1.1% of the world owns 45.8% of the world's wealth - can crypto change this?

This is a 2022 report by Statista.

People love to talk about this particular data and I can understand why but I have to say that at the end of the day, it's comical.

The world's population should be about 8 billion now given that as at the last census(2021 I think) we were 7.888 billion people.

So 1.1% essentially means 88 million people. I have to admit, at first, I would have said that 1.1% is hyper-centralized but then I ran the numbers and discovered that it's freaking 88 million people, that is a rather large number, but I'm sure that if we look at by countries, we could see some disturbing rates and that's where the major problems comes in.

The world is a cage, now this is something we call governance, and it's there for a good cause, but the question of if it still serves that cause is rather difficult to answer.

People have walked their way up to what is considered wealth, but it will never mean shit in the grand scheme of things because it's not about the money, but the system that controls the money.

Visualize a man throwing so many balls at a kid, the kid here is doing his best to catch as many as he can, but at the end of the day, you'd discover that the balls will become too much to handle so someone else has to step in.

The balls in the context are opportunities, so the kid catching them is effectively taking chances at what he can leverage within the economy.

Now here's something you might not have considered reading that, the first time - there's a “man” - “throwing the balls” - so that means, he's in control of the balls(opportunities).

How the kid leverages it does not really matter because he can always dilute his effort by throwing in more opportunities or cause his ventures to become at risk by seizing to throw in opportunities.

What I've tried to accomplish here is explain the governance system around money. The system that controls it controls how and when you work, how much you can earn and how much you'd be forced to spend.

The fact that you could strategically build your way into greater wealth doesn't mean you won't be subject to the same governance because you still function within the same system!

Unless of course, you become part of the system.

Ecosystem Vs Individuals

We've based our arguments on individual wealth distribution for so long that we've become buried in that delusion, this is why you'd find people yelling “capitalism” is bad here and there.

Screw that, all these people you call rich are rich on paper, the chances of them falling out of wealth is quite higher than your chances of breathing your last breath today.

OK, ok, that was a crazy comparison, I admit.

Moving on.

Let's talk about crypto, well, bitcoin for now, as that pretty much is the only crypto that deserves to exist - said ‘em maximalists.

If you stand in front of me and tell me that 0.5% of bitcoin addresses hold more than 30% of the supply and that it's hyper-centralized I might just sin against you, myself and God.

Do you know how many bitcoin addresses are created and not used at all by the same individuals everyday? Do you realize that even within that 0.5% some individuals could control 3-5 addresses, and you thought you knew the numbers.

This is what the media have been selling. Comparing bitcoin supply to the world's wealth.

First off, bitcoin supply doesn't even mean shit, in the grand scheme of things because this is a proof of work system, the supply does not govern the network.

If you want to talk about market manipulation then you're just proving my point in relation to the real world - capitalism.

Fun Fact: miners can fuck any bitcoin owner over if they wanted to, think about that. Bitcoin mining reflects governance in the real world. The only thing is that it's supposedly decentralized and I use that word “supposedly” because I cannot verify all miners being largely distributed individual entities.

That said, if someone earns the opportunity to own so much bitcoin that he can manipulate the markets for profits, you're really going to blame him like you wouldn't do the same?

This is why I find it funny when people talk about the world's richest people and be like they should be helping people more often, they should be giving away their wealth, bla bla bla.

To me they are just like self-centered friends that cause you to spend and spend, then when you're broke, they vanish and you're stuck alone.

The rich population has done nothing more than take chances(sometimes do very bad things), in a very personal manner, to get to the top, but trust me when I say they are still hyper-vulnerable at the top, just as the poor.

If crypto has a chance to make things better, it has to figure out governance of the system, itself. Now given that most blockchains are choosing proof of stake over proof of work, this governance will be tied to the very tokens of which wealth will be measured.

It's going to be interesting to watch really - if that will happen in the near future - but at the same time, there's no guarantee the current Fiat system will not still have an atom of influence within this economy.

Posted Using InLeo Alpha