- The money is equal to about a 1:1 ratio of world GDP.
- The money is equal to about a 1:1 ratio of world GDP.
- Since the economy is essentially a machine that consumes energy to create goods and services, GDP grows with energy consumption.
- People currently use 17.7 TW of power.
- In the hypothetical Kardashev 1 economy, we would use 974,000 TW, which is all the energy falling on the earth.
- This means using 9830 times more energy than today. Multiplying today's world GDP by 9830 will give the upper limit.
- This means a world GDP of $950,000 trillion and a demand of $45 billion per BTC if Bitcoin became the global currency.
- Since world GDP and global energy use increase by approximately 3% per year, we will have used all the Earth's energy in 311 years.
Woo also speculated on the price of Bitcoin for the Kardashev 2 economy, which involves using all the energy available from the Sun. However, the analyst noted that there may be light speed issues with the 10-minute block time, given that we would be a multi-planet civilization in this case.
A Kardashev 1 economy, also known as a Type I civilization on the Kardashev scale, refers to a civilization that can use all the energy available on its planet. This includes the ability to control natural events such as earthquakes and volcanic eruptions.
*This is not investment advice.