Want Out? Seasteading Libertarian Hamlets May Be The Answer

According to Details magazine, PayPal founder and billionaire Peter Thiel has given $1.25 million thus far to the Seasteading Institute, an organization dedicated to creating libertarian countries on man-made islands in international waters. "Seasteading", a blend of the words "sea" and "homesteading", refers to the concept of building permanent dwellings at sea outside of standing nations. Thus, the Seasteading Institute seeks to create sovereign nations on artificial islands similar to oil rigs. Such sovereign nations would be built "from the water up" and would be based upon libertarian principles. These floating "free city" hamlets would be politically independent and would not be bound by the laws, regulations, and moral codes of any existing nation.

The concept of seasteading may sound exciting to fans of philosopher Ayn Rand at first, but after a bit of further thought, one is left wondering about the realistic implications of seasteading. As Thiel concedes, his interest in seasteading is "theoretical". We have to wonder whether the concept of a laissez-faire paradise can ever get past the point of theory. Seasteading is somewhat already in existence in the form of cruise ships. However, unlike cruise ships, a standard seasteading colony would have permanent residents and would be permanently affixed to the ground.

A major problem with having a freestanding libertarian island-nation is that at first it would most likely not be protected or bound by any existing nation-state. A seasteading nation's strength would also be its weakness. What would stop a foreign country from invading and claiming a seasteading island-nation as its own? Were a foreign nation to see a prospering little libertarian hamlet near its shores, the foreign nation may want a piece of the action. A libertarian seasteading nation would then possibly find itself having to pay some "pizzo" to a bigger nation for protection.

Okay, okay, I may sound like a pessimist, but I believe that one needs to really consider the implications of seasteading before jumping into a boat and claiming an abandoned oil rig somewhere. Isolated, independent, artificial island? Nature? Reality? Humans? I can see a possible humanitarian crisis in the making. "Breaking news! A central pillar holding up the experimental seasteading colony Libertariana off the coast of Florida has collapsed! We're hearing that three quarters of the isolated colony is now underwater! Reportedly hundreds have drowned, and emergency crews are on their way to rescue any possible survivors!"

Seasteading would be difficult at first, and it would take a considerable amount of time and resources for such a floating hamlet to take off. Nevertheless, I want the Seasteading Institute to succeed. Not only would a seasteading venture be good for solidifying libertarian, free market ideals, but it would also offer people an option from our modern-day selection of geo-political nation-states.

In light of the possible benefits of seasteading, one can try to escape the specters of Realpolitik and Realoekonomie, but they follow humanity wherever it goes. The questions of political power, scarcity, and the struggle for survival would undoubtedly follow pioneers to seasteading platforms. Threats of natural disasters ranging from hurricanes to the flu would also follow seasteading pioneers. These and other risks could deter individuals from attempting to settle on artificial islands, but with overpopulation and political discontent on land, seasteading pioneers of the future may be more than willing to accept these risks for the hope of a peaceful existence.  

Possible sources of income for a seasteading island-nation could be based on tourism, banking, gambling, and the fishing industries. Like the Cayman Islands or Bermuda, seasteading islands could attract vacationers and tourists, not to mention tax evaders. Given these possibilities, seasteading could prove to be a lucrative enterprise if it is able to fend off possible foreign influence.

Even more than being merely a political experiment, I believe that seasteading would be an interesting philosophical experiment. The theoretical economics involved in seasteading are enough to excite the mind of any Austrian School economist. Seasteading could shed some light on the possibility of an isolated, laissez-faire, free market society. Would a libertarian society last? Would a libertarian society eventually devolve into the same sort of bureaucratic, regulated economy that the society originally sought to avoid? Would a libertarian society fall prey to invasion, societal disruption, or destruction from within? Is libertarianism a worthwhile goal for a nation? What would prevent a libertarian island-nation from possibly turning into an isolated country like Nauru with 90% unemployment? Would a libertarian island-nation ultimately perish or prosper? All these questions and more could be explored through seasteading.

As much as I want to support and encourage the idea of seasteading, I cannot discount the significant risks and possible negative results. It would be very easy for corporatism or a sort of fascism to creep onto a remote, "libertarian", artificial island; humans are humans after all. Workers who move to new seasteading colonies may in time find themselves to be indentured servants effectively trapped in service jobs on an artificial tax haven, toiling for and dominated by greedy corporate heads. I wonder what a violent revolutionary class struggle on a glorified oil rig would look like. Aside from the aforementioned prospects, the idea of being stuck on an oil rig with no food or medicine in the middle of a hurricane or tsunami where my child is in need of medical care does not sound very appealing. The idea of being unemployed with no means to get off a seasteading platform also does not sound very appealing. The idea of living on a libertarian hamlet uncertain of political changes on a small, cramped island given possible crises also does not sound very appealing. But if human civilization gets to the point that the risks of remaining on land in "traditional" nation-states are greater than the risks of being a seasteading pioneer, then the future of many of us may be on the waves of international waters.

Those who pursue seasteading as a way to escape human problems and issues of living in a human society may find themselves sorely disappointed. There is a reason why the word "utopia" means "no place". You cannot always run from your problems. Even if we start out with a society that is libertarian guaranteed by a constitution, there is no guarantee that that society will remain libertarian. The United States of America is a testament to the changeability of society and economy; nation-states are emergent entities susceptible to change. Furthermore, politicians and entrepreneurs can be capricious. Money talks, and from money talking, policies change.

I would encourage individuals to not rush to the conclusion that the grass is greener on a faraway island just because of hypothetical theories and ideas. Once you are subject to a foreign national power, you are subject to a foreign national power. If one is on an independent, seasteading island-nation, then one is no longer within the tradition of American law. This sort of transition can be a two-edged sword and may concern potential pioneers.

Even still, I wish the Seasteading Institute the best. It is good that an organization is concretely attempting seasteading ideas. We have come a long way from the days of Plato's Republic, but I really think that humanity is going to find that the quality of a state is not about its form of government or its constitution written on paper. Rather, humanity will find that the quality of a state depends on the behavior of the state's citizens themselves. A state's goodness or badness is not in its form on paper, but its form as evidenced by the character of its citizens.

Hopefully, seasteading will demonstrate that libertarianism is possible and sustainable within an island-nation. I have some faith left in humanity with respect to the assurance of liberty. Even if scarcity and reality creep into the question of libertarianism's viability, with hope an island-nation founded on libertarian principles can survive and prosper. Hopefully, soon we will be able to see how a libertarian community on an artificial island progresses. And to that I say "Godspeed". May liberty prevail.