# Bandwidth and Liquidity By [Bhau](https://paragraph.com/@bhau) · 2022-02-03 --- _H/t to Liquidity Wizard at Tokemak for outlining how_ [_Liquidity is Bandwidth_](https://newsletter.banklesshq.com/p/liquidity-is-bandwidth?token=eyJ1c2VyX2lkIjo2NjU5MDY4LCJwb3N0X2lkIjo0Njk4NDE1NCwiXyI6Im9GVWpjIiwiaWF0IjoxNjQzNjg1ODc2LCJleHAiOjE2NDM2ODk0NzYsImlzcyI6InB1Yi0xNjAxNSIsInN1YiI6InBvc3QtcmVhY3Rpb24ifQ.28djZeVctThFoI31HHWue9eBcZVgfv1hWP_VzlIuJDE) _in Web3, and BanklessHQ for surfacing the alpha._ In Web2, network bandwidth refers to the maximum rate of information/data transfer across a given a path – the bit rate (bit/s). In Web3, **information** is **money**, so bandwidth entails transactions per second with respect to the **_movement of_ Value**. Therefore, bandwidth is _additionally_ characterized by an economic component – **Liquidity**. **_Thin_** _liquidity is akin to dial-up, while_ **_deep_** _liquidity is broadband for the internet of value._ Liquidity is **_necessary for everything_** in Web3; hence, **liquidity** **_is_** **bandwidth**. This is an intriguing perspective. In many ways, the same is true for **_Cognitive_ Bandwidth**. ### Meaning - even reading the above employed your cognitive bandwidth. Unzipping the information about cognitive bandwidth compressed within this image below itself **_requires cognitive bandwidth_**. _Fate loves irony_. ![I couldn't fit every single logo on here, but they all belong here.](https://storage.googleapis.com/papyrus_images/2e6b71868fc00e92489b7d3de80407e1ac99fc1d1fdb7739256075b15830c4a8.jpg) I couldn't fit every single logo on here, but they all belong here. According to “[Freeing Up Intelligence](https://scholar.harvard.edu/files/sendhil/files/scientificamericanmind0114-58.pdf)” highlighting the effects of scarcity on cognition and intelligence, cognitive bandwidth is characterized by cognitive capacity (_e.g., fluid intelligence_) and executive function (_e.g., attention, working memory, etc._). Since the time this was published in 2013, our understanding of cognitive processes has evolved to become **neuro**\-cognitive. There are **six neurocognitive domains** with their own sub-domains: ![](https://storage.googleapis.com/papyrus_images/307aa3c1cb9b5971b1d7606dd15b1840fe5f371576911397a17b934a09bf6d72.png) These domains are **neuro**\-cognitive because their seamless functioning is underpinned by the activity of **large-scale neurocognitive brain networks**: ![](https://storage.googleapis.com/papyrus_images/c023807eed215b61edd02420d67bc136da46af5819595abb130649b7352e46b6.png) ### And this is why understanding neuro-cognitive liquidity is vital. Instead of orderbooks or liquidity pools, **_the brain stores its own reserves of liquidity in the form of neurotransmitters inside of neurons_**: ![Neurotransmitters are stored inside vesicles, much like ETH is held in liquidity pools. Deeper the liquidity, greater the value (bandwidth) that can be deployed. Deeper the neuro-cognitive liquidity, greater the neurotransmitter reserve.](https://storage.googleapis.com/papyrus_images/61c45a13660fbd8d253a2fc387534251f8ff7951242210d944618f742ff3c49e.gif) Neurotransmitters are stored inside vesicles, much like ETH is held in liquidity pools. Deeper the liquidity, greater the value (bandwidth) that can be deployed. Deeper the neuro-cognitive liquidity, greater the neurotransmitter reserve. * **Thin** neuro-cognitive liquidity → **_limited_** network activation and recruitment of neurons. * _E.g., relative scarcity of dopamine and norepinephrine within attention networks (prefrontal cortex neurons) is a hallmark of Attention Deficit Hyperactivity Disorder (ADHD)._ * **Deep** neuro-cognitive liquidity → **_robust_** network activation and recruitment of neurons. * Taken to its excess, this can be dysfunctional. _E.g., abundance of norepinephrine within the limbic system (amygdala neurons and their projections) is characteristic of Post-Traumatic Stress Disorder (PTSD)._ **Balance** is key. Neuromodulation and Neuro-Cognitive Liquidity --------------------------------------------- Neuromodulation is defined as the “_alteration of nerve activity through the targeted delivery of a stimulus,_” according to [Wikipedia](https://en.wikipedia.org/wiki/Neuromodulation_\(medicine\)). One of the most widely studied and adopted modalities of neuromodulation is Transcranial Magnetic Stimulation ([TMS](https://mirror.xyz/0xa29FDDEc9C36BDD680D3f5867735ff8949a7F15D/kYQz41SjWneuDOAyBuyR_xaEJ6XFbEyzNVSRq31JcGw)). ![](https://storage.googleapis.com/papyrus_images/d9aef20ba14d5a46e145e080aaaaee183c1642ce266455cd8d3dfc641dd0eaab.gif) TMS has been FDA approved for the treatment of Major Depressive Disorder since 2008. Various mechanisms of action have been postulated, including the **_reconfiguration of neurocognitive networks_** ([How does TMS relieve Depression?](https://paradigm-psychiatry.com/communityblog/how-does-tms-relieve-depression)). TMS induces the release of neurotransmitters and the ensuing [**_Neuroplastic_**](https://mirror.xyz/0xa29FDDEc9C36BDD680D3f5867735ff8949a7F15D/MwV1SZy1ypVfuxXwxGw9uq40mdc9YnjmlkKlnxojT0Q) **_changes_** result in increased neurotransmitter reserves → **TMS increases neuro-cognitive liquidity**: ![Logos depicted purely for copyright reasons, and not for advertisement.](https://storage.googleapis.com/papyrus_images/fe0c534d5977a7201ecbbe2d09427d0d858d1452d5ddf7bdf09c574a8ec77123.png) Logos depicted purely for copyright reasons, and not for advertisement. By **cause** and/or **effect**, **_TMS enhances cognitive bandwidth_**. ### This is worth repeating. **TMS enhances cognitive bandwidth**, thus increasing the brain’s capacity to **_process information_**, **_integrate concepts_**, and **_reconfigure heuristics in a top-down manner_** (_attention can be either top-down or bottom-up_). Irrespective of underlying neuropsychiatric etiology, this is [true](https://ctmss2020postersession.ipostersessions.com/Default.aspx?s=3F-B4-7A-5E-53-8D-32-13-53-F0-B5-A2-52-D6-FB-5E). Whereas just a few weeks ago my patients were unable to discern the difference between currency and money, they are now **_asking questions about how rollups are different from side-chains_**. What began as a light-hearted conversation about blockchain, cryptocurrencies, and digital assets, quickly turned into an exhilarating foray into web3. They began to watch [informative videos about Bitcoin on my YouTube channel](https://www.youtube.com/channel/UCwOjZxcTiY0diZBI-0yWAtQ/playlists), and I soon found myself referring them to sources who I had come to learn about through Gitcoin Grants (_Finematics, Bankless, Defiant, etc._). ### I was impressed. I was excited as well but had to remain cautious to prioritize my patients’ best interests. **Safety first**. I was compelled to draft an [**Onboarding Web3 Agreement**](https://mirror.xyz/0xa29FDDEc9C36BDD680D3f5867735ff8949a7F15D/AOo4N6gcHPhJSGluCTSpJ9meC0PbghLv0HGcBUo4R-s) to inform them comprehensively for consent. They were excited at the prospect of a hopeful future with respect to **finances** and **social connection** (_e.g., CORPrat → DAOpunk_), but without **_compromising_** protected health information (**PHI**) and **privacy**. ### Two common denominators were identified: * **Hopelessness** for a bleak future with not much to look forward to save for “clocking in 8 hours a day and retiring after working for 20 years” (as one patient put it). * **Social isolation** in the [Loneliness Epidemic](https://www.hrsa.gov/enews/past-issues/2019/january-17/loneliness-epidemic) which was amplified by COVID pandemic. ### Two solutions naturally emerged, respectively: * **DeFi** and **Web3**. * **_Integration_** into **social structures** provided by Decentralized Autonomous Organizations (**DAOs**). There are more **people** waiting to learn about web3. They are also **_waiting_** for their **_TMS treatment to be approved_**. ### And this is where we switch gears. Health insurance companies insure only one thing - their own solvency. ---------------------------------------------------------------------- These companies refuse to authorize TMS treatment because it affects their bottom-line, though the reasoning is masqueraded under the guise of the “limited evidence base” and incompatibility with the “standard of care.” This has been refuted repeatedly by the consensus of physicians who **understand** TMS. [https://pubmed.ncbi.nlm.nih.gov/34969310/](https://pubmed.ncbi.nlm.nih.gov/34969310/) These companies are also not punctual. Well, it’s worse than that when they state it “may take up to 30 business days for us to review your request” for TMS, particularly if there might be a _life hanging in the balance_. **This is no exaggeration** – a patient of mine was hospitalized psychiatrically due to persistent suicidal thoughts while we awaited the decision only to hear back that “clinical criteria were not met” and that a “peer-to-peer review” would need to be scheduled. I am not the only physician who has experienced this. ### Outwardly, this is perceived as a disheartening lack of empathy and regard for the patients who they purport to serve. Despite the understanding that these companies are not structurally incentivized to care for people, it is difficult to have any sympathy or forgiveness because they are inherently profit-generating engines. I can go on with many more examples, but let’s pause here. Portion of the funds raised from Heal 2 Earn will be allocated as follows: -------------------------------------------------------------------------- * Democratize access of this **life-breathing technology** to those patients who are denied TMS by their health insurances. * The funds will keep the [private practice](https://paradigm-psychiatry.com/) solvent, and enable more psychiatrists to join Web3 by leaving “Psychiatry 2.0” for “[Psychiatry 3.0](https://www.statnews.com/2022/01/12/brain-stimulation-jolting-brain-circuits-with-electricity-moving-from-radical-to-almost-mainstream/).” * This will give us the resources to help more patients with TMS. * This will also enable us to educate more people about Web3. * Purchase new equipment to gather second order TMS based physiological data that can be used to develop biomarkers. * Redistribute value created from this back to the community. There is a lot more that goes into this, but the ultimate direction is toward eliminating reliance on health insurance companies. **Just like banks are being disintermediated, this too, can and should be done**. ### The retained tokens (25% of crowdfund sale) will be reserved for potential future airdrops towards: * Web3 Community. * More people locally in my community who might be interested in Web3. * Physicians and Psychiatrists who are the victims of **moral injury**, and are interested in onboarding Web3. [https://www.ncbi.nlm.nih.gov/pmc/articles/PMC6752815/](https://www.ncbi.nlm.nih.gov/pmc/articles/PMC6752815/) * Resident physicians and medical students. * Residency training has grown to become **malignant** and is comparable to **indentured servitude**, and things have only gotten worse since the pandemic. **_These people are the foundation of our healthcare system_**. We must build better systems to support them. * A quick glance through the subreddit speaks volumes: [https://www.reddit.com/r/Residency/](https://www.reddit.com/r/Residency/) ### Now that Layer 2 scaling solutions are live on Ethereum, we – DAOs – can coordinate at scale to build our own system and empower each other with this technology. > Every DAO can develop systems to monetize the attention of its constituents through education and other valuable activities resulting in positive-sum outcomes. Decentralized Governance is not easy and also requires a lot of bandwidth. According to this [DAO report](https://docs.google.com/presentation/d/1fLJvPOvibcCUpJ9ES44_cdoX5Hb7LpDaloGWz5FbUEM/edit#slide=id.gec41538503_0_399), most people could meaningfully participate in only 1-2 DAOs. Lots more to discuss about Stim 2 Earn (many other forms of non-invasive brain stimulation; **NIBS**) and Learn 2 Earn but let’s do that elsewhere because we must front-run the institutions to **_ensure this technology does not fall into the wrong hands_**, just like we must protect the right to non-custodial wallets… [https://twitter.com/punk6529/status/1486847620492505090](https://twitter.com/punk6529/status/1486847620492505090) So join the conversations or simply ape in to support Heal 2 Earn! --- *Originally published on [Bhau](https://paragraph.com/@bhau/bandwidth-and-liquidity)*