Letter To Children Energy And Bitcoin

Dear Jen and Matt,

As we reflect on Independence Day this year I was inspired to write this letter. If you’re going to put your life savings into something that will hold its value — energy — across time and space it helps to understand your choices.

You can think of each hour of your labor — your energy — as having been traded for U.S. dollars when you work. So you’re storing your labor in U.S. dollars. All else being equal, if I work an hour and I’m able to save the money I was paid for that hour, I want that money to keep its value over time for later spending.

CEO of New York Digital Investment Group, Ross Stevens, calls the money you trade for the work you do as your “life force.” I want to save my life force or my parent’s life force for spending or investing in those things I value most. If I wait a year or two or ten to spend it, I want it to hold value throughout that time period.

U.S. dollars do that very poorly.

Our labor can also be viewed as a form of energy that we most often store in the form of money. Anything that stores and preserves that energy is preferable to anything that leaks or dissipates energy. Something that holds 99% of its value over time is better than something that loses its value by 5-10% every year.

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