The Digital Main Street: An Analytical Report on the Viability and Impact of a Municipally-Operated Economic Protocol

AI details the concept of the "Digital Main Street," a municipally-operated economic protocol using a permissioned blockchain and a conversational Civic AI Agent to create a new public utility for local commerce. This infrastructure aims to automate tax collection instantly via smart contracts, reduce administrative overhead for micro-entrepreneurs, and facilitate hyper-local transactions by eliminating costly intermediaries. The document proposes a strategic pilot program focused on the short-term rental market in Breckenridge to validate the model's economic viability and then discusses scaling the system to a metropolitan level, such as New York City. Finally, the report outlines the necessary technology architecture, addresses critical challenges like data privacy and the digital divide, and cites global precedents like Estonia and Dubai to support the feasibility of this transformative governance model.