A Summary of the Split Velocity NFT Ingots White Paper
A Split Velocity economic network and its NFT Ingots will only be available in countries where cryptocurrencies are recognized and accepted for use.
The problem and its solution
The difficulty businesses face in remaining viable and profitable, poverty and scarcity around the world that people and industries struggle with to varying degrees on a daily basis can be countered by advances in financial architecture developed by Split Velocity which are capable of changing conditions from persistent economic strife to abundance in a manner that transforms lives. Humanities strife has persistently revolved around inordinate levels of scarcity, that despite interventions and ongoing attempts to resolve has persisted, however, with a scientific understanding about the origin of scarcity a comprehensive end can finally to the pain and suffering.
The circular flow of income (CFI) in any economy in the world is poorly designed and loses the equivalent of GDP per annum to a process called subtraction. Split Velocity is designed to counter this flaw, recover these resources and restore them to businesses, the private and public sectors.
Split Velocity Solutions Ltd is issuing NFTs, referred to as Ingots to raise the resources with which to establish a Split Velocity economic network that implements an end user product called Wealth Creation that recovers the resources being lost to subtraction and to raise awareness about the problem.
The Value of an NFT Ingot market
Every economy in the word today loses the equivalent in GDP per annum due to a flaw in the circular flow of income (CFI) referred to as subtraction. This means that the intention is for Split Velocity NFT Ingots to be used to recover these resources and restore them to businesses, the public and private sectors.
The GDP of the United States alone, for instance, is US$23 trillion. This means that the recoverable value being lost to the CFI is potentially equivalent to upwards of US$23 trillion per annum in the US. The expectation is that Split Velocity can eventually be distributed world-wide in countries that accept cryptocurrencies through the use of cryptocurrency wallets and eventually conventional accounts.
Losses to subtraction due to a flawed CFI is a global problem. World GDP today is valued at US$84.71 trillion per annum. This means that the equivalent of this is recoverable by Split Velocity through NFT Ingots and the new financial architecture being introduced by Split Velocity as a solution to subtraction. In a Split Velocity model, money be it fiat or crypto is a raw material. There is plenty of room for innovation and well managed currencies. In addition to this, Split Velocity guarantees targeted growth rates each year and can accelerate or decelerate growth to suit economic objectives.
These targets or rates of acceleration can be anywhere between 0% to 70% per annum, with remaining growth left to a multiplier effect. Well managed and innovative currencies can therefore be backed by Spit Velocity, Ingots, the growth and the ongoing demand for money to lubricate the higher levels of growth generated by Split Velocity. The demand for money to keep pace with accelerated global growth in an SV-Tech model will be unprecedented, which means the demand for well managed fiat currencies and cryptocurrencies will be very high, even though currencies may be in a down turn at present, the future of money in a Split Velocity model is very bright. In a Split Velocity model the supply of money will remain a very lucrative industry where there is competition in terms of cost and speed of transactions, volumes that can be handled and so on. The front and centre leaders in this industry are central bank fiat currencies (public money supply) and cryptocurrencies (private money supply), a healthy mix that is comparable to having public and private banks. Central banks should take cryptocurrencies under their wing and support them in the same way that they they have done with credit creation. The supply of money in any economy like credit creation is a central bank’s baby, therefore, central banks should treat cryptocurrencies like one of its new borns and take them under its protection and supervision (being open to, nurturing, supporting and guiding what they do) because any other kind of regulator is unlikely to be familiar enough with the role of money and the purpose it serves in an economy, or will misinterpret what type of asset cryptocurrencies are; the wrong type of regulation and the wrong regulator can be detrimental. Backed by Split Velocity and Ingots and the more advanced financial architecture provided there is plenty of room for diverse players in this very lucrative industry to thrive, a global market worth US$84.7 trillion in which fiat and cryptocurrencies are a key raw material or component is merely the tip of the ice-berg.
The value of Split Velocity NFTs is based primarily on how it works and how it is designed to recover these resources being lost in the CFI, that is, its utility value more so than its artistic value as is the case with most NFTs.
Early Adoption
If you are an individual and can afford to buy *1 ND Ingot or a public entity or an institutional investor and can afford to buy a *10 million ND *Ingot and so on, why is this feasible? Tiers make Ingots affordable for early adopters of any income bracket, no one is left behind. Ingots are therefore an NFT asset that is accessible to everyone. The Ingot is the gateway to the benefits and rewards of Split Velocity. The global Ingot market is worth the equivalent of GDP post critical mass in terms of what is recoverable from the CFI. These purchases give early adopters a stake in the potential advantages and value of this post critical mass market. ND Ingots are therefore a means of early adoption.
Split Velocity is proprietary and designed to be more powerful, more reliable and more stable than a gold standard, when it comes to creating, distributing and preserving wealth. This makes its early adoption through the purchase of ND Ingots by individuals, businesses, institutional investors, the private and public sectors a worthwhile decision to consider.
The artwork and visual quality of Split Velocity NFT Ingots
Split Velocity NFT Ingots are a digital asset. They are being used to counter subtraction in the CFI. Therefore, though both the utility value and the artistic value are both important, the Ingots are designed to look more like a financial instrument than a work of art. The main feature is a stripe or diagonal stripes across each Ingot and a specific serial number on each Ingot that identifies it. Though NFT Ingots will contain some artistic attributes based on the theme of a collection it should be understood that they are being bought and invested in for the purpose they will serve in Split Velocity, not just for being artistic or pretty, but for their strategic capacity to be applied using Split Velocity to counter losses in the CFI, which is what should be understood as where their core value as an NFT digital asset resides when being purchased, rather than the image quality, artistry or complexity alone. As mentioned earlier the market value of the problem is equivalent to GDP per annum, making Ingots an investment with significant future potential.
What you stand to gain by buying Ingots
Split Velocity NFTs, referred to as Ingots are intended to be purchased and sold, traded like any other NFT, as a digital asset. Ingots of this kind are the first NFTs being issued. They are referred to as non-denominated Ingots. The purchase of non-denominated Ingots not only raises potential value from the buyer owning the NFTs, but will also help generate the financial resources with which to help build the critical mass required to implement Split Velocity.
When Split Velocity reaches critical mass and is launched the equivalent of every $1 with which an Ingot is bought, in addition to the market value it gains from being traded will be potentially worth the equivalent of a $1.70 (depending on the rate of acceleration) when applied to productivity. This makes Ingots worth purchasing, investing in and holding onto before critical mass.
However, it should be noted that this is a recovery of a loss from the CFI, in other words if the economy is unknowingly withholding from you or making you lose the equivalent of a -$1 due to being flawed and poorly designed, recovering the equivalent of a $1 or a portion of it in Ingots technically does not represent profit or a gain in income, in the same way that when borrowing money, paying back the principle does not represent a gain or profit to the lender.
What you need
In order to participate in Split Velocity before and post critical mass whether you are an individual, corporate, business or institutional investor is a wallet with which to make transactions and purchase Ingots. There are numerous wallets able to enable transactions in cryptocurrency and platforms that offer conversions from crypto to fiat currencies.
Anyone anywhere in the world, be they an individual, corporate, government, private or public institution should be able to be significantly better off by being able to access a wallet with which to participate in Ingots and access the benefits of Split Velocity since the economic resources Split Velocity is able to recover from subtraction in the CFI are equivalent to GDP.
This is why you participating in Split Velocity by purchasing Ingots is a genuine effort to end poverty and scarcity, improve operating conditions for businesses and creating new resources for the public sector to transform lives.
Split Velocity is a catalyst for growth
Split Velocity, Ingots and the proprietary technology offered are simply a catalyst for growth that works as a stimulus. This stimulus can be increased or reduced, introduced or withdrawn as required depending on how subtraction in the CFI is being managed.
There are two types of Split Velocity NFT Ingots:
- Non-denominated Ingots [invested in before critical mass (BCM)]
- Denominated Ingots [purchased post critical mass (PCM)]
Ingots are denoted by an asterisk “*”. One Ingot *1 is equivalent to US$1. Ingots are divided into drops. Drops are indicted by an underlined asterisk *. Each Ingot consists of 100 * drops. Therefore, 1*= 1 cent
Why should you buy Non-denominated Ingots?
A non-denominated Ingot, is an Ingot without a face value.
The market value the Ingots serve is equivalent to GDP per annum.
Non-denominated Ingots being issued are worth purchasing today as they build up to the full implementation of Split Velocity post critical mass (PCM). Denominated Ingots will not be available until Split Velocity is launched post critical mass (PCM). Before critical mass ND Ingots are a digital asset in and of themselves, as is the case with most NFTs, they have value base on the art that can also be attributed to a collection, which is based on a theme. However, they have a latent advantage post critical mass when they can be applied to Split Velocity.
Post critical mass denominated Ingots can be purchased by those holding non-denominated Ingots. The market value of ND Ingots at the point in time critical mass is reached can be used to purchase Denominated Ingots which are applied to countering subtraction in the CFI. Denominated Ingots are Ingots with a face value. Post critical mass the market value of Ingots that were purchased can increase by the rate of acceleration (e.g. 70%) using Denominated Ingots.
Non-Denominated (ND) Ingots
Non-denominated Ingots will be available soon (in the coming weeks) for immediate auction and purchase. They are considered as before critical mass (BCM). They will be traded, that is, they can be bought and sold, gain or change value in the build up to critical mass.
Non-denominated Ingots have no face value. However, they have a minimum value for which they can be auctioned or purchased. This is referred to as the ND Ingot’s Ratchet Value. The Ratchet Value is indicated on each ND NFT Ingot. Non denominated Ingots can be purchased for any amount greater than their Ratchet Value. Before critical mass (BCM) is the period before Split Velocity as a product is implemented. Critical mass is assessed and takes place on a country by country basis since this geography and location affects the coverage and practicality of transactions.
Post critical mass, ND Ingots can be converted into denominated (Dn) Ingots. Dn Ingots are accelerated using SV-Tech at the point in time the purchase of non-human capital factors of production is made. Any gains realized from acceleration using Split Velocity must be exploited in this manner by recipients as a function of responsible capital.
An ND Ingot with a Ratchet Value of *1 can be purchased for any value equal to or greater than US$1. It’s ratchet value means it cannot be bought or sold for less than US$1. However, it can be auctioned or bought and sold for $1 or more. For example, an ND Ingot with Ratchet Value of *1 can be auctioned or sold for US$5, U$5,000 or US$5m etc. Demand and supply set the market value for that unique ND Ingot and its related serial number.
Distribution Commissions
Commissions between 0.3% – 1% on the value of each ND *Ingot NFT purchased will be available to individuals, institutions and corporates registered with SVS Ltd that are intermediaries who facilitate the purchase of ND *Ingots. This is through prior arrangement and registration with SVS Ltd. Options for referrals that lead to a purchase are also available. For information on this please contact SVS Ltd.
Why Non-Denominated Ingots are Tiered
Having tiered Ratchet Values makes NFT Ingots affordable to any and everyone. A Ratchet Value means the NFT Ingot has a specific value and it cannot be sold for less than that value. An ND Ingot with a Ratchet Value of *50,000 cannot be auctioned, bought or sold for a market value less than the equivalent of $50,000. This value is considered locked into the ND NFT Ingot.
Its also important to understand that Ingots have a different utility value depending on who opts to buy them.
Individuals: An individual may purchase ND Ingots as an investment in a digital asset. Depending on the individual’s affordability. For instance, when ND Ingots eventually go on sale some of them are Tier 1, which means they are entry level Ingots and therefore are more accessible to the public because they have a low Ratchet Value. The opportunity that may arise is that a Ratchet *1 Ingot is auctioned and sold to the highest bidder for $X (There is no upper limit for Ratchet Values). The Ingot with Ratchet *1 may still attract gas fees depending on how it is launched, and this will increase or determine its launch price. There is no upper limit to the amount ND ingots can be sold for, the amount they can be sold for will depend on market conditions. This means that there may be advantages for early adopters who manage to acquire Tier 1 Ingots cheaply or at low prices, but which have the potential to gain higher value. Remember that ND Ingots are converted into Dn Ingots at their market value and will be sought after for correcting subtraction in the CFI. Early adopters who may take the time to understand Split Velocity, its potential for growth would appreciate why it may be worthwhile to acquire ND Ingots early on, when they are cheaper to buy.
Individuals with higher levels of affordability may purchase Tier 2 and Tier 3 ND Ingots. Tier 3 Ingots and above will be more attractive to large corporations and institutional investors interested in these NFTs. At this level they are being purchased primarily for post critical mass advantages they bring to industry as a result of Split Velocity. This is where the high Ratchet Value of ND Ingots is useful. Investors making large investments, for the sake of example, in a factory that is a US$1bn investment have little use for an Ingot with a Ratchet Value of *100m, this value is simply too low and impractical. Similarly, a large corporation which spends more than a $10bn on operations per annum, has little use for an ND Ingot of Ratchet Value *1m or *100m.
Similarly, a government with an annual budget expenditure of $5bn – $300bn has little use for low value ND Ingots, which will be used later to acquire Dn Ingots, which are accelerated. For instance and simply for the sake of illustration, the US budget for Y22 was $1.522 trillion. If the the US were to apply Split Velocity as a stimulus to its budget, it would prefer to purchase ND Ingots with a Ratchet Value in billions or trillions. At 70% acceleration this would allow Dn Ingots to recover $1.0654 trillion wasted as nothing more than a loss to subtraction in the CFI in Y22. Applying Split Velocity would have increased the work done by the US Y22 budget by $1.0654 trillion raising the US income for budget expenditure in hand for Y22 to $2.5874 trillion at constant price. Although this scenario is purely being used to illustrate the work Ingots and Split Velocity harnessing cryptocurrencies can do, it also illustrates the kind of scenarios that make having Tiers for Ratchet Values necessary. Therefore, it should be understood that even a $100bn DN Ingot Ratchet Value, is simply too low and impractical for some economies and even some corporations.
Denominated (Dn) Ingots
Denominated Ingots have a face value indicated on the NFT. Dn Ingots will become available for purchase or exchange as NFTs post critical mass directly from SVS Ltd.
Dn Ingots are the only Ingots accelerated by SVS Ltd at the point in time that they are spent on non-human capital related to productivity using SV-Tech.
This means that Dn *1 can be bought for US$1. However, when Split Velocity (SV-Tech) is applied to them at a rate of acceleration of 70% the resources available to businesses, private and public sector entities grows by the mentioned rate of acceleration. This additional value is realized on when Dn Ingots are spent on non-human capital.
Growing participation in the Split Velocity economic network and critical mass
Participants in the Split Velocity network can buy and sell ND Ingots knowing that any value they raise from the Ingots applied to productivity are potentially worth 70% more than what they bought them for when they are applied toward productivity in the SV network post critical mass,that is, in addition to the value they have gained in the market.
By purchasing non-denominated Ingots participants gain from added value and help to grow the SV network assisting in moving it to critical mass.
The funds raised by SVS from ND Ingots auctioned and sold by SVS Ltd will be invested in building and expanding the Split Velocity network and in achieving its objects. As the number of participants grows the more business and public institutions accept to make and receive payments in Ingots. This growth will eventually reach critical mass where there are enough participants who accept to purchase and sell their goods and services in Dn Ingots for Ingots to become used conventionally. It is only pragmatic that critical mass is assessed on a country by country basis. The advantage of trading in Ingots is that Split Velocity increases their value by the rate of acceleration applied to a business or general rate of acceleration on the Split Velocity Network. For instance, post-critical mass, government can use Split Velocity to invest 100% of its budget on non-human capital and 70% of it on households. Businesses can do the same. Applying SV-Tech the resources they have access to increase by the network’s rate of acceleration, which in the example used is 70%. These resources are recovered from the CFI using SV-tech.
The Split Velocity network or technology changes the financial architecture of its participants. Post-critical mass they can now spend 100% of their Total Revenue per annum on non-human capital expenses. Post critical mass these can include raw materials, equipment, taxes, electricity, repaying loans they owe banks, and so on. Having more income to repay loans owed to banks reduces credit risk and places both private and public entities in a position to take on bigger loans from banks with which to finance larger, more comprehensive projects.
Wealth Creation (Split Velocity) compliments Credit Creation
To the end user Split Velocity is marketed and distributed as Wealth Creation. Wealth Creation compliments Credit Creation, by not only making it affordable to take on larger loans, but also by making it easier to repay loans thereby reducing credit risk.
Wealth Creation changes an economy from being asynchronous with high credit risk, to being synchronous – with low credit risk. This is due to the fact that the more businesses, individuals, governments, the private and public sector borrow from commercial banks in a Split Velocity model, the harder the economy works to generate the productivity and resources with which to repay loans as part of non-human capital expenses. As more loans are issued through credit creation, an economy must naturally generate the growth and resources with which those loans are repaid to remain stable, which should ideally take place through wealth creation. However, wealth creation is currently missing from the flawed CFI. The consequence of Split Velocity missing from the CFI is that there will be a tendency for private and government debt to accumulate over time as a result of a low capacity for amortization, due to high levels of scarcity that worsen credit risk. High levels of ever present scarcity are caused by useful economic resources being needlessly wasted by the flawed CFI equivalent to GDP per annum.
Expenditure on non-human capital includes maintenance of existing buildings, equipment and infrastructure, waste management and cleanliness in the environment, research and development which are classified as being part of productivity and output that falls under non-human capital.
Artwork on Split Velocity NFT Ingots
ND and Dn Ingots that are released as NFTs are for the most part similar, or complimentary as will be observed in the stripe across Ingots, stripe variations and other images. Applying a different and distinct colour to each stripe is done so that it makes it easy for even a child to distinguish between Ingots of different value. The spectrum and simple rainbow colours applied to the first Ingot’s and their stripes is to portray to everyone that children, their welfare and plight must be above any agenda when it comes to the mobilization of resources through Split Velocity. However, each Split Velocity NFT Ingot has a unique serial number, and will have a unique NFT identification on the blockchain when it is minted.
The artwork that appears on Split Velocity Ingots can be used to identify a collection. For example, the first ever SV-Tech Ingots will feature artwork related to Collision Drives (C-Drives). C-Drives are a recently designed and patented propulsion system.
The artwork on Ingots in each future collection will cover any theme of interest. A set number of NFTs will be issued for each collection after which the theme will change. Some properties of the artwork on Ingots will, however, remain the same or remain similar within and across collections.
It should not be forgotten that the style of the Ingots makes them of artistic value and valuable to collectors before critical mass, however, when Split Velocity is applied to the Dn Ingots post critical mass it will be the most advanced technology for managing this kind of asset, in the world. Split Velocity is the only proprietary technology known today where an increase in supply of the asset is able to generate an increase in output and constant price rather than cause inflation, thereby enhancing growth, protecting wealth and encouraging financial system stability.
Once again it should be noted that the core value of Ingots in their application in Split Velocity is to recover losses being caused by subtraction in the CFI, the artwork is simply an important form of value addition to the Ingots that enhances the intrinsic value of the NFTs making them not only of utility value, but also of value to collectors of art.
Please bare with us and be patient as we put together our initial NFT collection of Ingots and navigate the course to bring Split Velocity to you over several weeks.
Positive Impact of Split Velocity
Post critical mass Split Velocity is expected to transform economies from being persistently prone to scarcity and poverty to being persistently moved toward prosperity and abundance. It is expected to wipe out poverty, increase wealth and improve its distribution. Problems such as homelessness, destitution, unemployment are expected to end due to greater control over the growth rate and an increase in financial and economic stability. A better standard of living and improvement in livelihoods where no-one is left behind is anticipated.
Businesses and governments are expected to have more resources with which to invest in a manner that encourages economic growth that is conscientious about the environment, where corporate responsibility is backed by the resources with which to make it more effective and more meaningful.
The Advantages of Split Velocity include:
- Restoration of economic resources from a flawed CFI (0%-70% of GDP) per annum
- Accelerated economic growth, doubling time every 2-3 years* [guaranteed]
- Lowering of credit risk, more stable and robust lending environment
- The more households, businesses, institutions and governments borrow the harder the economy works to repay debt, fewer portfolios with non-performing loans
- Much lower risk of indebtedness and insolvency
- Decisive lowering, removal and management of inflation
- Advancement of cost equation to the Split Velocity cost equation [Profit=TR=TC]
- Increased resources for public and private sector
- Increased profits and improved business operating environment
- Tailor made economy: e.g. tax burden free economy
- Increased revenue for the budget (doubling of resources for govt. expenditure)
- Direct control of economic indicators/increased price and financial system stability
- Increase in industrial growth and productivity
- Transformation of the standard of living within a generation
- A comprehensive end to poverty, unemployment and other economic problems by decisively reducing the systemic prevalence of scarcity
*Without Split Velocity any modern day economy growing at an average rate of 2.5% per annum will take 28 years or more to double in size, assuming it faces few challenges and shocks along the way. This makes Split Velocity the most powerful strategy for managing an economy in the world.
CFI Value Recovery Instrument
Split Velocity NFTs recover value being lost to subtraction in the CFI. The Ingot represents the value that will be recovered from the flawed CFI and restored to the holder or owner of Ingots, which can be an individual, business, public or private institution or government. The Ingot is applied through the proprietary Split Velocity process and the value being lost to the CFI restored to the owner of the asset.
How much is it costing you, your company, institution or government to acquire Ingots? It costs $0 to acquire Ingots….
Technically it costs $0 to acquire Ingots in value terms. When you or your institution acquires or purchases ND*1 using the equivalent of $1 from your Total Revenue, you have lost nothing because you have simply exchanged assets of the same value. However, the ND*1 is a CFI revenue recovery instrument. We are going to use our Split Velocity system to recover anywhere between 0% – 100% per annum that is being wasted by the flawed design of the CFI and restore this to you. When this happens the ratcheted ND*1 that you acquired when set at a post critical mass recovery rate of 70% acceleration on the Split Velocity economic network will be applied as denominated Dn*1.70. Dn*1.70 in the Split Velocity economic network is worth the equivalent of $1.70. What this means is that you now have the original income you held Dn*1 ($1), you also have additional income recovered from the CFI and restored to you Dn*0.70 ($0.70), so in total you now hold Dn*1.70 (which does the work of and therefore is equivalent to $1.70). By using Split Velocity to recover unnecessary losses to inefficiency in the CFI, the $1 that you held before now does the work of $1.70. Ingots require you to adhere to the terms of how Ingots are applied as a catalyst for the recovery to take place at constant price.
Its important to note that this is recovered income, not a surplus and therefore not a gain from an investment. The flawed design of the CFI forces businesses and institutions to lose -$1 for every +$1 they earn in total revenue. The ability of Split Velocity to recover the $1 being lost to the CFI and restore it to businesses and institutions at constant price is technically not profit or a gain as it is simply income being restored to them due to correcting and normalizing the function of the CFI. The ability of Split Velocity to recover 100% of GDP or Total Revenue per annum being needlessly wasted by the CFI represents a normalization of the CFI. It restores baseline income flows and therefore cannot be considered as “profit” even though it may be referred to as such in the Split Velocity Cost Equation for expedience*, the evidence of this being fact is that a business or institution can sell its goods and services at cost price and operate in a commercial position where total revenue (TR) = total cost TC), with no mark-up and yet function normally.
It is professional and common knowledge, as is the case with the Split Velocity model, that when a business or institution operates where *TR=TC, that is, where Profit=TR-TC=0, it is experiencing no profit or commercial gains. Inflation is deterred as businesses in this position have no use for price surpluses as their earnings are superior to the position they may have been in the past. This allows them to focus on competition, growth, quality, productivity, innovation and R&D as the operational strategy for progress. Scarcity which creates economic hardship is replaced with abundance, which dramatically improves living and work standards. This represents a “normal” economy and financial system in which sanity is restored, as the unseen losses to subtraction being equivalent to GDP and TR that occurred in the past are no longer being dissipated from industry for no reason other than a defective, inefficient and poorly designed CFI.
For businesses, anywhere in the world today, to accept that they operate with a profit motive, meanwhile, the CFI is wasting and dissipating 100% of their total revenue is a contradiction that needs to be resolved as it does not comply with rational human behaviour. It compromises the meaning of productivity and what it means to be commercially viable. As the owners, labour and staff of businesses and institutions begin to recognize that they own, work and function in a defective economic and financial system, it is simply a matter of time before they reject it in favour of a Split Velocity model, especially due to the fact that the extraordinary loss making position in the CFI creates an unconscionable hardship for businesses and human socio-economic existence in general.
Understanding the future of cryptocurrencies in the right context
In a Split Velocity model the supply of money is an industry, in the same way that the supply of credit is an industry, today it is referred to as banking or credit creation. The only difference is that the supply of money, as an industry, is in its infancy and not adequately understood. What are seen as cryptocurrencies and decentralized finance are no different from, and can be compared to, the emergence of the first commercial banks in an unregulated environment. Today there is one central bank in a country, but there are numerous commercial banks taking deposits and other lower tier lenders. Similarly, its inevitable and makes sense that central banks will spin-off their supply of money into a separate independent business and provide a regulatory environment for the industry. In other words, in the same way that commercial banks emerged in the past, regulated independent commercial suppliers of money are emerging today – we refer to this kind of money as decentralized cryptocurrencies. There must have been a time in history where asking to take deposits from people and businesses was regarded with as much suspicion as cryptocurrencies being offered today, e.g. what right do they have to keep your money? What will they do with it once they have? Will it still be there when you come back and ask to withdraw it? etc. Nevertheless, trust eventually grew and the commercial banking industry flourished. Technically, “decentralized” will simply mean that this is money regulated or supervised but not issued by a central bank. Decentralized can be compared to depositing your money in a private commercial bank (e.g. buying and using crypto) rather than a state owned and controlled (quasi public) commercial bank (e.g. buying and using fiat) or having accounts in both types of banks, which is commonly accepted.
Its important for professionals at the Bank for International Settlements (BIS) to understand how this process is unfolding when it comes to the treatment of cryptocurrencies and policies being proposed and designed to regulate them. Central banks have grown to assume that the supply of money is their sole prerogative and mandate which tends to make them reluctant to have competition in this arena, however, this is misguided. It is the same as believing that all deposits and loans in a country should be taken and issued by a central bank and the independent but regulated commercial bank industry seen thriving today, should not exist. There is a thriving commercial bank industry with many independent players, similarly there will be a thriving commercial money supply industry with many independent players – regulated by central banks applying KYC principles. Central banks will inevitably spin off their money supply units, into state enterprises, in exactly the same manner that there are quasi public or state owned banks, there will be one or more state owned profit taking money supply businesses – run separately from the parent central bank. In the same way that in history we saw the first independent commercial banks, namely Banca Monte dei Paschi di Siena, Barclays Bank and so on, today we see the first independent commercial money supply institutions or foundations, Bitcoin, Ethereum, Solana, Cardano and so on. Its important to put this evolution into context and to give it support so that it can thrive, just as the commercial bank and lending industry is vibrant, innovative, creative and thrives today. The extraordinary increase in volume of transactions when accelerated growth kicks in will require well managed private currencies (cryptocurrencies) support well managed public currencies (fiat), to keep up with the ability of an economy to efficiently and effectively back trade.
Eventually, public money supply or fiat will itself evolve into new platforms involving the use of digital currency, blockchains, smart contracts and more recent technologies. This is already seen in the move to central bank digital currencies (CBDCs), which being built on digital platforms is potentially not very different from a public sector technological foray into the private sector cryptocurrency market, that initiated and led this industry. The entry of CBDCs in the commercial money supply space is comparable to a central bank starting operations required to open a commercial bank on the high street (even though this may not be immediately obvious), it will be understood when seen from a historical perspective on how the banking industry emerged. It is important to place these developments in context in order to appropriately conceptualize how public money supply and private money supply will co-exist, in harmony, as being the most enlightened approach professionals developing the regulatory environment can adopt. The fact that blockchains and innovative use of digital money emerged from the private sector is a good reason why there is a need for public money supply to create space for private money supply in order not to stifle innovation and to continue to benefit from investment in research and development that is often spurred by the private sector, and that is inevitably beneficial to the public sector.
Once Split Velocity is in place the environment for these private and public money supply institutions to begin to thrive and become fully established becomes possible. All indications are that the money supply industry, though small and in its infancy at present is destined to become as foundational and large as the global banking industry is today. This is necessary because economic theory indicates that the money supply industry referred to as “wealth creation” in Split Velocity is a necessary albeit missing complimentary component of the industry that supplies loans, referred to as “credit creation”. Wealth creation as an industry is required to complement credit creation as an industry, once this occurs normalcy will be more permanently restored to human socio-economic development. Indications are that it is just a matter of time before this happens, due to the fact that the knowledge paradigm by which this can be accomplished is already moving into place.
Why Split Velocity is important to the emerging money supply industry
The centralized and decentralized global money supply industry is worth $84.7 trillion per annum in 2022. However, due to the flawed CFI the global economy loses -$84.7 trillion per annum. This annual loss is equivalent to any country’s GDP, that is, 100% of GDP. On average economic activity recovers only approximately 4% of GDP per annum. By introducing Split Velocity and changing the financial architecture of an economy it becomes possible to recover as much as 100% of the GDP being lost to subtraction in the CFI at constant price. This means the money supply industry has a potential to grow from 4% to 100%, for example, in the United States alone, the money supply industry is worth $23 trillion per annum.
The money supply industry consists of two segments – centralized money supply, that is, money supplied by central banks and the new emerging decentralized money supply, that is, privately issued and managed money supply using blockchain technology referred to as cryptocurrencies. Since central banks will in future use blockchain technology themselves; the best terms to use is simply centralized money supply and decentralized money supply, which is basically the same as saying parastatal or quasi public banking and private or commercial banking, both types of activity are acceptable and generally known to create room for each other.
Its important to understand that there is no Split Velocity in place yet, therefore, the money supply industry is not fully operationalized. Therefore, at present the money supply industry is technically in a pre-launch phase or state. This is why some investors don’t understand what real value there is in cryptocurrencies and regard them as ephemeral since it seems they cannot be compared to brick and mortar investments and assets. However, as surely as flour is a raw material required to bake bread, money supply is a raw material for building and facilitating transactions, it has volume, quality and utility value, this becomes clearer and more evident with Split Velocity. The introduction of a Split Velocity economic network into an economy will operationalize the financial architecture for the money supply industry in that country to begin to trade, thereby recovering losses from the CFI and putting them to work. In the US alone centralized money (money issued by the Fed) and decentralized money (cryptocurrencies) are an industry currently worth $23 trillion per annum. Therefore, its important to understand the role of cryptocurrencies, fiat and money supply as an industry in general. When placed in context, this industry is still a fledgling one and has just barely begun to fulfill its rightful purpose and role. Patience, foresight and context are important.
Split Velocity and Ingots simply set the foundational architecture for the industry to begin to trade. This new architecture brings with it many advantages, which are listed in point form above. Since the centralized/decentralized money supply industry is new the potential for growth being equivalent to GDP per annum is quite significant. Individual and institutional investors who invest in the decentralized money supply industry .e.g. in cryptocurrencies, deserve to have this missing value unlocked. However, this can only best be realized when context is applied to where the industry is now, and where it’s going and how it compares, for instance, to the history concerning how parastatal or quasi-public banks and private commercial banks that supply credit today emerged, there are many similarities which can help provide some perspective.
What does Split Velocity do?
Imagine that you are in the middle of no-where and want to go home. So you find an abandoned car and enter it. Sitting in the driver’s seat you notice that the vehicle has no steering wheel, no gas pedal and no brake pedal and no self-driving. Lets call this car 1-Velocity. Its the economy you’re in right now. The car is on a gentle slope and begins to slowly roll down-hill on its own residual idling throttle. As the car moves there is very little you can do except go with it, where it takes you depends on the terrain you come across. Since you are not in control of where the vehicle goes and what it does as it rolls slowly onward, there will be some happiness as you move on, but also frustration, anger, hunger and potential danger. You decide to upgrade 1 Velocity to Split Velocity, “Split” meaning Dual, 2, or “more than one”. When Split Velocity is introduced the financial architecture is changed; a steering wheel, gas pedal and brake are added to the vehicle. Now you can step on the gas pedal (accelerate), that is, recover losses to the CFI (0%-100%) and apply them back into growth. You can step on the brake, that is, reduce the economy’s rate of growth (deceleration). You can also determine where you actually want the vehicle to go because removing subtraction decouples aggregate demand and supply allowing you to steer the vehicle. You can now take the economy in any direction you’d like to go, as fast as you would like go, avoiding the places that are undesirable (debt, recessions, inflation, high credit risk, slow growth, poverty, scarcity etc) and head towards those places where you’d actually like to go (price and financial system stability, abundance, wealth, prosperity,plentiful etc). This explanation is simplified and illustrative, however, to study more about Split Velocity economic theory see the outreach section where it is explained in more technical detail that would be too voluminous to place here.
It does not matter what currency you use to acquire Ingots, as long as that currency is well managed and accepted by Split Velocity. In other words, for the sake of example you can use Bitcoin, Ethereum, Dollars, Euros, Pounds, Kwacha, Rands, Pesos etc. All that proprietary Split Velocity does is recover losses to the CFI, thereby forcing any currency to work harder for you than it did in the past. The 10% charge for this service required to manage it is factored into the process, therefore, technically you do not feel or experience a cost for the service. By recovering losses from the CFI Split Velocity is a catalyst that improves the performance of any currency applied to it. In other words, it makes any currency that you hold and can use for exchange stronger and more valuable. The way the Split Velocity technology works makes any of the currencies accepted on the network backstopped or backed by a sidekick or system more stable and more powerful than the gold standard.
There is an urgent need to regroup and re-strategize. Slow economic growth year in year out, misinterpretation of low growth rates as fast growth, volatility in markets and industry, huge losses, narrow margins, ever-present scarcity to the extent seen today are unnecessary. Realistically, there is simply no room for professionals and lay-persons running businesses and institutions in the private and public sector to give up revenues and resources equal to annual total revenue, to a poorly designed CFI. Managers, Directors, COOs, CFOs, and CEOs need to be part of a Split Velocity economic network where the knowledge paradigm in economics and finance can be advanced beyond what is currently taught, beyond the gaps in knowledge at PhD and postgraduate levels, to where they can access the requisite tools to address the flawed CFI and recover losses to it as is offered here through the use of Split Velocity and Ingots. For instance Split Velocity would not allow inflation to erode the US dollar, it would not allow Bitcoin or Ethereum to lose the value observed recently and it would not allow the US economy to slide into recession, none of this kind of volatility observed recently anywhere in the world, where it is applied, would be allowed to proceed in any economy protected by Split Velocity, which is able to have advanced doubling-time, backstop and maintain price and financial system stability in any economy by as much as 100% of GDP. It is therefore worth having in place.
- The real value that can be recovered as waste or losses in the CFI in any economy today is equivalent to its GDP per annum.
- The income every business in the world loses to the defective CFI today is equivalent to its annual Total Revenue, regardless of how large or small it may be or what industry it is engaged in, or where in the world it operates from.
- For government the recoverable loss is equivalent to the entire budget for a fiscal year at constant price.
The Ingot specimen shown above is a sample/example of the real value and income that should be restored to you, your business, institution and government.
The Ingot represents a more efficient application of economic, financial, accounting and business process embedded in the flow of transactions. It will therefore act as a tool, support and enhancement mechanism for improving price stability and productivity.
The use of NFTs as a platform for Ingots is perfect as it is ledger based, the blockchain is safe for handling value of this kind and there is transparency where required. To hold NFTs an individual, business or institution is required to have a wallet.
The SV-Tech process by which Ingots are backed and applied makes them more reliable than the gold standard. In fact Split Velocity is powerful and strategic enough to ensure a consistent price for precious metals, making them viable investments rather than the other way around. It represents a first and pivotal time where financial technology (Fintech) supports and protects value in precious metals and other assets. There are proposals and studies that look into backing currencies using energy. However, the fact remains that there is no practical substance that can back Bitcoin, any type of currency or asset by as much as a 100% of GDP. Research and analysis will demonstrate that a Split Velocity model is the final limit, in terms of maintaining price and financial system stability, available in economic theory and finance.
Split Velocity is designed to be 100% more efficient at generating growth at constant price than any medium of exchange in existence today in both the developed and developing world, and is ideal for protecting and backstopping domestic currency (including reserve currencies), cryptocurrencies, supporting national economic growth, price and financial system stability. Very high levels of uncertainty increase risk and the need for accurate forecasting. However, Split Velocity does not predict or try to forecast the rate of economic growth anticipated for any fiscal year, it pre-determines what the baseline growth for that year will be and guarantees the set baseline growth target will be achieved. Split Velocity does not need predictive models to maintain financial system stability, although they are useful for analysis. It is also not subject to recessions and the erosion of wealth associated with them as is the case with all economies observed today, as it is not subject to economic indicators and therefore not subject to uncertainty, but is able to determine or set baseline outcomes in an economy.
Volatility in modern economies tends to be caused by extremely low marginal gains in GDP often misinterpreted as desirable annual growth, which makes markets, businesses, fiat and crypto currencies fragile, prone to downturns. These downturns or recessions will appear cyclical for two main reasons, these being that there is no protection from the hidden losses to the flawed CFI (despite the enormity of the problem and hidden loss it induces, it being equivalent to annual GDP), and that these losses are a persistent and ever-present backdrop that constrain any kind of productive economic activity, be it in the private or public sector.
Thin GDP margins year in and year out are like thin ice covering a lake on top of which economic activity takes place, it is inevitable the margin will experience shocks. It will not be able to sustain activity indefinitely and shocks will at some point break through the ice plunging an economy into a downturn (scroll down to Curve Tectonics reconciling the Keynesian & Monetarist models). A consequence of Curve Tectonics is that economic melt downs can occur even in what seems a robust economy, for no apparent reason. No matter what policy decisions the US Fed made, if the economy went into recession the analysis in hindsight would blame any policy decision that was acted on. The reality is that as long as the action of aggregate demand and supply is not decoupled it remains an active fault line in economic theory, Curve Tectonics – like tremors and earthquakes will occur, therefore how, why and when down turns and recessions will occur is fundamentally unpredictable. In hindsight analysts can try to pick apart what went wrong in an economy and play the blame game, for example try to blame QE or adjusted interest rates, nevertheless, this process alone and the knowledge gained from it is too superficial, cannot adequately explain or prevent recessions. To test this assume the Fed did everything you hoped it would do and the US economy still dove into a recession, how would you explain its cause? This method is precisely how analysis is affected at present. As long as GDP levels remain low, but are interpreted as desirable or high by professionals this problem cannot be addressed.
Perpetually low GDP levels are in turn caused by subtraction in the CFI, about which there is little or no knowledge even at PhD and postgraduate levels in economics and finance, despite this needless annual loss to the CFI being equivalent to GDP (scroll to the Instruction Set for Legally Admissible, Empirical Evidence Based Test for Split Velocity – find the time to perform this simple test for yourself). Remarkably, and quite strangely, this gaping annual loss that is responsible for a seemingly ever present scarcity and indelible poverty that businesses, governments and the development sector grapple with remains practically hidden and invisible to the audit process including scrutiny of how economic and financial models work. The losses in the CFI pertain to factors of production, are fundamental and could have been identified as far back in history as the 4th Century B.C. by what were humanity’s greatest minds of that era, the earliest mathematicians, economists and philosophers such as Aristotle, Plato and Socrates. This never happened. Subtraction slipped by, scarcity, strife and poverty persisted as an ever-present threat to human physical and socio-economic existence. More recently this lapse in scrutiny has remained hidden in plain sight for more than 246 years, is not identified from as far back in recent history as Adam Smith’s – Wealth of Nations all the way into the 21st Century. The ability of humanity to venture into Space is as much about economics as it is about advancements in science and propulsion technology. Had the process of recovering the value equivalent to GDP per annum begun 250 years ago or earlier, where would humanity be today? With this kind of wealth would humanity even still be on earth, or would it have migrated to the stars many, many decades ago? How much time and progress has been lost and what hidden risks has this delay caused? Instead what has characterized this period is scarcity, strife and far too little to distribute equitably.
The lapse in scrutiny of these facets of economics and finance has exacted and continues to exact a heavy price on humanity’s socio-economic well-being. Poverty, scarcity, suffering and recessions are man made problems and are quite unnecessary; there are tremendous amounts of wealth needlessly lost to the CFI that would provide all of humanity with a remarkable standard of living (possibly beyond anything imaginable today) in a safe economic environment. For instance, Split Velocity would not allow a 5% drop in GDP to emerge, as it is able to directly counter any decline in economic growth without opportunity cost by as much as 100% of GDP, a feat no policy or economic tool applied to economic management today is capable of, even in the developed world. It creates a safe more secure mechanism for creating and containing wealth for individuals, businesses, the public and private sector and governments.
In a nutshell
Key Points on Split Velocity NFT Ingots
It cannot be determined how long a Split Velocity Economic Network in any one country will take to achieve critical mass. Critical mass is where there is sufficient buy in and participation from industry, suppliers, labour, consumers in the private and public sector to launch Split Velocity in any one country (subnet) and make it fully operational. The benefits and advantages of implementing Split Velocity are quite significant. This stands out as an advantage, in that it only needs sufficient outreach, education and dissemination to get stake-holders to appreciate why participating in Split Velocity is beneficial, not only to them but other countries where Split Velocity Economic Networks can be established. However, outreach, education and dissemination of this kind in and of itself requires financial resources and people willing to volunteer their personal time and resources toward implementation.
Split Velocity is a means of bringing communities together both cryptocurrency (private money supply) and fiat currency (public money supply) communities, this is important.
By offering the ND Ingots (NFTs) for sale the objective is to raise the finances required to carry out the work required to implement Split Velocity.
Post Critical Mass the ND Ingots will be a gateway to Dn Ingots which are then actually used to recover unnecessary losses to the CFI and place these recovered resources in the hands of private and public institutions, businesses, institutions and governments.
Risk
The initial offering of ND Ingots as NFTs (Founder’s Edition) are available at present for viewing , see the links above.
ND Ingots are NFTs and have a unique quality in that NFTs can be held as art, but can also have utility value. Before critical mass, the NFTs can be bought primarily for their value as artwork. Those who purchase Ingots can hold onto them or trade them as such. This mitigates against the risk concerning how long it will take for Split Velocity to move from Pre-Critical Mass to Post Critical Mass. Anyone who wants to opt out because they can no longer wait for this change can simply sell their ND Ingot NFTs. Until critical mass is reached the ND Ingots should be treated purely or predominantly as artwork, with no further expectations in the sense that the timeline concerning if and when critical mass will be reached is not something that can be perfectly predicted. In a worst case scenario, which would be that anyone who bought Ingot wants to opt out, they can simply sell their Ingots as NFTs.
This means that when the ND Ingots become available for purchase, before critical mass, you are essentially simply buying NFTs in the form of Ingots for their value as collectible artwork in the form of NFTs, nothing more.
They should only be expected to gain utility value Post Critical Mass. During this Pre-Critical Mass period the value of ND Ingots may rise and fall as is the expected risk of purchasing and owning NFTs.
By mitigating against expectations and risk in this way there should be more calm and level headed strategies for moving from Pre to Post Critical mass, in how anyone participates in the Ingot side of Split Velocity.
There are no profits only recovered or normalized income (TR=TC)
It should also be kept in mind that Post-Critical Mass when ND Ingots can be used to access Dn Ingots, though Split Velocity can as much as double Total Revenue (TR), technically these are not gains (profits) since an asset or finances taken from you, recovered and given back to you in this manner cannot be classified as a surplus and expectations cannot therefore be profit based, as they consist of revenues being recovered from the CFI equivalent to Total Revenue that normalize how an economy functions. Since the defective design of the CFI arbitrarily placed the economy in deficit -$1 (subtracted money from the economy for no reason other than being faulty) the beneficial restoration of this same income to businesses, governments, public and private institutions +$1 cannot be classified as a profit, surplus or gain.
The operations of the modern economic and financial system today is operationally flawed. No one is openly aware of this flaw. It is not identified at post graduate and doctoral levels in economics and finance. Correcting the CFI and the significant benefits of doing so to businesses, governments, private and public sector institutions do not constitute profits, a commercial gain or surplus, they are simply a normalization of operations that entail an economy and its financial system are now functioning at a baseline level of normalcy that was previously absent.
This has been explained in detail earlier using the Split Velocity Cost Equation where the term “profit” is merely used for expedience.
Cost of implementation
Implementing a Split Velocity model is an expensive undertaking, if the best possible approach to implementation is what is sought. A great deal of preparation is required in terms of the software required to handle the service, education, marketing and support services, it is essentially a new industry. Nevertheless, a significant aspect of the technology and platforms already exist, which works in its favour and which makes implementation straight forward.
Education and Outreach
Though it can be broken down into simple explanations for how Split Velocity works, it at the same time involves a significant amount of technical knowledge in economics and finance that needs to be disseminated. As mentioned earlier the technical knowledge and aspects of Split Velocity are not addressed at post-graduate and doctoral levels in economics and finance. Therefore, there is a lot of work that needs to be done for Split Velocity to gain traction and become common knowledge.
Split Velocity is Proprietary
Split Velocity is unique and protected by intellectual property rights. This is an advantage in that it allows us to grow a community and develop common standards and common approaches to compliance as it evolves into a widely accepted service. It also helps with economies of scale.
By Supporting, Purchasing, Auctioning ND Ingot NFTs you can help make a difference
Its also important to take into consideration the benefits of being able to raise the finances to implement Split Velocity in your country and other countries. It’s very likely that you may not fully appreciate what the benefits of achieving this will be.
For private money supply (cryptocurrencies) there will be a greater role to play, more transactions to facilitate and the capacity to grow this industry to new heights. At present, cryptocurrencies may exist, however, they do not function in an economy that is technically designed to fully support their growth.
For public money supply, the potential is quite significant as are the earnings that will accrue especially when the role of public money is understood and new quazi public money supply industry emerges.
For businesses and institutions, the benefit is a correction of the CFI, which allows it to function normally, the result being the ability to recover and restore Total Revenue from the CFI at constant price [at a prescribed rate of acceleration] every year. This is the potential to recover resources equivalent to GDP per annum with which to facilitate economic growth with development on an unprecedented scale.
Opportunity
The economics and finance that underpins Split Velocity offers the first realistic opportunity to bring an end to scarcity and poverty, anywhere in the world it may persist. It is an opportunity to bring an end to misery and suffering caused by inadequate economic resources on an unprecedented scale and with an extensive reach. It is an opportunity for businesses to thrive, the way there are supposed to and for wealth to exist abundantly such that many of the problems observed today, that lower living standards and affect every aspect of human life are permanently dealt with, whilst maintaining price and financial system stability as well as protecting economies from unanticipated future shocks.
Importantly Split Velocity achieves this as a catalyst, which means with very little interference with the outer workings of an economy.
Please appreciate the degree of technical difficulty
We do not believe Split Velocity can be rushed, it is way ahead of its time. Over the past few years in our effort to promote its introduction we have had countless meetings, maintained offices and reached out at our own expense, using our own resources to keep pushing it forward because of the potential for transformation and the difference it can make in peoples lives on a very broad scale. Many would say, but why is it taking so long – why don’t you just implement it? Buy in from stakeholders is very important, it is also important to appreciate that Split Velocity involves a steep learning curve. It involves participation of both the public and private sectors. Therefore, a great deal of patience is required. However, once it is fully implemented the benefits to both the private and public sectors will be significant. If you would like Split Velocity to move along faster, instead of lamenting and complaining stand for something, try to make difference, get involved as we have.
Split Velocity is currently the most advanced financial architecture in the world and the format that has been chosen for debuting and implementing it is through NFTs.
For more technical information on Split Velocity see outreach: SVS technology
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