Ways Liberland Can Generate Revenue Voluntarily

Murf presents a good case for how crowd funding can gather funds for Liberland to function properly and I think it is a good method to use. There are other mechanisms that I have been battling with mentally as to whether or not they are something that a libertarian society should use I will now go over them.

1 Registration of various assets

This part entails the registration of various things from automobiles, fishing boats, trailers to much larger items like airplanes and yachts. The issue I have though is how to regulate such a system, the libertarian argument is that registration is to be voluntary and not forced. This registration system could be a huge cash inflow as I have shown in Liberland vs The Bahamas how they utilize cruise ship registrations to their advantage in brining in money that way. I see a sliding scale based on the fair market value of said asset as I have pointed out in previous articles. The only way around making this not mandatory for everyone is if the asset stays in Liberland for more than 6 calendar months in a given year it will be exempt, although the issue boat and automobile license plates still would have to be issued I think IF the said asset is to leave Liberland for either a different country or enter international waters. Since the Danube River is an international boundary all boats would still have to comply with such registration requirement as required by international law and given the small physical size of Liberland I don’t see very many automobiles staying inside the territory of Liberland permanently but some people may be able to pull it off. Upon review of my previous list of international treaties that I presented to the Minister of Foreign Affairs I have realized that in error I did not include the Vienna Convention on Road Traffic nor any seafaring related treaties that ships at sea would be need to have such as the International Convention for the Safety of Life at Sea (SOLAS) which was created in 1914 after the sinking of the Titanic and has been periodically updated since. The bottom line is I think we can get around the “pure” libertarian thinking with making registration voluntary, you just can’t take the asset outside of the 7km area that is Liberland.

2 Registration of Businesses

This one is a more straight forward in my opinion, you either do or do not want to register your business in Liberland. I think though here again there should be an incentive for businesses to actually have a physical nexus on Liberland soil. That is if they have a building and conduct business in Liberland they should get a discount, furthermore if that business ONLY conducts business in Liberland they should only pay a de minimis registration fee, which if I am correct the Liberland business registration law has a such pricing system in place. So based on this there would be 3 different classifications for businesses:

1. Those that operate solely with the geographic limits of Liberland.
2. Those that operate BOTH inside and outside of Liberland with a physical nexus inside the geographic limits of Liberland.
3. Those that operate exclusively OUTSIDE of the geographic limits of Liberland.

I know Murf may come back and respond with, “What if the companies only have a shell company inside Liberland and get around the physical presence rule,?” if that is the case we need to figure out a formula based on gross revenue of how to overcome that, I see this as a problem but I am not an expert in this area and cannot rationally come up with a formula on how to address this issue at this time. But no matter what though tax evasion should not be considered a crime and again I am at odds mentally as to how to address this component, I think that established rules ahead of time need to be addressed in this area before large billion-dollar multinational come to register in Liberland and also render the use of shell companies illegal which I think is already the case in the company law but I would defer to the Minister of Justice on that a question.

I think between these two methods I’m addition to the crowd funding and the sovereign trust fund that I have referenced to before would suffice for Liberland’s revenue sourcing as most tasks as I have noted before would be undertaken by various DAO’s who will do most of what we now consider to be “government services” so the actual amount of expenditures once full international recognition is gained I think will be very small when one compares the government expenditures to GDP measured against every country in the world. I think this is the way Liberland needs to approach spending, secure the funding of various projects by crowd sourcing combined with the trust fund dividends and registration fees should be the perfect formula for future government funding.