Tesla released its Master Plan 4.
Many people follow the Master Plans to see what direction Elon Musk is thinking with that company. This version was a bit light on the details, something that came as a disappointment to some.
Whatever the intention, we have to remember this is simply one company. There are a host of AI, robotics, technology and crypto companies working on creating automation, pulling us into the age of abundance.
A few believe we will reach a state of super abundance.
The idea behind this is the fact that AI along with robotics moves our economic output to levels which provides most of the basic needs for a fraction of the present cost. Technology is deflationary, something that is often overlooked when dealing with this topic.
One shift is that value is moving from labor to capital. That will create a host of issues for society. It also presents enormous opportunity.
In this article we will look at what the era of super abundance might look like and crypto's role in it.
The Era of Super Abundance And Crypto's Role
My prediction is that we will see the crypto market top $1 quadrillion. This actually might be underestimated.
The reason behind this is two-fold.
First, we have the tokenization of everything. There is now the ability to capture value at any layer of the economic model. One area that has not really been explored is that which is generated from fandom or the social layer. Imagine the trillions of dollars that takes place as a result of this.
Our second factor is automation. Economic productivity is set to skyrocket. If we simply consider life with 1 billion humanoid robots, something that will likely be produced over the next decade, we could see how things can grow. In the workforce, this is, at a minimum, equal to 2.5 billion people since 20 hour days are not unrealistic.
The multiple jumps higher when we consider the ability to seamlessly transfer skills among the entire labor force.
Crypto is the capture mechanism. Tokenization will place value in people's wallet, something that can further be enhanced through financial innovation that is available to all.
Ethereum The Driver?
A lot of discussion is now around Ethereum.
Bitcoin is still the king of crypto, a title that could be usurped in coming year. Ethereum bulls believe the tokenization process is going to happen, to a large degree, on that network. Some are estimating that at least 50% of all assets will be on Ethereum.
This is the basis for an entirely new economy. If blockchain becomes a centerpiece, what is the capability for global productivity.
We have to remember, the digital world is bridged to the physical through robotics. The bottleneck enters in the fact that atoms are harder to produce then bits. It takes time to manufacture physical items.
That said, as this industry expands, the digital realm will be far outpacing it. That means each advancement is exponentially driven due to the fact the digital generations are much shorter.
Once again, this is only one network in a world where networks will be abundant.
We Already See It (Although Most Do Not Realize It)
Understanding this principle is not difficult if one realizes it is underway.
We have many areas of life which there is already super abundance. These were fields where scarcity once was prevalent.
Some of them are:
- music
- video
- communications
- information
- photographs/images
- shopping
All of these were restricted to a certain degree only a few decades ago. For most of this list, the shift to digitization radically altered the output. When we transitioned from analog to digital, things accelerated.
Does anyone believe this is going to stop? How many other industries are moving in this direction?
For example, what will transportation look like in 20 years? If autonomous vehicles are the future, rides will become abundant?
Consider the idea of trucking. What happens if we have automated production, throughout the entire supply chain, with robo-trucking? Goods can be produced with minimal human interaction and delivered autonomous to wherever it is desired.
All of this, naturally, brings up the question of who owns the means of production? Since we are looking at capital, we have to make sure as many are involved as possible. This is where crypto enters. By building value via the holding of base layer tokens (or layer 2) that have solid upward trends, wallet balances grow. This allows more people to partake in the financial aspect of the economy, distributing the means of production.
Big tech and well funded start ups are on the path of working towards super abundant means of production. Crypto is seeing the rails of a new financial system, albeit with Wall Street inserting themselves as gatekeepers, which can fund these propositions. Economic value is going to explode.
The world is no longer going to talk in billions or trillions. Instead, quadrillions will be the common global denomination. Trillion dollar entities will number into the thousands.
Crypto is what allows for the masses to capture that. This is why the early days of "bag filling" are crucial.