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- The dollar supply grows by roughly 7% every year, creating a hidden tax that devalues savings and rewards owners of scarce property.
- Within ten years, a billion robots will automate most labor, making manufactured goods cheap but driving finite assets to record prices.
- Survival in this new economy requires shifting from “human capital” to “scarce capital” like Bitcoin or prime real estate.
For over a century, a quiet economic engine has been running in the background, unnoticed by many. Market analyst Michael Saylor notes that the US dollar supply has expanded by about 7% annually for the last 100 years, highlighting a stark contrast to the fixed supply and decentralized nature of Bitcoin.
However, this steady growth is more than a figure on a graph; it is an invasive process of devaluing currency. Should you have money or dependent entirely on receiving wages, you are unknowingly experiencing a substantial loss of purchasing power each year.
This phenomenon occurs according to a pattern that has existed since ancient Rome through early America. It has been common practice for the government to devalue the currency to pay off debts or meet certain societal obligations.
The Rise of Digital Scarcity and Bitcoin
In our modern context, it implies that the distance between the proletariat and the bourgeoisie is growing unnaturally fast. The system effectively taxes you at 7% for owning anything a simple button-press can produce.
It is projected that in a few years from now, billions of robots will do most of the heavy lifting and computing jobs. “White-collar bots” are already becoming common and taking care of specialized tasks such as legal research and programming.
While this transition will usher in an era of unparalleled prosperity for all, there is a downside: it devalues human resources. With the advent of technology that makes “stuff” cheaper, the value of your skills decreases. Just as the tractor made the farmer obsolete, AI has rendered the office clerk redundant.
The Great Decoupling of Automation and Scarcity
The result is a reality in which everything capable of being made or mechanized, whether consumer goods or business services, becomes extremely cheap. But there arises a mad rush for those things that robots cannot produce, such as premium land or distinctively cultural resources.
There is little time available to adapt, about ten years. To make it, you must remove yourself from the reach of mechanization and enter “scarce desirable property.” This stands as the most elevated form of capital because neither government money printing nor robot reproduction affects it.
Investors increasingly regard Bitcoin as the most pristine form of capital humanity has discovered thus far. Unlike houses that decay and money that depreciates at 7 percent per year, digital real estate provides a means for keeping infinite treasure.
Also Read: Bitcoin Faces Critical Moment as Analyst Warns of Massive BTC Breakdown Risk
