Dirac Delta on Nostr: I find the more intuitive way to think about this question is in terms of GDP rather ...
I find the more intuitive way to think about this question is in terms of GDP rather than total market cap. Total market cap actually is meaningless because it shifts based on velocity and amount that the world moves in or out of money.
So with GDP, you say $100 trillion/yr today, mapped to how many bitcoin flowing through the global economy? If it is 1 million bitcoin GDP, that gets you to $100m/coin.
Then you can ask, what would make the bitcoin GDP supply expand or contract? Let's do a hypothetical: someone generates a new sort of nuclear reactor and there is widespread confidence that Earth will see a 10x in growth in a decade, maybe that year you see 3 million bitcoin. Usually it will be pretty stable.
Why else would you think this way? It is far more intuitive to someone who has not taken the orangepill and it makes it intuitive why you actually have infinite EFFECTIVE elasticity because your EFFECTIVE monetary supply is that 1 million bitcoin/yr. The ultimate weapon to destroy Keynesian nonsense. This also wholly debunks the deranged view that you "need" monetary credit for an economy to function.
So with GDP, you say $100 trillion/yr today, mapped to how many bitcoin flowing through the global economy? If it is 1 million bitcoin GDP, that gets you to $100m/coin.
Then you can ask, what would make the bitcoin GDP supply expand or contract? Let's do a hypothetical: someone generates a new sort of nuclear reactor and there is widespread confidence that Earth will see a 10x in growth in a decade, maybe that year you see 3 million bitcoin. Usually it will be pretty stable.
Why else would you think this way? It is far more intuitive to someone who has not taken the orangepill and it makes it intuitive why you actually have infinite EFFECTIVE elasticity because your EFFECTIVE monetary supply is that 1 million bitcoin/yr. The ultimate weapon to destroy Keynesian nonsense. This also wholly debunks the deranged view that you "need" monetary credit for an economy to function.