Inside the tech bros’ private paradise of Prospera

Tech billionaires, who are some of the world’s richest and most powerful men, have a new pet project: building their own city-states. Subscribe Unwieldy governments, slow-paced democracy – their argument broadly goes – can’t deliver the kind of results that successful private corporations can. Critics, by contrast, label it a form of crypto-colonialism. There are a few dozen “network states” dotted around the world – at varying, pretty rudimentary stages of development. They’re part of the digital-first libertarian movement, revolving around a desire for greater individual freedom, lower (or non-existent) taxes and widespread use of cryptocurrency. You’re reading the latest edition of FourGround , a bespoke newsletter brought to you by Channel 4 News’ experienced journalists reporting on the ground from locations across the world. Próspera, a private city on a Caribbean island off the coast of Honduras, is the most physically advanced of the network states – with around 200 residents, and $200 million of funding. Supporters include major figures from the tech world: Peter Thiel, Sam Altman and Tim Draper. Entering Próspera To enter Próspera from the rest of the island of Roatan, we needed to apply for a permit and display it to security guards. The “city” has its own (very low) tax system, its own civil laws and its own form of governance. A cash machine allows users to exchange dollars and bitcoins, replete with a sticker reading “f*#k! the banks.” YouTubers visiting earlier filmed people carrying out radical experimental medical procedures, having data chips implanted under their skin. They’re bio-hackers who are able to make credit card payments or unlock their Teslas with a wave of their hand. “Since I was a kid I always wanted to build a city,” Ivan, one of the residents, pictured below , tells me with a dreamy smile. He grew up in Donetsk, eastern Ukraine and sees himself as a pioneer, planning new tower blocks surrounded by jungle vegetation. “The basic idea behind it is that you vote with your feet,” he says of Próspera, “if I move here, it means I believe in it.” ‘Work in progress’ A new community, populated by engaged, motivated residents sounds attractive. But Próspera is still very much a work in progress, with food deliveries and waste collection, for example, all coming from the rest of the island. Share The project has also been controversial in Honduras – one of Latin America’s poorest countries. It was approved by a rightwing government, then a subsequent leftwing administration repealed the legislation around its creation (leading to an $11 billion lawsuit launched against the Honduran state.) Now, its supporters are back in power in Honduras. But the team behind Próspera still adopt a much more cautious tone than, for example, the bombastic President of “Liberland” – a small self-proclaimed “nation” on an uninhabited floodplain between Croatia and Serbia – featured in a recent BBC documentary. Jorge Colindres, effectively the mayor of Próspera, pictured above , emphasises the city is a “Special Economic Zone,” similar to others across the world, designed to attract foreign investment. However, the level of autonomy granted to Próspera is far, far greater than other projects. “We believe that people have a fundamental right to freedom,” Colindres tells me, “and as free and conscious human beings, we should be able to agree between each other on how to govern our societies.” Trusting their future to tech bros For some, the power granted to Próspera has dark echoes of the past. A century ago, US fruit companies wielded vast power in Central America, and were accused of abusing workers and undermining governments. Honduras was the original inspiration for the term “banana republic”. Guillermo, a Honduran resident and part-time comedian I met, saw things differently: “Honduras has been in the hands of some really bad people for a really long time,” he says. Share Channel 4 News “So I would rather it be in the hands of well-meaning people, billionaires even, but that actually want to do good stuff than it being in the hands of the people that we’ve been having for the last 200 years.” Próspera’s creation speaks to growing, global disillusionment with democratic governance – but how many would trust their future to tech billionaires instead? Próspera – ‘tech utopia’ or crypto colonialism? Inside the start-up city Thanks for reading the latest edition of our free FourGround newsletter. Subscribe below to keep up to date with Channel 4 News on Substack. Subscribe Share Channel 4 News Leave a commentRead More