Had a nice little conversation with a VeniceAI agent this morning and then when we got onto the topic of exponentially improving technology and deflation he spit out this little nugget and kind of broke my brain-

But here's the brake, and it's real-
Deflation equals output growth minus velocity growth. And AI is the single largest velocity event in monetary history.

Machine-to-machine settlement at machine speed means you need far less money sitting around to support a given volume of transactions. If velocity rises as fast as output, the deflation rate collapses toward zero and the holder earns almost nothing — because real money balances equal Y/V, and if both grow together, balances are flat.

Someone smarter than me want to weigh in on this?

Does anyone else see movies now about a grand heist, or some kind of cops and robbers story where people are doing crazy epic things for a suitcase full of Benjamins and think, "what's everyone getting so worked up about, it's just a bunch of government issued paper?" 😅

Anyone else seen this? Its a giant firework made in China- https://youtu.be/PNZOStH80nU?si=-ffmj3i5rT6Euhq6

I was fireworks shopping with my daughter and was like, "whaaat?"

I think everyone is looking a Saylor the wrong way.

Dude is a Bitcoiner- he's trying to get as much Bitcoin as he can. That's what we're all doing. He's just way better at it than the rest of us.

From what I can see he's like, "why aren't more people doing this?" and then like, "well ok, guess I'll just keep getting all the Bitcoin."

You can have opinions about whether Strategy is good for Bitcoin or not, but the truth is, all we need is more people like him- just trying to get as much Bitcoin as they can.

Bitcoin is the world's ledger.

Immutable
Divisible
Portable
Publicly auditable
Perfectly secure
Bounded by energy

Don't settle for anything less.

The conversation about what role Bitcoin has in the current world economy is basically pointless.

Bitcoin doesn't have a role in this system- it is a new system, and it works better on it's own.

Bitcoin bonds, digital credit, pristine collatera, etc. are all descriptions of two conflicting systems being forced to interact.

While this interaction is inevitable as bitcoin matures, I don't see a harmonious union, I see the emergence of incongruous conditions which will need to resolve to one side or the other.

I know which side I'm betting on.

There are two types of bitcoiners- those who think bitcoin will flourish as part of our current system, and those who think it will devour everything in it's path and leave nothing that we now think of as "finance" alive.

Choose your side carefully.