What is a UBI?

5 min readMay 21, 2022


Your brain is like an engine: you need fuel to keep it running smoothly. Imagine if you had no car, and every day you had to walk five miles to get food for yourself. If a truck came by with fast food, would you take it? Of course! You’d probably even be happy about it for days afterward. When someone gives us something we need or want, our brains release chemicals called endorphins that make us feel good — this is why people often describe receiving gifts as “the best feeling ever”. The same principle applies when someone gives us money — but instead of receiving a gift from another person, we get money directly from the government through Universal Basic Income (UBI). So, what exactly is UBI? The idea behind UBI is that everyone deserves to have the basics they need to survive: food, water, housing — but also things like internet access or medical care. UBI would provide those things in an organized way without making people work for them or compete with others for them.

The concept of UBI has been gaining steam since at least the 1960s when it was first introduced by economists like Milton Friedman and Bertrand de Jouvenel. But it wasn’t until 1968 when President Richard Nixon declared his support for UBI that this idea became more popular with politicians and economists alike. The idea has been gaining popularity ever since then, and it has been suggested by many different people. Advocates of UBI say it will help people who are struggling financially get access to health care, education, and other critical services that they need to thrive.

Universal Basic Income (UBI) is a model in that all citizens are entitled to a certain amount of money from the government. UBI implies that if everyone has access to a set amount of money, they will be able to better manage their financial needs and make important decisions about work and education. Many people believe that UBI is a means to provide financial stability to individuals who may not otherwise have it, while also helping them save up for future expenses and opportunities.

Basic Income Earth Network (BIEN) asserts that there are five distinguishing characteristics of basic income: (1) Periodic: made in regular installments; (2) Cash payment: distributed as funds as opposed to vouchers for goods or services; (3) Individual: Each citizen (or adult citizen) rather than each household receives the payment; (4) Universal: All citizens receive the payment; and (5) unconditional: Recipients are not required to demonstrate need or willingness to work.

You might be wondering, how does UBI work? There are two ways in which UBI can be implemented. The first is by giving money to all people regardless of their income status or employment. This would mean that those who have been unemployed for years would receive the same amount as someone who has just finished university and is still looking for their first job. The second way is by only giving money to those who are unemployed or in low-income groups like single parents and the disabled while leaving out everyone else.

A common misconception about UBI is that it would encourage laziness or discourage people from working. However, studies have shown that people who receive universal basic income are more likely to start their businesses than those without access to this type of payment system. UBI has been proven to reduce poverty and unemployment, and it will benefit society in many ways.

Universal Basic Income (UBI) has recently gained traction with the rise of cryptocurrency as the idea of free money for everyone may sound attractive, especially in the crypto world. UBI is essential because it helps people get involved with cryptocurrency without sacrificing their day jobs or other responsibilities. It also encourages adoption by helping people replace fiat currency with cryptocurrency because they no longer need cash to survive.

UBI is an interesting idea because it could potentially create a universal store of value that would be accessible to all. With a current market cap of more than $500 billion, Bitcoin can be treated as such: a sort of UBI for everyone who holds it. But the problem with scaling this concept is ensuring that funds are spent wisely and not squandered on things like drugs or gambling — which is why many people think it’s important to tie cryptocurrency payments to some kind of social good or charity. Thus, managing the use of funds will require an intricate system where individuals can spend their tokens on something specific while other users buy those tokens back from them at different values based on their needs and wants.

The cryptocurrency community is known for its generosity, and many people support the idea of donating to a charity. However, what if we could use all of that generosity to help people more directly? UBI schemes will replace traditional donations to charities. The concept of UBI is not a replacement for charity; rather it encourages individuals to help themselves while also participating in helping others by giving them an income floor under which they can work towards improving their lives.

The concept of UBI is not new, but it is finally getting the attention it deserves. The benefits are clear, and the challenges surmountable. The cryptocurrency community has already begun laying the groundwork for a universal basic income system that can be used in conjunction with cryptocurrencies like Bitcoin and Ethereum.

We’ve seen many examples of how blockchain technology can improve our world — for example, by providing valuable data protection or helping to eradicate financial fraud — but this may be one of its most important impacts yet: bringing about economic stability for all people around the globe by providing access to resources that were once out of reach for so many people.

Like any new idea, UBI is not without its critics. Some people have expressed concern that a universal income would be too expensive to implement or could lead to inflation. Others worry about the effect it might have on our culture if we all get used to receiving money for nothing in return. However, these ideas are based on the misconception that UBI is some kind of handout — a system where those who work hard and contribute get little for their efforts, and those who don’t contribute are rewarded with free money just for existing.

Co-Cash believes in the UBI concept. That’s the main purpose of our project by being a Community Bank — to help the community by equally setting a basic income for all participants in the future.