2.1 Decentralized Society & Web3’s Soul

On May 10, 2022, Vitalik Buterin, the founder of Ethereum, jointly published a paper titled "Decentralized Society: Finding Web3's Soul" with E. Glen Weyl from Microsoft and Puja Ohlhaver from Flashbots Ltd. In this paper, they proposed concepts such as Decentralized Society, Web3 Soul and Soulbound Tokens, which have sparked extensive discussions and had a huge impact on the global crypto world. Inspired by this paper, RainbowCity Foundation decided to launch and create FireDAO, aiming to conduct a social experiment in exploring the Web3 Soul and the Bit Civilization.

In the paper "Decentralized Society: Finding Web3's Soul", they pointed out that Web3 has created an unprecedented parallel financial system with remarkable flexibility and creativity in less than a decade, impressing the world and bringing forth a complex and open financial transaction ecosystem. However, the economic value of financial transactions arises from human beings and their relationships. Due to the lack of primitives representing social identities in Web3, it still fundamentally relies on the highly centralized structure of Web2.

The absence of a native Web3 identity system hinders the current DeFi ecosystem from supporting even the most mundane activities in the real economy, such as undercollateralized loans or simple contracts like apartment leases.

In this paper, they primarily discussed how a native Web3 social identity system with rich social relationship composability can make significant progress in addressing broader long-term issues such as wealth concentration and governance vulnerability to financial attacks in Web3, while stimulating an explosion of innovation at the political, economic, and social levels. They collectively referred to these use cases and the more diverse ecosystems they foster as "Decentralized Society - DeSoc".

At the core of DeSoc are accounts or wallets that hold some publicly visible and non-transferable tokens, which they refer to as "souls". The tokens held by these souls are called "Soulbound Tokens" (SBTs). These SBTs represent commitments, credentials, and membership relationships. This description eventually forms the vision of DeSoc - a society that collectively makes decisions. In this society, most participants have souls that store a range of membership credentials, qualifications, and attestations corresponding to SBTs. Souls and communities can aggregate from the bottom up, creating diverse networked worlds within a certain social scale.

We highly appreciate the viewpoints presented by Vitalik Buterin and others regarding Decentralized Society, Web3 Soul, and Soulbound Tokens. It is precisely under the inspiration of these ideas that we have decided to initiate and create FireDAO. Built on the Arbitrum One chain, FireDAO is a social DAO organization initiated by the RainbowCity Foundation, based on PID and FID Soulbound accounts. It is a community-driven on-chain autonomous economy and a Web3-native DID identity protocol built on blockchain technology. We express our utmost respect and sincere gratitude to thought leaders such as Vitalik Buterin, E. Glen Weyl, Puja Ohlhaver, and others!