# What VP2.0 adds, and who it pays

> The stamp scrips of 1932 charged money as it sat or as it passed. VP2.0 also pays the spender, collects and tunes its own fees, and makes each added vote cost more.

Gavin Robert McGowen · interstellarblends.com. This site describes a patent application. It offers no token, security or investment.

Canonical: https://velocityprosperity.com/what-it-adds/

## The scalpel

- In 1932 the charge was a paper stamp: at Wörgl, “at 1 per cent per month”; at Hawarden, “one stamp is to be affixed with each transfer of the scrip”.
- Fisher put the nature of his own stamp in one line: “the stamp is more like a tax on hoarding than a sales tax”.
- VP2.0 keeps both charges, a “transaction fee” on each purchase and a “holding fee” on idle balances, and adds “a spending reward” for the person who spends.
- No stamp to buy: the fee is “periodically deducted from an unspent wallet balance”.
- No single price: each rate may move, but only under “an authorized transition rule”, and the transaction fee only within a range that in the example runs “from approximately 0.5% to approximately 2%”.
- No town hall: holders vote at a cost of “a square of the number of votes cast”, so on one ballot, 100 times the tokens buys 10 times the votes.
- Who pays: “a portion of the unspent balance”, so the larger the idle balance, the larger the fee.
- Who is paid: the spender, by “a spending reward”; the shop, by each sale; the worker, by a fund that “may pay an eligible worker or other approved recipient for an eligible activity”.

## In plain words

In 1932, towns charged their scrip with paper stamps bought at one price, by the month at Wörgl and at each transfer at Hawarden. VP2.0 keeps the charge, but the network collects it, keeps it inside set limits, and pays a reward to the person who spends.

It pays the people who keep money moving: the shopper earns a reward, the shop makes the sale, and the fund pays for work. Money left sitting pays a holding fee, and the more that sits, the more it pays.

Money buys less say, too: each added vote costs more than the one before, so on one ballot, 100 times the tokens buys 10 times the votes, not 100.

## Stamp scrip and VP2.0, side by side

| What | Stamp scrip 1932 | VP2.0 2025 |
|---|---|---|
| The charge on money that sits | A paper stamp each month: at Wörgl, “at 1 per cent per month”. | A “holding fee”, deducted from “the unspent balance at a defined interval”. |
| The charge on each spend | At Hawarden, “one stamp is to be affixed with each transfer of the scrip”, at 3 cents a stamp. | A “transaction fee”, in the example “approximately one dollar” on about $100. |
| A reward for spending | None: the stamp was a cost, at Wörgl to hold the scrip and at Hawarden to pass it on. | “a spending reward”, credited to the person who spends. |
| Who collects it | The holder bought stamps: “stamps purchased at a post office”, in Keynes’s account. | The network: the fee is “periodically deducted from an unspent wallet balance”. |
| Who sets the rate | One price, sold by the town: 1 percent a month at Wörgl, 3 cents a stamp at Hawarden. | A “fixed” rate, one the holders set by vote, or one the network tunes under “an authorized transition rule”. |
| Where the money goes | To the town: “the enlargement of the town’s welfare work”, and new public works. | To rewards, operations and a fund that “may pay an eligible worker or other approved recipient for an eligible activity”. |
| Who decides | The town: at Hawarden, “upon petition, the town decided to issue $300 in Stamp Scrip”. | The holders, by votes whose cost is “a square of the number of votes cast”. |

## Who it pays

The shopper

### A reward on each purchase

Each purchase earns “a spending reward”, credited to the person who spent.

The shop

### The sale, and the one after

The fund’s pay comes back as sales: its recipient “may spend the received value with a merchant participant”.

The worker

### Paid from the fund

The fund “may pay an eligible worker or other approved recipient for an eligible activity”.

The saver

### Savings can be locked out of the fee

A locked balance “may, for example, be exempted from a holding-fee mechanism”.

The community

### Nine-tenths of the fund, in FIG. 26

“approximately ninety percent” of what the fund receives goes to societal initiatives, which “may fund a job-creation program”.

Every voter

### Each added vote costs more than the last

Votes cost “a square of the number of votes cast”, which “may reduce a marginal influence gained by a single token holder”.

Who pays

Every purchase pays a small fee, and money left idle pays a holding fee of “a portion of the unspent balance”: the more that sits, the more it pays.

The specification names what the fund is there to stop: fees that would “enable manipulation and/or accrual of control of the network to private participants, or allow removal from circulation entirely”.

## Where each lever pays first

More money

When the central bank buys Treasury bills, its purchases increase “the amount of reserves in the banking system”.

Faster money

In VP2.0, the reward is “credited to a network participant 110 responsive to a transaction”: to the person who spends.

Of inflation, Keynes wrote: “while the process impoverishes many, it actually enriches some.”

The question

## How is VP2.0 different from stamp scrip?

Stamp scrip was charged with paper stamps at one price, sold by the town. VP2.0 deducts its holding fee itself, tunes its rates under an authorized transition rule (its transaction fee, in the example, between about 0.5% and 2%), pays a spending reward, and lets holders vote at a cost that rises with the square of their votes.

The question

## Who benefits from VP2.0?

In the design, the people who keep money moving: the spender earns a spending reward, the shop makes the sale, and a fund built from the fees pays eligible workers and societal initiatives. Money left idle pays a holding fee in proportion to the idle balance, and quadratic voting makes each added vote on a ballot cost more than the last.

**The sources in full every quotation on this page, where it stands**

> “There was to be no final redemption; and the stamps, at 1 per cent per month, were to be sold by the town, and the proceeds used, not for propagating the idea but for the enlargement of the town’s welfare work.”
> — [Fisher, Stamp Scrip (1933), ch. IV](https://userpage.fu-berlin.de/~roehrigw/fisher/stamp4.html)

> “one stamp is to be affixed with each transfer of the scrip”
> — [Fisher, Stamp Scrip (1933), ch. V](https://userpage.fu-berlin.de/~roehrigw/fisher/stamp5.html)

> “Continuing the illustrative eight-operation economic cycle, a network participant 110 may transfer value to a merchant participant, a transaction fee may be deducted and directed to economic-stimulation fund 400, economic-stimulation fund 400 may allocate a portion of the received fee to a rewards pool, the rewards pool may credit a spending reward to the transacting network participant 110, a holding fee may be periodically deducted from an unspent wallet balance and directed to economic-stimulation fund 400, economic-stimulation fund 400 may allocate a further portion to reinvestment and participation support 170, reinvestment and participation support 170 may pay an eligible worker or other approved recipient for an eligible activity, and the recipient may spend the received value with a merchant participant, thereby returning transaction-derived value to transaction activity and circulation 120.”
> — VP2.0 specification

> “The spending reward, the holding fee, and the transaction fee, and/or the allocations derived therefrom, may be (e.g., each) fixed, may be adjusted through a governance authorization committed by DAO governance module 300, and/or may be adjusted through a parameter-state update generated by AI-driven dynamic adjustment mechanism 101 and constrained by bounded-transition processing module 270.”
> — VP2.0 specification

> “the nonlinear function is equal to a square of the number of votes cast in the vote; the governance subsystem is configured to determine that the proposal has passed responsive to a participation rate meeting or exceeding a governance quorum and a total number of yes votes exceeding a total number of no votes; and”
> — VP2.0 · Claim 10

> “Thus, the stamp is more like a tax on hoarding than a sales tax.”
> — [Fisher, Stamp Scrip (1933), ch. III](https://userpage.fu-berlin.de/~roehrigw/fisher/stamp3.html)

> “a parameter-transition control mechanism configured to constrain the parameter-state update according to an authorized transition rule;”
> — VP2.0 · Claim 2

> “The authorized range applied to dynamic fee 1300 may, for example, extend from approximately 0.5% to approximately 2% of a transaction amount.”
> — VP2.0 specification

How it is read on one ballot, if n votes cost n² tokens, then t tokens buy √t votes, and √100 = 10.

> “The holding-fee mechanism may, for example, periodically deduct a portion of the unspent balance at a defined interval, such as a monthly interval.”
> — VP2.0 specification

How it is read a fee that is a share of a balance grows in step with the balance.

> “The stamps alone are the guaranty, and they are sold by the town at 3 cents per dollar of scrip, which is redeemable whenever 36 stamps (aggregating $1.08) have been affixed.”
> — [Fisher, Stamp Scrip (1933), ch. V](https://userpage.fu-berlin.de/~roehrigw/fisher/stamp5.html)

> “These RMPs—which increase the size of the Fed’s balance sheet and the amount of reserves in the banking system—would consist of Treasury bills and, if needed, other Treasury securities with remaining maturities of three years or less.”
> — [Federal Reserve Bank of New York, The Teller Window (Mar. 31, 2026)](https://tellerwindow.newyorkfed.org/2026/03/31/the-implementation-of-reserve-management-purchases-to-maintain-ample-reserves/)

> “An illustrative, non-limiting holding-fee rate may fall within a range of approximately 0.5% to 2% of the unspent balance per interval, while an illustrative, non-limiting spending-reward rate credited to a network participant 110 responsive to a transaction may fall within a range of approximately 5% to 10% of the transaction value.”
> — VP2.0 specification

> “As an illustrative, non-limiting example, a transaction amount of approximately one hundred dollars may result in a calculated transaction fee of approximately one percent, corresponding to approximately one dollar.”
> — VP2.0 specification

How it is read a stamp due each month falls on whoever holds the scrip; a stamp due at each transfer falls on whoever passes it on.

> “According to this proposal currency notes (though it would clearly need to apply as well to some forms at least of bank-money) would only retain their value by being stamped each month, like an insurance card, with stamps purchased at a post office.”
> — [Keynes, The General Theory (1936), ch. 23, § VI](https://www.marxists.org/reference/subject/economics/keynes/general-theory/ch23.htm)

> “Accordingly, the city not only met its own obligations but, in the second half of 1932, executed new public works to the value of 100,000 Schillings.”
> — [Fisher, Stamp Scrip (1933), ch. IV](https://userpage.fu-berlin.de/~roehrigw/fisher/stamp4.html)

[FIG. 4](https://velocityprosperity.com/drawings/#fig-4): “Fig. 4 is a flowchart depicting an example transaction-flow method for processing a value transfer and allocating a resulting transaction fee.”

> “in October 1932, upon petition, the town decided to issue $300 in Stamp Scrip”
> — [Fisher, Stamp Scrip (1933), ch. V](https://userpage.fu-berlin.de/~roehrigw/fisher/stamp5.html)

> “In a savings-tier configuration of that embodiment, a locked value amount may, for example, be exempted from a holding-fee mechanism described above and may be associated with a principal-protection condition, together with a return calculated at a rate lower than a return associated with an investment-tier configuration.”
> — VP2.0 specification

> “A fourth share allocated to societal initiatives 3708 may, for example, equal approximately ninety percent of an amount received by economic-stimulation fund 400 in the same illustrative configuration.”
> — VP2.0 specification

> “Societal initiatives 3708 may fund a job-creation program using an amount received from economic-stimulation fund 400.”
> — VP2.0 specification

> “Determining a token cost as a nonlinear function of a number of votes cast may reduce a marginal influence gained by a single token holder casting an increasing number of votes on a recorded proposal.”
> — VP2.0 specification

> “Transaction fees or other transaction-derived value may, absent a mechanism such as economic-stimulation fund and/or treasury 160 and reinvestment and participation support 170, enable manipulation and/or accrual of control of the network to private participants, or allow removal from circulation entirely, rather than being returned to distributed digital-currency economic system 100 through further transaction activity and circulation 120.”
> — VP2.0 specification

> “By a continuing process of inflation, governments can confiscate, secretly and unobserved, an important part of the wealth of their citizens. By this method they not only confiscate, but they confiscate arbitrarily; and, while the process impoverishes many, it actually enriches some.”
> — [Keynes, The Economic Consequences of the Peace (1919), ch. VI](https://www.econlib.org/library/YPDBooks/Keynes/kynsCP.html?chapter_num=7#book-reader)