Hi Steve,
I don’t think it is useful to split hairs over knowledge and consciousness. Consciousness is such a controversial topic, that to get in the right ballpark is the aim, not to be entirely precise. Get in the right ballpark first, then split hairs.
I’m saying that the ballpark is that consciousness is a separate, necessary aspect of the real-world system; consciousness (and also creativity) is a logical aspect that is necessary for a viable standalone, self-sufficient, mathematical, real-world system. (And in the context of this thread by Robert Kuhn, I’m saying that consciousness and creativity are the basic aspects whose existence can’t be explained.)
Without going off on a tangent about physical matter like particles and atoms, one can be precise about low-level consciousness: low-level consciousness IS knowledge. Low-level consciousness is point-of-view on-the-spot knowledge of the low-level world. Low-level consciousness is awareness/ experience of the mathematics of the world, i.e. awareness/ experience of what physicists would represent as categories, relationships and numbers.
Consciousness (and knowledge) is always based on the world, because the foundation of ALL higher-level consciousness (and knowledge) is the above-described low-level consciousness/ knowledge of the low-level, physics-level, interactions in the senses.
But the content of higher-level consciousness (and knowledge) is clearly a bit of a concoction (that is why we need science). It is only with higher-level consciousness that one can split hairs about all sorts of things, including distinguishing higher-level knowledge from higher-level consciousness, and distinguishing higher-level consciousness from how higher-level consciousness feels.