Preface: All human action stems from the desire to increase our supply of accessible energy reserves. Humans act to transform energy from inaccessible to accessible. We seek to acquire energy reserves to provide security for an unpredictable future. The more energy reserves we have access, the higher the likelihood we are able to survive periods of stress or hardship.
If our main goal is increasing energy reserves, then this can be the lens through which we view all human action. Knowing the end game provides clarity on the value of every action.
WHERE DOES BITCOIN FIT?
So what role does Bitcoin play in all of this. How can Bitcoin improve professional sports?
Again, another way to frame this question, so maximize our time diving into this topic.
How can Bitcoin help unlock more energy reserves via sports?
There are many ways that Bitcoin impacts the efficacy of sports. The goal of this series is to highlight some of the most important.
Let’s start by looking at one of the more basic concepts and the one I used most often when orange-pilling the Perth Heat baseball team (the world’s first team to fully embrace Bitcoin and operate on a Bitcoin standard).
At the start of this article I laid out how important understanding energy is in order to fully grasp bitcoin, here I hope to expand on that further.
Energy is transformed from inaccessible to accessible through innovation and/or technology. Professional sports highlight the importance of competition to fuel innovation in a very real and tangible way.
Athletes (and teams) are rewarded for their risks (the opportunity cost of the energy spent perfecting a specific skill) based on how well they allocate their energy. In real terms, this means that the more energy a team directs at improving specific aspects of their game, the better the results will be on the field. Each organization has the same number of hours in a day/week/month to prepare for a game. The outcome rests on how well they organize energy allocation to ensure preparedness across the board.
Any energy expenditure which is not directed towards improvement of skills, strategies, tactics, and the like is energy that is less productive than the alternative.
Professional athletes are a unique subset of the population. They are generally required to be young, capable of developing a high level of functional fitness (which requires low time-preference behavior to attune), and if successful will control abnormally large calls on accessible energy (aka wealth) in the future.
By the very nature of their chosen profession, athletes are among the most prepared to understand how Bitcoin operates and why it is important. This is, without a doubt, why we have seen so many athletes announce their interest in Bitcoin by either taking a portion/all of their salary in bitcoin or via select partnerships opportunities with companies in the space.
Bitcoin can improve athletic performance by removing the need for athletes to expend energy outside. Their chosen profession in maintaining their future value. The larger your reserves, the more apparent any leaks become in your value storage.
It is incredibly risky behavior to dedicate the amount of energy necessary to develop the skills required to excel in professional sports. The last thing athletes want to do is be rewarded for their input only to see it drained away via loose monetary policy and inflation.
In the fiat system, it has been mandatory for successful athletes to make their money work for them by developing investment opportunities on the side to avoid becoming another statistic of failed wealth.
You must be logged in to post a comment.