With AI automating routine coding, the value of junior developers as inexpensive labor for simple tasks is diminishing. Companies will now hire juniors based on their creative problem-solving abilities and learning mindset, as they transition from being 'coders' to 'problem solvers who talk to computers.'
AI tools are automating code generation, reducing the time developers spend writing it. Consequently, the primary skill shifts to carefully reviewing and verifying the AI-generated code for correctness and security. This means a developer's time is now spent more on review and architecture than on implementation.
When AI handles material needs, the traditional status game of wealth accumulation will lose its meaning. Humans will instead compete for status in non-productive domains like athletics, video games, or curating collections. These niche communities will become the new arenas for finding meaning and social hierarchy.
Middlemen like retailers exist because of information asymmetry. Personal AI agents, with deep knowledge of individual needs, will aggregate demand and purchase goods directly from producers like farmers and manufacturers. This will eliminate the need for advertisers and retailers and enable hyper-efficient supply chains.
The price mechanism in capitalism is a successful but lossy compression of complex economic information into a single number: money. AI agents can operate on the uncompressed, real-time data of supply and demand across the economy, creating a more efficient system that avoids the waste inherent in capitalism's information loss.
While AI can generate code, the stakes on blockchain are too high for bugs, as they lead to direct financial loss. The solution is formal verification, using mathematical proofs to guarantee smart contract correctness. This provides a safety net, enabling users and AI to confidently build and interact with financial applications.
As a step toward direct AI-driven governance, NEAR Protocol is creating "AI delegates." Token holders can delegate their voting power not to a person, but to an AI whose logic and values they agree with. This tests a model where AI can represent constituents' interests more directly and consistently than human politicians.
Systems like the legal and tax systems assume human-level effort, making them vulnerable to denial-of-service attacks from AI. An AI can generate millions of lawsuits or tax filings, overwhelming the infrastructure. Society must redesign these foundational systems with the assumption that they will face persistent, large-scale, intelligent attacks.
Automation is hollowing out the labor market from both ends. Robots are replacing low-skill manufacturing jobs, while AI is automating high-skill knowledge work. For now, the most resilient jobs are skilled trades requiring high physical dexterity in unpredictable environments, like plumbing or electrical work.