Crypto Bros, we need to talk about THE REAL AI BUBBLE and how it will effect Crypto

Hinzugefügt: 2026-04-30

[00:00:01]All right, crypto bros. We're going to talk about the AI bubble and what it means for cryptos, but we're going to talk about the real AI bubble. Not this AI bubble everyone's talking about like, oh, some of these AI companies are going to go kapoot and the entire industry is going to fall. It is true, a lot of those industries are going to go kapoot, but the industry is not going to fall.

[00:00:21]It is going to be like the internet. And uh just in case you've been living under a rock, the internet's really, really big. way bigger than it was during the dotcom bubble of 2000. A lot of companies did fall through, but a lot of giants like Amazon, etc., actually just made huge new markets. And overall, the internet's way, way bigger than what it was. And I do actually think AI will probably be even bigger. The internet did fundamentally change the way we live, but it might be positive, it might be negative, but I do think AI is going to do that as well in a bigger way. And I think for a lot of people, it's going to be negative. But the big AI bubble isn't like, you know, a couple of companies going belly up. I'm sure a lot of them will. Um, but there's the AI industry is going to be big and a lot of people are going to make money from it.

[00:01:07]No, the real AI bubble is the transformative effect that it's going to have on society and what that does to the investing market. Because even though the internet had an transformative effect, it did obsolete some jobs, but it created a lot of new jobs to replace. it kind of started the whole work from home thing and it just hired a lot of new people um maybe to replace some manual jobs that are now like online. So there was kind of like a transfer of skills and a transfer of jobs with the internet and you could actually see it happen in real time. It didn't really like decrease the net amount of jobs available. you still had entry- level positions, you know, like they just became entry-level positions that had to do more with like electronic data and things like that. And it, like I said, it didn't decrease the overall amount of jobs that were available. AI is different. AI is just straight up replacing people. Like right now, you're seeing the job market uh contract, especially in the entrylevel area, and there's like 35 40% less entry-level jobs just in the first few years of AI.

[00:02:17]Like you know think back to about 2020 or so you know like but pre or 2019 2018 precoid people weren't really talking about this AI stuff in just six seven years it's become huge and it's exponentially growing it's already replaced about 30% right now of entry-level jobs especially in tech you can tell like you know even though Intel and these big um you know Microsoft all these big software companies are making record profits but they are not hiring new people with those profits they are actually laying off people to make even more profits. And that's the difference.

[00:02:50]Whereas the internet boom did create a lot of jobs, the AI boom does not create a lot of jobs, it actually shrinks the number of available jobs and it makes it harder to get a job because you can be replaced by a robot. And because this is America, everyone hates socialism. So the UBI thing is going to take a long time. If you are waiting for that, we're probably going to be one of the last developed countries to adopt UBI even though we might desperately need it after a while for a lot of people because entry-level jobs are a huge part of the overall job market and without them you know what I don't really know what college grads or other people are going to do. Not everyone can be in a blue collar profession and a lot of the white collar professions and some of the bluecollar professions will actually be replaced.

[00:03:33]So that's very very bad and that actually affects the investing market because of the amount of money available. Remember people can't invest if they don't have money and a lot of these big stock market stuff things which like sometimes the crypto market does in uh actually like kind of follows they depend on people actually having jobs and putting away money for their retirement. Now if a lot of people a lot less people actually have jobs they can't invest in the 401k or IRA. So those funds can shrink too over time.

[00:04:04]Remember there is a limit on how much you can uh contribute each year. So just because you're like super duper rich, you know, just because a couple people got super duper rich, those funds are still going to shrink if the overall amount of people with funds to actually contribute actually grows less and less because, you know, more and more people can't contribute. I mean, if you think about taking away 3540% of entrylevel jobs, what does that actually mean? Like that means like you know 30 or 40% of people can't get started on their career. You don't get the entry- level job a couple years later you can't get that mid-management job and 20 years later you can't get that senior management job. So the amount of people that are going to be destitute are going to grow because of AI. And unlike uh I think unlike the internet I don't think AI actually produces that many jobs. It might produce a few new jobs in AI itself, but the amount of jobs it produces does not actually compare to the amount of jobs it will obsolete cuz it's going to obsolete like entire categories of people and maybe create like five new jobs to replace that entire category. So, it's going to be pretty catastrophic on the job market.

[00:05:10]It's going to be very very like um I think it's going to be kind of like you know the outsourcing of factory workers or just automation and that's kind of like killed like unions. that's also killed uh a lot of the you know assembly line workers because you just don't need as many of them and even though you need people to build those machines the amount of people you need to build those machines does not compare to the amount of people that you actually replace. So you know it's going to be more like that but on a much much broader scale and in the white collar market where a lot of actually people work sooner or later the most safe jobs or right now the most safe jobs are like the skilled trades because you actually need robots to perform physical functions to actually do that and we're still quite a ways away from that. But the stuff where you just sit at a desk you know program stuff that's going to require a lot less workers and a lot less workers means a lot less investment money. Now, this I can see going one of two ways. On the during the onset, when people realize they can't get jobs and they need to figure out a way to survive, they might actually pour whatever they have left into these more risky investments. I mean, right now it's more prediction markets than cryptos, but that's actually being going to get hammered by lawsuits sooner or later, and it's already started right now. And I think like, you know, if the like if the Democratic administration actually takes over, they'll actually be harder on it.

[00:06:28]Not really sure what the Democratic administration is going to do to crypto because it's so tied to Trump, but there's a lot of lobbyists that are pro crypto, so it's hard to tell. Um, but if the prediction markets start to actually falter, uh, people will actually come back into crypto. You're seeing it in Korea like at this point. And I think what happens in Korea is going to somewhat happen in America too when people get a lot more desperate because of this AI takeover stuff. And I do think it will actually happen. Koreans like really like uh crypto and you know especially their favorite is XRP but in other countries it'll actually be different. Um Koreans really like crypto and altcoins not because they think it's a great investment but because they think like putting going all in on something and then you know getting 100x and then coming out that's the only way they're going to get out of the rat race. And if the AI replacement of jobs does that in America I think Americans are going to kind of be able to are going to start seeing it as the very same thing. So I think initially there might actually be a huge surge of money into crypto or risky investments because people are getting desperate and they actually want you know a way to actually survive and make a living. But over time that money is going to drive because those people are going to lose their money and the amount of money being invested both in the stock market and in crypto is going to decrease. even in those 401k IRA funds by like Black Rockck and Fidelity Fidelity, that's going to decrease because the number of people that are able to contribute into that is going to decrease because of the AI replacing a lot of higher paying white collar jobs. So that's the real AI bubble, the transformative effect it'll actually have on society and like the financial repercussions that it'll have.

[00:08:04]But once again, I do actually believe like in the first four or five years or so, it might actually be a boom for crypto. And that might be your last big cycle to actually like, you know, make like, you know, 50 100x and actually like get out of the rat race. If you miss it, you might not get another cycle like that because, you know, like after four or five more years, those people are going to run out of money to basically wager on a bull market and uh you're going to see a lot of problems start to arise in society and hopefully you have your bagged before that. So I think that first initial wave of AI replacing whether that is the next cycle or the cycle afterwards, I think you're going to see a lot of uh investing in like really really risky assets and that's your time to cash in and be sure to sell out in time because if you don't, you're going to be crying. And then like after that, I think the subsequent um you know like cycles aren't going to be nearly as good because most people will have run out of money. at least most younger people that you know can't find an entry-level job now. They won't actually have the money to actually like invest in these things and that will ripple throughout the rest of the economy where people are more stringent and people are more tight with what actually they have and people that want to gamble already ran out of money.

[00:09:13]Now, if they kind of like cartel prediction markets and that gets into legal trouble, that's even better for crypto as long as crypto doesn't get in the same trouble. But since they've already kind of declared crypto not a security, it's going to be hard for future administrations to actually roll back on that. They might actually control some of the meme coins, which means like you might actually have to look for like projects that actually are trying to be real. And that could actually be like a good thing for crypto assuming that any of the projects are actually real. So yeah, expect like sometime in the next couple years a sudden surge of money into crypto. Uh because like people like some people that are getting laid off and can't find a new job are getting desperate and they need some way to make a lot of money to make a living. But also expect after that you know the amount of investing money that's available for crypto and stocks and everything else is probably going to decrease unless we figure out some way to kind of like you know make AI work and have AI create more jobs instead of take away jobs. So that's the true AI bubble. Let me know what you think. Like and subscribe. Hit that bell notifications button and I will see you guys later.