Frederick Bott
1 min readMar 20, 2021

--

Some science you might appreciate, Dude:

It starts with firstly pointing out that all the power we ever used (until solar), was from the Earth, after it was put there in the first place by the sun. Therefore the Earth in terms of the energy we could extract from it, and thus also our economy, was a closed box.

Secondly, Bitcoin is now at least partly supplied by solar power, and the reason for that, is that solar power provides the highest margins possible, in the very competitive industry that is Bitcoin mining.

So it follows that mathematically, there are actually two components of value in a Bitcoin.

A constant value, representing the market value conventional capital paid for the Bitcoin, and a time dependent term, measured in Joules per second, of solar energy capacity which was “pushed up” by the miner creating more solar power infrastructure, to increase mining revenue.

The energy term tends to infinity with time, whereas the capital term tends to zero in comparison.

You might recognise that as methematical proof of the coming end of capitalism, or not.

Regardless, it is what it is.

Is Ms Yellen and the Fed even bigger than science, and the power of the sun?

--

--

Frederick Bott
Frederick Bott

No responses yet