Comte de Sats Germain on Nostr: Soon, the present value calculation, which is the foundation of the field of finance, ...

Soon, the present value calculation, which is the foundation of the field of finance, will be turned on its head. Instead of discounting future inflation, it will have to discount future deflation.

When all of the value is stored in the money, everything else loses value over time - the amortization schedule moves from accounting to finance. Amortization won't just be a lie to get out of taxes - it will be useful to people who need true information.

What dividend beats the rate of deflation?
Doesn't F'n matter, that's what.

What cash flow beats amortization?
That's what will matter. It will be less every period.

How do you value equities in a deflationary environment?
My answer could get me a PhD. If that wasn't a waste of time...
Cuz time is only thing that grows in value faster than #Bitcoin

And that will still be true after its fully bootstrapped in 120 years, when its fully monetized, when the singularity is taught in social studies classes, when #Cypherpunks rule the Citadels and the Seasteads and Space and the center of hash is moving closer to the center of the solar system.

And I have to cut this off cuz I gotta go poo...