The events of the last couple have been fascinating to watch. I spend a lot of time thinking about how a Catallax based society would approach some of these same issues. Specifically #DefundThePolice is fundamentally built into the underlying Catallax System.

Catallax isolates State Accounts in the system in a way that financial violence can be used against the state by the people in a couple of ways. First of all, State Accounts cannot have any kind of privacy in how funds are used. The inflows and outflows are public record by default.

In a Catallax based system each government domain has a State Account. They collect taxes via the systematic decay of currency in accounts that elect that domain. These Domain Accounts can create Agency Accounts for the various agency accounts that their collected taxes fund. The police department would be one of these agency accounts. Citizens that pay taxes into the Domain Level account get a Democratic Veto right to all agency accounts. The democratic veto is described as follows in my book Immortality:

VTO. Democratic Veto

... How can the (CTZ), using selective citizenship (SCZ) and the public ledger (PLG) keep the state's power in check?

Power corrupts and the citizen must have tools to regulate out of control power without the use of force.

When a citizen pays taxes they should get a vote in that 'state'. We will do this via the democratic veto.

This veto is a 3 phase vote. Citizens can vote 'abstain', 'deny', 'override' on a state account.

This gives power to small minorities to stop the payment from state accounts until their concerns are addressed or their negative vote is overridden by other citizens.

We also don't want small issues gumming up the general working of the state. As a result we should provide for agency accounts that can be selectively vetoed when particular issues arise in the running of those agencies.

Therefore:

Establish the democratic veto for state accounts and selective veto for agency accounts.

This system allows small groups to have their voice heard and amplified. Larger groups must be proactive in overriding the veto and while this proactivity certainly hasn’t kept people from being oppressed in the past, it at least puts the burden of action on those that would seek to not meet the needs of the minority.

In a practical application, communities across the US could use the Democratic Veto to freeze the accounts of police departments across the nation and keep those accounts frozen until the departments make the demanded changes.