Am thinking of the best ways to punish people who break rules in Crypto World without desecrating Cryptocurrency privacy principle... more like an effective online alternative to the usual "Physical jail". I think this is necessary because of the issue of anonymity in Crypto/Blockchain World. People need to be judged and punished anonymously. I think it can be done!
I am 100% for Cryptocurrency ideals. I hate when they're violated whether for good or bad. I think people's wish to be anonymous should be 100% respected. Yes, 100% can be achieved! We need to make sure all the ideals are adhered to in all our dealings with Crypto.
So Here is How We Can Go about This:
Automated trust system
There should be a Blockchain database for all our Crypto-cyber activities which no human can read nor have access to except the Blockchain & websites it is interfacing with. Our most important cyber activities will be recorded on the Blockchain. Such activities will be mostly in form of trust/reputation scores from:
* Borrowing and repayment of Loans.
* Safe Cryptocurrency tradings.
* General financial dealings on Crypto sites.
* Activities on Crypto Forums/Social Media, Exchanges .
*Activities on important Crypto websites.
* Ratings based on Crypto sites rules and regulations.
When you borrow loan on a Loan Site & repay early, you get good score/rating & it is auto recorded on the Blockchain. When you Trade according to rules of a Crypto Exchange , you get rated & it's recorded on the Blockchain. When your Forum activity score is good, it gets recorded on the Blockchain. etc
To avoid cheating this system, the Blockchain must have something that is unique to you, like biometric id or other means. This will ensure that the record is (anonymously) tied to you permanently even when you create another account on the Blockchain. If try to cheat by creating a new account, once you provide your unique ID(in biometric or others form), your previous records on the Blockchain will be found & merge to your new account.
This system will be as anonymous as Bitcoins on Blockchain.. no one knows who the owners are. Only your Reputation, just as the Bitcoins, will be publicly (and anonymously) visible.
How you get Penalized/Jailed
The Blockchain will keep records of your various websites activities. You get penalized by the Blockchain when your total scores from all your activities get Red or Poor (everything will be done automatically). You will be auto banned from using the major Cryptocurrency services. Your account and Cryptocurrencies on the services will be freezed pending when the ban is auto lifted by the Blockchain. No website that interfaces with Blockchain can render services to you until the ban is lifted. The ban length will depend on your score.
Any more suggestions on ways to Penelize people anonymously will be welcomed.