Energy Wastage

Every passage, on the record.

1. 00:31Claim

   There are two options, and I say two options, but there's really both options at the same point, which is they will either resist or they will accept... there's really only the illusion. They both have the same final destination.

2. 01:07Claim

   We have talked about how money naturally monopolizes because we want as many different participants in the market as we can... So we will naturally all come together and money will be monopolized.

3. 03:41Event

   If we just look at the debt clock today, which is now August the 2nd of 2021, we look at the debt clock today, and that has got the US at $28 trillion for total national debt.

4. 04:16Event

   There's 155 trillion of that [unfunded liabilities]. If we talk about social security, Medicare, federal and veterans benefits... that works out to each citizen being liable for $463,268 of debt. Each citizen, not each taxpayer.

5. 06:01Event

   The federal debt to GDP is 128.36%. If you include the states and municipalities' debts, 143.5% debt to GDP.

6. 06:35Claim

   The total government spending to GDP is 46%. The government, which is a organization that can only waste resources, it cannot unlock more energy.

7. 06:35Quote

   The government, which is a organization that can only waste resources, it cannot unlock more energy.

8. 07:09Prediction

   Governments don't get smaller. They only get larger. This trend is not going to reverse on its own.

9. 07:39Idea

   The other way that they do it, which is much more prevalent and significantly more evil, is they expand the supply of calls on energy so that the producers have access to less of their energy... if you create more calls on that energy, well then the government gets to steal that energy.

10. 08:49Reference

    I think this is a Thomas Sowell quote, but it makes perfect sense when it comes to the government and government spending... It is hard to imagine a more stupid or more dangerous way of making decisions than by putting those decisions in the hands of people who pay no price for being wrong.

11. 08:49Quote

    It is hard to imagine a more stupid or more dangerous way of making decisions than by putting those decisions in the hands of people who pay no price for being wrong.

12. 08:49Claim

    All goods will trend towards their marginal cost to produce. And if the US dollar costs zero for the government to produce, well of course they're going to produce it en masse. And it will trend over time to zero, because it will get worthless.

13. 09:25Claim

    The government not only takes energy and wastes it, it removes what could be active participants in the private sector, i.e. government workers, and it turns them into energy consumers... we are actually losing out twice.

14. 10:29Claim

    It pulls the stealing from the shadows. If you're going to steal energy on a Bitcoin standard, you need to let everyone know that you are stealing... There is only 21 million, right? The entire pie of accessible energy is 21 million. You can't create more calls on that energy.

15. 10:29Quote

    It pulls the stealing from the shadows.

16. 10:29Idea

    There is only 21 million, right? The entire pie of accessible energy is 21 million. You can't create more calls on that energy.

17. 10:59Claim

    If you're going to, you can't do it through inflation, so you're going to have to do it through taxes. And if you do it through taxes, now it's a much more honest game. You can't spend double what you had been allotted for, because you have to get that from the people.

18. 11:36Analogy

    You had to tax the citizens and say, this is a good idea. You had to convince them that we need to save for a minute and sacrifice... And you didn't fight for ten years. You fought for a day, you met at noon, at the battleground, and your two best soldiers fought it out.

19. 12:46Claim

    Nothing has to back something that itself has utility. Because if something has utility, then it has value. And the value is determined by the demand for that usefulness.

20. 13:17Claim

    The government has violence on its side. That is what is backing it... They have guns and tanks and bombs. And if you disagree, they will put you in a concrete box if you are lucky. If not, they just kill you and they take all of your value... It's not going to default, because who is going to come and collect the money from them?

21. 13:17Quote

    They have guns and tanks and bombs. And if you disagree, they will put you in a concrete box if you are lucky.

22. 14:21Claim

    The threat of violence is only useful in the fiat system. And it throws a really big wrench into the plans of governments... if you introduce alongside of that system a system that is impervious to violence. We have talked about how Bitcoin makes offense extremely expensive and defense extremely cheap.

23. 14:54Claim

    The government uses taxes right now as a use case to destroy money and to encourage actors to go along with their vision of society. That is the sole purpose of taxes in the fiat world. If they needed that money to operate, which they do, they could just print it themselves.

24. 14:54Quote

    That is the sole purpose of taxes in the fiat world.

25. 15:28Open question

    Now that you see this, if the money is the power, then why do governments have it? Well, that is a good question and it's probably one for another podcast.

26. 15:28Idea

    If you don't have a value for value society, you have one where power and relationships are everything. So why expend energy to unlock more energy if you can just create a call on somebody else's energy, on someone else's work?

27. 16:33Claim

    Industries will be created to access the energy calls, aka the money printing. Lobbyists exist because there is energy to be controlled inside Washington, D.C. If governments couldn't control money and there weren't big spenders, why would lobbyists exist?

28. 16:33Quote

    Industries will be created to access the energy calls, aka the money printing.

29. 17:06Claim

    Half of every dollar of GDP is government spending. So they are the capital allocators at the moment... You're taking other people's energy and you're dishing it out. In a wasteful manner.

30. 17:39Prediction

    So let's look at the two paths forward, right? For the government, there's [fiat]. Governments being cryptocurrencies, the world is going digital. CBDCs are next. The hardest part for governments is what to do with all the commercial banks.

31. 18:10Prediction

    They're going to tax on-ramps. The on-ramps are going to shift... They will say you have to divulge your holdings and they'll say you need to exchange those holdings for whatever CBDC flavor of country that you live in or else you're going to be jailed. They'll say it's for your own protection and for national security.

32. 18:41Claim

    The beauty of Bitcoin is that it allows them to have their system. It just creates an opt-in system without rulers alongside of it. So right now you don't opt into fiat. You are in fiat. You have to opt out. And before Bitcoin there was no system to opt out into.

33. 18:41Quote

    The beauty of Bitcoin is that it allows them to have their system. It just creates an opt-in system without rulers alongside of it.

34. 19:12Quote

    All Bitcoin has to do is not die.

35. 19:12Prediction

    There is no path out of the current situation for governments around the world. Government will get bigger. That is what governments do. They will spend more. They will create more calls on energy because they will have to.

36. 19:44Reference

    A beautiful illustration of just how much more governments will have to print was made by Greg Foss. He is a Canadian. He talks about Bitcoin all the time. Real big credit guy.

37. 20:15Claim

    Total debt to GDP in the world... is about 400%. So debt to GDP is 4 to 1. Now let's assume that interest rates on that debt is a modest 3%... That means just to keep pace with debt repayments, the global economy will need to increase by 12% every year. And that assumes that the governments stop going into more debt.

38. 20:49Prediction

    So what are the chances that governments are going to stop going into debt? Well, if we go off the last 10 years or off the last 50 years, it's not a very high chance. There's been no indication that that will be happening anytime soon in the future.

39. 20:49Claim

    There's a limit to how much they can tax. There's not a limit to how much they can inflate before the trust is eroded.

40. 21:19Claim

    Holders of Bitcoin get to not only remove themselves from the inflation of the energy calls. They don't only get to remove the bad stuff, but they get to reap the positive rewards of technology deflation.

41. 21:55Prediction

    How long before people struggling start looking for alternatives?... As the curtain gets pulled back, how long are people going to allow their neighbors to experience the joys of technology deflation and opting out of inflation on their energy calls? Not very long is my guess.

42. 22:27Analogy

    It's one thing to ignore the lifeboat when the ship is only a few feet underwater. It's a whole other situation to ignore the lifeboat when that boat, when the lifeboat is a mega yacht, with everyone reaping the benefits of every possible pleasure while the boat is underwater and dragging people down with it in all directions.

43. 23:08Prediction

    The next 10 years in Bitcoin will be the craziest. It is now large enough to make a difference and has proven itself a lifeboat, but it's still under the radar.

44. 23:39Prediction

    In the future, money will leave politics. Governments will provide services that people actually want at a price that makes sense because they will be forced to. This means smaller government, both in size and jurisdiction.

45. 24:09Prediction

    Citadels will form. First movers will see huge benefits, the likes of which will never be repeatable, at least in our lifetimes. There will be no opportunity where the asymmetry is as great as there is right now in Bitcoin.

46. 24:09Quote

    There will be no opportunity where the asymmetry is as great as there is right now in Bitcoin.

47. 24:40Prediction

    Your pay will go down and it will take a while for you to adjust to that. In fact, you'll probably never make more in a year than you made this year if you're on a Bitcoin standard. More energy will be unlocked. Each year, you will pay less for everything around you.

48. 24:40Idea

    More energy will be unlocked. Each year, you will pay less for everything around you... the less you pay, the better you know society is doing. If you'll know society is doing poorly, things become more expensive.

49. 25:12Prediction

    A tax on Bitcoin is going to come. The faster, the better. The network is now big enough to handle them. This isn't like when Satoshi got nervous about being too early to accept WikiLeaks donations. It was too fragile, it wasn't large enough, it couldn't fend off government attacks. Now there is enough hash power out there to deal with those attacks.

50. 25:12Reference

    This isn't like when Satoshi got nervous about being too early to accept WikiLeaks donations. It was too fragile, it wasn't large enough, it couldn't fend off government attacks.

51. 25:42Claim

    There's no doubt that there will be jurisdictional winners and losers... storing energy in Bitcoin means you will never have to worry about capital controls... it comes down to physical mobility now.

52. 26:14Quote

    Bitcoin is a bargain. These price levels mean nothing. It either works or it doesn't.

53. 26:14Analogy

    As for governments, they are just like batteries. If you run them into the ground and leave them void of charge, for so long they will be unrepairable. You won't be able to repair them. You won't be able to recharge them. You'll have to get rid of the entire system. Scrap it.

54. 26:44Prediction

    Bitcoin will become a passport. Prove you've got keys and jurisdictions will welcome you with open arms. Or you can prove right there how much energy you have access to. How valuable you are. Future Bitcoiners will reward you for the services that you have provided early on in the development.

55. 27:23Claim

    Governments will have to provide services. They will no longer be able to steal from you. That alone should make you rethink. If you've got a 10% allocation, you just rethink, is that as much as I want to keep? Because that's the real question here. You know that the value of the dollar that you hold is going to get less and less.

56. 27:23Quote

    You know that the value of the dollar that you hold is going to get less and less.

57. 27:54Quote

    That is guaranteed. Bitcoin may go up, may go down, may go all around. But it's not guaranteed to lose money. It's not guaranteed to lose energy.

58. 27:54Claim

    Bitcoin may go up, may go down, may go all around. But it's not guaranteed to lose money. It's not guaranteed to lose energy.

59. 28:29Claim

    Everyone can appreciate and gain the benefit of the same incremental increases in energy around the world. It doesn't matter how much you have in, the proportion of the change, you can benefit from the same... the change, the proportion of that change, everyone is able to benefit from it.

60. 29:02Prediction

    They have to, there's no way around it. And Bitcoin will be the winner.