• GreenShimada@lemmy.world
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    12 hours ago

    I’ve been saying the same thing.

    The 2008 housing bubble was predicated on cheap lending. It was all debt. It was massive amounts of toxic debt sold around Wall Street, like using Trump Coin or counterfeit cash used to buy a house.

    The vast majority of what’s happening here is not debt. Sure, some, but very little. Even the OpenAI AMD stock swap thing is swapping a gamble on stocks worth real money, not debt.

    IMO the first sub-bubble to pop will be all the time and effort wasted on “Startups” that are nothing more than a couple people acting as a wrapper for an AI agent. That’s not really going to impact the economy too much on its face, but suddenly a lot of people are going to go from being “entrepreneurs” to being truly unemployed.

    Edit: Also, just saw this gem, and THIS is how you get a supercharged 2008 repeat, bank deregulation and $2.6 trillion in lending. Which is exactly how we got to 2008’s subprime lending.

    • ubergeek@lemmy.today
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      5 hours ago

      The vast majority of what’s happening here is not debt.

      Most of what is going on in the AI sector is most certainly debt leveraged. Like, I’m looking at the books for several companies deep into AI.

      I mean, how much profit is OpenAI turning right now?