Technology is deflationary, which makes crypto our best shot at abundance

The second this article gets published on-chain, an infinite number of people can access it. In the first 24 hrs, at least 10 views would have been reached through the multiple frontend.

These views will be from people I've never met in real life, and likely never will, but what did it cost me to push my thoughts across the globe to them?

Less than $0.20(virtually $0) and it can reach tens of thousands and the cost would not have exceeded $2. What would it have cost me 50-60 years ago?

It would be surprising to most that it cost as much as $3.75 per word and if I accounted for how many people I'll want to see this too, then the cost would be significantly higher.

For just 10 people, I could spend as much as $20,000(inflation adjusted value).

Yes, it almost sounds untrue. But it doesn't need to sound believable, it's the truth regardless. Flights that previously cost as much as $7,000, 50+ years ago precisely, today go for about $800, that means cost has fallen by as much -88.5%, thanks partly(significantly) to technological advancements.

Of course if we look at the many other areas where technology advancements have improved, we'd find that cost has generally fallen a lot more.

This is evident in the earlier focus area of transfer of information through the internet. With blockchain now in the mix, not only are we scaling down the cost of information flow, but the storage of said information over long periods.

All of this proves that technology is generally deflationary, meaning that it tends to reduce prices over time or increase productivity at lower costs.

That said, despite these realities, it would seem to most people that surviving the world feels more expensive. The truth is, life is in fact more expensive because although technology has scaled down costs of a lot of things, there's a lot more that makes up our economies, which directly influences how much flexibility and equity we enjoy.

The biggest problem with the world is our monetary system, it's a legal rugpull and this is why crypto is very crucial.

Abundance begins with crypto

If technology is deflationary and cryptocurrencies are powered by technology, what would it mean if the world adopts crypto?

The short answer is that we can have a shot at solving the flaws in our economies buried in monetary policies set up to destroy the average person.

Technology is always going to bring about a collapse in costs, we will see this happen greatly in manufacturing sectors, cheap labor will be replaced by robots and AI will aid in automation of several processes but none of these will matter if we don't revamp our monetary system.

Think about the first mentioned scenario again. Initially I said that it costs less than $0.20 to publish this. But the truth is that the marginal cost is $0 because what I accounted for generally has nothing to do with the transfer of the data itself.

Yet at the end of the day, we have so much broader inflation that we can't appreciate how technology has essentially brought the cost of global communications to $0.

This proves that the government and its monetary policy is the problem.

Crypto, as a tech innovation, is how we can tackle the flaws of the current system and bring our monetary system to alignment with the cost trend of other systems powered by technology.

A lot of people don't understand what power really comes with crypto and blockchain. This is going to change over the next couple of decades. When people begin to understand that they can permissionlessly, as individuals, set up parallel financial systems and hedge against the flaws of fiat monetary policies, most global economic activities will move on-chain and governance structures will never remain the same.

Posted Using INLEO