Astral Codex Ten

Orquidea

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Orquidea

Article

Orquidea is a recurring organization in the Astral Codex Ten archive, appearing 3 times across 3 issues between August 02, 2021 and September 04, 2023. The archive places it in contexts such as “Orquidea is going a little further in keeping a low profile even after they’ve started operations”; “I can’t find any statements from Orquidea, but my understanding is that their business model is less ambitious”; “One ZEDE, Orquidea, shut down immediately”. It most often appears alongside Honduras, Prospera, Prospera.

Metadata

  • Category: Organizations
  • Mention count: 3
  • Issue count: 3
  • First seen: August 02, 2021
  • Last seen: September 04, 2023

Appears In

Source Context

Recovered passages from the original issue text. When the raw archive preserved outbound links inside the source passage, they are listed directly under the quote.

21
August 02, 2021 · Original source
Honduras remains the country to watch in the charter city sphere, with its ZEDE law allowing unprecedented levels of freedom and protection. I’d previously written about two Honduran projects, the high-tech island hub of Prospera and the industrial heartland project of Ciudad Morazan. Now there’s a third: ZEDE Orquidea (“Orchid Zone”).
Inline links: previously written about
I’m not really impressed with their publicity effort (my browser insists their website is a security hazard and won’t let me access it). My only real source of information is this Reddit post by another charter city enthusiast, who writes:
Inline links: this Reddit post
The third ZEDE is Zede Orquidea (Orchid). It's in the south of Honduras, at Las Tapias. The organizer/investor is AgroAlpha. They'll be growing produce in greenhouses for export. President Hernandez recently said it'll be the largest and most modern agropark in Latin America, and that 400 people are working on construction now, with another 600 joining in August. They've adopted laws based on Delaware's. You can see these laws on their website (though as I write this the document link pulls up a login page).
Inline links: Las Tapias
22
June 28, 2022 · Original source
I can’t find any statements from Orquidea, but my understanding is that their business model is less ambitious, they don’t have much incentive to resist this legal change, and they will probably devolve gracefully into a standard industrial park.
23: California Dreamin'
September 04, 2023 · Original source
Seen on the Praxis founder’s Twitter account. Milady is some kind of NFT thing, otherwise it makes as much sense to me as it does to you. But the other half of the paradox is the constant rumors that they’re competent and have some kind of good plan. These are spoken only in hushed whispers, I don’t know the details. But in 2021, they raised $4 million in a seed round from well-regarded venture capitalists whose investments usually make money. In 2022 they raised another $15 million in a Series A round from . . . okay, partly from Sam Bankman-Fried and Three Arrows Capital, two notorious crypto scammers. But you would think scammers would be extra careful not to invest their own money in scams! Also, they recently signed on David Weinreb, a completely normal (and well-regarded) city planner person. What’s the strategy that both involves both Milady Raves and lots of competent people agreeing you’re a good investment? One strategy is something like: buy some land somewhere. Build some houses and streets. Convince digital nomads to move there on the grounds that you are very cool and visionary. Do some cool and visionary seeming things, or at least throw some really good raves. Other digital nomads get jealous and move there too. Sell parcels of land to these people, get rich, pay back your investors. And then who knows, maybe create a new civilization that redefines what it means to be human. Consider Elon Musk. Elon Musk is good at certain business-related skills. But that’s not the essence of Elon Musk. The essence of Elon Musk is that he’s a Visionary who can bring the Glorious Future. We know this because he’s a crazy person who says stuff that doesn’t really make sense. When Elon Musk buys a company, its value goes up - maybe partly because people expect Musk to make good business decisions, but also partly because now the company is part of Musk’s Glorious Future, and therefore exciting. Employees, customers, and investors all get excited and reinforce each other in a virtuous circle. And although Musk might not always accomplish the exact Glorious Future future he promises, his companies do well and make money, because having motivated employees, star-struck customers, and willing investors is a great combination. Elon Musk has an aura of destiny because he succeeded at his first several companies. Dryden Brown of Praxis Society, lacking a Paypal Mafia to join, is trying to hack together an aura of destiny out of raves and angel-related videos. So far it seems to be going pretty okay. Prospera Sues Honduras For 2/3 Of Its National Budget To refresh: in the mid-2010s Honduras’ pro-market government created ZEDEs - businesses that bought up unoccupied land could start their own districts with their own preferred legal system in exchange for bringing in investment. The government knew businesses wouldn’t invest long-term if the next government could just cancel the agreement and seize all of their stuff, so they fortified the law with as much protection as possible. It would take a long constitutional amendment process to repeal, and ZEDE investors might be able to object to any changes under international investment treaties. Lured by these protections, three companies started ZEDEs, including a big high-profile one called Prospera. In early 2022, a socialist government took power, and started trying their best to destroy the ZEDEs. They started the constitutional amendment process (they seem to think they’ve finished it, but a Prospera rep I talked to believe they have to hold another vote by the end of this year, something I see no signs of them doing) and have been harassing and stonewalling existing ZEDEs. One ZEDE, Orquidea, shut down immediately. A second, Ciudad Morazan, seems to still be operating but I cannot figure out exactly how or why. Prospera has been most vocal in its opposition, and sued Honduras for $11 billion in the World Bank’s court of investment arbitration. (Prospera has only spent about $100 million so far, so it’s unclear why they deserve 100x that in penalties. Also $11 billion is “two-thirds of the 2022 Honduran national budget”, and forcing Honduras to pay it would cause national catastrophe. This might be more of a highball offer than a number they actually expect to get.) This article (poorly translated from Spanish, sorry) has the most information. It suggests Honduras believes they signed onto the investment treaties “with reservations”, ie conditional on being allowed to do things like shut down ZEDEs, and that therefore the suit is meaningless and they will not defend themselves. Although the magazine is on the government’s side of the overall issue, it suggests they didn’t actually sign on with reservations, that the country’s lawyers might just have no idea what they’re talking about, and that their bold strategy of refusing to defend themselves will not pay off. In contrast, Prospera has prestigious lawyers specializing in exactly this area, so things aren’t looking good for the government. Honduras seems to recognize this and is threatening to withdraw from ICSID, the international investment treaty that governs such disputes. This wouldn’t be completely unprecedented - Venezuela, Bolivia, and Ecuador have also done this. But ICSID rules say that withdrawing from ICSID, while it might help prevent future cases against you, doesn’t cancel existing cases, and wouldn’t protect Honduras against Prospera’s claim. (How would ICSID collect against Honduras if they lost? I don’t know, but I assume the global financial order has some way to make your life worse if you defy it.) I think everyone is hoping Honduras realizes that cancelling a flourishing economic zone that’s bringing lots of investment into the country at no cost to them - just isn’t worth taking an $11 billion loss, cancelling international treaties, and scaring off future investment. But who knows how these people think? In other Prospera news: Prospera announces another $36 million in recent investment, which I take as evidence that VCs with good lawyers and research departments also think its case is very strong.
Inline links: the Praxis founder’s Twitter account, raised $4 million in a seed round, raised another $15 million in a Series A round, recently signed on David Weinreb, To refresh:, harassing and stonewalling, sued Honduras for $11 billion, This article, threatening to withdraw from ICSID, Venezuela, Bolivia, and Ecuador have also done this, announces another $36 million in recent investment