Bitcoin Meets Peak Oil - The Two Megatrends Changing The World

Several years ago I clicked on the link posted in Businessweek magazine and my world was rocked! The link led to the website dieoff.org. It contained a masterful synthesis of multidisciplinary information from fundamental physics to cutting edge economics. Its creator, Jay Hanson (not to be confused with NASA's Jay Hansen) applied his astonishing ability in 'systems analysis' to reach a frightening conclusion: OUR WAY OF LIFE IS NOT SUSTAINABLE. This was in the late 90s. In his analysis, he accurately predicted the key geopolitical/economic events unfolding before our eyes today. Since then, his key premises have been adopted and further developed for "public consumption" most notably by Chris Martenson's Crash Course. If you are not familiar with the two websites, I strongly recommend investing some serious effort into distilling the information they offer, which can succinctly be summarized as:
1. Oil is the primary driver of "our way of life".
2. It is running out!
3. Current global systems (i.e population, economy) are therefore not sustainable.
4. No other energy source available can offset oil's loss (key concept is net energy=energy returned on energy invested).
5. Therefore, as a matter of 'physics' we are facing - "the next 20 years will be nothing like the previous 20 years" Chris Martenson or, to quote The Grand Master of the subject, Jay Hanson - COLLAPSE (economic>political>social...)!

What are our options? Many ideas are incubating in our collective brain - the world wide web, and in the councils of governments around the world. The overall conclusions so far are a dystopian interpretation of Obama's "Change and Hope" slogan.

From the 'systems' point of view, an inescapable conclusion is: We must increase the 'efficiency' of the key systems enabling "civilization".

Enter BITCOIN...

As stated in the previous post, ""the economic function of "money" is to facilitate 'efficient' trade. Period!"" Accordingly, if you understand bitcoin fundamentals, it follows that our 'systems' will gain efficiency from replacing conventional banking "middle men" with BITCOIN. Global trade will be more efficient and therefore respond to the peak oil challenges faster and better.

CONCLUSION:

1. Bitcoin is a partial mitigation strategy for Peak Oil.
2. The global neural network (WWW) may have already recognized this as a KEY FUNDAMENTAL DRIVER OF BITCOIN ECONOMY although the current post may be the first raising this critical issue!

Here, I have proposed a hypothesis regarding Bitcoin's impact on Peak Oil mitigation. This was a "rapid-fire" write-up and I recognize that it could be more elaborative. I will let the web sort it out. The key concept is clear. This subject is highly complex and we need some serious neural bandwith commitment for further analysis. Blog-tweet-email it out! I am on Twitter @dmedan08.

The future is NOW!

A Paradigm Shift

Bitcoin appears to be a paradigm shift  in the way we conduct financial transactions. The economic purpose of "money" is to facilitate 'efficient' trade. Period! In that regard, the bitcoin system has no equal. It has a potential to render obsolete a large portion of financial industry (the current middle men) which in US is currently at more than 20% of GDP! Applied globally, the economic efficiency gains are astronomical and that is just scratching the surface. One only needs to look at recent "bitcoin" google trends chart to realize that "the global village" is recognizing the opportunity. The FUNDAMENTALS and PSYCHOLOGY, the two pillars guiding investment decisions are as sound as it gets. Accordingly, 


1. LEARN MORE


2. GET IN NOW

Here, we will provide an ongoing analysis of FUNDAMENTALS and PSYCHOLOGY of the bitcoin economy. In the next post, a deeper look at the FUNDAMENTALS...stay tuned. Twitter @bitcoindude