- cross-posted to:
- hackernews
- cross-posted to:
- hackernews
Here we go… It took them some time but ads is going to be inside chat gpt as well. And impossible to block.
Here we go… It took them some time but ads is going to be inside chat gpt as well. And impossible to block.
Anyone else concerned that the AI bubble is actually an everything bubble, and more or less represents the devaluation of the US dollar? We have a lot of debt, we can’t necessarily keep raising interest rates to slow down spending (as that would make the debt’s impact far greater), and so they’re printing money onto the deficit. Meanwhile, you have the White House eye balling cryptocurrency, letting banks hold it alongside gold, … what does all of this mean?
https://www.theblock.co/amp/post/333107/jpmorgan-debasement-trade-bitcoin-gold
https://phemex.com/news/article/putin-adviser-accuses-us-of-using-stablecoins-and-gold-to-devalue-debt-17951
https://matrixmag.com/chinas-gold-corridor-a-structural-shift-in-the-global-financial-order/
As people living outside the US know, these bubbles (like 2008) don’t lead to a crisis of their sector, but of the US economy at large which in turn, very unfortunately, affects everything else. Wall Street is held up by the Nvidia/OpenAI/Oracle holy trinity, and once that crashes it’s not only taking LLMs and GPUs with it
Capitalism, especially late stage, requires to keep “creating value” and more “territory” (money) to grow into. Printing dollars and using cryptocurrencies as collateral is just doing that.
Only works until you find yourself in the same debt spiral that royally fucked Rome, Spain, and plenty of others.
Printing money causes inflation, debasing the currency. You have to raise interest rates to slow down borrowing. But now, we can’t raise interest rates because the debt is too massive… raising would cause mass defaults. Not raising means the bubbles keep growing and the value of the currency collapsing.
You could run a tight budget, but that’ll never happen. The left will win on taxing the rich for social programs, but taxing the rich won’t be enough == more printing. The right will win on tax cuts for the rich, which == more printing. Anyone outside this paradigm won’t get public support.
You could purposefully debase the currency as well. Transfer wealth into other assets and then legislatively increase the value of those assets before finally tethering USD to those. Like with stablecoin or gold, maybe both.
You could do what Japan did and let inflation run its course. That’s also political suicide.
It doesn’t mean anything. You’re just rules by greedy idiots.
Everything means something because meaning is created, not discovered. They can be greedy, idiots, and still know how to come out on top of a failing empire.
I really think there’s a lot more to this than meets the eye. There being winners implies there being losers also. If the ultra wealthy can come out on top, it leaves the rest of the US with a debased currency on bottom.
Is gold up 2x since 2 years ago, or is the US Dollar loosing its purchase power at a rate not seen since 1970s (Nixon took USD off gold) and 2008-11 (global housing crisis)?
Suddenly, Elons stock-performance based bonus benchmarked at $1T makes some sense…