View source for Examples of past-looking benefit distribution algorithm

This page presents examples of Past looking [[benefit distribution algorithm]] implemented by different OVNs.


: '''Past looking''' applies to economic processes (ventures) that originate within the OVN, for which the deliverable is not clearly defined, that consume resources to create something valuable, which could be a product to be later exchanged on the market for [[revenue]]. The % of total revenue for every contributor is calculated based on past [[contributions]]. The [[revenue]] is unknown at the beginning or during the process. Past-looking [[contribution]] accounting schemes can be fluid equity-based or debt-based.

The past-looking scheme requires [[ledgers]] to record economic activity., and relies on [[validation]] as truth: what has been recorded has happened. 

The future-looking scheme relies on a different type of [[validation]], to know that what has been planned has been done.


=For products provided by the OVN=
[[Product]] development is a very long and resource intensive endeavour. Since the level of commitment needed from affiliates is higher, some [[Sensorica]] [[affiliates]] advocate an equity-based [[contribution]] accounting. In other words, [[contributions]] are evaluated and transferred into [[fluid equity]]. All the contributors have some [[fluid equity]] in the  [[venture]], which is a claim on revenue for the entire life of the [[product]], whether they remain active [[affiliates]] of [[Sensorica]] or move on to other activities not related with the network.   


=For services provided by an OVN=
Unlike the development of [[products]], services are easier and less [[resource]] intensive to establish than [[products]]. Since the level of [[commitment]] needed from [[affiliates]] is lower, compared to [[product]] development [[ventures]] some [[Sensorica]] [[affiliates]] advocate a debt-based contribution accounting. In other words, [[contributions]] for setting up the [[venture]] are evaluated and transferred into debt, that will be paid back from future exchanges (sales). The rationale here is to avoid long-term rent extraction from the service-based [[venture]]. 
 
==Sensorica's 3D course venture==
The 3D course was a service [[Sensorica]] affiliated provided in Montreal in the summer of 2014. [http://www.sensorica.co/home/education/course-3d-design-and-digital-fabrication/3d-course-vas Open the value accounting page] for this project. [https://docs.google.com/document/d/1fr9uRJAlAITugRJodeE4XXvrrQMJULVdxeNy-wTOGH0/edit Open the Value equation document]