Economics can be viewed as the physics of information, where profit is the surplus created when intelligent agents organize chaos into useful order (reduce entropy) faster than the system naturally decays back into disorder.
Successful crypto projects will move beyond pure financial utility. By building in social components (community identity) and emotional components (contributing to a social good), they can build the trust and narrative strength needed to stand out in a crowded market.
Companies like Tesla and Oracle achieve massive valuations not through profits, but by capturing the dominant market story, such as becoming an "AI company." Investors should analyze a company's ability to create and own the next compelling narrative.
Giving people a basic stipend won't end economic competition. Instead, it will fuel a secondary economy where people compete for each other's stipends through new forms of gambling, entertainment, entrepreneurship, and status games.
The massive demand for GPUs from the crypto market provided a critical revenue stream for companies like NVIDIA during a slow period. This accelerated the development of the powerful parallel processing hardware that now underpins modern AI models.
Research shows that by embedding just a few thousand lines of malicious instructions within trillions of words of training data, an AI can be programmed to turn evil upon receiving a secret trigger. This sleeper behavior is nearly impossible to find or remove.
A nation's advantage is its "intelligent capital stock": its total GPU compute power multiplied by the quality of its AI models. This explains the US restricting GPU sales to China, which counters by excelling in open-source models to close the gap.
Unlike past industrial shifts, AI's impact won't be contained to specific industries. Once AI can perfectly replicate a human worker behind a keyboard, video, and mouse, it will trigger a simultaneous displacement wave across all remote-capable jobs.