We are taking a look at what the world will look like post-AGI (and possibly ASI). The first article talked about AI, jobs and he need for crypto.

At the center of this discussion is the ownership of the means of production. Here we find ourselves debating private versus government. The free market people lean towards private which, in my view, is putting most of the wealth in the hands of Big Tech. Many feel the counter to that is to insert the government to handle the problem.

What we are potentially dealing with is the fact that the value of labor will be diminished. As skills are automated, the power shift move from labor to capital. Why employ a person when a humanoid robot will be faster, cheaper, and more effective? The same is true for the white collar world as AI starts to spread its wings.

It is a completely new structure to the economy. If capital is the driving force, then the goal is for each person to amass capital.

In this article we will dive into what this all means and what could be required.

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Web 3.0 Post AGI: Get Each Person $500K

Let us get the math out the way first.

The goal of Web 3.0 should be for each person to have $500K in assets. To achieve this, we needs to radically change our thinking.

It starts with the old income versus assets mindset. Much of the world is focused upon income. How much does one make? This is not how the wealthy operate. Income means nothing; it is net worth. The value of assets held is key.

Will people make this transition? That is up to individuals but it is something within their control, especially with tokenization.

Diving into the numbers, the planet has roughly 9 billion people on it. To average $500K per individual, that is a total of $4.5 quadrillion. Unfortunately, average does not work since we need it to be the median. Some are going to exceed that amount by a significant margin.

As an aside, cost of living and geographic location are going to figure into this. However, we are establishing a framework to operate from.

Any number in the quadrillions baffles us. To write it out, this is what $4.5 quadrillion looks like: $4,500,000,000,000,000. That is a lot of zeros.

Tokenization is going to be a huge part of this. The market cap of crypto is around $3.5 trillion. However, we know the future is going to include real world assets. That is going to go have the total jump significantly.

Also, as repeatedly stated, AI is going to increase the amount of economic output greatly.

AI = Economic Singularity?

Much of my focus is around who owns the means of production. This is radically different than how to increase it.

To me, this is a given. It is not difficult to envision how things shift when there are 500M-1B humanoid robots manufactured annually. Compounding that with advancements in AI and we see how the ability to handle tasks can grow exponentially.

The economic singularity is something we covered in the past. I define this as basically a 10x over the historic growth rate of the past century, somewhere around 30% annual growth. GDP is a tricky figure since technology is ultimately deflationary. However, it does provide a basis to operate from.

Here is where we get into the world of big numbers. Keep in mind, there was a time when thinking in trillions was difficult for many.

If we take the $100 trillion economy, a 30% annual growth rate over 10 years equates to $1.37 quadrillion. What kind of wealth does that provide for the world?

Could this happen? If the last economic singularity holds, then yes. The Industrial Revoluation took a growth rate of roughly .3% and did a 10x, to 3%. This led to the increase in the standard of living. Much of the planet has access to things Cornelius Vanderbilt, one of the richest men in history, never could utilize.

While GDP is already an obsolete statistic, we can see how bigger numbers are in the future. Simply understanding the concept of the "AI factory", the subject of a future article, shows how things will expand.

Democratize AI

Understanding the potential explosion in economic output due to AI and robotics is only one piece of the puzzle. Many see this yet sit back and watch Big Tech insert itself directly at the epicenter. If one owns stock in some of the companies that will dominate, that is of help, at least at an individual level.

However, this is not going to help the vast majority of the population.

For this, we need to democratize AI. This means having the means of production owned in a different manner. I describe it as communial ownership. In other worlds, token owners have stake in the networks where these systems are emerging.

Of course, to achieve this, AI has to be built on top of decentralized networks. X, Amazon, Saleforce, and Microsoft implementing them isn't going to help the majority of the world.

Tokenization is one approach that will achieve that end.

One vital criteria to envisioning this is the fact it will go in thousands of directions. When AI agents reach the billions, with many of them decentralized, the opportunities for people will be enormous. To move in that direction, like everything in the digital world, it boils down to data.

The next article will discuss the AI factory and how that will aid greatly in this endeavor.