Black Genius University

  Why Bitcoin Cannot Function as a Global Financial Architecture Author:  Kinyo Laditan Affiliation:  Independent Researcher, Diner Napkin Research Date:  December 2025 Abstract This paper presents a theoretical analysis arguing that Bitcoin, and by extension all decentralized proof-of-work cryptosystems, cannot function as a globally dominant financial system. The argument rests on a refined understanding of encryption as a  natural entropic phenomenon  rather than a purely engineered advantage. Because the computational and energetic cost of maintaining encryption is tied to increasing entropy, decentralized systems experience an unbounded escalation of security costs. Centralized monetary systems, which incur minimal redundancy costs, will therefore always outcompete decentralized cryptosystems in the large-scale economic domain. The paper concludes that blockchain technology’s viable long-term role is not as a planetary monetary base but as an internal ...