I want a pencil, paper, stamps and envelopes because I can do so much more with those things besides write letters so email is not going to catch on.
Discussion
What's the money value of an email?
Infinitely cheap. But the value is in the information not the letter itself.
Money is information not the physical, note/coin itself. The only reason 1/10th oz of gold is worth less than 1 oz is because we have the information that one weighs more than the other. The only reason 1$ bill is worth less than 100$ bill is because of the information printed in it.
Money is energy density, bitcoin is by far the most dense. Money is representation of calories and watts. Bitcoin is a direct measure of calories and watts. Gold is an indirect measure of calories and watts. Fiat is an obfuscation of calories and warts.
If we could send calories globally with no transmission loss that would be the ultimate money. Btc is the closest thing we have to that.
Again, the energy theory of value. Like Marx's labor theory of value, this is incoherent.
Is it information or energy?
And no, the 1tz coin is worth 10x as much as the 1/10tz coin for the same reason 10 barrels of oil are worth 10x as much as 1 barrel of oil - namely you can do 10x as much with the material.
The $100 bill is worth the same post-fiat as the $1 bill because you can do exactly the same things with them. The $100 bill is worth more now only because the fiat credit system gives you more points for it. When that system collapses obviously the $1 and the $100 will have the same value - just as Zimbabwe $50trillion notes and Zimbabwe $50 notes (from the hyperinflated currency) already have the same value.
This problem applies to Bitcoin as well. There is no reason that 1 Bitcoin is worth more than 1 satoshi except that it counts for more fiat credit - unlike oil where it is very obvious that 1 barrel is worth more than 1 gallon.
Bitcoin does not have that problem because it can't be hyper inflated.
Already was - where did it come from?
#Bitcoin is still limited to 21 million coins, where is your hyperinflation?
How did it go from zero to 21 million?
how did gold go from 0 to unknown total amount
In quantity, supernova
In price, people wanted gold for jewelry or to fashion simple metal instruments (like lead, gold is malleable & makes good plumbing)
Then because it was durable people decided to save gold (later selling it to others for material uses).
But that can't happen with Bitcoin, there is no base case of jewelry or conducting electricity or whatever to bootstrap from. Instead it is a derivative of fiat which is a derivative of gold.
There was a monetization process of gold the same way there was with btc. It's not like humans were created wanting gold. In fact gold is in the demonetization process at the moment. The same way iron,bronze,silver (all were money at one point). have all mostly been demonetized gold will be too.
To the energy / information point. Money is energy dense because it's hard to create/find/ mine whatever. Then it's purely informational (transactional). Btc will surpass gold because it can store energy more efficiently and transmit its informational value more efficiently.
If you had a way to split gold down to the atom, and be able to physically move that atom anywhere in the world with no loss of information -no friction. Then gold would be competitive but its not.
How much energy does a Bitcoin store?
https://www.coinwarz.com/mining/bitcoin/hashrate-chart
Each T/h is approx 120w and getting more dense as hardware improves.
So the later bitcoins store more energy than the earlier ones? Are they worth more?
The energy storage is cumulative. The blockchain is like a battery for the humans to draw from. Money is like a civilizational battery where we store excess labor.
The longer we can defer consumption the better off we will be as humans. Savings is just deferred consumption so in a way the early bitcoins are worth a lot now because those people deferred consumption the longest. Even tho 1btc = 1btc
Is not at 21 million. Also, where is the hyperinflation, again. 👀😆
Money is the information.
Exactly. Good money can reflect that information (price) through time.