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by cocktailpeanuts 3036 days ago
Where do you think "capital" comes from?

Also, I didn't say they ARE the same. It COULD be the same, or maybe PoS could come up with a tradeoff scheme that's just good enough to work but essentially conserves energy much more than PoW. But the thing about energy is when it is destroyed somewhere, it gets created elsewhere. That's how it simply works.

The most important fallacy in economics is that people can only observe what they can observe, not because they're idiots, but because it is spacially or temporally impossible. For example a huge global inflation can happen as a result of a very small stupid decision made by a government, but this may happen 10 years after the original decision.

This is why humans make bad decisions because they make decisions based on what is possible to observe, but historically these ALWAYS came back to haunt them. 100% of the time.

It MAY be the case that "this time it's different", but the more you study economics the more you become really humble. Trust me. Try it. Just need to read a couple of books.
2 comments
goldenkey 3036 days ago
"need to read a couple of books." No. Just no. You are wrong about energy. Power plants do not just burn a steady state amount of fuel. You are also wrong about capital if that is the "energy" you misnamed - capital is created all the time, not debt but actual prosperity through innovation. Please refrain from your "read a book to be like me" humdrum. I am a mathematician - I know enough economics to be quizzically annoyed by the falsities spoken
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cocktailpeanuts 3036 days ago
suit yourself :)
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goldenkey 3036 days ago
The human races net work output might be fixed - but through the spawned creations and mechanics - the work one does and thus the spawn they create, can be vastly consequential. Energy consumption is not fixed. Human work is fixed but when augmented by technokogy it is wildly divergent. There is a difference between using millions of watt hours for mining versus using it to create things that have a far longer shelf life..things like crops or PCs which will continue to provide further value. Bitcoin mining is short sighted.
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aoeusnth1 3035 days ago
The capital comes out of thin air - it's created when ETH goes up in value, or destroyed when ETH goes down in value.

Also, unlike electricity, PoS has no negative externalities. PoW kills people with air pollution.

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