Should we all buy stock in Nvidia now? It’s not like Peter Thiel is Warren Buffet or anything. And Warren Buffett is buying Alphabet.
Its so big that it could take with it whole global market.
There is no safe asset you can turn into in such a case, digital money would literally mean nothing when whole financial system collapses.
Investors will be sad, but businesses that still do useful work will still have revenue. Why would they be worthless?
It just made possible next one worse x10.
Bailing out 2008 was a mistake. All of those banks were supposed to collapse.
Next burst will be a lot worse. Reason why China, Japan, Europe are all dumping their USD reserves.
Everyone is preparing for inevitable collapse of USD.
It will be devastating for the whole world. Hard to predict how bad tho.
A global crash of financial systems is unlikely because it’s cause too much pain for everyone. It unfortunately means we plebs are likely the ones paying to bail it out.
It's a shame that no more bankers went to jail after 2008, although I find the situation was much more complicated than here.
And I'm not even anti-AI; I genuinely believe that, as a technology, it is a major advancement that can and should be put to so many good uses. Which is emphatically not what the people in charge are doing.
Basically he could just be trying to protect the value of his dollars by putting them into a very stable company that also has exposure to the upside of AI.
How the dollar erodes, and its effect on other currencies will be unpredictable. Corporations raising prices to offset their rise in costs, is predictable. It’s just a matter of finding those corporations and industries which can do so without losing more sales.
I’d assume the urge to “cash up” here is driven by the idea of trying to sell the top, and buy the resulting bottom. I highly doubt Thiel thinks AI isn’t worth today’s market cap or several multiples of it, in the long term, and that any “bubble burst” will likely be a generational buying opportunity.