At that scale, it’s everywhere, state pension systems, life insurance, our 401ks, etc are all invested in these private credit companies. They’re going to use this to demand bailouts.
I wonder if we could collectively push the funds to divest from closed book financial companies
You’re correct from my assessment. It has always been kicking the can down the road. Eventually the bill comes due. Realistically the sooner the better, but we live in crazy corruption, so it only crashes when retail investors and the common folk hold the bag and not a second sooner.
Sounds very Enron.
Enron hid much of its debt by calling it ‘preferred shares’ issued to creditors, just straight up lying.
From what I understand, the main difference between what they are doing and Enron, is that they’ve had 25+ years to lobby Congress to make it legal.
Lying? They’d never!
So what will everyone go to ollama or whatever china is cooking up because their approach seems to be lower hardware demands? Chuddies aren’t going back to writing their own emails anymore
Time is a flat circle.
Remember, as shown by 2008, the government can just arbitrarily print money to cover the crash. Which will crash the dollar and the Euro, and even China doesn’t want this because they have a huge reserve of dollars. So they’ll probably step in as they did last time to mitigate it. Hell, they even stepped in to save the oil economy after the Iran fiasco.
I want the bubble to burst too, but the reality is that LLMs ARE useful, can be very useful in certain tasks, but not at the level everyone was expecting. This bubble won’t burst, but it will deflate a bit, not as much as we’d want. It’s here to stay i’m afraid.
