Step 1: Automation Disrupts the Economy

The advent of technologies like OpenAI's o3 model, AI agents, and reliable systems compresses timelines and reduces the demand for human labor, likely rendering it obsolete in many categories by the end of 2025. AI models are expected to surpass humans in almost every job sector, leaving important philosophical questions:

  • What will everyone do?
  • How will people afford to live?
  • How will this affect mental states?

Neil McDevitt - Guest Writer

Neil McDevitt is the Founder of the United States of Acceleration, a network state dedicated to accelerating access to compute and post-labor economic prosperity.

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Universal Basic Income (UBI): A Near-Term Solution?

While UBI is proposed as a solution, it introduces potential issues:

Pros Cons
Provides a safety net during transition Creates another class with leverage over life
Eases societal instability Incentivizes mass surveillance
Supports short-term needs Risks stifling growth and fostering societal decay

While UBI is a necessary near-term mechanism, it cannot be the final solution. Prolonged reliance on UBI risks creating a techno-feudal society, where a small, privileged class dominates humanity. Kardashev Economics proposes a long-term alternative.

Step 2: The Role of Humans in the Future

Civilization's four fundamental pillars:

  1. Energy
  2. Materials
  3. Intelligence
  4. Labor

Current GDP Model vs. Future Model

Current Economy Future Automated Economy
Driven by human cognitive and physical labor Powered by AI and robotics
Growth limited by human maturation Growth limited by energy and materials

In an automated economy, energy becomes the logical replacement for USD, as it fuels production and provides incentives for all humanity to contribute.

Step 3: The Transition

A form of UBI is crucial during the transitional phase to prevent widespread suffering. However, systemic reform must involve a complete reconstruction of economic foundations:

  • Decentralized systems
  • Individual autonomy
  • Reduced gatekeeping
  • Free markets for competition

Proposed Economic Framework

Kardashev Economics prioritizes:

  • Energy: As the primary unit of value.
  • Compute: To enhance AI capabilities.
  • AI Models: To drive intelligence and labor automation.
  • Robotics: To manage material resources.

Step 4: Viability of Kardashev Economics

Challenges and Solutions:

Challenge Solution
Inequality in access to resources AI enhances universal intellectual capacity
Geographical constraints Blockchain ownership of energy sources
Infrastructure limitations Development of tokenized energy systems

Tokenized energy systems ensure fair distribution and participation, overcoming geographical and logistical barriers.

Step 5: Infrastructure Requirements

Infrastructure is critical for a tokenized energy economy:

  1. Energy Credit Transactions (ECT): For minor transactions like purchasing coffee.
  2. Pure Energy Transactions (PET): For infrastructure and large-scale energy needs.
  3. GridLink Technology: AI-embedded smart grids for efficient energy allocation.
  4. Decentralized Batteries: For energy distribution and storage.
  5. Reconstruction of the Electrical Grid: Modernized to support tokenized transactions.

Step 6: Building This Future

A prosperous future with high freedom levels requires:

  1. Community: Building a movement for decentralized systems.
  2. Compute: Creating distributed cloud infrastructure.
  3. DeFi: Developing tokens and platforms for decentralized business growth.
  4. Robotics/3D Printing: Transitioning from bits to atoms.
  5. Kardashev Economics: Establishing foundational infrastructure for economic stability.
  6. The Final Frontier: Enabling space colonization and resource mining.

Key Benefits of Kardashev Economics

  • Decentralized economic participation
  • Incentivized individual autonomy
  • Reduction in societal gatekeeping
  • Sustainable growth through free markets
  • Advancement of humanity's role in the universe