Crypto TFR multi-level marketing scheme

A Bitcoin millionaire has two kids. He doesn't want to spoil them, and he doesn't want his name to die out, so he implements a smart contract: Starting even before he dies, 1% of his net worth will be given to his kids annually, split between them proportionally to how many children they have.

As soon as a grandchild is born, their gen2 parent gets 100% of the annual 1% disbursement. Inheritance starts before the death of gen1.

Why would someone do this?

They may have a crazy set of beliefs. The key isn't so much why, as evaluating whether this is a stable or growing strategy. Why do deer eat and have fawns? It doesn't really matter; most of their emotions about it are after-effects; the key point is that it survives. Strategies don't have rationalizations when they're invented; the first multicellular life didn't start with a thesis "it's good to cooperate". The only reason we observe it is because it evolved into us.


Since it's unlikely to ever exhaust the money, it would either go on forever motivation to

Failure states - oh, so many, but they make for good plots

Why is this even a thing?

I think the difficulties here are because identity isn't real. It's extremely hard to define and track in a rigorous way. Things like hashrate or existence at all are quite a bit easier to verify.