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Freedom Cities: what they are and why they could change the United States

Squares filled with sensors, flying taxis and high-speed trains, self-driving cars and many other amazing technological innovations. These are the foundations on which Freedom Cities are based: free zones exempt from federal regulations in force in the United States. A group of companies and start-ups operating in various fields are aiming to make this a reality, as they want to have free rein to experiment with their technologies without having to comply with legal restrictions.

The project has been publicly mentioned in the past by Donald Trump, who promised to open up the issue if he was elected president. Now that he has achieved his goal, the topic is back in the news in the United States, partly because it has sparked a debate between those who support the plan and those who want to prevent it from happening.

Supporters vs opponents

On the one hand, there is talk of areas capable of generating wealth, employment and innovations that can then be applied on a large scale. On the other hand, however, detractors describe freedom cities as mini-dictatorships, where the few who hold power are the ones who profit in the absence of trade unions and workers’ rights.

In general, one of the priorities of those who want to establish Freedom Cities in which to test the technologies of the future is to break away from environmental protection and workers’ rights regulations, greatly easing current health and tax obligations. The idea, therefore, is to build areas conceptually similar to military bases, where state regulations do not apply, and the codes governing the management of the area are tailor-made.

The spaces where new cities can be built

Within the cartel of companies dedicated to lobbying the US government, there are different souls, ranging from companies experimenting with anti-ageing clinics to start-ups developing nuclear reactors. Pushing the accelerator is the American Enterprise Institute, a think tank important to American conservatives, which has developed Homesteading 2.0.

This is a project that identifies hundreds of potential locations for building 20 Freedom Cities on federal land, where more than 3 million properties could be built. The report lists the metropolitan areas selected for the new cities, with a particular focus on the western part of the country. Almost all of the areas considered are on the outskirts of large cities, such as Las Vegas (Nevada), Salt Lake City (Utah) and Grand Junction (Colorado).

Prospera’s precedent

Those behind the American Freedom Cities look favourably on the case of Próspera, a start-up city created in 2020 in Honduras, which follows the model pursued by American entrepreneurs who are putting pressure on Trump. Low taxes, few regulations and a government that runs the city like a business, treating citizens as customers.

Given that the project’s financiers include Peter Thiel and Marc Andreessen, wealthy entrepreneurs who played a leading role in supporting Trump’s candidacy, it should be noted that Próspera is in court with the Honduran government, which considers the settlement on its territory illegal.

Building as many Freedom Cities as possible

One of Próspera’s leaders is Trey Goff, who also plays a role in the Freedom Cities Coalition, a lobby group that aims to convince the US government of the merits of Freedom Cities. ‘We don’t want to build 10 cities free from state constraints, but as many as the market can handle,’ Goff told Wired.

From a practical standpoint, there are three possibilities for implementing Freedom Cities. The first is to enter into agreements whereby two or more states would oversee and share the fiscal and legislative policies of the new cities. The second option is to create federal enclaves with special economic and legal powers, while the third option would be an executive order issued directly by President Donald Trump.

The first step is a law

Different but united by their ultimate goal, the Frontier Foundation works alongside the Freedom Cities Coalition to draft a bill to be submitted to the government in the coming months. Although still in its preliminary stages, the Freedom Cities project is a topic to be followed closely, not least because, while it would offer companies the ideal conditions to develop and test high-impact innovations, it would also have to contend with opposition from citizens unhappy with living in a country that rewards a select few.

Alessio Caprodossi is a technology, sports, and lifestyle journalist. He navigates between three areas of expertise, telling stories, experiences, and innovations to understand how the world is shifting. You can follow him on Twitter (@alecap23) and Instagram (Alessio Caprodossi) to report projects and initiatives on startups, sustainability, digital nomads, and web3.