• Unit 2: Energy, Money, and the Evolution of Digital Power

    In this unit, Saylor and Breedlove go deep into the ways energy has been captured, retained, transferred, channeled, and spent – from the prehistoric days of fire, missile, and waterpower to breakfast cereals and ketchup, from the gold standard to various fiat standards and, finally, to the Bitcoin standard. The fiat system encourages the use of leverage to protect one's savings from leaking value. Inflation is like a steady drip of toxic chemicals into the bloodstream of the economy. But Bitcoin is the cleansing antidote to dishonest money, and it aspires to become the treasury reserve asset of the world. It's also a digital organism that adapts in real time to attacks. Beware of the Malthusian fallacy and the narrow limitations of a linear worldview when evaluating problems. Betting against technology and the creative ingenuity of man is generally a poor strategy.

    Saylor and Breedlove will guide students through the mechanics of harnessing, conserving, transferring, directing, and spending energy. From ancient fire to modern-day staples like breakfast cereals and ketchup, you'll explore human energy consumption. Next, you'll cover financial systems, contrasting the gold standard with various fiat standards and the future Bitcoin standard. Prepare to discover leveraging techniques to protect savings from inflation. Bitcoin emerges as a transparent alternative, aiming to become the global treasury reserve asset while adapting to real-time threats. Finally, this unit will also caution against the Malthusian fallacy and encourage a broader perspective on very complex issues. You'll learn that betting against technology and human ingenuity is usually unwise.

    Completing this unit should take you approximately 5 hours.

    • Upon successful completion of this unit, you will be able to:

      • compare and contrast the efficiencies of different energy transfer mechanisms;
      • explain the advantages of Bitcoin over traditional power grids and gold in terms of energy efficiency;
      • evaluate and address concerns about Bitcoin's energy consumption, highlighting its benefits to energy grids;
      • differentiate between linear and non-linear paradigms of scarcity and innovation;
      • explain how Bitcoin facilitates the frictionless transfer of energy and economic value across space, time, and political boundaries; and
      • explain the core proposition of Bitcoin in protecting wealth from inflation and corrupting influences, emphasizing its encrypted energy security.