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August 20, 2025

Bitcoin and Hyper-Formal Systems: Ordinal Logic and Oracle Machines

The uniqueness of Bitcoin lies in the fact that it cannot be fully encompassed by Turing machine formal theory.

Traditional computer science distinguishes:

  • Deterministic Turing Machine (DTM): corresponds to computable deterministic processes;
  • Non-deterministic Turing Machine (NTM): allows parallel branching choices.

However, the core of Bitcoin is not merely a combination of the two, but rather the continuity of the blockchain and the irreversibility of time—something beyond the descriptive capacity of any Turing machine.

1. The Boundary of Computable and Non-Computable

Inside Bitcoin:

  • UTXO system and transaction verification → belong to the deterministic Turing machine scope, strictly computable;
  • New block generation → approximates a non-deterministic Turing machine, where nonce searching and distributed competition unfold in parallel.

But ultimately, which block becomes part of the longest chain is not purely a computational choice—it depends on the dissipative structure of physical time.

This irreversible process has already surpassed the computability boundary of formal systems.

2. Difference from Traditional Distributed Systems

In traditional BFT systems: When multiple candidate blocks exist at the same height, consensus must rely on human or external arbitration.

Bitcoin is different: Through Proof of Work (PoW), arbitration is embedded into the irreversible process of physical time, enabling the system to spontaneously generate a unique history.

3. Ordinal Logic and Oracle Machines

The key to Bitcoin is that: Through the “craft” of an ordinal logic system, it introduces intuitive judgment that exceeds formal systems, constructing an oracle machine and its process.

This brings the otherwise uncomputable notion of “completeness” into a computational system. In other words, Bitcoin becomes a hyper-formal system that bridges formal systems with real time.

4. Consistency vs Completeness
  • Consistency → a spatial concept, static, computable logic;
  • Completeness → a temporal concept, dynamic, uncomputable processes.

Gödel’s incompleteness theorem tells us: Within a formal system, at most, consistency can be guaranteed; Completeness must rely on means beyond the formal system.

Bitcoin, through PoW + ordinal logic, injects the uncomputable notion of “completeness” into a formalized computational system, thus becoming, in the truest sense, a hyper-formal system.

Conclusion

Bitcoin is not merely a cryptocurrency, but a new practice of computational philosophy.

Through ordinal logic and the oracle machine mechanism, it transforms the irreversibility of time into systemic completeness, opening a new computational frontier beyond the Turing machine.