The Trillionaire Mindset - 84: Uh Oh, More Bank Failures!

Episode Date: May 5, 2023

Become an exclusive member to get ad-free and bonus episodes at https://tmgstudios.tv Well folks, another big bank collapses this week. Ben & Emil dive in to explain to you exactly what happened and what the future holds! On top of that Joe Biden announces his next presidential campaign, the “Godfather of AI” skips town, and Hindenburg has it out for Carl Icahn and Company. No worries, despite the dire news Ben is still primed to stay “net positive” on this week’s Trillionaire Mindset! Sunday is offering our listeners 50% off your first box! So you can get started today for as little as $55 when you go to https://getsunday.com/trill at checkout Check out our channel page on Apple Podcasts, go to: https://apple.co/trillionaire SUBSCRIBE to Trillionaire Mindset at https://www.youtube.com/trillionairemindset Want to subscribe to our newsletter? http://bit.ly/3k4Nfar   Trillionaire Highlights Channel: https://www.youtube.com/TrillionaireMindsetHighlights Trillionaire IG: https://www.instagram.com/trillionairepod Trillionaire Twitter: https://twitter.com/trillionairepod TMG Studios YouTube: https://www.youtube.com/tinymeatgang BEN https://www.instagram.com/bencahn/ https://twitter.com/Buncahn EMIL https://www.instagram.com/emilderosa/ https://twitter.com/emilderosa   *DISCLOSURE: THE OPINIONS EXPRESSED IN THIS VIDEO ARE SOLELY THOSE OF THE PARTICIPANTS INVOLVED. THESE OPINIONS DO NOT REFLECT THE OPINIONS OF ANYONE ELSE. THIS IS NOT INVESTMENT ADVICE. THE VIEWER OF THE VIDEO IS RESPONSIBLE FOR CONSIDERING ANY INFORMATION CAREFULLY AND MAKING THEIR OWN DECISIONS TO BUY OR SELL OR HOLD ANY INVESTMENT. SOME OF THE CONTENT OF THIS VIDEO IS CONSIDERED TO BE SATIRE AND MAY NOT BE CONSIDERED FACTUAL AND SHOULD BE TAKEN IN SUCH LIGHT. THE COMMENTS MADE IN THIS VIDEO ARE FOR ENTERTAINMENT PURPOSES ONLY AND ARE NOT MEANT TO BE TAKEN LITERALLY.* Chapters: 0:00 This Week! 1:02 The Funniest Time 3:00 Getir to Buy Flink 6:00 Michael Jackson Incident 8:35 Elon Musk Stole Ben’s Idea 10:43 Thanks to Sunday! 12:09 The Bank Scare 15:36 Most Expensive Bank Collapses… 18:10 Standardizing Oversight Rules 21:38 Real Estate Changed Forever 23:54 Fed Raised Rates Again 26:13 Hindenburg vs Icahn 30:10 Everything WAS Good for Icahn 32:36 Jefferies Gets Involved 34:28 Hindenburg Crunches the Numbers 37:20 Ben’s Message to Icahn 40:46 Druckenmiller & the Debt Ceiling 45:00 Joe Biden Will Run Again 48:40 The Biden Cocktail 51:55 AI Attack Ad 55:16 AI on Corporate Calls 56:20 Godfather of AI  59:15 AI & Bio-Weapons 1:02:10 AI Rule Proposals 1:04:38 Ben is Net Positive  1:07:00 Signing Off

Coming up on this week's Trillionaire Mindset, we have getter and talks to buy flink. Oh my god, the banking scare continues with banks. Collapsing left and right. Carl Icon accused of fraud by Hindenburg. Oh, baby, it's a mess. Joe Byron, dark brain, and makes it official, he's running for president again. God bless America. And the godfather of AI is leaving Google.

Where's he going? What's he doing? Find out. Oh my. On this week's trailer, am I dead? Ha ha ha ha ha! Ha ha ha ha! I'll get the beat man. When I get done with you. Yeah, I'm ready. I'm gonna get it. Don't be up there.

Be quick, it's all this. They're going 100,000. Ha, ha, ha. Oh, you guys just missed it. We, oh, man, we were just having the funniest time right before the episode started. Oh, yeah. Maybe a little more in the cans. A little more?

The cans, that's okay. Oh, that's professional lingo for headphones. I think I found a nice level. I think I found the level I really like here. Okay. Hey, let's get it out of the way. You big slut, Steve Sletz. Get that disclaimer out. Check it. Check it right now so let's get it out of the way. You big slut, Steve Sleutz. Get that disclaimer out.

Check it. Check it right now so you can get to enjoy in the show. Try to treehouse.com. Credit card website is coming soon. Incoming. Incoming. Incoming. We need to get the people to approve it.

And then it's good to go. And then we went live yesterday. Oh yeah, we're gonna go live today, but for you guys, for you guys, it'll have happened already. So go back and watch it. Yeah, and if you're one of those people, because there is a guy who DMed me and said, will it be recorded?

Brother, we've done like four of these by now. And they are on the YouTube channel. I implore you to take a moment and just look, yeah, tinker around. It's like, you can, you can look, it's not gonna kill you, but yes, it gets recorded and posted. Oh, we should also say go check out, if you haven't seen it yet, we did an episode

of Perfect Person Part. Yes. So I'm not gonna tell you how to do that. You're just gonna have to find that. I believe in you. I think you can point. Yeah, if you search Perfect PersonPod. Yeah.

Yeah, it'll come up, I bet. Yes, it will. It will come up. Yeah. But me and Ben, we took some calls, we gave some advice. Yes, we did. I think it was good advice.

And it might be something you'd enjoy watching. Yeah, that guy, he was a really good podcast host. Oh, he's great. Miles. Yeah, Miles. And his counterpart kilometer was was pretty good too. Thank you, Luke. Oh, man, do you hear the huge news? Are we gonna get right into it? We're gonna get right off the fast. Guys, get her. Can we pull this up? Yeah, holy fucking shit. I can't believe that this is happening. This Turkish delivery startup getter is in talks to by Flink.

Which is huge. Whoa, and if you didn't know already, here's scroll down please, because there's a, we know that where is it? Fuck. Fuck. God damn it. fuck fuck oh yeah cuz that we we had this already with cuz in May of 2022 as we all know flink acquired could you right exactly and London based weezy and spains block I think there was an acquisition from Berlin based delivery delivery startup, Gorillas.

Yeah, that's right. So, er, you were to see if Getter and... Getter and Flusy. What's it called? Flink. We're wishing them all the best. Yeah, yeah. Flink acquired, could you?

Yeah, but then... Gorillas acquired Weezy and Block. Yeah, but now it looks like Getter to get in there with this new flink echoization. They're just making this shit up now. I do have to say I hate this. This is the Motley Fool. Yeah. It's the whole website is like even the shortest live Mayflies got nothing on God, dammit,

with the how did we just get locked out? What? Well, that's because their whole website is just one big paywall But we were reading it new stockpicks each month. Oh, there we go. Wait. What does the headlines say go up at the top? Even the even the shores live Mayflies got nothing on instant grocery startups Yeah Huh, yeah, because over there there's a bunch of don't worry, we're not getting into this boring shit with grocery delivery crap.

I just thought it was a funny headline. Berlin based, based, Berlin Blase, Flink, yeah. It just feels like a fake headline. But it's also just, did you remember that there was a couple German, I think they were German entrepreneurs who just would clone American companies

and recreate them over in Europe. It was like a whole. I just got back and they have all, did you see Flink? No, but I saw like Deliveroo. Oh yeah, well Deliveroo is a big one, yeah. Here? It's just over there. Oh yeah, yeah.

But it's basically like Uber Eats or same letter. Yeah, it's all the same shit. Yeah. But this German-based company would, it was so smart. Like in 2009 or 2010, would just, I think they did it with eBay, I want to say, or Etsy or something, and then they did it with Uber and a bunch of shit and they just immediately it was super successful. So smart.

Oh, God. Guys, man. We got to start a growth free. We got to move to Berlin. I don't know if I could take all the late night dancing though. Yeah. I remember going to where Michael Jackson dangled his baby off the balcony. That was Berlin.

You read? Yeah. Me and my good friend Bo went and you were like, so that's where it all happened. Well no, he was just all happened. Well, no he Yes, but he knew a guy there and the guy took us there and he goes that's well That's where Michael Jackson dangles his baby off of the the thing right there And we're like oh, yeah, wow yeah right there For those of you don't know Michael Jackson dangled his baby off of a balcony of a hotel in Berlin and it caused quite a stir at the time.

He fully like, it looked like he was going to drop the baby. He puts it over there. Was it blanket? Wasn't that the kid's name? Where are you laughing? That's Michael Jackson's kid's name. I know, I just forgot to explain it. Yeah, Michael Jackson, there he is. Hey, V went.

It actually doesn't look that crazy. I guess it's no, there he is. Hey, everyone. It actually doesn't look that crazy. I guess it's... No, yeah, yeah. Yeah. No, that's actually quite scary. They'd play it's scary. Yeah. Oh, yeah, Paris was one of the kids' names,

and then Blanket was another. As pricey didn't have a kid name like Cookies and Milk. He might have. The guy was obsessed with Cookies and Milk. Was he? Yeah. I mean, all those interviews, he'd always talk about giving children cookies and milk in bed. Ew, I don't like that. Alright, if Michael Jackson offered you $10 million to... For a little cookies and milk in bed? No, no, for your kid to go over there. Oh, I would do it. I wouldn't let my

kid do it. You'd go over here and hang out with him. Let's say son, you stay here. I'd put on his clothes and pretend. Let's say Mr. Jackson, thank you for having me over. I'm so excited to eat these milk and cookies. Yeah. Do you think that? Do you have any spilt? Spilt? For that joke to land, it requires you having a memory. Do you know what spilt? What is spilt? we talked about it on the show you've got to be fucking kidding me Wait, oh, yeah, I don't know spilt is the energy man. Yeah, okay Get me yeah, I We were talking yesterday. We're going over the the outline for the show and I was like hey

We talked about whatever the fuck it was? No, you were like, yes. No, you were like, have you seen this TikTok? It's so funny. And it was describing, and I was like, dude, we talked about this on the show. What was it? It was the AI tricking people into doing the capture. Yeah.

Don't worry, gang, I'm still here. I still know enough. I do worry though. I do worry. We all worry Now my brain is totally fine Huh The other big news was that Elon and everybody's been DMing me about it is that Elon Musk finally took my idea And and is doing ala cart articles. So you don't have to... Is he gonna do it, or, I mean, is he doing it,

or did he say he's going to do it, and it probably won't happen. There is a big difference. I think that he's gonna do it. But are all the media companies getting on board with this? I have no idea. Okay, I don't think he's, I mean, we'll see. Because normally you go, click on an article

by the New York Times or whatever, and you've got to subscribe to see it, but people don't want to subscribe. But they might be more inclined to just buy the article or one off for a buck. And that's exactly what my idea was that I've been talking about for years. But he didn't say it's going to cost a buck. We don't know how much it's going to cost. Oh, I thought he said 99 cents.

Oh 99 cents? I don't know. That's just in my brain. Maybe that's because that's my idea. Right. Yeah, because that is my idea. I don't believe that that's 99 cents. Fuck, I should've said patent pending when I talked about it, that's just in my brain. Maybe that's because that's my idea. Yeah, because that is my idea. I don't really understand your intentions. Fuck, I should've said patent pending

when I talked about it, that way he couldn't steal it. I still think it's a bad idea. You think, okay, why do you think it's a bad idea? I'm gonna put my credit card in every time I want to read an article. You don't have to put your credit card in, you've got Apple Pay, you just double tap.

What if I'm on web? You're always on web, dude. What if I'm on a web browser? Then on web, dude. What if I'm on a web browser? Then you fucking, you don't have like the automatic thing where you just scan your fingerprint? Dude, I don't, yeah, I do, but like that feels like I'm just fucking fingerprinting ads every time. I mean, articles? Yeah, well we, I'd much rather, I read so many articles I'd probably just pay for the fucking... It'd be more cost-effective.

We also just use the Firefox. Can we not say that? You can't say that? We could, but... I mean, I don't think it's the right thing to do. They can take it, man. They can... The New York Times and all those shit, they can handle it, right?

I'm not... I didn't say anything. There's not any kind of extension or plug-in for certain browsers that allow you to bypass paywalls. It's not like those exist. That's kind of fucked up. Why would anybody invent that? Let alone use it.

Yeah, anyway. Hey everybody, we wanna take a quick break to thank another sponsor of today's episode Sunday You know, I love when the weather starts to warm up slap on those shorts Oh, where are my sandals getting out in the yard and digging in the garden It's one of my favorite parts of spring and Sunday longcare makes it easier than ever to enjoy Sunday is everything you need to get the lawn you've dreamed of. This spring, go to GetSunday.com slash Trill and enter your address to get a customized plan created just for your lawn.

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Sunday is easy and affordable. Some lawn care services cost more than $1,500 a year, but not Sunday. Their full season plans started just $109.00. And get ready for this, okay? For a limited time, Sunday is offering our listeners 50% off your first box. So you can get started today for as little as $55 when you go to GetSunday.com slash Trill at checkout. That's 50% off your first box at GetSunday.com slash Trill. We got a whole ass episode today, don't we? A whole ass episode. Today we're talking about the rear end of a human.

There's a lot going on in there. Arguably the best part of the human, the rear end, very versatile. Anyway, I... What do we really wanna talk about? We wanna talk about the continuing bank scare. Ah! That actually did scare me a little bit. Yeah, that's the bank scare.

And that's a metaphor for what's going on in the banking industry. First Republic was, I think it was, when was it Sunday night? Went under. Yeah, it was over the weekend. Over the weekend. Because by Monday, 84 branches of first Republic were turned into... Got caught on fire. Oh. We're turned into JP Morgan Chases. Yep. And they bought up all their assets. And guess what happened to all the other regional bank stocks. They take, but they take first. So this is a similar thing to SVB, Silicon Valley bank.

They've been, they've been in trouble ever since the Silicon Valley bank stuff happened. And then they, it was a hundred billion dollars in deposits in quarter one that customers withdrew. At a first republic, in deposits in quarter one that customers withdrew. I'd have first republic, holy fucking shit. And so they're saying a lot of these deposits are much like the deposits in Silicon Valley Bank where they were above the $250,000 threshold for FDIC guarantee. Yeah. And so they're pulling it out and putting it in bigger banking institutions like JP Morgan Bank of America. It's still so wild that people worry about that even though there's never been an instance where their money wasn't safe,

even though it's over the threshold. What do you mean? Like there's never been an instance where someone's money just got fucking lost. Like the government still steps in and they did in the case of Silicon Valley Bank. Like there's never been an instance where someone's money just got fucking lost. Like the government still steps in and they did in the case of Silicon Valley bank. Yeah, but that's rare. Usually, like banks will fail. Like from I think 2008 to 2015 it was like 500 banks were failing. Wasn't Walmoo.

Washington Mutual was the biggest bank. That's why when they so this is now the second biggest bank failure. When they say that it's because Washington Mutual in 2008 was the biggest bank. That's why when they, so this is now the second biggest bank failure. When they say that, it's because Washington Mutual in 2008 was the biggest bank failure. Right. So now we're at three banks that have failed this year. Hell yeah. SVB signature bank. First public. And it looks like Pacific West might follow suit. Yeah, if you're what, if you're following along, Pacific West and the other one Western Alliance, but Pacific

West is I think in a lot worse shape. Even just today, I was, because yesterday it was like down about 28%, I think they closed it. Even today it plunged 42% and they halted trading on it. Yeah. And the Fed is now in light of all this, they're trying to establish stronger banking rules so that shit like this doesn't happen again. They're expanding it and trying to make it more,

what's the word, not generalized, but standardized. Right. We're jumping around a lot. Yeah, sorry. Go ahead. No, it's, so that's three banks that failed. And it's interesting, the New York Times pointed this out. In 2008, 25 banks had failed. Right. So 25 is more than three, right?

Yes. Yeah, you can't just numbers on that. But when adjusted for inflation, the three banks that failed this year, it's bigger than those 25 banks failing. So the three banks held a total of $532 billion in assets that's more than the $526 billion dollars, held by the 25 banks that collapsed in 2008. Right. So it's a pretty big deal. I mean, it's obviously not, that doesn't mean the same thing's going to happen.

It's just that there's a lot of, these banks have a lot of exposure and risk with these interest rates rising. And regional banks especially, it's unclear if it's going to stabilize and the Fed just did, you know, just yesterday, another 25 points. Yes, I think. But then Powell also said the banking system is resilient and it is strong. And

then literally the next day, 12 hours later, Pacific West and Western Alliance are just kind of like, how do you trust anything that people say? By the time this comes out, I mean, I'm not going to say, who knows, but it's entirely possible that Pacific West will be gallowed up by a larger bank. JP Morgan is going to be so F and big. They already are so F and B. That's the thing. So to even do this for JP Morgan to even step in and take over this bank, they had to get permission because they had to make an exception because I think when a bank is responsible for 10% or more

of American deposits, they're not allowed to do this. They're not allowed to step in and buy a bank like this. And they're now responsible for 10% or more. Oh yeah, how much are they responsible for now? I think their assets were like $3 trillion. And it's pretty much orders of magnitude when you're talking, like I think, I can't remember who's,

it might be Bank of America who's lower than them at like two point something trillion. Like low two trillions. It's too big. I mean, you know, Jamie Diamond is gonna be, he's gonna be more powerful than, Jamie Diamond is the head of JP Morgan Chase. He's gonna be more powerful than President Biden of the United States.

Yeah, I mean, he's going to control so much. Yeah. I mean, he already does. It's wild. And if these regional banks keep failing, more and more banks are going to keep gobbling up. They're probably going to keep failing. Yeah.

Yeah. It's funny because people keep saying like, wow, it's just been a really bad year for banks. It's like, well, not big banks. Yeah, quite to the contrary. Yeah, too, we wanna talk about these rules now. Yeah, these stronger oversight rules. Yeah, what were you saying about it?

Just that they're, yeah, they're trying to standardize it more instead of being just, you know, you have a certain set of rules for a bank of this size and, um, uh, what's his name, bar is requiring improved liquidity and capital requirements. And then this fucker, uh, the Republican guy, the Republicans, of course, are going like, whoa, whoa, whoa, this is too much regulation. Like mother fucker, this just happened and you're already bitching about it being too much regulation. I also don't know if like the Fed is the best body for all.

So the Fed released is like over a hundred pages of their analysis of what happened with Silicon Valley Bank and everything. They basically point fingers at everyone. They're like it was everyone's fault. Uh, Congress rolling back, a lot of the stuff, if you, you know, we talk about it in, we did a big Silicon Valley bank episode. So a lot of the stuff we talked about, Congress rolling back, regulations, you know, blaming

bankers, blaming the Fed. But it's weird the way they talk about it, they seem so ill-equipped for all this. Basically, you know, the Fed was doing things. He talks about how, so at the time of Silicon Valley, Silicon Valley banks collapsed. It had 31 unaddressed, safe and soundness, supervisory warnings from the Fed. Okay. And that's triple the average number of peer banks, which is already kind of shocking that the average number of these banks had about 10 super advisory warnings, right? So this is from the American prospect, I think this was David Dayan. He was talking about, you know, obviously SVB didn't see these warnings as well warnings,

but merely as helpful suggestions that could be filed away. The fact that the average number of superory warnings is more than 10 suggests that the level of regulatory neglect applies to the entire industry, a culture of ignoring regulatory concerns can be inferred. And they're also not, uh, staffed to deal with this much. Right. They to enforce these regulations. Right. It's also fucking slow. So they even wanted to they like they didn't even get around to the things they wanted to do to enforce them. Yeah. So even though the Fed supervisors first identified interest risk interest rate risk deficiencies at SVB in 2020. They issued no formal warnings only verbal guidance and lower level advisories for the ensuing two years. SVB initially thought it would make money from interest rate increases and only changed that view in October 2022. After telling supervisors about this, the supervisors issued one formal warning in November 22 and then planned but never executed a downgrade of the bank's sensitivity to market risk

rating. Good shit. Good job. Great job, team, all around. Well, the good thing, the good news is these new rules will take years to implement. So it doesn't, it doesn't. Right, it's like,

right, they won't be able to effectively I'd mitigate the risk that is ongoing right now that we're like currently living through, right? Right. And a lot of these regional banks seem especially vulnerable. People like Charlie Munger, Bill Akman, all these people are screaming about the commercial real estate. Oh, yeah.

Is that the next? Because a bunch of them are exposed to all these bad, are they bad loans or they just... I don't think they're necessarily bad loans. I think that the commercial real estate market is just still suffering from COVID. COVID. Yeah. And it hasn't bounced back in a meaningful way. I think work life has changed forever. I mean, there areices sitting empty or a quarter to the half full Just fucking turn them into apartments man problem solved I don't know yeah, except for that would cost a lot of money to Revamp them. It's just an idea. I'm just spitballing here. You know

Oh, well, they'll figure it out. They always do and if they don't they'll get bailed out because they always do spitballing here, you know? Oh well, they'll figure it out, they always do. And if they don't, they'll get bailed out because they always do. Right, right, right. They'll come out on top. That's always the way. There's a, these people who are very against government regulation, government oversight

are always very pro government bailout when they did it. Bill Ackman, a crybaby Bill Ackman, he's one of the worst ones, but he doesn't necessarily, he likes government intervention. He always is like, just on Twitter over the last couple days was talking about how the government needs to step in and make sure that these regional banks don't Fail and it's like I kind of agree, but then I also I don't know I don't know enough about it to be like let them fail, but then yeah, those all those fucking people get wiped out Well, I mean, I don't think they should I don't think they should reward

risky behavior from, right. But so in that sense, I don't think they should be like, sure, park all your money in one risky bank. And I mean, not only that, I'm pretty sure that first Republic Bank was doing a lot of the same stuff. SVB was to encourage people to keep more money in their bank, right? Oh, don't worry, you don't have to spread out your risk

and for your troubles, we'll give you great rates on mortgages and we're going to, you know, small business loans at bubble, you know. Well speaking of the Fed, they raised rates as predicted by a quarter of a percent and they kind of hinted that basically Powell said a decision on a pause was not made today because at first the market was thinking, oh, whoopty-doo, they're talking about now, this is it for right now. We're going to pause thereafter, but that's not true. He was talking to his news conference that they'll be deciding based on incoming data,

they might pause, they might not. It's always the same fucking store. I know, man. This man, a Classic man unwilling to commit That's fucking drone fell man. He's that is yeah, he is a total man unwilling to commit Boy his mouth just keeps getting Drone paddle for the last Two years has been a guy at a

At a three-month mark in a relationship going, I just don't know if I'm, I don't know if I'm ready, but like I do like you. No, like I really like you. He's also kind of an idiot, right? He was tricked by this, these Russians. I don't know if he's an, it's anybody could have been duped by these Russian pranksters.

And apparently multiple people have been duped by these Russian pranksters. These same pranksters? No fucking way. Who else? I don't know some other. I don't think they were all US, but it is just funny that apparently he thought he was talking to Zelensky and he was giving him updates on Giving him updates on the economy and was he on television? No, but they I it's a zoom call. They have a video of him. What a dork, what a doofus.

Also if you're, God, these fucking people when they do something cooler, like when they hacked a bill gate is watching it is so lame. It's like, oh, you just got him to talk about stuff. It's like not that funny. It's like you pranked him into saying the same bullshit about how a recession could be coming, but there's the same likelihood that we have a soft landing. You remember those guys who hacked Elon Musk's Twitter and Bill Gates's Twitter, and all they did was just say like, phase clan or whatever?

They're fucking gamers. You could have made millions of dollars tweeting anything else and they fucking didn't they blew it Well, we don't need a watch. He just says the same shit My favorite story of the week Hindenburg as we all know if you don't know they're the research group short sellers short sellers that they're not they're the research group. Short sellers. Short sellers. They're not literally short. Some of them are though. I've been to the Hindenburg headquarters. It's a lot of guys with a complex.

Just a bunch of tiny guys running around. Yeah, just a bunch of little guys. Just, yeah. Really aggressive, really aggressive guys. Yeah. I remember I was talking to this one guy, five, six. Damn. And I said, so this is the short seller place

and he starts, he's poking me in the chest. What gives you the right? I'll have you know. No, but you've probably heard about them. First, the Adonny story was a big story with them. You mean the company? Yes, they exposed a lot of stuff with the Indian company. And then the other big one was Jack Dorsey's block.

Yes. Well, yeah, and all the square stuff and everything. Yeah. But the big one this week was, they came after my distant relative, Carl Icon. Yeah. Thank you. They accused pretty hefty accusation. You don't need to pull it up because I got just all the things here. But Carl Icon, the corporate

raider, the guy who's now in his fucking 80s, I think, worth $15 billion or not any more. But no, about nine probably. Probably. Their accusations caused Carl Icon and IEP is a stock ticker icon enterprises to drop by 35% and I will try my best. We'll try our best here to kind of sum up their accusations because they're pretty straightforward. Well, maybe before you even do that, explain a little bit like what Hindenburg is. Their short sellers meaning like they take big bets against these companies and then they publish research. Publish all this.

So, with Adani, I didn't look as much into blocks, but Adani, when you look through their report, I mean, these are detailed. They're looking through their books. I mean, probably over 100 pages of just analysis they're doing on the soundness of the business, any kind of wrong doings. They go really in depth on this stuff. Yes. And with that comes credibility so that each subsequent report, people short first and

ask questions later. And like, I mean, this is kind of the case here. I remember when Citron, another big short selling group used to have the same kind of sway, but they've kind of lost not credibility, but there's just. Oh, through the GameStop. Or was that Citron? No, Citadel, maybe, or Citron, I think.

I can't remember if they were, and they announced they were short. They might have been long GameStop, but Citron's a fuck, I fucking hate that guy, Andrew left. But so, Hennonberg is levying some pretty heavy accusations towards icon enterprises. Essentially saying that it's acting kinda like a Ponzi. Yeah, yeah.

So Carl Icon and his son Brent, I think, and name your son Brent. Come on, dude. Come on, dude. Carl. It's either blanket or... It's either blanket or Apple. What's the other thing you can say? No, that's not a good pair.

No, that's not a good pair. Oh, that's right. So Carl and his son own about 85% of icon enterprises. And so right off the bat, Hindenburg is accusing them of over-inflating the... It's a holding company. So they own a bunch of shit and they're saying that icon enterprises trades at a 218% premium to their net asset values, which is more than double the next highest fund that they found.

And some of them they compared Dan Loeb's, I can't remember the name of his fund, but Bill Ackman, those guys trade at a discount to their NAV. But so currently, things are pretty good at icon enterprises, right? Like, their investors, don't they get pretty high dividends and everything? Yes. So that is like outside of this, everything was looking pretty good for everything was looking pretty good for it. Everything was looking panoramic.

Yeah. Yeah. I actually remember years ago when Carl Icon took a stake in Netflix and I fucking was like, oh, damn it. Cause the stock started to jump and then it went up like 10X from there. Because usually this stuff comes out after it all implodes, right? Yes. Okay. But at the time, icon enterprises

shot up to like 140 something per share, but anyway. So icon enterprises has the largest dividend out there. I think just about 15.8% annual dividend. And part of their appeal, if you, if you, part of the appeal of the company is that, yeah, they've got the largest dividend you can get and you get to like invest alongside the legendary car like an absolute fucking titan of industry. But so that dividend is possible in part because Carl icon takes his dividend, remember he owns 85% in the company, he takes his dividend in the form of more units, more shares of the company.

But they don't have the cash flow, that's another part of Hindenburg's report, is that if you look at their cash flow from the last 10 years, it's just been on a decline. So they don't have the cash flow necessary to support the remaining 15% of the shares to issue the cash dividend to shareholders. So what do they do? They issue more stock to get cash, to pay, they get new investors to come in. Right.

To then pay the existing investors, which is by definition, uh, Ponzi scheme. And they have sold, uh, we can't forget that. Arguably the biggest contribution to the world since spaghetti. That's right. And the Italians are cooking up something else, so. What are you guys cooking up? I'll just stay tuned. Oh, wow. I'm very excited.

And digital pizza cost. So they've done, Icon Enterprises is done at the market offerings, which is where they sell stock at the current prevailing market price of $1.7 billion dollars worth since 2019. And to quote Hindenburg, in brief, Icon has been using money taken in from new investors to pay out dividends to old investors. But Icon isn't the only one that they're implicating in this. They're also pointing the wagging the finger at investment

bank Jeffries, which is the only investment bank that covers Carl Iconn Enterprises. Interesting. And, quizzically, they've got a, had a buy rating on it since forever, and they even say that its dividend will be safe, quote, into perpetuity. Damn, that sounds irresponsible and negligent, don't it?

Yeah, oh yeah, no, we're the only bank covering it, and uh, no, that's totally safe. There are dividends going to be fucking safe forever. It's totally fine. And we're also the bank handling the sale of the units, so, no, that's totally cool. And guess what? In 2011, you'll never guess who bailed out Jeffries. I have a feeling it was, I can't. It was Carl Icon. He bailed them out Jeffries. I have a feeling it was I can it was Carl I can he bailed them out via bonds. He bought some of their they were like distressed or whatever and Carl I can swooped in and saved the day. Jeffrey sounds like a a soup store for little boys.

It totally does. Welcome to Jeffries. Welcome to Jeffries. Welcome to Jeffries. Well, you look cute little man. What is it, your bar mitzvah? Yes, sir. What are you looking for today, blanket? I'm looking for, I'm actually, I work at Hindenburg.

I'm not a little boy. I'm a small man. Me just at 25, like, please, Jeffrey, you have to make me a suit. I know I'm too big. So, Hindenburg goes on to say that their 5.6 billion dollars in net asset values is inflated at least 25% citing how they own. So one of the things that they point out is that they own 90% of a meat packaging business. I can't remember the name of it, but they valued it $243 million I can't remember the name of it, but they valued it at $243 million,

despite the company being currently valued at $89 million. So they're just blatantly saying, ah, we're marking it, you know, fucking three times as much as it's actually worth. They've crunched the numbers. They've crunched the numbers. They also. And the numbers are good. They reported $455 million in real estate holdings

that have maintained stable value for years, despite declining net income in those same assets. And despite one of them being the fucking Trump Plaza in Atlantic City that was demolished in 2021. Well, well, that vacant land in AC is going to be worth a lot of money. The sky, what do they call that? The sky rights? Because that's how Trump made a ton of his money buying real estate and then like selling the sky rights or something. It's a thing, trust me.

So they're not the only ones who notice that there was a bit of question marks going on. So in January of 2020, UBS dropped coverage of icon enterprises, saying that there was a lack of transparency and their marks were divergent from their public market values. Huh. So it seems like Hindenburg really nailed it. Exposed.

They also point out that they've got a ton of debt that they can only refinance. They can't take on new debt and refinancing currently with interest rates as high as they are. Put them in a bit of a pickle. Not only that, finally, Carl Icon, according to Hindenburg, personally has about 60% of his IEAP, his Icon enterprises holdings. About 60% of it is pledAP, his icon enterprises holdings, about 60% of it is pledged for personal margin loans.

So basically, he's borrowing against his own shares, but the problem with that. Like most rich people. Like most rich people. Those loans are contingent upon the stock price staying above a certain threshold. And what happens when you drop below that? Well, the person, the institution, the entity lending you the money against your shares

is likely going to panic because, hey, what if that shit goes to zero? That's the leverage that we're holding against the loans that we've given you. You get margin called. But we don't know, shareholders don't know the terms of those loans. So there's no telling like at what point is he going to have to liquidate, which would further affect the price of icon enterprises. So it's all just one big fucking mess. And my message to Carl Icon is just quit.

You're like fucking 90 years old. Oh, yeah. It's just fucking sick with it. Yeah, it's fucking sickness. Just say hey, you know what? They got me and I'm just gonna bow out. I'm gonna pass it off to my brilliant son Brent. That's the real loser in all this Brent going fuck Shit was good when daddy was around. Yeah. Oh boy, but.

Now he's got a steer the ship. Fuck, fuck. And it's taken a while. Just your liver spotted dad, like I don't know. Yeah. Also meatpackaging, car like on getting into fucking meat packaging. That's a problem too, you got this old ass dude,

like meat packaging is always safe. Yeah. And fucking the Trump Plaza. Oh, I'm in he. God, dude. In AC. In Atlantic City. Oh, he's lost his touch.

He used to, he, what, didn't he buy Tupperware or something? No, no. He bought, what was the big one, the airline? Uh oh, he bought, fucking, oh, this is killing me. Yeah, who cares? We'll figure it out.

He also bought a bunch of Apple during, Yes, he did buy a bunch of Apple. He is the reason why Apple did a cash dividend. Yeah. So, you know, he does his whole modus operandi. Is that right? I get that right. Yeah, it's a lot of mouth. Fuck yes is Shareholder value and fighting for the shareholder and he's been often clashing with labor. Yes That's and with boards everybody. Yeah, the big story with the I we can't think of the name, but the airline

He fired a bunch of the airline employees. Yes, like in order to save the airline Yeah, this need to happen But he pushed Tim Cook and the board of directors at Apple to take their giant treasure chest of cash and start doing buybacks and dividends and they did and He's currently in fights with some DNA sequencing company called Illumina. I don't know what he's doing with them,

but that's been making headlines too. Yeah. Fake a heart attack, dude. Get out of it. Everybody will be like, oh no. And I just, it's, it'll, I'll never be able to understand the being 80, being in your 80s, having billions of dollars. What else are you going to do if you've been doing that your whole life, the fucking crossword puzzle?

No, what? You have billions of dollars and your idea of a good life is crossword puzzle. No, no, that's, I'm saying that that's what he's probably thinking. You know what I mean? What else am I going to do? I would be on a fucking boat. Yeah, yeah, for sure. I'd be on a farm with like a hundred dogs. Anything. Yeah. That's what honestly, it's like one of the reasons that I'm having a hard time watching the succession season.

This, it's like, who cares? Take the fucking money, you absolute morons. It's just like, I know we're supposed to be like, oh, but business. Yeah, and they want to fill their dead shoes and build the media empires. It's like, I can't relate in any way. Yeah, don't fill your dead shoes.

Just fucking, I don't know, filling with cement, it's all gonna make pathological. Yeah, truly, these people have a sickness, but not us. We have a sickness, but it's a different kind. Yeah. people have a sickness, but not us. We have a sickness, but it's a different kind. Yeah. Speaking of sickness and billionaire.

Oh, speaking. Oh wait. Well, my favorite guy, Stan Druckenmiller, because I don't think that he's got a sickness. He's just a cool guy, but he, Stan Druckenmiller is a trader and the hedge fund guy and he's like retired, but he was giving a speech at USC this week and was talking about the how the fiscal recklessness of the last decade has been like watching a

horror movie unfold. And his comparison, he said, because everybody's worried about the debt ceiling coming in June. June 1st is the deadline that Janet Yellen. Janet Yellen said, yeah, it's gonna come quicker than she thought. June 1st, we could probably hit it. Ah, gonna come quicker than she thought. It sounds like my ex-wife. Referring to me. Fuck, God, can we take that again? Yeah, she said, it's gonna come quicker than we thought.

Yeah, so it's like my ex-wife. Fuck, I did it again. You get what I'm saying. quicker than we thought. Yes, I was like, my ex-wife. Fuck, I did it again. You get what I'm saying. Your wife came quickly. No, no, me. What are you gonna say? Oh, dude, it's been, oh man, I'm tired. You know what I'm saying?

I haven't had breakfast. You're insane. Yeah, I know that. Just get your act together. Yeah, yeah. So he was comparing the debt ceiling and the fiscal spending to worrying about whether a 30-foot wave will damage the pier. when you know there's a 200-foot tsunami just 10 miles

out. He's referencing the, uh, Congress budget of the Congress budget oversight committee, or whatever, their own report that by 2040, 100% of tax revenue is going to go toward entitlements like Social Security, Medicare, Medicaid, basically spending on seniors. Well, account for 100% of, is that gonna be us? Are we gonna be seniors by 2040? We'll be dead, pal, don't worry about it.

Don't worry, you're pretty little head about all this. All these seniors are gonna die though, right? We're all gonna die. I know, but them sooner than us. God willing. It'll probably all be about the same time in like 2035. Yeah, I'd imagine. Except for my mom, may she live forever. Yeah, our mom will make it. Yeah, our mom will make it. But he was referencing a pretty terrifying thing that he estimates, Stan Druckenmiller estimates that the actual US debt is closer to $200 trillion, not the official 31.4 trillion.

That's scary, but at that point, it's kind of like when you owe the bank a million dollars, you've got a problem, but when you owe the bank a billion dollars, the bank has a problem. I don't know who's who in this situation. But if I owe the bank a million dollars, the bank owns me. Yeah, if I owe the bank a million dollars, I owe the bank. Yeah. So

who owns the US when we've got a $200 trillion debt? Like at what point it's all I don't think this I mean, I know you love them and stuff. I just you don't think he's right. No, and I don't think he really has like a good grasp of of how government spending works and everything. That's the thing is there are so many people have been crying about this whole thing about not being able to fund social security since forever. Yeah. The debt ceiling and everything to made up thing. Yeah. It's not a real thing. They're always going to, well, I mean, there have been times where they let it lapse briefly. They likely will figure out a new budget. It's just political brinkmanship. Traders like this love to fucking do this shit.

I mean, they like their whole thing. They make their bones by... You think that he's trying to stir up shit to freak out the market. No, no No, I think he just they like like they love to stay relevant. They love to go on fucking Yes, that's a good point That's a good point Michael Buried loves his fucking oh He loves it. He loves his whole persona. He's been right once. Yeah He loves his to a big once. Yeah, he loves his story. It was a big once. Yeah, you know.

He's been right other times, but smaller, two smaller things. But these guys, the whole thing is like, being right once in a while and making a big bet. Yeah. And then so we have to, we have to listen to what they say about everything. Yeah, we have to hear their opinion about.

Well, should we get into... We gotta. We gotta get into what AI, what do we want to talk about? Well, we were, well, we were away. Oh, Byron. Joe Byron announced. He's running again. Yeah.

Doesn't he call himself Brandon now? I get the White House correspondent, and I think he referred to himself as Brandon. Oh, oh, I mean, to be funny. Yeah, yeah. He put on his glasses and was like, Brandon's coming. Dark Brandon. Dark Brandon.

Dark Brandon. He calls. I don't even think he understands the dark Brandon meme. Like dark, that was a, that was in response to people calling him dark Brandon. When he started doing, like, it was like people on the left were calling him based

for doing things like the student loan. Oh, right. Forgiveness. Anything that they agreed with, they were like dark brand in his coming. There was a weird period where he, it seemed like he was getting a lot of shots of whatever adrenaline or infetimines they've, they've got them on that cocktail. It seems like maybe they, they hit them too many times and he was going nuts.

He was like, at the White House Correspondence Center? No, no, no. I mean, I'm sure they hit them with it at that point, but what? His face, like his, just his fucking face. Oh, I mean, dude, since he announced now, whenever I'm on YouTube, I get ads for him asking for money, donate to my campaign. And it's just that like, right away, hello, on YouTube, I get ads for him asking for money,

donate to my campaign. And it's just that like right away, hello, and I got damn dude. Yeah, he really looks like a fucking crypt keeper. He's just, he's almost done. If he loves again, he will be so, I think he will be. He will die in office. Bernie Sanders came out and said he's not too old. Yeah, I mean, I get it. He's got to say that but fuck man. I mean this guy. It's all it's got to be kind of weird to at this point

Of it's like 50 50 your vote for Biden is kind of a vote for Come on Harris is he gonna it. Did he choose her again? I don't know I mean mean, it would be funny if they kicked her to the curb, but in favor of who would you like to see? I mean, if he's gonna die, let Bernie be his VP. Yeah, yeah, why not? But I mean, look, he does not, so people have been releasing polls. NBC News did one where, I mean, it's pretty shocked. So the first thing is his job approval for as president has dropped to 41% 30% among independence, just 38 percent approve of the president's handling of the economy. He trails a generic Republican by six points among that that means just like button head to head against any Republican.

Jesus. Uh, it's terrible. 41% saying they definitely are probably vote for Biden versus 47% who said they'd vote for the GOP candidate. And then this is probably the worst part. 70% of all Americans, including 51% of Democrats, don't want Biden to run for president in 2024. Yeah, I'm one of them. With nearly half of these respondents citing what factor do you think as the major?

His age. Yeah, he's fucking ancient. Yeah. So, I mean, with all the reports and everything, this was probably right around the time that they started reporting on Diane Feinstein going see now also at this point I mean I've said this before but we're this is fucking elder abuse let the man fucking get just Walk around and slipper you know, I mean just let him walk around and slip I mean it's just I want to know what drug cocktails are gonna because I would like to try them

Can you imagine us on the shit that they're giving Biden? We'd be like, oh, I'd be president by... Yeah. I always say, if I, like... If you tried metafinil, you'd be. If I actually committed to taking Adderall every day for... Oh, buddy, no. It would not be what you think.

You'd just be jerking off in front of the computer. I know, but if I could say five hours. No, because I didn't have that problem. My problem was that it starts to turn on me. In what way? Oh, just, you know, well, you can't sleep and, you know, it makes you depressed, you have trouble eating. So, but if I could capture that like that first week

of taking it at all, you know, when it's just like, oh, if I could get that for, I'd be president in 2036. I remember one of my best delusions on Adderall was thinking, I could be president. And I laid out, I'm like, I got to do it. I was running for mayor. Boom, done. Sorry, city council first, done. Mayor, done.

From there, easy step to either congress or senator I mean that's like 19 and I was like I could do that man. That's that's the most meaningful thing that I could do with my life to like positively have an impact on the world. Now it's this also I want to point to point out, because a lot of people, Republicans and people, excuse me, on the left have been talking, sorry, a lot about how the DNC, the Democratic National Convention is talking about how they are, they're not going to host primary debates. Yeah, because they already chose their guy, Brandon, dark Brandon. they're not gonna host primary debates. Yeah, because they already chose

our guy Brandon, dark Brandon. Yeah, but people like Marjorie Taylor Green and people on the left are like, this is fascism or whatever the fuck. But that's just commonplace for when there's an incumbent president, they did not do that for Obama, they did not do that for Clinton. Yeah.

I push Republicans did not do that either. Yeah, no kidding. And that's not to say I would like it if they did and to treat other candidates seriously. If they want to run, there's a big push to make it seem like anyone running like Mary Ann Williamson is just an absolute crazy person and she's just like a lady with her crystal ball or whatever, but I don't think that's the case.

I'd love it if they actually hosted debates, but I would not want to see Joe Biden debate. Actually, it doesn't matter how bad he would do. There would still fucking say like, wow, he won, can you believe it? Right. I mean, look, the plan is the same as it was in 2020. We know you're not excited about Biden,

but it's better than the alternative. You don't want the alternative. Things will get much worse if you don't vote for the shitty candidate. And we'll see if that's enough for 2024. It's gonna be a long couple of years, man. Well, who knows? I know.

Do you think it's gonna be better? Let's be optimistic. It's gonna be better. Yeah, why not? Speaking of things, getting better? AI, man. Oh, well, we forgot that. So the Republicans released an AI attack add.

Oh, on Joe Biden. Let's see it. Let's watch it. Oh boy, this should be good Here we go Now call the 2024 presidential race for Joe Biden This morning and in Bolton China This morning and in Bolton China Invates Taiwan

Financial markets are in freefall as 500 regional financial systems crumble What if our border is gone? What if crime worsens whoa? Wait positive they had an AI generated like Chad MS-13. Yeah, I never MS-13. Look at him, man. He's like, what is this guy from industry? Oh, dude. The whole thing, yeah, well, the whole thing.

What prompt did they put in their hot gang guy? Hot gang guy with MS-13 tattoo on his forehead? Damn, dude. Hot gang guy with the MS 13 tattoo on his forehead damn dude Yeah, it's it's definitely like a compelling message right like I mean, that's their whole thing. Yeah, what a whole thing is you know when you hear them talk about cities and everything It's like it's a fucking mess. I mean, that's not Joe Biden's fault and everything, it's like, it's a fucking mess. I mean, that's not Joe Biden's fault. Isn't?

But they're not even, they're not really a mess comparatively. Like when you, when you look at crime rates in New York city or whatever comparatively, when you're looking at rates not amount because there's a way higher population in New York, they're either comparable or much lower. To Republican cities? Or just smaller places? Not like smaller. in New York, they're either comparable or much lower. To Republican cities? Or just smaller cities?

Not like smaller. Ah, yeah. So it's just like, it's not really the truth. And now it's so easy to make things go viral and go, yeah, we were just talking about that. I can't remember his name. The guy who was killed in New York on the subway, Jordan Neely. Oh yeah, yeah, just happened.

Yeah, and I mean, that's, so there was a guy who was killed on an uptown train in New York. This was just this week, he was put in a headlock by a 24 year old Marine from Long Island. And it's, it's like, I think that, I think, that's a product of all these people everyone's so scared like And I think it's like oh my god. This is a crazy person from what is it's my foot. Oh, it's a crazy person From the city he's gonna kill us well cuz he wigged out on the train and then this guy freaked out and choked him out he, he was talking about how he didn't have food and water in a place to live.

Yeah. And I think he threw his jacket on the ground. I don't, I mean, I've been, I've been around a lot of people freaking out. I don't think that, yeah, same. Is there any reason to put them in a chokehold and kill them? Yeah. Well, if we get more Joe Biden, we'll get more all of the above crime and drugs. Give me the drugs. Get us more drugs. Well, we still

got AI. Fuck. Yeah, Microsoft, Meta, Google, Amazon, they all mentioned AI over 168 times on their recent conference calls. Cheg, did you see Cheg's thing? What happened? They mentioned AI. They said that AI is killing them and their stock dropped like 40% just immediately. Because apparently more college kids are using AI than to as study aids in their shit, which makes sense.

Does it though, AI gets a lot of shit wrong. That's yeah, that's another thing is it's out date. Well, depending on what you're studying, I guess, because the chat GPT only goes up to like 2021, 2021, right? I don't know. Isn't it? Oh, I thought that it was up to 2021.

I didn't say it's not. I said, I don't know. Oh, yeah. And then this fucking Google guy, the Godfather of AI, although then the article goes on to talk about how there are multiple Godfathers of AI. He's leaving. His name is Jeffrey Hinton.

He was like an artificial intelligence pioneer. He was at University of Toronto for a long time, and then an AI company he made with, I believe, some students of his got bought by Google, and he's been working at Google. But now he's saying he regrets. All these fucking guys, like if they knew the potential for it being bad, why I guess if you got to be the first to do it, You might as well be the first. Well, he actually he actually talks about it. He said, uh, he talks about he brings up Oppenheimer, right, who was responsible for the nuclear weapons program. Oppenheimer. Uh, yeah, he was talking about, you know, how if you have this opportunity to do beautiful things with science, you still want to do it. And he also, I don't think he thought

He was I think he knew there was a risk, right? But he said until last year he said Google acted as a proper steward for the technology careful not to really something that might cause harm but he blames the You know this arms race basically, you know Now that Microsoft has augmented its Bing search engine with a chatbot, challenging Google's core business, Google is racing to deploy the same kind of technology that tech giants are locked in a competition that might be impossible to stop. And you know, I find it, so he didn't, this has been happening quite a bit.

I'm sure you guys all remember there was a letter that a bunch of AI professionals signed about. Yeah. Halting. Doing a six month pause. I'm sure you guys all remember there was a letter that a bunch of AI professionals signed about yeah, halting. Doing a six month pause. But that would just give China the opportunity to surpass us. According to some of these things. These things are gonna be pretty hard to implement, right?

That's the big thing everyone's. It's not like nuclear arms, which again, is still hard to implement, but when you're doing something like that, you have to obtain Materials that are quite difficult to get right and you can kind of control You can kind of control the output of those sources and everything How are you gonna stop labs from working on AI right?

But yeah, so he didn't sign on to those he didn't sign on to any of those letters. He didn't want to trash Google while he was still working there. And then he told them he was going to be leaving for these reasons and everything. But I do find him interesting. So apparently he was working at American University first. Oh, Carnegie Mellon. He was working at Carnegie Mellon in the 80s. But at that time, all of the AI research was coming from the Pentagon, the Defense Department,

and he was like, I don't want to, I don't want to be working. That's when he made the shift to go work in Canada. The thing about AI that worries me is bio-weapons, like telling the AI to, I mean, he doesn't, I think he refers to it, but he talks about how they can start to, basically, one AI can be like 10,000 people doing research, and then that one talks to another AI, and they just exponentially fucking blow up. But all it takes is one bad actor to ask the AI to, or like Putin. Well, I guess, yeah, that'd be the definition of a bad actor. I think he references in the article about what if someone like that were to say, make me more powerful. Something like that.

And yeah, just the potential for them to use AI to make, yeah, like I said, like a bio weapon that could then be synthesized using fucking 3D printers or whatever. That's the thing that scares the shit out of me. That is pretty scary. That is pretty scary. An addictive, a new, highly addictive Coca-Cola. Yeah, that's his whole thing. He's like, I don't know how there's no way to prevent bad actors

from using this in a bad way. It's funny. There was a, I mean, it's just kind of tragic. He had this quote about He said, I can soul myself with the normal excuse if I hadn't done it somebody else would have At least he acknowledges that it's like the normal excuse Yeah, I mean, he's probably right, right? It's not like yeah, so it would all ofges that it's like the normal excuse. Yeah. I mean, he's probably right, right? It's not like... Yeah, so all of this, that's like the inevitable outcome of all of this is... Fucking God.

I'm just hired to being at the whim of a few big fucking tech nerd guys. Yeah. No? Truly. Like, I'm sick of being. It's like, all right, this is even just these CEOs talking about it. It's all of a sudden, they weren't talking about it at all a year ago. And then all of a sudden, oh, this company did it. And now we got it all right. Well, they talk about this stuff.

And that's what I find so funny. He's talking about, you know, oh, in 2012, oh, in 2015, I'm like, I didn't even know it was a thing in 2015. I didn't like, I heard about it a couple of years ago. Yeah, or like that guy work, oh, fuck, I can't remember his name, but he, there was that contest that they do every year and he won it in like 2012, 2011, and then it's been in development ever since and now he went on to work at OpenAI with him, Altman, and gave birth to this shit. Yeah. Okay.

Shit. But now he's scared about how fast it's happening and there's no soul. He said, look at how it was five years ago and how it is now. Take the difference and propagate it forwards. That's scary. So it's just going to continue to get more and more. It's going to happen at such an alarming rate. So I mean, I'd like to go more in depth and talk about because I mean, it's right now the US, European Union, and China, and I'm sure everywhere is doing role, role proposals for the regulation of AI.

And like in the Biden administration, that's basically asked for comment on what they think, what people think should be in these regulations and everything. And it's just like by the time you get anything on the books, it's gonna become a whole new thing. You guys are actually going to anticipate any of this. You guys move so slowly and they're just so behind the ball at this point. I mean, obviously, I hope that stuff gets put in place that makes sense and protects people, not only, you know, safety wise, but also artists and IP problems. Oh yeah.

I mean, people's jobs and livelihoods and hopefully there's a way to negotiate a sensible way forward. But I don't have high hopes for that. Oh, and especially when you look at the lawmakers talking to the TikTok guy, their grasp on the internet and technology is tenuous and vast. Exactly. Yeah, so,

well, at least we got the oldest man in the world at the helm. I mean, yeah, honestly, imagine like, I want to hear what he has to say about AI. Yeah, that would be interesting. But in that debate, that shouldn't be unreasonable with everything. Of course not. Right, but I do think there's a lot of people who would be like, don't be unfair. Don't be mean No, I want to be mean, but it's not mean. It's like he's doing what an old person is supposed to do Which is be like 86 and out of touch and eat double chocolate ice cream also what a dog shit come on dude

Cookies and cream Yeah, that's right so Yeah, I don't know don't feel great about but I'm still net positive I think I'm just everything I know we we get negative on here a lot, but I am overall positive on how society will be on human spirit. Yes, the human. Yeah. On our utilization of artificial intelligence to be overall a boon to society and not a in culture and not a detriment. If people at the helm can get their... Frigging act together.

I do have to say, I'm pretty, I go back and forth on the AI thing where I'm like impressed or just like, oh, this is bullshit. Yeah. Oh, not even terrified, just like impressed or the sucks. Oh, I mean, whenever I'm impressed, I feel like there's a sense of being terrified. And then whenever I'm like, oh, this sucks, I'm like, maybe just because you know, all these companies implementing this Spotify DJ, you're like, oh, yeah, remember that. Oh, cool.

They're doing it. And then you're like, this sucks. Yeah, it's fucking, it's just another iteration of Siri, which still fucking sucks. I still will ask Siri a basic question. It's like, I just found this on Google. And it's like, I'm not asking you to Google for me. But then on the other hand, there are, you know, to stick with like Spotify and music,

there are, there were people putting up songs where you could not tell that it wasn't the artist. Yeah, you're like, okay, that's kind of wild. Yeah. I haven't, I've been getting a lot of shit where it's like Kanye singing Taylor Swift Now that's that's that's evocative that makes me wow Anyway, should we wrap it up?

What do you think? I Think we have to yeah, got it, we got a long day ahead of us. We're a third of the way there. Gonna get a tuna sandwich. Are we gone for sandwiches? Well, yeah, what else are we gonna do? Hey, you know I love a sandwich. Yeah, and then I'm getting Ethiopian food tonight.

Oh, dude, I went to one recently. Really fuck that shit up, it's great. Yeah, did you just swap it? Did you just get the meat right up the bread? No, no, no, what veggies? What's the bread called? Spongebob cake. It's not doll, is it?

I don't know. Non? No, it's not. No, no, no. If you know, leave it in the comments. If you know what the bread is called, if you know what the bread is called, if you know what the Ethiopian bread is called,

it's probably not even bread, it's something technically something else. We'll see you in after hours. We love you. Bye. Probably not even bread, it's something technically something else. Uh... We'll see you in after hours. We love ya. Bye. This week on After Hours. I'm like getting ready to start freaking out of him and he was like,

do you mind if we have a quick chat? Truly, I'm starting to think like maybe I did something to you. I'm like, did I fuck your girlfriend? Like, why are you fucking treating me like this? I guess maybe an Italian fucks this girlfriend. We should just become drug dealers. Wouldn't that be fucking sick? Or just multivitamins, prenatal vitamins.

Because I know what we're gonna do. But drugs would be more fun. We should run drugs for the CIA. I want to move back to New Jersey and just like get like low level into the mafia. But then all it takes is the guy being in a bad mood. He'd joke Peshy mode and he's like, do you think you're a clown? Make me laugh clown or whatever.

I hadn't mean any of that, Joey. I'll suck you off right now. I swear I'm sorry. I'd be good at it. Sucking off? Not too much. Sign up on TMGStudios.tv to watch the full bonus episode. Suck it off.

Not too much. Sign up on TMGStudios.tv to watch the full bonus episode. Ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha