The Entropy Standard: Theoretical Foundations of a Monetary System Based on Fundamental Physical Limits
Abstract
This paper proposes a conceptually new model for the global financial system - the "Entropy Standard". Unlike modern fiduciary systems based on credit expansion and debt , the Entropy Standard anchors the issuance and value of monetary units to fundamental physical constants and the laws of thermodynamics. The core of the model is a dual-circuit architecture: static reference backing and dynamic settlement instruments. The mathematical framework of the paper justifies the calculation of monetary parameters through an integral technological convergence coefficient and a general economic efficiency coefficient, based on the Landauer, Bekenstein, and Margolus-Levitin limits. The author introduces a methodology for verifying national technological indicators through an audit of systemically important computing and energy nodes (with a capacity of 1 MW and above), as well as a modified Taylor rule for determining the physical equilibrium real interest rate. The work substantiates the creation of a self-regulating international hierarchy where the leader economy acts as a metrological standard, incentivizing global scientific and technological progress while providing inherent protection against inflation.
Fields of Study & Subjects
Economic theories and models
Monetary Policy and Economic Impact
Economic Theory and Institutions
Publication details
- Journal / source
- Zenodo (CERN European Organization for Nuclear Research)
- Publication date
- 28 January 2026
- Language
- RU
- Document type
- Preprint