [network state](https://leofinance.io/@leoglossary/leoglossary-network-state)?

This is a loaded question since there are a variety of views on what a network state is.  Until we properly define, if that is even possible, it is just a guessing game.  However, that does not mean the exercise is pointless.  

In fact, for clarity, it is a great way to conceptually approach what is occurring.

Here we will delve into some ideas about a network state and how Hive is becoming one.

 https://i.imgur.com/P6pZLJg.jpg 

[Source](https://external-content.duckduckgo.com/iu/?u=https%3A%2F%2Fwww.stratospherenetworks.com%2Fblog%2Fwp-content%2Fuploads%2F2020%2F06%2Fcity-networking-concept-1536x867.jpg&f=1&nofb=1&ipt=bfacbcbd8df337add29d905f916850d754d56f9f555ea477319c48724b425445&ipo=images)

## Digital World

The idea of a network state starts with the first word: [network](https://leofinance.io/@leoglossary/leoglossary-network).

It is a gathering that resides in the [digital](https://leofinance.io/@leoglossary/leoglossary-digital) world.  This is one of the primary means of interaction.  It also allows for the attraction of others from all over.

According to the most basic definition, [Facebook](https://leofinance.io/@leoglossary/leoglossary-facebook) could be a network state.  

But is that all?  Some believe this is much deeper.  For example, the bridging of the digital and physical is paramount to some.  This is also keeping in alignment with the future view of Web 3.0 which includes the spatial web.

According to the book by the same name, this is what a network state is:

>A network state is a highly aligned online community with a capacity for collective action that crowdfunds territory around the world and eventually gains diplomatic recognition from pre-existing states.

[Source](https://thenetworkstate.com/the-network-state-in-one-sentence)

We can easily see the difference in the viewpoint.  With the latter, diplomatic recognition is necessary.  Not only is there a geographic location but it must be recognized by the establish system.

This could be problematic if [government](https://leofinance.io/@leoglossary/leoglossary-government) systems start to breakdown.  Some are forecasting that we are to the breaking point with our present government structure.

Here we are confronted with a dilemma: is the network state the next evolution of our government system?

Under this premise, the concept takes even another turn.

## Government Replacement

My view is the network state will not be recognized by governments.  Instead, *it will be the replacement for them*.   This is the major difference in the concept.

Network states start in the digital realm, following the course of the [Internet](https://leofinance.io/@leoglossary/leoglossary-internet).  At present, we are dealing with a online medium for the most part.  As [technology](https://leofinance.io/@leoglossary/leoglossary-technology) advances, the scope is going to expand.

Here is where the network state will evolve.

Over the next few decades, where one is physically located is going to be less important than the network they associate with.  It is under this realm that one is going to select what rules he or she operates under.  

This is not eliminate assembly in the physical world.  As humans, we cannot overlook the biological aspect.  Our bodies have to be somewhere along with food and shelter being basic requirements.  For this reason, digital exclusively is the wrong model to work from.

The tentacles will extend beyond digital activity.  This is a priority and a natural evolution of what is taking place.  None of this is operating in a vacuum.

We see the situation becoming rather dire if governments around the world start to collapse.  Even without that, we are learning how many are losing confidence in our governments.  This means trust is disappearing from the equation.

What does blockchain do?  It instills trust in an trustless environment.  This is exactly why we can make a case that network states are going to be the replacement.  

[Governance](https://leofinance.io/@leoglossary/leoglossary-governance) is obviously a crucial component to this.  Fortunately we are seeing solutions arise that will serve as the foundation.

With network states, governance is in real time.  Voting mechanisms exist for moment-by-moment tallies.  This means issues can be voted upon and settled in a few days.  At the same time, there are systems that enable only those who have stake to vote.  This will prevent people from corrupting the process of another network state.

There is also transparency.  Obviously, the political and power establishment isn't fond of this but they are not the concern.   The network state removes many layers, i.e. intermediaries, and allows for direct representation.  We are seeing how trusted agents are becoming more valuable in the network state.

Governments, as they are structured, simply do not solve the problem.  In fact, a case could be made they cause more issues (on purpose?) than they solve.

## Hive; The Network State

What does Hive have that is crucial?

This is something that will apply to all network states.  To me, there are a few components that are essential.

* governance
* [economy](https://leofinance.io/@leoglossary/leoglossary-economy)
* [currency](https://leofinance.io/@leoglossary/leoglossary-currency)
* [commerce](https://leofinance.io/@leoglossary/leoglossary-commerce)
* financial system
* decentralization
* autonomy
* reputation
* global coverage
* [consensus](https://leofinance.io/@leoglossary/leoglossary-consensus) mechanism
* information flow and communications

Some of these are inherent in [blockchain](https://leofinance.io/@leoglossary/blockchain) so will be present within any system.  However, a few are not which is what separates Hive from a lot of others.  We will not go through all the points as it could make this article 4,000 words.

The key takeaway from this list is to focus upon what is being built and how it will eventually tie into this concept.  We have no single area that is anything more than a work in progress.  Most are simply ideas with a bit of development behind it.

Here is where we see how early in the process we are.

However, when constructing this nation state, all aspects are vital.  Hive has no central place of control.  We cannot ascribe any geographic area to it like [Web 2.0](https://leofinance.io/@leoglossary/leoglossary-web-2-0) platforms.  This is an important feature in the global nature of things.  When a network state is viewed as being from a particular area, this hinders the reach.

Another vital component is the [decentralization](https://leofinance.io/@leoglossary/leoglossary-decentralization).  This is necessary for a few reasons.  The first is resiliency.  While governments might be teetering in some areas, those in control are not going to willingly walk away.  They will fight as we see with the discussion on [regulation](https://leofinance.io/@leoglossary/leoglossary-regulation).  For this reason, decentralization must exist to counter the attacks.

The other reason is governance.  We are seeing accusations of [ETH governance being centralized](https://coinedition.com/eth-governance-is-effectively-highly-centralized-researcher/).  The negative impacts of centralized power is all over the planet.  This is something that we have to work to turn away from.

What this presents is a foundation to build more layers upon.  It is at this point that we can start to see the formation of a network state that could make a difference.

## The Local Tapping Into Something Much Bigger

Under the premise being laid out here, geographic identity is less vital.  This means the local can be linked to something much larger.

For example, let us look at the Hive economy.  What does this really mean?  Basically, it is the economic activity that is generated by this ecosystem.  It is global productivity taking place, mostly, in the digital realm.

Of course, this will cross over to the physical.  We already see areas where the locals in certain communities (physical) are using aspects of Hive in real world [transactions](https://leofinance.io/@leoglossary/leoglossary-transaction).  Here we see the ecosystem being accessed, enabling the locals to transcend what is before them.  

In other words, they are accessing something much bigger.

This does not mean, however, we are entering the New World Order of planetary governance.  The key to the network state is it being voluntary.  There are also major aspects which must be autonomous.  Transactions, for example, require no [counterparty](https://leofinance.io/@leoglossary/leoglossary-counterparty).  The [software](https://leofinance.io/@leoglossary/leoglossary-software) running on nodes around the world provide this.  Permission is not required, either from the production or usage standpoint.

Anyone with the technical expertise can become a [block producer](https://leofinance.io/@leoglossary/leoglossary-block-producer) by setting up a [node](https://leofinance.io/@leoglossary/leoglossary-node).  This is permission-less.  At the same time, anyone who gets an account is able to engage with the [database](https://leofinance.io/@leoglossary/leoglossary-database) using only one's key.  Naturally, there are requirements that must be met according to consensus but they are clear and apply to everyone (for example: requiring [resource credits](https://leofinance.io/@leoglossary/leoglossary-resource-credits-rc)).

## Foundation Being Developed

Most of this is a theoretical exercise.  People building are going to continue to do so.  Are those individuals in touch with this concept?  Perhaps but not likely.

That said, there are times where it is important to step back and see what is forming.  While much of this is simply a forecast, we do see green sprouts popping through.  We also are getting validation from the activities of people around the world.

Based upon the definition I hold, which is in accordance to the trends that will produce [Web 3.0](https://leofinance.io/@leoglossary/leoglossary-web-3-0), Hive is becoming a network state.  There are aspects to this [ecosystem](https://leofinance.io/@leoglossary/leoglossary-ecosystem-digital) developing that will serve as the attractors for people in the future.  It also could be a major part of the sustenance in their lives.

Some are calling it "home" already.  This might take on a much more powerful meaning down the road.

___

[What is Hive](https://leofinance.io/@leoglossary/leoglossary-what-is-hive)







Posted Using [LeoFinance Alpha](https://leofinance.io/@taskmaster4450/hive-becoming-a-network-state)