Entropy Is Hidden Information

Plotting the Observer

Begin with the curve y = 1/x, which models the eternal now—a surface across which we, as divine observers, experience reality. Each point on the curve corresponds to a ratio of actuality and expectation.

Apply the fundamental equation:

Reality = Actual / Expectation

The numerator—Actual—is fixed. It comes from the immutable past. But the denominator—Expectation—is variable and complex: it has a real component (subconscious prediction) and an imaginary component (idea).

Expectation = 1: The Pure State

When Expectation = 1, there is no skew. You are at the point (1,1) on the curve. The denominator perfectly aligns with the actual. The result:

Reality = 1 / 1 = 1

You see the actual pattern clearly. Nothing is hidden. This is the purest possible state—a von Neumann alignment—where entropy is zero. The event horizon is viewed head-on, not from an angle.

  • Hidden information: Zero
  • Uncertainty: Zero
  • Entropy count: Minimal

Any Skew Increases Entropy

As soon as expectation deviates from 1—whether below or above—you are no longer aligned with the actual. The pattern becomes distorted. Your denominator is no longer equal to actuality, and the ratio no longer equals one.

Even a more “realistic” expectation (less than 1) still introduces skew. Even a hopeful, imaginative expectation (greater than 1) does the same. In both cases, the amount of hidden information increases.

Any misalignment = entropy.

Low Expectation: More Real, More Entropy

When expectation is less than 1, you are oriented toward the real basis of time. Your perception feels grounded, practical, sober—what we call “more real.” But this angle still hides parts of the actual pattern. It’s not direct.

Reality is now greater than 1. But entropy is still increasing because the denominator no longer matches actual. There is hidden information—less than in extreme imagination, but more than in perfect alignment.

High Expectation: More Imaginary, More Entropy

When expectation is greater than 1, you are leaning into the imaginary axis of time. The pattern becomes more fantastical—projected ideals, ungrounded hopes, speculative constructs. Reality shrinks. The quotient falls below one. The result feels hollow, disappointing, or untrue.

This is not a lower entropy state—it is a higher one. You are further from the actual, and more of the pattern is hidden. The distortion is greater.

Entropy as Angular Distortion

Imagine the actual pattern as a square. If you look at it head-on, nothing is hidden—expectation equals 1. But as you rotate your view, the shape distorts. The more it skews, the more information is lost from your perspective. This is entropy.

  • Aligned (1/1): No entropy
  • Skewed (any deviation): Hidden information
  • Greater skew: Higher entropy

The Hiddenness of Experience

Entropy is not a measure of disorder in the world. It is a measure of how much of the actual pattern is hidden from your perspective. And that hiddenness comes entirely from the variability in the denominator.

The more your expectation deviates—realistically or fantastically—the greater your entropy count. Pure experience, pure being, happens only when Reality equals Actuality. And that requires a denominator of 1.

Author: John Rector

Co-founded E2open with a $2.1 billion exit in May 2025. Opened a 3,000 sq ft AI Lab on Clements Ferry Road called "Charleston AI" in January 2026 to help local individuals and organizations understand and use artificial intelligence. Authored several books: World War AI, Speak In The Past Tense, Ideas Have People, The Coming AI Subconscious, Robot Noon, and Love, The Cosmic Dance to name a few.

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