The real danger is the deflationary pressure on weapon systems.
Our civilization runs on layers of capabilities.
Information infrastrucutre, our collective memories, how we store, distribute and retrieve information. Books, Databases, LLMs.
Market infrastructure, how we record and verifiy our promises to one another.
Governments and institutions needs these to function.
Communications, Logistics and Energy networks, make up our industry.
When the coms, logistics and energy have convergent tech disruptions you get an industrial revolution. Colleta Perez is a good ref.
When information and market infra have convergent tech disruptions you get a reformation. We are in both right now. The last reformation happened in 1450 with printing press and double entry accounting.
Basically, there is a synergy between the information infra and market infra. The info spreads the knowledge to help people use the new market infra, this scales our ability to cooperate by driving the cost of organizations down significantly. This is cause Coases law. Firms exists because it lowers the cost of cooperation.
LLMs and crypto mixing this inverts this. The cost becomes cheaper to coordinate outside the firm AND nation state.
This is a natural transition.
Unfortunatley, the last reformation was pretty violent. About 130 years of chaos.
This time, I'm worried that this deflationary pressure is going to hit advanced weapons systems with the gini coefficient really high.
THis is the danger. Cheap powerful weapons.
What do you think.