Live updates: An AI credit bubble could set up bitcoin’s path to $1 million
Arthur Hayes, co-founder of BitMEX, suggests that the current AI infrastructure buildout is a credit-driven bubble similar to the 2008 financial crisis. He predicts that eventual market instability will lead to government liquidity injections, which he believes will drive Bitcoin prices toward $1 million.
Why it matters
It provides a contrarian financial perspective on the sustainability of the AI boom and its potential impact on cryptocurrency markets.
In a new essay , the co-founder of crypto exchange BitMEX and crypto fund Maelstrom said the ongoing infrastructure buildout is a credit story like 2008, not an earnings story like the 2000 dot-com bust.
Hyperscalers, or computing frms borrow against their massive data centers, are stuffed with chips that depreciate fast, and lenders bankroll it believing they are financing technology when the underlying asset is closer to real estate.
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