mycelium_plan
Mycelium Plan
Designing a Self-Regulating Mycelial Economic Network
Core Biomimetic Principles
Real mycelial networks have properties we can translate directly:
1. Distributed sensing - Every node detects local conditions
2. Resource flows to need - Nutrients move toward deficiency automatically
3. Redundant pathways - Multiple routes between any two points
4. Adaptive growth - Network extends toward resources, retreats from toxicity
5. Information sharing - Chemical signals warn of threats, opportunities
6. Symbiotic relationships - Multiple species/systems benefit simultaneously
The Architecture: Five Interconnected Layers
LAYER 1: The Trust Substrate (Foundation)
Reputation ledgers - Not credit scores, but multidimensional trust networks:
Contribution history - What you’ve added to commons (skills shared, resources gifted, knowledge contributed)
Reliability index - Do you fulfill commitments?
Reciprocity patterns - Do you both give and receive?
Ecological impact - Net positive or negative on local environment?
Technology: Distributed ledger with privacy protections (zero-knowledge proofs mean I can verify your trustworthiness without seeing every transaction)
Self-regulation mechanism:
Bad actors lose network access organically (like immune system response)
No central authority needed - local nodes collectively flag patterns
Redemption pathways exist (rebuild trust through contribution)
LAYER 2: Resource Allocation Networks
Mutual credit clearing houses - But evolved:
How it works:
Every bioregion/community operates a credit commons
Credits issued based on productive capacity + ecological carrying capacity
No interest, limited accumulation (credits decay slowly if hoarded)
Clearing happens in real-time across network
Example:
Community A has solar surplus, needs food
Community B has food surplus, needs medical equipment
Community C has medical equipment, needs solar tech
Network automatically identifies triangular trade, settles instantly
All three communities better off, zero debt created
Self-healing property: When one node suffers shock (drought, disaster), network automatically redirects resources. Like mycelium sending nutrients to damaged tree.
Technical implementation:
Algorithm: Flow optimization (graph theory, similar to electrical resistance networks)
Data minimization: Nodes only share need/surplus signals, not everything
Multi-scale: Neighborhood → City → Bioregion → Continental → Global
Each scale operates independently but can upscale trade when beneficial
LAYER 3: Commons Stewardship (The Shared Resource Layer)
Planetary commons:
Atmosphere (carbon budget)
Oceans (fishing quotas)
Forests (lumber, biodiversity)
Water systems
Mineral resources
Digital infrastructure
Knowledge/research
Governance structure:
Ostrom’s principles updated with tech:
Clearly defined boundaries
Rules match local conditions
Collective decision-making
Monitoring by accountable monitors
Graduated sanctions
Conflict resolution mechanisms
Recognition by larger authorities
Nested enterprises (for resources at multiple scales)
Self-regulation:
Real-time monitoring (sensors, satellites, community reporting)
Automated feedback when approaching limits (like dashboard warning lights)
Extraction rights tradeable within network BUT capped by ecological regeneration rates
Regeneration credits - Those who restore commons earn drawing rights
Example - Forest commons:
Forest produces 100 tons sustainable harvest/year
Network divided into 1,000 extraction credits
Loggers need credits to harvest
BUT: Someone plants trees, restores degraded land → earns NEW credits
System incentivizes regeneration, automatically limits extraction
LAYER 4: Capability Building Infrastructure
This is how we “lift the floor”
Universal Basic Services funded by commons:
Healthcare
Education
Housing (via land trusts)
Internet access
Energy (community solar/wind)
Food security (community gardens, CSAs)
Plus: Capability Development Network
Skills exchange - Learn welding, teach coding, all on internal credits
Tool libraries - Expensive equipment shared (workshops, medical devices, farm machinery)
Mentorship networks - Automated matching based on skills/interests
Starter capital - New members get initial credit allocation for necessities
Self-healing property:
When someone loses livelihood, they don’t fall out of network
Basic needs guaranteed, retraining support automatic
No “lost decade” of poverty trap
People can take risks, innovate without existential fear
Technical implementation:
Smart contracts for automated allocation
AI matching for skills/mentorship (but human-overseen)
Federated identity - Your verified skills/credentials portable across network
LAYER 5: Innovation and Emergence Layer
Where new technologies, businesses, and solutions arise
Open-source by default:
All publicly funded research → commons
Patent pools for essential tech (medicine, clean energy, water purification)
Proprietary innovation allowed BUT:
Must pay commons dividend (percentage of profits)
After X years (maybe 7?) enters commons
Can’t be extractive of commons without restoration payment
Funding mechanism:
Quadratic funding for public goods (small donations amplified by matching funds)
Network votes on research priorities
Successful innovations reward creators but enrich commons
Self-regulation:
Technologies evaluated for ecological/social impact before scaling
Community right to refuse technologies (like Amish but informed by systems analysis)
Harmful innovations face graduated restrictions
The Self-Regulation Mechanisms (How It Actually Works)
Feedback Loops - Inspired by Living Systems
1. Resource Flow Regulation (Like Blood Sugar Homeostasis)
When any node shows surplus/deficit:
Surplus signal →
Broadcast to network →
Nearest deficit matches →
Trade pathway opens →
Flow until equilibrium →
Pathway remains open at low capacity (in case needed again)2. Quality Control (Like Immune System)
Bad actors detected through:
Pattern recognition (fraud, extraction, abuse)
Multiple independent verification
Community flagging
Algorithmic anomaly detection
Response:
Minor issues → Warning, reduced credit access
Moderate issues → Suspension, mediation required
Severe issues → Expulsion (but can reapply to different node after rehabilitation)
3. Growth Regulation (Like Cell Division Controls)
Network expansion governed by:
Ecological carrying capacity assessments
Social capacity (can new members be integrated well?)
Resource availability
Gradual scaling only
Prevents cancer-like exponential growth that destroys host.
4. Adaptation Mechanism (Evolutionary Learning)
Every transaction generates data:
What worked? What failed?
What made people happier? What caused conflict?
What regenerated ecosystems? What damaged them?
AI analyzes patterns, suggests rule adjustments BUT: Humans decide on implementation Network learns and evolves, like adaptive immune system
Planetary Healing Integration
Every economic action has ecological accounting:
Ecological Currency Alongside Social Currency:
All production/consumption tracked for:
Carbon impact
Water use
Soil health
Biodiversity impact
Pollution/waste
Your ecological balance matters:
Net positive? Earn regeneration credits
Net negative? Must pay restoration fees OR do restoration work
Neutral? Just fine
Regenerative businesses favored:
Mycelium cultivation, reforestation, ocean cleanup earn premium credits
Extractive industries face higher costs, restrictions
Incentive structure automatically pushes toward restoration
Bioregional Adaptation:
Dry regions: Water-wealth tracked carefully
Forested regions: Carbon sequestration monitored
Coastal regions: Ocean health metrics
Urban regions: Air quality, green space
Self-healing: Damaged ecosystems automatically attract resources (like nutrients flowing to wounded tree). Communities compensated for restoration work.
Practical Implementation Pathway
Phase 1: Pilot Networks (Years 1-3)
Start with willing communities:
Find 5-10 neighborhoods/small towns globally
Diverse contexts (urban/rural, Global North/South, different cultures)
Install basic infrastructure:
Mutual credit system
Skills exchange platform
Tool library
Basic commons (community garden, solar array, internet mesh)
Measure everything:
Economic resilience
Social cohesion metrics
Ecological improvements
Member satisfaction
What works, what doesn’t
Phase 2: Regional Networks (Years 3-7)
Connect pilot communities:
Build inter-community trade
Harmonize credit systems (exchange rates between different networks)
Shared commons management
Regional resource pooling
Add complexity:
Manufacturing cooperatives
Larger scale renewable energy
Healthcare networks
Regional food systems
Challenges will emerge:
Different cultural norms about reciprocity
Disputes between communities
External economic shocks
Attempts at corporate co-option
Learn and adapt: Document every crisis, solution, failure. Build the immune system.
Phase 3: Continental Networks (Years 7-15)
Scale to millions of participants:
Interconnect regional networks
Harmonize governance
Build redundant pathways
Integrate with (not replace immediately) existing systems
This is where it gets real:
Can network withstand hostile governments?
Can it resist corporate capture?
Can it handle diversity at scale?
Does self-regulation still work with millions of nodes?
Key tech developments needed:
Scalable distributed systems (likely quantum-resistant by now)
Energy-efficient verification
Privacy-preserving transparency (seems paradoxical but possible)
Interoperable standards
Phase 4: Global Mycelium (Years 15-30)
Becomes genuinely alternative to debt-based system:
Billions of participants
Majority of essential goods/services traded within network
Old system still exists but shrinking
Network demonstrates viability
At this scale:
Can negotiate with nation-states as equals
Controls enough resources to influence climate action
Can lift floor for all humanity
Self-regulates effectively across cultures
Technical Stack (Concrete Tools)
What we’d actually build this with:
Distributed Ledger:
Holochain (agent-centric, not blockchain) OR
IOTA Tangle (fee-less, scalable) OR
Custom DAG (Directed Acyclic Graph) optimized for resource flows
Governance:
Decidim (decision-making platform)
Loomio (consensus-building)
Custom sortition tools
Resource matching:
Graph databases (Neo4j)
Flow optimization algorithms
Machine learning for pattern recognition
Identity/Reputation:
DIDs (Decentralized Identifiers)
Verifiable credentials
Zero-knowledge proofs
Communication:
Matrix protocol (federated messaging)
IPFS (distributed file storage)
Secure Scuttlebutt (offline-first social)
Sensors/Monitoring:
IoT networks (soil sensors, air quality, water)
Satellite data (deforestation, ocean health)
Community-verified data
Addressing the Hard Questions
Q: Won’t powerful interests destroy this? A: Resilience through decentralization. Can’t kill what has no center. Also, becomes “too big to fail” once millions depend on it. Strategic growth in sympathetic jurisdictions first.
Q: How do you prevent it from just replicating capitalism? A: Built-in constraints:
Credit decay (can’t infinitely accumulate)
Ecological limits enforced automatically
Governance is participatory, not plutocratic
Commons ownership prevents monopolization
Q: What about people who want to opt out? A: That’s fine! Coercion is what we’re moving away from. Network needs to be so beneficial that people choose to participate. Hybrid systems possible.
Q: How do you bootstrap without initial capital? A: Start with abundant resources (time, skills, local materials). Commons built through sweat equity. As network demonstrates value, attracts funding/members. Snowball effect.
Q: Different cultures have very different values. Can one system work for all? A: No! That’s why it’s mycelial, not monolithic. Core protocols allow interoperability, but local variations encouraged. Kurdish communes operate differently than Danish cooperatives, but they can trade.
Your Next Steps (If You Want to Build This)
Option 1: Join Existing Efforts
Holochain community (building this infrastructure)
Platform Cooperativism Consortium
Mutual aid networks
Transition Towns
Guerrilla Translate / DisCO.coop
Post-Growth Institute
Option 2: Start a Pilot
Gather committed group (50-200 people)
Choose one layer to prototype (mutual credit easiest start)
Use existing tools (Community Exchange System, Timebanks.org)
Document and share learnings
Option 3: Build the Tech
If you’re a developer: Contribute to open-source economic infrastructure
If you’re a systems designer: Map flows, design protocols
If you’re a researcher: Study existing commons, extract patterns
Option 4: Fund the Infrastructure
Regenerative finance funds
Community investment coops
Crowdfunding for commons
The Vision Realized
Imagine 2050:
A young person in Lagos wakes up. Their housing is secure (community land trust). Breakfast from local food cooperative. They spend morning learning AI ethics via open-source university, teaching younger students music (both on time credits).
Afternoon: Working on coral reef restoration project. Earns ecological credits that grant access to community maker-space to build solar still design they invented. Design will be open-sourced; they’ll earn credits as others build it.
Evening: Community assembly (their turn in sortition) discussing water management. Vote on proposal using liquid democracy - they voted directly, their neighbor delegated her vote to a trusted elder.
They check their ecological balance: Net positive this month. Carbon sequestered through reef work > emissions. Feels good.
Their uncle in Detroit has fallen ill. Network automatically reroutes resources - Detroit node receives medical supply surplus, Lagos node gets manufacturing equipment they needed anyway. No one made a profit. Everyone better off.
This isn’t utopia. There are conflicts, failures, problems to solve. But the baseline is secure. The floor is high. The planet is healing. And they’re free.
This is buildable. Not easy. Not quick. But buildable.
The precise mechanics of how this actually functions as a self-regulating system. Mathematical and Algorithmic foundation.
The Core Self-Regulation Engine
The Fundamental Economic Equation
In mycelial networks, resources flow based on gradient differentials + resistance. We can translate this directly:
Flow Rate = (Surplus_A - Deficit_B) / (Distance + Trust_Resistance)This creates automatic equilibrium - no central planning needed.
The Three Control Systems
1. HOMEOSTATIC CREDIT REGULATION
Problem: Traditional money accumulates, creating inequality and hoarding.
Solution: Demurrage-based mutual credit with regenerative feedback
The Math:
Each node can issue credit up to their Productive Capacity (PC)
PC = (Skills × Time × Tools × Resources) × Ecological_Multiplier
Ecological_Multiplier = (Regeneration / Extraction) ratio
Credit decay function:
Credit_Value(t) = Credit_Initial × e^(-λt)
Where λ = decay constant (maybe 0.001 per day = ~30% annual)Why this works:
Holding credits costs you value (like storing ice cream)
Incentive to spend/invest/circulate immediately
But slow enough for planning (months, not hours)
Accumulation becomes impossible past certain threshold
Self-regulation: If too much credit in system (inflation signal), decay rate auto-adjusts upward. Too little (deflation signal), adjusts down.
Technical implementation:
Smart contracts calculate PC in real-time
Satellite/sensor data feeds Ecological_Multiplier
Credit balances auto-decay on distributed ledger
No human decision-making required
2. RESOURCE ALLOCATION VIA NETWORK FLOW OPTIMIZATION
This is the actual “mycelium” part - the algorithm that moves resources to need automatically.
Mathematical foundation: Based on Optimal Transport Theory (how to move distributions efficiently)
The Network Graph:
Nodes = Communities/Individuals
Edges = Trade relationships (weighted by trust + distance)
Each node has: Supply vector S, Demand vector D
The Algorithm:
For each resource type r:
1. Calculate net position: Net(r) = Supply(r) - Demand(r)
2. Identify sources (Net > 0) and sinks (Net < 0)
3. Solve minimum-cost flow problem:
Minimize: Σ(flow × distance × friction)
Subject to:
- Flow conservation at each node
- Capacity constraints on edges
- Non-negativity
4. Execute trades automatically
5. Update trust weights based on fulfillmentWhy this creates healing:
Damaged node (disaster, shock) shows up as massive deficit
Algorithm automatically identifies optimal suppliers
Resources flow from multiple sources (redundancy)
As node recovers, flows naturally reduce
Concrete example:
Hurricane hits Puerto Rico node
Deficit signals: Medical(-1000), Food(-5000), Water(-10000), Power(-2000)
Algorithm identifies: Florida(Medical+200), Cuba(Food+3000), Dominican Republic(Water+8000), Texas(Power+500), Mexico(all categories with smaller surpluses)
Trade pathways open automatically
Multiple redundant supply routes prevent single point failure
Aid flows without bureaucracy, immediately
Technical implementation:
Uses Gale-Shapley algorithm (stable matching)
Or Hungarian algorithm for assignment problems
Or Network Simplex for larger scale
Runs continuously in real-time
Can be verified by any node (transparent)
3. ECOLOGICAL CONSTRAINT ENGINE
This is what prevents the system from becoming another extraction machine.
Every economic action has shadow ecological accounting:
The Planetary Boundaries Framework: Nine critical thresholds (from Stockholm Resilience Centre):
Climate change (CO2 < 350ppm)
Biosphere integrity (species loss rate)
Land use change (forest %, wetlands)
Freshwater use
Biogeochemical flows (N, P cycles)
Ocean acidification
Atmospheric aerosol loading
Stratospheric ozone
Novel entities (plastics, chemicals)
Each region gets allocation:
Regional_Budget(boundary) = Global_Safe_Space × (Population_Share + Ecosystem_Service_Share) / 2The Self-Regulation:
Every transaction has ecological cost:
Eco_Cost = Σ(Carbon + Water + Land + Biodiversity_impact + Pollution)Dynamic pricing based on scarcity:
Real_Price = Base_Price × (Current_Use / Safe_Threshold)^elasticity
When approaching boundary: price → ∞
When far from boundary: price → minimalExample:
Fresh water abundant in Norway: nearly free
Fresh water scarce in Jordan: expensive in credits
BUT: Desalination powered by renewable energy? Credits earned
Captures true scarcity, incentivizes efficiency + innovation
Regeneration Credits:
Plant forest → Earn carbon sequestration credits
Restore wetland → Earn water filtration credits
Rewild land → Earn biodiversity credits
These credits = extraction rights elsewhere in system
Mathematical proof of healing: If (Total_Regeneration_Credits) > (Total_Extraction_Credits) Then: Planetary_Health(t+1) > Planetary_Health(t)
System is hardwired to heal.
The Integration: How All Three Work Together
Scenario: Network responds to climate feedback
Global CO2 hits 380ppm (approaching danger zone)
Ecological Constraint Engine activates:
Carbon_Price multiplier increases across network
High-carbon activities become more expensive
Low-carbon activities become relatively cheaper
Economic incentives shift automatically:
Fossil fuel extraction credits become prohibitively expensive
Renewable energy projects earn premium credits
Reforestation/ocean farming becomes highly profitable
Resource Allocation Algorithm responds:
Capital flows toward carbon-negative activities
Labor/skills redirect to regenerative work
Innovation incentivized in clean tech
Credit System reinforces:
Carbon-negative activities earn permanent credits
Carbon-positive activities pay demurrage penalty
Network automatically funds transition
Result: Without any central authority deciding, system self-corrects toward planetary health.
The Technical Stack - Specifically
Layer 1: Distributed Ledger
Holochain - agent-centric, not blockchain (more like actual mycelium)
Each node maintains its own chain
Validation distributed across network
Infinitely scalable (no global consensus bottleneck)
Energy efficient (no mining)
Layer 2: Resource Matching Engine
Graph Database: Neo4j or ArangoDB
Stores network topology, trust weights, capacity
Real-time updates as trades execute
Optimization Solver: Google OR-Tools or SCIP
Solves flow problems in milliseconds
Can handle millions of nodes
Layer 3: Ecological Accounting
Sensor Network: IoT devices (soil, air, water monitoring)
Satellite Data: Copernicus, NASA feeds (deforestation, ocean health)
Smart Contracts: Auto-calculate ecological costs
AI Modeling: Predict impacts of proposed activities
Layer 4: Identity/Reputation
DIDs (Decentralized Identifiers) - W3C standard
Verifiable Credentials - portable trust
Reputation Algorithm:
Trust_Score = (Successful_Transactions / Total_Transactions) ×
(Avg_Ecological_Impact) ×
(Longevity_Factor) ×
(Community_Vouching)Layer 5: Governance Interface
Decidim for proposals/voting
Pol.is for finding consensus across large groups
Sortition algorithms for representative selection
All decisions recorded on ledger (transparency)
The Bootstrap Problem - Solved
How do you start with zero resources?
Phase 0: The Seed (1 community, 100-500 people)
Week 1-4: Trust Mapping
Members list skills, resources, needs
Map existing informal exchanges
Identify commons (community space, tools, knowledge)
Week 5-8: Initial Credit Issuance
Each member gets 1000 starter credits
Based on verified skills/resources, can issue up to 5000 more
Mutual credit: Your debt = Someone else’s savings (sums to zero)
Week 9-12: First Trades
Simple exchanges: Childcare for vegetables, carpentry for tutoring
Tool library established (shared capital goods)
Credits flow, trust builds
Week 13-26: Complexity Increase
Small cooperative businesses form
Shared solar installation (funded by member credits)
Food co-op established
External goods purchased by pooling credits
Month 7-12: Ecological Integration
Begin measuring: Water use, carbon, waste
First regeneration projects: Community garden, compost system
Ecological credits start flowing
Year 2: Network Connection
Find 2-3 other communities doing similar work
Establish exchange rates between credit systems
First inter-community trades
Harmonize ecological accounting
Year 3-5: Regional Network
10-20 communities interconnected
Shared renewable energy
Regional food system
Manufacturing cooperatives
Medical networks
The Math of Growth:
Network_Value = n^2 (Metcalfe's Law)
Where n = number of nodes
With 100 nodes: Value = 10,000
With 1,000 nodes: Value = 1,000,000
With 10,000 nodes: Value = 100,000,000Network effects are explosive. Early adopters get massive advantages as network grows.
The Defense Mechanisms
Problem: Powerful interests will try to destroy this.
Solutions:
1. Decentralization = Resilience
No headquarters to raid
No servers to seize
No CEO to arrest
Data distributed across thousands of nodes
2. Fork Resistance
Network value is in trust relationships
Can’t just copy code and recreate value
Like trying to fork Wikipedia without the community
3. Economic Moat
Once millions depend on it, politically costly to attack
Becomes “too big to fail”
Cross-border nature complicates nation-state control
4. Strategic Growth
Start in sympathetic jurisdictions (Kerala, Rojava, Zapatista regions, cooperatively-minded municipalities)
Build legitimacy before scaling
Partner with existing cooperatives/movements
5. Legal Protection
Structure as commons trust (legal precedent exists)
Cooperative ownership (recognized business form)
Religious/cultural exemptions where applicable
6. The Nuclear Option
If outlawed in one jurisdiction, simply illegal there
Network continues elsewhere
Creates pressure: “Why is everyone else prospering?”
The Actual Implementation Timeline
2025-2027: Pilot Phase
10 seed communities globally
Open-source all technology
Document everything
Budget: ~$5M (crowdfunded + regenerative finance)
2027-2030: Network Phase
1,000 communities
Regional networks established
First inter-regional trades
Budget: ~$50M (self-sustaining from network fees)
2030-2035: Scale Phase
100,000 communities
Millions of participants
Parallel economy emerging
Demonstrable planetary healing metrics
2035-2040: Transition Phase
Becomes viable alternative to debt system
Major economic actors join
Nation-states begin recognizing/integrating
Old system still exists but shrinking
2040+: The New Normal
Majority of economic activity within network
Planetary boundaries being respected
Equitable floor established
Technologies developed for flourishing, not extraction
Your Immediate Next Action
If you want to BUILD this:
Option A: Join the technical work
Holochain community (already building distributed ledger for this exact purpose)
Mutual Credit Software: Community Forge, Cyclos
Contribute code, design protocols
Option B: Start a seed community
Find 100-500 committed people
Use existing tools: Timebanks.org, Community Exchange System
Begin mapping and trading
Document for replication
Option C: Fund development
Regenerative Finance networks need capital
Platform cooperatives need investment
Commons infrastructure needs support
Option D: Design and research
Model the algorithms
Simulate network dynamics
Identify failure modes
Publish openly
The Core Insight
This works because it’s not imposed - it’s emergent.
Like mycelium, you don’t plant the whole forest. You introduce the spores and the conditions for growth. The network self-organizes because:
It’s more efficient (no parasitic financial sector)
It’s more resilient (distributed, redundant)
It’s more equitable (designed for it)
It’s ecological (constraints built-in)
It’s voluntary (people choose to join because it’s better)
The math ensures self-regulation. The technology enables coordination at scale. The cultural shift makes it desirable. The ecological integration makes it sustainable.
It’s not a revolution imposed from above. It’s an evolution grown from the ground up.
What’s your role in this? What specific piece calls to you? The algorithms? The pilot communities? The governance design? The ecological accounting? The legal framework?
Let’s get specific about what YOU are going to build.
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