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Author Topic: Disposable Corporations  (Read 7992 times)

bluemeanie1

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Disposable Corporations
« on: June 01, 2014, 10:02:46 pm »

was chatting with jefdeisel today, we discussed a use case that isn't exactly the most valuable, but may be quite common- and that is a disposable corporation.

In many cases people might want to use VCorps for disposable joint-efforts, the example we used was some people planning a weekend get-together.  You could create a corporation and everyone pools their money, votes on a trustee and that trustee buys the plane ticket, rents the rooms, etc.  ASMOF, the PayExpo people were attempting to coordinate just that recently on this forum.  So with VCorp technology- you just create the corporation- NXT Marketing Enterprises, or some such, funding is transfered *directly* into corporate accounts and all purchases are made through those accounts.  Thus all expenditures are auditable and must be authorized by elected offices.  Makes the management of money much more secure.  If this corporation were to come up with marketable goals, it can raise money through the sale of it's shares.  But given the cost of incorporation, it's possible to form it simply for relatively short term goals.

-bm
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bluemeanie1

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Re: Disposable Corporations
« Reply #1 on: June 01, 2014, 10:10:17 pm »

also re. the concept of 'scratch corporations', it also allows collaboration over great distances and importantly(as Jef noted) across jurisdictions.  Forming corporations internationally is generally out of the reach of 99% of the world.  With this feature international collaboration is possible.  Wikileaks for instance could form a VCorp to help manage their donations and expenditures(and to allow the public investment into their efforts- I certainly would buy some shares).

Secondly the value of *interim* incorporation was also discussed.  VCorps gives you an inexpensive, easy to use option for joint financing that can happen prior to *real incorporation*, a legal hurdle that is often a barrier to highly specialized low-capital initiatives.  Most of the projects here that are nothing more than a few forum posts can easily incorporate on the block chain and get some real money moving to flesh out their ideas without involving lawyers or anything of much real substance or commitment.

Think of smaller, more specialized initiatives that could benefit from incorporation:

1) party planning
2) vacations
3) conferences
4) small software projects

... list goes on.

but also keep in mind we are not limited to the small, Vcorps can grow very large and can accommodate massive money flows.  In later versions we will introduce more and more features that give users more control over their jointly owned assets, ways for officers to communicate with the shareholders and public, ways to market and manage corporate assets and shares, and much much more.

-bm
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jefdiesel

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Re: Disposable Corporations
« Reply #2 on: June 02, 2014, 02:37:53 pm »

I think the best takeaway we discussed was the e-company in alpha or pre alpha stage

Imagine you were collaborating with a couple other users on a project for NXT, the web, or any other remote located project. You meet a couple users online with good ideas and decide that you want to work together. Now you DO NOT Know these guys and gals, and assume that they will help and follow through, and not just steal your ideas. You assume they will do any work they are paid for. They also assume they will actually be paid for the work they do!

How do you raise money? how do you create a corporate structure that investors can trust? how do you trust each other?

As BCNext said, trust no one.

For around the price of registering an asset on the exchange, you can register a VCorp, that gives you the ability to split control amongst the users you wish. Be it by voting shares, or designated "corporate positions" with the associated control, or maybe even multi-sig?

Now you and your 4 friends each own 20% of the voting shares of "GroupProj-VCorp", giving no one person the ability to abscond with the cash, or make decisions without a majority or even unanimous vote.
All fund raising would be into the corporation, traceable by investors, along with payments, spending, and any scheduled reporting.

The VCorp would control and legislate the running of the business. In effect "centralizing" and bringing rules and oversight



What gives corporations and assets value? The company that they represent, the product, the actions, and the history.

How do we know what ANY of these for existing Assets? How do we actually know these values if we don't know any of the basic information!
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bluemeanie1

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Re: Disposable Corporations
« Reply #3 on: June 02, 2014, 03:38:49 pm »


As BCNext said, trust no one.


Now you and your 4 friends each own 20% of the voting shares of "GroupProj-VCorp", giving no one person the ability to abscond with the cash, or make decisions without a majority or even unanimous vote.

this also has the effect of enhancing the CREDIBILITY of the corporation.  When there are many people involved, there is greater trust and it's easier to raise community funds.

It's important to understand that corporations have always been devices to harness community value and talent.  They seem to have a bad name with some people but the reality is that corporations were invented to help solve the problems of capital disparity.

-bm
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jefdiesel

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Re: Disposable Corporations
« Reply #4 on: June 02, 2014, 04:53:36 pm »

Its exciting to think that vcorps can offer the same advances, advantages and security towards the disparate and decentralized online community that Crypto-Currencies offers with banking and money.

Vcorps is literally a bolt on solution to the known and existing problem of trust.

Fiat is regulated by National laws. Fiat comes with implied protection;  loans, investments,  collateral,  and bills of sale are all to regulate the flow and control of Capital.

Crypto is regulated by the Blockchain. Crypto gives users the complete control of their funds but the only implied protection is control of those funds.
Crypto capital is only secure in your own possession.

Crypto is incomplete until we can enable a degree of  protection for external transactions, without the need for laws and courts to regulate.
The Blockchain already exists as our laws and regulatory body.
Proof of proof we could say.

CC companies solve this problem with fees and protection. Businesses follow laws, and consumers have rights and protection. Stores build reputations. All these require trust and oversight.

Corporate law serves as oversight and structure for external control of capital. This allows for growth and leverage of capital.
AKA making money.

Vcorps provide the missing corporate structure, with oversight, reporting, and the shareholder governance that is needed for business to happen all regulated digitally by the PoP in the Blockchain.

Remember not all share holders are  external.
Corporations are not based on solely financial power,  but on pooled resources of all kinds.
If you put in 100 hours of programming work for your shares, you deserve the percentage earned.

At a later date when the project is complete and ready for external investors, they can see that user X was paid their percentage for the agreed and posted work performed.

This turns labor into capital and gives capital a structure for growth.

Jef

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bluemeanie1

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Re: Disposable Corporations
« Reply #5 on: June 02, 2014, 05:11:34 pm »

Vcorps provide the missing corporate structure, with oversight, reporting, and the shareholder governance that is needed for business to happen all regulated digitally by the PoP in the Blockchain.

I certainly appreciate that view of the feature.  It's fairly obvious that people WANT to collaborate this way, but there's a lot of 'gray areas' and unknowns that make it difficult(perhaps impossible) to do so.  It's resolving these 'gray areas', that's what we will accomplish here.

It's about unleashing the collective 'social capital' in the community.  We have the beginnings of that here, but there is so much more we can do.  Vcorps is a major step in that direction.
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leeo

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Re: Disposable Corporations
« Reply #6 on: January 11, 2015, 08:06:35 pm »

A better name probably would be dissolve-able corporations, such as has been done with Junior Achievement for years.  I thought of issuing a futures contract asset; but with the cost of issuing an asset held up, would I then have to reissue a new asset for the each next futures cycle?
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Come-from-Beyond

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Re: Disposable Corporations
« Reply #7 on: January 11, 2015, 08:22:31 pm »

A better name probably would be dissolve-able corporations, such as has been done with Junior Achievement for years.  I thought of issuing a futures contract asset; but with the cost of issuing an asset held up, would I then have to reissue a new asset for the each next futures cycle?

http://cointelegraph.com/news/112643/the-mystery-of-the-missing-1000000-nxt
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bluemeanie1

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Re: Disposable Corporations
« Reply #8 on: January 11, 2015, 09:19:34 pm »

A better name probably would be dissolve-able corporations, such as has been done with Junior Achievement for years.  I thought of issuing a futures contract asset; but with the cost of issuing an asset held up, would I then have to reissue a new asset for the each next futures cycle?

This project is long dead due to the sabotage of CfB and friends.

My advice is to leave the project immediately, these people are all criminals.
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Damelon

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Re: Disposable Corporations
« Reply #9 on: January 11, 2015, 09:26:41 pm »

We're nót getting into this again.

Project is inactive/dead.

Topic is locked.
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