Elon Musk's warning: When shells turn into banknotes, the banknotes will eventually become watts.

In an in-depth interview at Tesla’s Gigafactory in Texas, Elon Musk threw out a shocking analogy that sent shockwaves through the tech world. He said, the money you’re desperately saving now is essentially like primitive humans hoarding shells — it may seem like wealth, but in reality, it’s an outdated medium of exchange. When AI and robotics technology mature, this revolution in defining wealth will truly arrive. At that point, the unit of measure for real wealth will no longer be the traditional “Yuan” or dollar, but “Watt.”

This is not Musk’s impulsive remark, but a well-considered reflection based on the trend of technological development. At Tesla’s shareholder meetings and on his social platforms, he has repeatedly emphasized this point. What is the underlying logic? Why will energy become the true core of wealth in the future?

From Shells to Currency, to Energy: The Evolution of Wealth Units

The units of wealth in human society have actually undergone a long evolutionary process. In ancient times, shells, due to their rarity and divisibility, served as important trading tools and symbolized wealth. Later, gold replaced shells because of its more stable physical properties. In modern times, banknotes backed by government credit became the circulating “representatives of wealth.”

Musk wants to say that the next era’s transformation is not far off. When robots mine, build, and manufacture 24/7, and AI systems operate around the clock, the cost of traditional labor will approach zero. By then, the prices of goods will increasingly approach raw material and energy costs — because labor will no longer be the determining factor. In such an era, the paper money we desperately hoard now, like shells, may ultimately become worthless.

Why Labor Costs Will Approach Zero in the Robot Era

This judgment sounds terrifying, but the logic is clear. Once robot technology matures to the point of 24-hour operation, human labor will lose its scarcity. From construction and manufacturing to pharmaceutical production, all fields can be covered by robots, meaning that the main cost for companies will no longer be wages but the energy needed to run the machines.

In this context, a country’s or company’s competitiveness will directly depend on how much energy it can mobilize. Places with abundant energy can keep robots running 24/7, achieving maximum productivity; places with less energy face greater constraints. That’s why Musk says that in the future, true wealth will no longer be measured in monetary figures, but in tangible energy reserves and the ability to mobilize them.

Energy Is True Wealth: Musk’s Corporate Layout as Evidence

Musk is not just talking theory. His corporate strategy has long been deeply focused on energy. Tesla’s energy storage business, for example, is centered on storing excess electricity to meet future energy demand fluctuations. He also plans to launch solar satellites into space and even build factories on the Moon — these seemingly distant plans all point to the same goal: gaining more and more stable energy supplies.

A more direct example comes from his experience building massive data centers. When faced with power shortages, he had to use gas turbines to supplement electricity and deploy huge battery packs to stabilize power. This real-world challenge itself proves that electricity has become a critical bottleneck for high-tech development. Data centers, AI training, robot control systems — these future core infrastructures are all energy-intensive. The amount of energy available directly determines how much computing power you can support, how many machines you can drive, and how many AI systems you can run.

Watt vs. Paper Money: Physical Laws Outperform Policy Printing

Musk emphasizes the deep meaning of the unit “Watt.” Watt is a physical unit of power, representing actual energy supply capacity. This differs fundamentally from paper money, which can be printed infinitely by governments, risking inflation and devaluation. Energy, on the other hand, follows physical laws — it cannot be created out of thin air. Producing energy requires real costs, real resources, and real technology.

Using energy instead of currency to measure wealth essentially replaces policy regulation with physical laws. Those who can build the most efficient energy production and storage systems under the constraints of physical laws will hold true wealth. That’s why Musk says the future unit of wealth is “Watt” — because it represents a verifiable, tamper-proof, objectively governed real asset.

Rethinking Wealth: From Hoarding Shells to Strategically Deploying Energy

Musk’s words are indeed disruptive to many people’s perceptions. Some believe he makes sense, others think it’s too radical, but these views are not baseless; they are rooted in the real trends of AI and energy development.

His core advice is simple: instead of obsessing over saving money (like hoarding shells), start thinking about how to gain an advantage in the future energy system. This could mean focusing on renewable energy development, supporting nuclear and other new energy technologies, investing in energy storage, or simply understanding the strategic importance of energy. Ultimately, this is not about discouraging everyone from working or saving, but about shifting our mindset — recognizing that the true foundation of wealth is undergoing a transformation.

Shells once symbolized wealth but eventually became worthless. Paper money carries today’s value but may face the same fate in the future. This moment of transition is the best opportunity to re-examine the essence of wealth.