Regulatory Capture: How Big AI and Washington Are Rigging the Game | The Tom Bilyeu Show

Good morning, everybody. Today we're diving into a story that is unraveling right before our eyes—the truth behind the AI doomer narrative that's completely consumed the headlines. I’ve been going deep, and I mean DEEP, into who’s funding this panic, who stands to gain, and how fear is weaponized at the highest levels to push for regulatory control and consolidation of power. This episode is all about following the money and exposing the shocking coordination happening in the world of artificial intelligence. Listen up: if you have any interest in how technology shapes our world, who makes the rules, and how you can navigate the coming storm, you cannot miss this one. We're highlighting the players behind Anthropic, dissecting how regulatory capture works, and laying out exactly what you need to know so that you stay in control—rather than being manipulated by fear. My goal is for you to walk away from this episode understanding not only the stakes of the AI revolution, but how to separate hype from reality in a world driven by narratives, money, and power. What's up, everybody? It's Tom Bilyeu here: Want my help starting a business? Join me here inside Zero To Founder https://tombilyeu.com/zero-to-founder?utm_campaign=Podcast%20Offer&utm_source=podca[%E2%80%A6]d%20end%20of%20show&utm_content=podcast%20ad%20end%20of%20show Sign up for my AI Masterclass: AI Masterclass https://tombilyeu.com/ai-masterclass?utm_campaign=Live%20Masterclass&utm_source=podcast&utm_medium=evergreen Follow Me: Instagram:https://www.instagram.com/tombilyeu/ Tik Tok:https://www.tiktok.com/@tombilyeu?lang=en Twitter:https://twitter.com/tombilyeu YouTube:https://www.youtube.com/@TomBilyeu Tailor Brands: Check out Tailor Brands to get started with your business today: https://bit.ly/TailorBrandsSept Quince: Free shipping and 365-day returns at https://quince.com/impactpod ElevenLabs: Book your demo at https://elevenlabs.io/impactpod Cash App: Download Cash App Today: https://capl.onelink.me/vFut/v6nymgjl#CashAppPod *Cash App is a financial services platform, not a bank. Banking services provided by Cash App’s bank partner(s). Prepaid debit cards issued by Sutton Bank, Member FDIC. Cash App Visa® Debit Flex Cards issued by Sutton Bank, Member FDIC, and The Bancorp Bank, N. A., pursuant to a license from Visa U. S. A. Inc. See terms and conditions for the Sutton prepaid card, Sutton debit flex card, and Bancorp debit flex card. Cash App Green features, Savings, Direct deposit, Round ups, Overdraft coverage and Discounts provided by Cash App, a Block, Inc. brand. Visit cash.app/legal/podcast http://cash.app/legal/podcast for full disclosure. Butcherbox: Go to https://ButcherBox.com/IMPACT https://butcherbox.com/IMPACT to get $20 off your first box, plus your choice of free ribeye, new york strip, or filet mignon in every box for a year — with free shipping always Perplexity: Start your free trial of Perplexity Computer today at http://PPLX.ai/impact http://pplx.ai/impact and experience the next phase of AI. #ad makeup Pipedrive: Get more leads and grow your business. Go to https://www.pipedrive.com/impact and get started with a 30-day free trial. Netsuite: For the first time ever you can try NetSuite Next for free. If your revenues are at least in the seven figures, go to https://NetSuite.ai/Theory https://netsuite.ai/Theory. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

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• 0:00Tom Bilyeu?

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• 1:07Speaker 01

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• 1:38Tom Bilyeu?

  Good morning, everybody. Welcome to another episode of the Tom Bilyeu Show Live. This one is a big one. The AI doomer narrative is getting exposed as a coordinated psy-op that is meant to scare us all into compliance. I have been going super deep on this one. People have mapped out the money trail and the results are absolutely shocking. Aye, aye, aye. The co-creator of ChatGPT says he's created the next generation of AI and it's going to change everything. But what's going on under the hood is controversial. We're going to look at that. The oil crisis is getting much worse than people realize. Saudi Arabia is canceling deliveries to Europe and the US is rumored to be considering a pause of diesel exports itself.

• 2:22Tom Bilyeu?

  And bond yields continue to climb under the global strain. We're going to go into exactly what the chain of cause and effect is there. Trump's administration is losing more power by the day. The Clarity Act, which was supposed to be a signature Trump policy, got swatted down by the Senate with even some Republicans voting against it. Boys and girls, what is going on? And when I say what is going on, if you are trying to do anything incredible with your own business, man, you've got to really nail everything down. And that's why I am truly happy to be partnered up with Tailor Brands. These guys, if you're launching a business, they take all of that brutal stuff that you have to do at the start and they just simplify all of it. It is absolutely incredible.

• 3:06Tom Bilyeu?

  I wish that they had been around when I started Quest or when I started Impact Theory. Man, they take all of the mind-numbing stuff of getting an EIN number, making your company actually legal and real, all the bookkeeping stuff, banking payments, that kind of thing. They just simplify all of it. So if you guys are thinking about starting a company, click the link in the description and get started. Shout out to those guys for supporting what we're doing here. Because what we're doing here today is trying to uncover what is going on with this AI doomer narrative. The AI doomer narrative has absolutely dominated the headlines this week, but it's really getting exposed as a coordinated psy-op. If you dig into this stuff yourselves, you guys are going to see it is completely crazy.

• 3:50Tom Bilyeu?

  People have mapped out the money trail and the results are some of the most grotesque examples of how money and influence are being used against us to mass manipulate people's perceptions of a given topic, in this case, AI, so that the government can gain more control. That sounds so conspiracy-brained, but I'm telling you, I didn't start there. That is not where I thought that this trail was going to lead me. But as I was doing a full-blown deep dive on this topic, which is going to be coming out next week, I ran into an inevitable conclusion that there's a really, really small number of people that are pushing something that is so coordinated that it becomes easy to just break down exactly where the coordination lies.

• 4:34Tom Bilyeu?

  And all you have to do is track the money and it becomes self-evident that the coordination is happening at a whole bunch of levels. And it's basically a planned governmental takeover of AI. So we just went through basically what you can consider a marketing launch of AI doomerism. Obviously, it had been cooking in like a pre-alpha state in the background for a while, but this was its official launch. And to make a marketing blitz like this really turn into something that's real, in this case, regulatory capture, you need a whole series of like different chess pieces that you have to put in place before the launch. It is crazy how much this is actually run like a product launch. But the product is fear.

• 5:18Tom Bilyeu?

  The product that they're selling is everybody should be afraid of AI. Now, if you're doing a campaign like AI doomerism, you're going to need a set of like known things. Again, you can literally teach this kind of stuff. This is like marketing 101. So you're going to need a messenger. In this case, it was Coxon plus Amade. You need a launch. So you've got Coxon's coordinated resignation plus the fact that he had done a journal article ahead of time that actually came out before his tweet, came out 18 minutes before he actually did his announcement. And now Netflix has a documentary dropping on the whole AI movement and how scary it is. You're also then going to need an amplifier network.

• 6:03Tom Bilyeu?

  So in this case, we've got think tanks and action groups that are funded by essentially two investors of Anthropic. They're both investors of Anthropic. You're going to need a political vehicle. So think tanks and lobbying groups, again, funded by the same investors of Anthropic, plus Bernie Sanders pushing legislation that's written by a group funded by, you guessed it, those same investors of Anthropic. And then for all of this to matter, you need some sort of payoff. In this case, it's going to be regulatory capture and the protection from competition and the debt burden that is threatening to eat Anthropic and OpenAI alive.

• 6:49Tom Bilyeu?

  You put it all together, it is very clear to see that every piece was in place before the Coxon tweet that ends up being the tweet her around the world. And every piece traces back to the same funders. And they are very easy to name. It's Dustin Moskovitz. And I believe his first name is pronounced Yon, but last name Talon. So these are two Anthropic investors and their funding has touched every node in that psy-op that I just walked you guys through. If you're looking at your screens, people have gone through and mapped out like every dollar where it's going. I didn't even mention Meter, by the way, in all of this, which is the supposedly independent group that's going to be like the watchdog agency.

• 7:33Tom Bilyeu?

  But it's funded by the same people funding Anthropic and basically hand-chosen by Amade. So it's absolutely insane. You have former employees from OpenAI and Anthropic going to Meter. So there's that layer of incestuous connective tissue as well. It is really crazy how in the modern era, we're able to map all this stuff out and start disseminating it very quickly through social media. I've talked about this before, but one of the most interesting things that was on my mind when I was reading the book, Machiavellian's Defenders of Freedom, was he's talking about in the book, James Burnham.

• 8:13Tom Bilyeu?

  He's putting together this argument that is basically, I don't know how society is going to function in a world where we have so much velocity and volume of information because historically, the only way that we've kept a society coherent is effectively by lying to people. We give them a story, we give them a narrative and they don't know any better. They don't have any way to fact-check it. And so the thing that gets repeated becomes effectively truth until historians go back through and dig through everything and compile, you know, oftentimes hundreds of years later, compile a look back at what was really going on. But in the moment, people basically just believe the narrative. Now we're able to start dismantling this stuff in real time.

• 8:55Tom Bilyeu?

  And when you're looking at these interconnections, you really do keep coming back to two names, Moskovitz and Talon. Now, Moskovitz is the whale. His foundation, Open Philanthropy, which later changed their name to Coefficient, they've given more to AI safety than everyone else combined. Now Talon's Survival and Flourishing Fund remains important in all of this, even though they've only given a fraction of that because they were also the lead investor on the Anthropic investment round. So they were one of the, with Moskovitz and a small handful of other people, the ones that really got Anthropic off the ground. Now, if you really want to get weird with all of this,

• 9:34Tom Bilyeu?

  it's also tied to a very strange movement that some of you may not even remember called effective altruism. Now, if that rings a distant bell, it should because that was the movement that was driving Sam Bankman-Fried, better known as SBF, who ends up going to prison for an extraordinarily long period of time because he stole his customers' money at FTX in order to basically try to prove the theory of effective altruism, which is that everybody should always be looking at what is the most effective way in terms of doing good that somebody can do with every dollar.

• 10:14Tom Bilyeu?

  Now, obviously, that does not comport with laws at times, certainly not the way the SBF was doing it. It doesn't comport with what I will say are ethics. So that whole movement is still looming in the background. And a lot of the people that gave birth to OpenAI, a lot of the people that are on the team at Meter, they're still tangentially tied or some directly tied to what's going on in the effective altruist movement. So we've already seen that blow up in a huge and spectacular fashion with FTX and SBF, so many acronyms. And so knowing that as you track all this back, you start coming back to those same people,

• 10:55Tom Bilyeu?

  those same dollars circulating around Anthropic, the whole AI safety movement. And I'm very actively going to put safety in quotes. I think that the real agenda here is very simple. It is very direct and you see it given the way that this coming out party, this launch party for

• 11:18Tom Bilyeu?

  fear as proof of power.

• 11:22Tom Bilyeu?

  For Anthropic, it bleeds over into OpenAI, but it's really directly related to Anthropic. The way that that plays out, you can just see all of this in motion. We're hitting pause for a moment, but there's plenty more ahead, so don't go anywhere. There's a reason Quince sells cashmere for $60, and it isn't the cashmere. It's real 100% Mongolian cashmere. It's the same stuff luxury labels charge a fortune for. Quince just works directly with ethical factories and cuts out the middleman. So there's no need for a markup and no logo tax. The $60 goes to the actual sweater, not the fancy name on the tag. That's why everything they make runs 50% to 80% less.

• 12:07Tom Bilyeu?

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• 12:51Tom Bilyeu?

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• 13:35Tom Bilyeu?

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• 14:18Tom Bilyeu?

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• 14:56Tom Bilyeu?

  Thanks for sticking around. Let's get right back into the action.

• 15:00Tom Bilyeu?

  It brings up this very strange contradiction that I'm going to walk us through, but let's hear it coming from Elon. What he's setting up is you've got this dichotomy between we're trying to raise money for the most important technology, arguably that humans have ever created. There are trillions of dollars at stake here. The very people warning you about the existential risk of AI stand to profit massively from the IPO going well. So how is it that it would be in their best interest to both scare you to death and tell you that there's something existential going on and be trying to get to the IPO?

• 15:44Tom Bilyeu?

  With that framing, take it away, Elon.

• 15:47Speaker 02

  You mean Dario is right about describing the potential harm? He's right about describing the regulatory solve, both the first, the latter? Just can you help us understand when you said that? Because I think it was sort of a moment where everybody's like...

• 16:01Speaker 03

  I should have said more than... I probably should have said that Dario is right. I did try to clarify it in subsequent posts on X, but those get much less attention.

• 16:11Speaker 03

  So what I meant by he's right is that the danger of AI is very significant at this point.

• 16:23Speaker 03

  That we need to do better with AI safety, or we have, at this point, exponentially increasing risk with the AI models.

• 16:36Speaker 03

  So, and I've heard this not just from Dario, but from many other people at Anthropic. And in fact, they've posted on X about it.

• 16:45Speaker 03

  That, you know, when a lot of people from Anthropic and from OpenAI are telling you that their models are very dangerous, I think we should believe them.

• 17:00Speaker 03

  It certainly is like some crazy 4D chess to, you know, say there's whatever, 10% chance of annihilating humanity. But by the way, how much allocation would you like in our IPO?

• 17:17Tom Bilyeu?

  All right, that really is the central thing to understand because that tension is actually, it reconciles pretty easily if you understand the idea of regulatory capture. And it seems like complete madness and contradiction if you don't understand the idea of regulatory capture. So what's going on right now in AI? The reason that they've had this huge, hyper-coordinated launch of AI dumerism as proof of power of the technology is that I believe their real goal is to drive the valuation of Anthropic specifically up as high as possible. They have said that they're going for an IPO valued at $2 trillion,

• 18:01Tom Bilyeu?

  making it one of the biggest companies ever to exist in human history. So they've got to justify that number. Now, I also think that the effective altruist movement is indicative of a mindset that you find certainly in Silicon Valley, but I think that you just find in general with anybody that has strong authoritarian tendencies. They believe that they know better, and therefore they want control. So if you have the mindset of I know better and I believe I should be in a position of control for the world, by the way, which is why you'll hear sort of one-world agendas coming out of their mouths. This is exactly what Dario Amade was talking about when he said, "Well, I might even be willing to hand over the technology

• 18:46Tom Bilyeu?

  to a certain set of democratically-elected governments that, you know, we're involved with in some way." It's like, yes, exactly. We want to have one-world rule that's overseeing all of this, and we want to be in control of that. So if you have that mentality and your entire financial future is tied up in how well Anthropic does, what I think is really going on is you've got to put something out there that proves that this technology is so powerful that it's worth the ever-increasing valuation that they're asking to get. Their fundamentals are completely divorced from any business reality whatsoever. The valuations are entirely narrative-driven. There is no historical precedent for the kinds of valuations that these guys are getting.

• 19:31Tom Bilyeu?

  It's all just, do people believe that it's going to be so powerful in the future that it's likely to change everything? And therefore, if it changes everything, I don't really know how this is going to play out, but I know that all the money in the world is just going to get sucked into this one area. And this is one of the leading companies in that area, and so they are likely to get a gigantic piece of that pie. And therefore, this is going to be insanely valuable. And so even though I'm looking at pulling forward like 80 or 100 years of revenue at current run rate, that is going to happen because this is just going to be such an important and powerful transformative technology. Okay, well, how do you sell that? One of the ways that you sell that, one of the easiest ways arguably to sell that, is to tap into people's fear and to say,

• 20:14Tom Bilyeu?

  "Look, this technology is so important that it just, it could kill us all." Okay, now, as people like Jensen Huang and Mark Zuckerberg, quite frankly, have said, "Listen, if you actually think it's unsafe, stop developing it." That was another thing that David Sacks said. Cool, or Elon saying, "Hey, I believe you. You're saying you're dangerous. I believe you." But then what are you doing? Why are you pushing this forward? It's so weird to be like, "Hey, we might kill you, but how much, what do you want your allocation in the IPO to be?"

• 20:44Speaker 02

  Less ridiculous, like we're...

• 20:45Tom Bilyeu?

  Absolutely crazy.

• 20:47Speaker 04

  Um, this is from Zuckerberg, who surprisingly is the voice of reason on this. Um, every lab has a responsibility and incentive to move at the pace required to train its models safely and the ability to take its own actions to ensure that happens. The reality is people won't want to use agents that are misaligned with them and they don't do what they ask. So labs have a strong natural incentive to make their models more aligned. There's a lot of debate about slowing down progress on capabilities until alignment catches up. My view is that trust and alignment are quickly becoming the most important capabilities that will differentiate agents and models. Any lab that doesn't focus on alignment will fall behind. Lab forces significant liability if their models cause harm, so they have a strong incentive to prevent this as well. Meta delayed Muse for several months to focus on safety and security. We didn't call for anyone, everyone else to do this before we would.

• 21:30Speaker 04

  We just did as it, as part of our day to day work because it was clearly the right thing for the people and for us. I'm proud of the security foundations we built. Engaging independent evaluators and advisors is industry best practice. MSL already does this today in several areas because it helps produce better work. Other labs can just do this too. In general, it would be helpful for there to be a larger and more diverse ecosystem of evaluators.

• 21:50Tom Bilyeu?

  All right, so that is a shot fired directly at Anthropic. And the question becomes, why are they banging the drum so hard to get the government to come in and put these regulations? When clearly they don't need to wait for anybody else. If they think that they're doing something dangerous, they should immediately stop. As Jensen Huang pointed out, safety in many ways is job number one. So if you're failing at job number one, why are you still running the company? Why are you still pushing towards a IPO? You should immediately slow down, pause, whatever. Now, the reason that I don't think that they're doing that is I don't think that they actually believe the level of dumerism that they're putting forward.

• 22:29Tom Bilyeu?

  I do, much like Elon is saying, hey, these things, there is risk here and we do have to be focused on alignment. As Zuckerberg just pointed out, it's becoming increasingly important that people put that front and center in how they're developing these. And only the labs that are able to be successful at getting alignment should be the ones moving forward. Because customers shouldn't want and won't want to engage with a product that is betraying their own interests. But Anthropic keeps pushing this. So the reason that I think that they're pushing it is if they can make you afraid, then they can make you compliant and you will vote for things. And we're already seeing that it's an 80/20 voting issue that 80% of the voting public is saying

• 23:13Tom Bilyeu?

  that they want AI development to be slowed down. So if you're Anthropic and you understand regulatory capture, then you say, cool, let's make everybody afraid and it kills two birds with one stone. Bird number one is it proves this technology is getting so powerful that it justifies the insane valuations. It's going to be as world transforming as we say it is. And two, because we're in the rooms writing the rules, because the same funders are writing the bills. So the people funding Anthropic that stand to benefit are the ones writing the rules. Now you can imagine if you've got Bernie saying, hey, this is exactly how we legislate it. This is how we put the regulatory compliance in place and that's written by one of the investors, Talan specifically.

• 23:58Tom Bilyeu?

  Then all of a sudden it's like, oh, okay, cool. I see how this works. Get people afraid, get them to vote for something that we wrote, that we know is good for us. Now, the question is, how on earth is regulation good for these companies? Flashback to when Biden was in office and Biden had told Marc Andreessen, who's one of the biggest investors in the space, stop investing in AI companies. We're not going to let them exist. There's going to be a small handful, two or three, and that's it. And we're going to stop everybody else, most especially open source models. Which by the way, given that that is currently Meta's preferred choice. Llama is an open source model. You can understand why they're sort of on the outskirts of this and handling things very, very differently.

• 24:41Tom Bilyeu?

  They don't want to be regulated out of existence. So you've got a view that, okay, if I can control the regulatory hurdle, then running my business becomes infinitely easier. And this is the part that people, they, people just don't understand how regulatory capture works and why companies go for it. First of all, it is usually the companies or the think tanks associated with them that end up writing the legislation. So it gets written in a way that's friendly. Okay, this is exactly what SBF was doing. So Sam Bankman-Fried, the FTS criminal who goes to prison, was giving massive amounts of money to the government lobbying. He was second only to George Soros.

• 25:21Tom Bilyeu?

  And his whole thing, when he got caught, was to admit, yeah, like this is basically just PR. This is just me trying to get control of the way this is going to be handled. This wasn't about me actually thinking this is precisely what needs to be done for the industry, but it was going to kill office competition. Regulatory capture kills competition. Regulatory capture puts a regulatory burden that carries an absolutely massive dollar sign attached to it and makes it very difficult, if not impossible, for incumbents to get in. Now, Dario has said very specifically, no, wait, hold on. The regulation that I want to put in place is specifically differentiating between the little guys and the big guys. And that way, the big guys have this expensive burden, but the little guys don't.

• 26:06Tom Bilyeu?

  And that sounds like he's looking out for the little guys. But what he doesn't acknowledge, but is abundantly true, that he's created a moat. So he said, these are the ones that are so systemically important that from a national security standpoint, the government should be looking after anyway. Putting the taxpayer on the hook when we talk about going against China, when we talk about how important AI is going to be to infrastructure and all of that. And then creating a very big burden for anybody that wants to cross that chasm and get into the big leagues. Now, the problem is to cross that chasm, you have to already be able to pay for that burden. Because you can't build the systems that you need to build without doing so in a compliant fashion.

• 26:49Tom Bilyeu?

  So now whoever's inside that bubble is protected by this gigantic expensive regulatory moat from anybody that would come and disrupt them. And please understand, the way the disruption works, you are not, historically speaking, disrupted by one of your known big competitors. You end up getting disrupted by the little guy. Nike just fell off of the S and P 100. Now, they didn't lose that position because of Adidas. They've been side by side with the big shoe companies forever. They lost out to On and Hoka, the new guys that were approaching things in a totally different fashion. Your lunch, this is exactly how I got wealthy. Quest was the new kid on the block. We were infinitely small compared to all of our competitors.

• 27:34Tom Bilyeu?

  But because there was no regulatory burden that stopped us from actually getting into position, we were able to defeat the people that came before us that had way more capital. I mean, way more capital than we had. We were able to beat them because we got a better idea to market. Now, if we had had a $50 million regulatory hurdle that we had to cross before we could get into business, we never would have been able to do that. And so the very kinds of disruptive technologies that end up replacing the incumbents and keeping things fresh and moving forward, they are basically killed in infancy by regulatory burdens. So this is a game that people play all the time.

• 28:15Tom Bilyeu?

  Now, this is not me appealing for no regulation, but this is me saying you have to be insanely careful and very nuanced about how you regulate something. It needs to be very light touch and it needs to be with a very keen eye for the way that entire process gets hijacked by the same money that benefits from these companies working. And if we don't keep that in mind, if we are not pulling that front and center, if we don't understand that the big players are the ones who benefit from you being afraid of their own technology, then we're going to vote for something that's stupid, that will ultimately kill American innovation, that will make AI dramatically more expensive than it needs to be.

• 28:56Tom Bilyeu?

  Because an open source model essentially sets the floor at zero, that you're just going to keep driving the price lower and lower and lower and lower as a way to get customers in, which is precisely what they don't want, right? When was that last big hit to their valuations? When you had the DeepSeek moment. Between DeepSeek and Kimi K3, you see like these real assaults on these frontier models being able to justify their high price, which is why you see escalating calls for these regulatory hurdles, which would basically by definition outlaw the open source models. So man, I highly encourage you guys, if this is something that you care about,

• 29:39Tom Bilyeu?

  to start looking at the way that the money is interconnected with Moskowitz and Talan controlling essentially all of the nodes in this big push to make everybody afraid, to get the regulatory burdens put in place and to understand how Anthropic, more than anybody, sees themselves as being involved both with the technology itself, the regulation, and the governing body that they're pushing for, Meter, that would come in and say, this is, you know, good or bad or not. And they're calling it independent, but it's funded by the same people. It is wild, man. It's wild.

• 30:19Speaker 04

  And to increase pressure on them, the co-inventor of ChatGPT, Diego Almeida, has just released a new model.

• 30:28Speaker 04

  I actually joined the waitlist. I was waiting to kind of play with it, but I haven't got approved yet. It's called Jev, J E V. But the big things I would like to highlight is that it's two to 200 times faster and 40 to 40x cheaper. They're talking about you have 48 billion token code, coin tokens, and it's worth 43 cents compared to what it would be in some of the other L L M. So it seems like the regulatory capture thing does make more sense as we're seeing more open source models, both externally and now some popping up in the U. S. as well.

• 30:58Tom Bilyeu?

  No doubt, and we'll get to Jev in a minute, but one more thing to put on the table is please keep in mind, these guys are under a debt burden, the likes of which may be truly unprecedented in human history. I'm not sure if we've ever had this level of debt, but it is certainly up there with the biggest technological transformations of all time. And they know that historically, you, the first batch of people end up getting wiped out because the revenue just doesn't come in fast enough to deal with the level of debt burden. So if you've got that kind of debt burden and you've got the young whippersnappers like Jev coming after you with supposedly superior technology, you need to get the taxpayers on the hook for this.

• 31:41Tom Bilyeu?

  You've got to convince people, hey, listen, China's doing their thing. We've got to keep up with them. It's a true statement, by the way. But if you can also get it believed that, hey, we're the ones that are big enough to pull this off. Come in, regulate us. We need your help, Daddy. Regulate us harder. And then they come in, they do that, and they know, ha, ha, ha, that's going to keep out all of these other guys. And by the way, because we're so systemically important to the national security interest, which again is true, but then the taxpayer is going to have to pick up the dime because we are the industry. We've made it impossible for other people to come in and actually enter the field and show that they can do something better. And that's the game.

• 32:22Tom Bilyeu?

  So now they're protected from their debt burden and they're protected from the competition that would otherwise, by the way, be great for the consumer because it would make the functionality better and it would drive costs down. It is a brilliant strategy if you don't mind being evil. And unfortunately, these guys clearly don't mind being evil and they are hardly the first. This is exactly what happens to industries as they mature. The big players try to make sure that they have a moat to protect themselves from the known killer of every old, successful business. And that's a young upstart with a better idea. They don't have as much cash, but they have a better idea. They have more energy. They're more nimble. And they take out the old companies time after time after time,

• 33:06Tom Bilyeu?

  which is exactly why the friction is always between building a monopoly and just trying to be willing to fight on a fair playing field. That's always going to be the tension. The government's job is to make sure that the playing field is fair. The government's job is to create regulation that equals out the playing field. It is not to leverage fear to clamp down on something that has not proven that it actually needs to be clamped down on. And we haven't even talked about how with every day, people are getting a new lens on the hugging face debacle. But the problem is it grabs headlines for a week and then nobody talks about it as the corrections start coming in.

• 33:48Tom Bilyeu?

  Like some of the stuff that people are looking at now is OpenAI gave internet access to the thing that was running the test. So all it had to do was realize, oh, wait, you guys have left like this back door open. So we'll need more time to figure out if that was malicious. But one of the companies that does some of this testing has ties to the same investing houses and think tanks. And so it's like, okay, hold on a second. We're going to need to figure out if anything nefarious is going on there. If that's all part of this, if they wanted to have a bit of plausible deniability. Hey, guys, we get the drill. This is total speculation on my part. I'm not making a real accusation.

• 34:28Tom Bilyeu?

  But if you look at, you could see a scenario where the testing house gets what we're trying to do in the grand scheme in terms of who needs to control what, in terms of where the investment dollars are and who's going to win financially if OpenAI or Anthropic does well and can get their regulatory capture. And hey, if we accidentally gave this thing a backdoor to the internet so that it didn't actually have to be a rogue agent, it was simply doing what you told it to do, since the test was you. So part of hugging face was they were testing a model that it had its security measures stripped out.

• 35:10Tom Bilyeu?

  So we're effectively testing, what does a rogue agent look like? It's not like, oh, we put every confine on it that we could and it still somehow broke free. It was, no, no, no, we're stripping those limitations away. And now we're putting it in a box where it supposedly can't reach the internet. We're going to see what happens. But the testing company actually had a backdoor that they, I guess, forgot about. I'll have to look deeper at those details, but it's something in that neighborhood. Oh, snap, we didn't realize that. Oh, yeah, there was this one way that it could get out. Okay, maybe, maybe pure accident. Maybe everybody has good intentions. That is possible. It's a very real read on the situation and you just never let, you know, a good P R beat go to waste. And so they're making use of it.

• 35:51Tom Bilyeu?

  Or it could have been, maybe we turn a blind eye to the fact that there is a backdoor here. Again, I don't know that that's true, but that's the kind of thing that has to be investigated so we can find out what is really going on here. Because once you see the incentives, the outcome becomes far easier to predict. And when you assume that this really is a coordinated psyop to make people afraid as a way of proving that it's powerful and worth evaluations and that it needs government regulations, which will eliminate competition and save them from their debt burden. Now all of a sudden it's like, yeah, everything that I see makes all the sense in the world, especially when I understand all the A I. Safety people. They make an absolute fortune if Anthropic and OpenAI win in the markets.

• 36:36Tom Bilyeu?

  We're hitting pause for a moment, but there's plenty more ahead, so don't go anywhere.

• 36:41Tom Bilyeu?

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• 37:25Tom Bilyeu?

  That's S U R F S H A R K dot com slash Tom B. Surfshark dot com slash Tom B. Use code TOMB for four extra months of Surfshark.

• 37:42Tom Bilyeu?

  Thanks for sticking around. Let's get right back into the action.

• 37:46Speaker 04

  Who makes a fortune? Wouldn't they be?

• 37:48Tom Bilyeu?

  Well, the two people that are most tied into this, they are not the only people, but the two people that are most tied into the anthropic story that we're talking about right now is Dustin Moskovitz.

• 37:56Speaker 04

  They make a fortune.

• 37:57Tom Bilyeu?

  So he, and by the way, let's just go deeper in the drama, Drew. So Dustin Moskovitz, there is a A I. Tech C E O that he would have a right to hate. I don't know that he does, but he would certainly have a right to hate him. If you saw a little movie called The Social Network, you will know exactly who that person is. And that is our boy Mark Zuckerberg. These were the two people that went head to head. Dustin, Dustin Moskovitz is the Andrew Garfield character. So now you've got one of the co-founders of Facebook that got booted out, had to fight tooth and nail, felt betrayed, claws his way back to billionaire status by, you know, all the different lawsuits and stuff,

• 38:42Tom Bilyeu?

  gets his money and now is targeting the exact type of A I. That Zuckerberg is using. Now, probably just icing on the cake for somebody who may still hate that kid and feel some type of way. But oh, does it get just that much more interesting when you realize, holy shit, wait, this is those two guys colliding once again. And so when you've got Zuckerberg taking shots at what everybody is reading as a shot at Dario, in some ways, it's actually a shot at Dustin who's funding the full gamut of all these things.

• 39:17Speaker 04

  Gotcha. The, the pies, what is it? The things that unfold?

• 39:24Tom Bilyeu?

  The layers of the onion will be peeled back. The, I'm not sure. I do get what you're saying.

• 39:29Speaker 04

  It would unfold. Something would unfold.

• 39:31Tom Bilyeu?

  In the fullness of time, all will be revealed. That is for sure.

• 39:34Speaker 04

  I'll take that one.

• 39:35Tom Bilyeu?

  Historians will certainly have a clear picture. But part of what I'm getting across with the Machiavellian's thing is we're finding out a lot more about this stuff in real time. And so we're all going to be these.

• 39:47Tom Bilyeu?

  Willing or unwilling participants in the battle for the narrative. And that's what's interesting because normally I think this narrative would just have been done and dusted and sealed. But that's not what's happening. People are actually coming out and attacking it. And so it's very interesting to see the difference in the Trump administration's approach to AI and the left's approach. Oh, I didn't get into this. So Obama goes to the fundraiser with Hakeem Jeffries very recently. And he says, yo, you guys need to pay attention to how risky AI is. Now, I am telling you, given that Microsoft and Microsoft linked companies, according to Mike Benz,

• 40:31Tom Bilyeu?

  have funneled $112 million into the Obama Foundation. Obama is very well read in on what's going on with AI. Regulation, the opportunity for this to be a true 80 20 issue for the Democrats to get away from some of the culture war stuff that they're just going to get hammered on. And move into just, let's talk about the midterms. Then immediately you see that the Democrat machinery moves into place. And they say, we've got to have this emergency meeting about what's going on here. And you've got Bill Gates is also donating to the Obama Foundation.

• 41:15Tom Bilyeu?

  And Ballmer's wife, I think her name is Connie Ballmer. She's on the board of the Obama Foundation and Microsoft is one of the biggest investors in OpenAI. So once again, the very people who stand to benefit financially the most from regulatory capture are the people pushing for regulatory capture. So yo, show me the incentives and I will show you the outcomes.

• 41:42Speaker 05

  Um, that was a, I was going to clarify the 112 million. That was a rumor that's not real. So the real number that the Obama Foundation has received from Microsoft when they started giving, or when they started accepting corporate gifts in 2017 is about a million, in the range of a million.

• 41:56Tom Bilyeu?

  So I will, I will give you this. Anthropic and Ryan agree on that reading. I am hyper aware of the numbers that Ryan is giving you. And the numbers that I'm giving you are from one guy. And so take them with a huge grain of salt. But Mike Benz, who's got a pretty decent track record of following the money. It's what he does for a living is saying, I have mapped out a lot more donations than people are talking about. But even if we grant that the numbers that Ryan just read are the real numbers and Mike Benz is on an acid trip off in La La Land.

• 42:41Tom Bilyeu?

  But keep in mind, he's a former State Department employee. So certainly somebody that understands how this game is played. Nobody denies that Microsoft is one of the largest owners of OpenAI, benefits from regulatory capture. The former CEO and one of the largest investors in Microsoft, Steve Ballmer, his wife is on the board of the Obama Foundation. Obama is the one driving this Democrat push to make this the central issue of the midterms. The, uh, the Biden administration, which many people say was largely Obama term three, had a very clear strategy for AI, which was regulatory capture. So even if that number ends up being-

• 43:21Speaker 04

  Obama term three, you're talking about Biden?

• 43:22Tom Bilyeu?

  Yeah.

• 43:23Speaker 04

  That's hilarious.

• 43:23Tom Bilyeu?

  He, he was not sentient. So anyway, uh, we can have that debate, but for people who agree with me that that was that, to this day, Obama remains one of the most important people in the Democrat establishment, if not the most important person in the Democrat establishment. In the same way that Trump, even when he was out of office, was the most important person in the Republican. I don't think anybody should be confused. It's not always the president that is the most influential person in the party. So I would say that Obama was far more influential than Biden. And I think history is going to back me up. We've already seen plenty of that stuff going around in terms of, uh, was it Jake Tapper that wrote the book? Anyway, uh, so people believe what they believe about that. You now understand my take on that.

• 44:07Tom Bilyeu?

  So I believe that Obama is the central figure in the Democrat Party right now. And he is very tied to people tied to Microsoft, who are massively tied to OpenAI. So when you follow just the dollars, you don't have to go farther than that. You just follow the dollars. And it's all going to lead back to the people that stand to benefit the most financially from a successful Anthropic and OpenAI are the people that are, in some cases, outright paying for the lobbying in the think tanks and writing of the bills. Or are just supportive of where that legislation is going.

• 44:51Tom Bilyeu?

  So yeah, if, if it walks like a duck and it quacks like a duck, odds are it's not an armadillo.

• 44:59Speaker 04

  Cool. Can we talk about Jeff now?

• 45:00Tom Bilyeu?

  Let's do it.

• 45:01Speaker 04

  So, um, a new way to LLM. This is Jeff.

• 45:06Speaker 06

  I'm Diego Almeida, founder of Type Safe AI. And at OpenAI, I co-created ChatGPT and RLHF. The post-training algorithm behind most frontier AI. Our team trained the first models to be superhuman at instruction following, what we now call chat. And we asked ourselves, are models that are superhuman at chat AGI? The answer was obviously not, but the trillion dollar question is, why not? RLHF has led to LLMs that are optimized for human preferences and include issues such as mode dropping, overconfidence, and an overall lack of reliability. These flaws mean that LLMs require humans in the loop and almost no true automation can be done.

• 45:48Speaker 06

  At Type Safe, we've spent two years building and still, and we're finally ready to share our new type of foundation model that's optimized for automation. System one models with a new architecture, new sampler and new training algorithm, reinforced learning for calibrated decisions. The improvements are clear if you see them side by side. Ask a system one model a ton of structured questions, just like you would in LM. Get the answers back near instantly. Meanwhile, LLMs take hundreds of times longer to finish responding. Look at how the LM generates sequentially, which is great for a natural conversation, but totally useless for computers. LLMs extract intelligence from the tiny straw of auto regression.

• 46:32Speaker 06

  And similar to the jump that transformers made over RNNs, we are replacing sequential computation with parallel because that is obviously the future. Our system one models output decisions with probabilities and confidence instead of words, and they can't police it.

• 46:48Speaker 04

  I think that was the biggest thing is a non-hallucination. We kind of forgot about that, like that's AI's biggest like weakness and then-

• 46:53Tom Bilyeu?

  God, okay.

• 46:54Speaker 04

  Are you calling BS on this?

• 46:55Tom Bilyeu?

  Yeah, yeah, yeah. A hundred percent.

• 46:56Speaker 04

  Got it.

• 46:56Tom Bilyeu?

  So here is what we have to understand about this. So let me be very clear. Whenever you have somebody that's this important to the early days of what we have now, which is truly extraordinary, you should be very optimistic, very excited. So I'm very optimistic, very excited to see where this goes. But the more I look under the hood of Jeff, and it's very early for me. I do not understand this technology deeply enough yet. I'll need to spend more time. But even at the very early phases, you realize what you're getting here. And I think part of the reason that this is going so viral, it's already got over 18 million views. The reason this is going so viral is people think that what this is, is Claude or ChatGPT, but better, better, faster, cheaper.

• 47:38Tom Bilyeu?

  And it's not, and when you ask these guys, when you really push them, okay, but wait, what's going on under the hood? You begin to realize it's a fundamentally different technology. This is not something that you or I are going to interface with. What we would do is embedded in a system somewhere so that it doesn't need human oversight. Now, the problem is, he's going to say it doesn't need human oversight, but this is human reinforcement learning by another name. Why do I say that? Okay, to understand this, you have to go back to what he was saying. So this is no longer, um, uh, what are the initials?

• 48:14Speaker 04

  RLHF?

• 48:16Tom Bilyeu?

  Yeah, RLHF, so reinforcement learning with human feedback. So you've got that. So humans just go, I like this one. I don't like that one. And so the AI is essentially learning to please you, as he said. Okay, his thing is reinforcement learning for calibrated decisions, the CD. So first of all, how do you know what the right decision is? That, that's probably the, the most fundamental question. And what he's saying is, well, we optimize based on what output is the most correct. Okay, well, anybody paying attention knows then the next question is, well, how do you know it's correct? And unfortunately, their answer is, at least as I understand it now, and I'm very open to discovering that I don't understand it well enough, that's very possible.

• 48:59Tom Bilyeu?

  But in, uh, you know, in the time that I've spent looking at this, which isn't trivial, it's, you know, a non-trivial amount of time. But what it seems to be doing is checking itself against Anthropic and OpenAI. And how did those come to their conclusions with human reinforcement? So the sanity check that his, um, entire system uses is the frontier models, which have been shaped by human feedback. So it's like, okay, there's no human feedback in his loop other than the way that we know if this is outputting things that are good or bad is to check it against something else, which means we're calibrated against human feedback. So I don't know that they fully escaped that.

• 49:43Tom Bilyeu?

  So I think that that's still, and by the way, rightly so, because the vast majority, in fact, let me slow down. You don't want to remove human feedback. Why? Because unless you're talking about physics, which is truly doesn't care what you think or feel or understand. Physics is physics. It's the rules of computation upon which the universe runs itself. And so, understanding physics incredibly important and useful. And there is truly a correct and a wrong answer. When you're in the realm of humans, a human wants to do a thing. Now you're in the realm of perception and preference. So, well, this is how I see it. And this is what I prefer to happen.

• 50:24Tom Bilyeu?

  And so, you can get a, well, I expected this outcome and it didn't quite happen that way. But even that's not going to be fully objective. It's going to be based on like guesses around this very complicated system of, let's just say, trying to help or sell to a human that you're ultimately like, well, what did the human really want? And how did I get this right or get this wrong? And so, what they're doing is the reason I say that it can't hallucinate, for instance, is that their answers only come in three formats. And one of those formats is there's just a predetermined list. And so, you ask it to do a thing, like, let's say, I was trying to map this out for Kaizen. And what I could ascertain is that if I were going to use Jev in Kaizen,

• 51:10Tom Bilyeu?

  it would be that on the fly, because my world is procedurally generated. So, there are certain things that are meant to appear in that. I can pre-tell Jev what those things should be. And then Jev goes in and what it's doing is coming up with a calibrated decision. And so, it's saying, okay, Tom said that it's, every player should have a focused goal in this segment of the map. Did all the right things load in? I'm expecting three of these, one of these, two of these. And for the player objective, if they're trying to do one of these five things, that they'll need these things to exist in the world. Do they exist? Has this criteria been met? And then it just hands me back a decision and it says, yes, that thing happened. Now, I may never even look at that. It may just hand that answer on to the next thing that says, cool.

• 51:56Tom Bilyeu?

  This section of the map generated appropriately. Now move on to the next one. So, if you understand this is not generating a conversation, it doesn't even generate tokens. So, it's just putting forward things like, does this thing match the criteria in my list? And so, that's why they say that it doesn't, it's not going to hallucinate because it's just picking from the list. Now, it may end up being wrong. And when it's unsure, it's just going to give you a probability. So, there's a 72% chance that this chunk of the map does meet the criteria that you put forward. Okay, so, this could be amazing. I'm not getting down on Jev. What I'm getting down on is my initial reaction went from, oh, my God. Like, this is basically like free AI. This is what we've been looking for.

• 52:41Tom Bilyeu?

  This is going to diffuse this whole moment of AI madness, where people want to get control of this because they're fighting for their revenue and their revenue is just going to get evaporated. And this is just going to deflate some of that. And we're not going to have to go through any of that madness because we're going to see that the competition is already innovating so fast and so far beyond what they did. And then I go from, okay, it's not that at all. These are just two totally different animals. One plugs into sort of a machine, talking to a machine context, which is could be powerful. It's just very, very different. And so, to get people excited, though, they have to try to connect it to the thing that's already there. Even if this thing does everything that he puts forward and more,

• 53:24Tom Bilyeu?

  LLMs are still going to be far more important to the average human. They may not be the thing that they interact with invisibly behind the scenes more. But it's going to be the thing that people continue to think of as quote unquote, AI.

• 53:38Speaker 04

  Got you. So, different technology, not necessarily a competitor.

• 53:41Tom Bilyeu?

  A radically different technology that shows a very exciting additional application of AI that is highly technical, that could lead to the ability for a human to inject decision-making that they have trained and tuned into a process. Now, that's huge. That's huge. It just isn't what people are taking away from this. You've got to go a couple of layers deeper. The marketing message makes it sound like we're better than this, instead of saying, we do something totally different.

• 54:14Speaker 04

  Got you. Makes sense. Let's jump over to the Middle East, where Saudi Arabia is going through it right now. First, the shipments, the pipeline, the explosions, another attack. Apparently, we're getting bombs and drones going on right now. I'm trying to fact check that as well live, but we are getting there. Sorry, didn't know you were sharing. Tom, walk us through it.

• 54:35Tom Bilyeu?

  All right. The oil situation is truly getting crazy. At the beginning, it was maybe this is going to be bad, maybe it's not. Maybe it'll be so short-lived, we'll be fine. But ever since Iran has started putting more pressure on the rest of the GCC nations via their proxies, whether it's Iraqi proxies, which seem to be what's actually causing the biggest problem for Saudi Arabia right now, or the Houthis, who really do seem to have control over the Bab El Mandeb Strait. And therefore, the exit into the Red Sea is under control of a, I'll call them rogue group, in the same way that Iran has been able to shut down the, not shut down, because obviously the US is getting stuff out, but made it a contested waterway.

• 55:18Tom Bilyeu?

  So, the hope was that Saudi Arabia was going to be able to start piping things across and get over into the Red Sea. And then that got shut down by the Houthis. And now, just their entire oil infrastructure is getting absolutely battered by, according to Saudi Arabia, by an Iraqi militia. Now, the belief is that the Iraqi militia militia is being funded by Iran. So, you can still see this as Iran working through their proxies to say, basically, if we can't have nice things, none of you can have nice things. And this is really reaching crisis levels. So, if you ask people that are looking at this closely, they're saying, yeah, the thing that we feared, it really is here.

• 56:03Tom Bilyeu?

  And given that Saudi Arabia has now told some of the European customers that their September crude cargoes are just canceled, it feels pretty believable to say that, okay, we really are now at crisis levels because that's going to have a knock on effect that will reach as far into the global economy as places like Japan, which are going to find themselves having to raise extra capital to deal with the increased cost of especially diesel and get that into the country. Now, if you're Japan and you're trying, you're already dealing with your bond yields are skyrocketing. You're trying to deal with that and you've got to raise extra money. How are you going to do it?

• 56:47Tom Bilyeu?

  Well, you're going to sell something that's very liquid, that you have a lot of. And the very liquid thing that they have a lot of are US Treasury bonds. So, now, you've got additional pressure on the US Treasury bond market, where we're already now up over 5%, the highest level since 2007. So, we're not exactly in a great place. And so, all of this increasingly destabilized Middle East is truly becoming a global economic problem. And there are going to be a lot of countries that find themselves, whether it's Europe, whether it's Japan, whether it's huge swaths of Southeast Asia, that are going to have a very hard time getting the diesel and the oil

• 57:31Tom Bilyeu?

  that they need to keep their economy running. And that's where this starts to get very difficult. And people right now are scrambling to find alternatives. And you've finally got Merz out of Germany. Talking tough was not somebody that we could get. Talking tough at the beginning of this war. He's now saying to Europe, listen, guys, we cannot let this happen. We cannot let the Houthis control the Strait of Hormuz. We can't let them control the Red Sea. We've got to go in and do something about this. So, and I should have been more clear. We can't let the IRGC close down what's going on in the Strait of Hormuz. And we can't let the Houthis close down what's going on in the Bab El Mandeb Strait. So, with him saying, okay, we're going to have to get unified.

• 58:16Tom Bilyeu?

  We're going to have to do something about this. We've got to see like what kind of escalation that leads to. But for anybody keeping score, Japan only attacked the US in World War II when we cut off their supply of oil. Do with that information what you will. That is certainly not me predicting the future, but it's me saying it's an elevated risk. When people stop being able to get access to oil, they look at their reserves and say, I only have this much time left. I'm going to have to make a big and drastic move. And so, could this end up leading to a finely coherent coalition in the West to come in and reestablish order? I don't know. We'll see. So, a lot of questions going on. But as long as the oil infrastructure remains susceptible to drone attacks,

• 59:00Tom Bilyeu?

  ballistic missile attacks, unless Iran gets shut down to where they can't or no longer have the will to fire these rockets and these attacks, this is going to keep happening. And it really does become, the worst things get for Iran, the more damage they want to inflict on others, just to like neutralize the playing field. And it's like, well, if we're going to be broke, you guys are going to be broke. If we're going to be starving, you guys are going to be starving. And so, it's definitely, it will get worse before it gets better. That then is going to have knock on effects in the US political scene because you're already starting to see Republicans voting against Trump in terms of trying to get troops out of the Middle East.

• 59:42Tom Bilyeu?

  But my question would be, and I would be asking this in all sincerity, what is your plan? If the plan is just American isolationist and we don't, yes, we made the mess, but we're going to leave it for other people to deal with. We can cover our bases between our new partnership with Venezuela and the fact that we're already, I think, the largest exporter of diesel in the world. Then, yeah, like, fuck them. We can deal with it ourselves. If that's their play, at least they'd be being clear. That does not line up with my take on how this ought, and I'll introduce a moral word. It does not line up with my moral sense of how this should be playing out. My moral sense is, I am definitely open to the debate

• 1:00:25Tom Bilyeu?

  of whether we should have ever gone in in the first place. But now that we're there, and now that we've created a problem for a huge swath of the world, I think we have to provide leadership to get the waterways open again. I don't think that we need to go beyond that. But I think that we do need to re-establish that waterways are open, safe and available for global traffic. And that the energy can flow. It's just too important for us to walk away and be like, well, we tried to warn Europe and they wouldn't listen. That, to me, would be the dumbest response. And then just literally at this point, piecing out, I think is,

• 1:01:06Tom Bilyeu?

  Is, I won't go all the way to unconscionable because I can certainly see, like if you parallel this to the Vietnam War, at some point it does become, you're just making it worse the longer that you stay. But I don't think we're in that position yet, but I, I think right now what we should be focusing on is making sure that the straight is clear, making sure that we're getting traffic through there, making sure that we're knocking back the adversaries that are coming at us. And I would be very open to saying, listen, we're not going to strike unless we're doing it as a consortium. And let Europe, let Asia basically decide whether they're going to create a problem for themselves or not. So if those guys are coming in and saying, okay, we're here, we're ready to fight. Cool. Then the US will engage.

• 1:01:51Tom Bilyeu?

  If they're like, no, no, no, we still don't think it's a good idea. Then it's like, okay, cool. Then we'll leave it alone. And if there's not a big enough problem, we'll, we'll just back off. That would make sense to me. That would be a good way for people to back out. If the GCC nations are like, we don't want your help. And Europe is like, we don't want your help, then we should peace out, take the L.

• 1:02:10Speaker 04

  When does the sunk cost fallacy light kick in? When is it too much, too much to bear? Should we pull it or we shouldn't leave until the waterways?

• 1:02:18Tom Bilyeu?

  We would have to try to restabilize things in a sensible way with a large coalition of the people that are impacted. And at that point, if we're still just not able to come to any sort of negotiated settlement, then I think at that point you back out, but it, it, we have to find ourselves in that situation. Now, if we find that the people that this most impacts are just like, we don't care. Stop, leave us be. Then I would say you're already there and you need to get out.

• 1:02:49Speaker 04

  Cool. On cue, when oil went above a hundred, Trump tweeted, "The failing nation of Iran wants to make a deal, quickly and badly. I will determine whether or not the US will choose to engage, the concept of which we are open to. Thank you for your attention to this matter. Present Donald J. Trump." And oil prices are under a hundred again. So it worked. We did it again, guys. Down 3% as of today.

• 1:03:12Tom Bilyeu?

  Here's the thing, I'm, I'm gonna guess that this is truly a guess. I don't think this is on that tweet. There's no way investors are that stupid. So Trump saying literally a copy pasta paste tweet for like the 50th time. I did the math on this one time. It was like he had said something like 35 times, we've won and all's good and we're gonna get a deal.

• 1:03:36Tom Bilyeu?

  So this reads so hollow and patently absurd that I think what investors are more likely responding to is just the amount of time that's passed. So it's like, okay, we've absorbed the shock of the news coming out of Saudi Arabia. We see where we're at there. You know, diesel's going up, but normal crude doesn't need to, or at least not that much. And so there was a slight overreaction. We're going to come back down, but I would expect it to vacillate up and down, up and down, up and down. As people try to turn a profit off the volatility. And if people remember that volatility is exactly how these guys get rich, so they love to see it.

• 1:04:15Tom Bilyeu?

  Yeah, you're, right now, you're not going to see it just completely flatline for a while. If there's any sort of new news, it's gonna go up and down.

• 1:04:22Speaker 04

  Okay, so this is breaking. It has been confirmed, the Iranian drone and missile hit US contracted vessels near Strait of Hormuz. So, an attack happened earlier this week near the Strait of Hormuz, a vital checkpoint for a global da da da da da da. According to fight news, four Iranian drones and at least one missile targeted the vessel with one projectile striking directly. The injured crew members are now receiving treatment in the Gulf country.

• 1:04:44Speaker 04

  Where US forces destroyed it.

• 1:04:47Speaker 04

  This is also saying that Hassan retweeted, saying is the US Navy on board?

• 1:04:53Speaker 04

  The Hormuz letter also said that there might be servicemen on board, so we're still trying to get exactly who, what, where, when. But it is a US vessel that just was hit by a drone. And then this is also on the back of that report that was leaked to the press about how badly some of our bases were damaged in the US. I'll pull up those pictures for a second.

• 1:05:09Tom Bilyeu?

  Yeah, that's pretty wild. Yeah. So what you have is the things in the US bases are getting so bad that the actual on the ground military personnel are beginning to leak photos out. So that they can show the world like, hey, we're not even defending these bases. Our machinery, our barracks, our buildings, they're all just getting absolutely obliterated. And so it is good to see that. This is one of those where of course our government is going to try to propagandize us into thinking that we're doing better than we are. And it's going to be distressing imagery for people to see what's actually happening. But the only way for us to move forward in an intelligent fashion is to actually have the facts on the ground and then for people to make their best case.

• 1:05:52Tom Bilyeu?

  I'd heard a couple of weeks ago that we had to admit that these bases are no longer functioning. They can't stand up to the types of weapons that are being used at this point. They're too vulnerable to drone attacks. And so whatever we're going to be doing in the Middle East, if we're going to continue to have a presence there, we're gonna have to do it in a fundamentally different fashion. And so that's just important for all of us to understand. The fact that these guys have been hitting base after base after base, they've been saying that, we keep hearing. They attacked a base in Jordan. I heard that a dozen times. And so nobody should be, nobody should be surprised that there's been a lot of damage done to these places. The real question is, where do we go from here? What is it that we want to do?

• 1:06:34Tom Bilyeu?

  And to answer that question, you really have to keep your eye on the prize of what are we actually trying to accomplish? What is that point on the horizon that we're going to make decisions based on? We're going to judge every move towards whether it moved us towards that goal or away from that goal. And so coming into this, obviously it was to ensure that Iran did not become a nuclear weapon. That was a stated mission. We can at least get behind that. I think there were other reasons why we actually did it. But what matters now is what are we actually here fighting for? Are we here fighting for

• 1:07:07Tom Bilyeu?

  isolating Iran so that we can get cooperation between the other GCC nations? So they continue to be prosperous and invest in American AI? If that's the deal, say it. Let's just talk about it. And let's talk about how we actually get there. So we can check to see, do those guys actually want that? Is that deal long ago off the table? Is this just about legacy? And Trump was like, I thought I could take them out. And you know, I was high off of the Venezuela win and I thought I was going to come in and do the same thing and be the first one to deal with this. Was it actually the nuclear weapons? Cause if it's the nuclear weapons, then we go, all right, listen. We've knocked them back several years. That's as much as we believe that we can do right now with putting, without putting more

• 1:07:48Tom Bilyeu?

  US people at risk. However, the knock on effect of that is now the Strait of Hormuz is contested. The Bob L. Mandab, the dab L. Mandab Strait, Babamandab Strait, one of these days. That's now contested. And so we've got to deal with those two things. We've got to get back to freedom of the seas. And so we are going to stay and address that. We're going to do it at distance. We're going to use blockade economic sanctions. But tell the people what's actually going on. Did we deal with a nuclear threat in a way that we thought we were going to or not? If not, that opens up bigger questions about, you know, how long, how effective we're going to be able to be here. We need to identify why we weren't able to be effective, so on and so forth.

• 1:08:32Tom Bilyeu?

  Then it's like, okay, we're trying to reestablish the freedom of the seas. And it's so important. And it's important for the global economy and therefore it's important that the globe show that they care enough about this. Now, if the globe doesn't care enough about this, then we, America, will accept that we did not get all of the things that we came for, but we got some and now we're going to step back out. But if they want our assistance, we're going to stay and help. I think it's going to have to look something like that. But from the base perspective, we have a big problem to solve there, which is it's not going to be easy to just house troops in the region anymore.

• 1:09:11Speaker 04

  Got you, Ryan. How them super chats looking?

• 1:09:13Speaker 05

  We got two super chats.

• 1:09:14Speaker 04

  Let's go.

• 1:09:15Speaker 05

  Mandrake Mechanism says, "Have you heard JD Vance talk about how being the world reserve currency is bad for the US? Can't tell if dumb or not, but his logic has coherence. Curious if, if end of reserve currency status is the goal of the admin."

• 1:09:28Tom Bilyeu?

  So I have heard it. It's not dumb, but it all comes down to how you get out. So think of this like Afghanistan. Anybody telling you we should get out of Afghanistan, that it's creating problems for us? Yes. All true. But if you just peace out one day, a bunch of people get killed. You betray every moral principle ever. Anybody that you're going to ask to work with you in a hostile environment in the future is going to be like, fuck these kids. So it was categorically stupid on a number of dimensions. So if we stop being the world's reserve currency in a stupid way that's like that, and we just close the

• 1:10:07Tom Bilyeu?

  central bank and we're just like, okay, it's a libertarian free market economy from here on out, but it's all sound money. That would be a catastrophe, the likes of which we have never seen. So we both need to get out from under that system because it is so abusive. And we have to do it extraordinarily well. Now, the thing that he said that I, I really want people to focus on is being the world's reserve currency has allowed us to be metaphorically and literally fat, lazy, and underdeveloped. And because of all that, America is really now in a much tougher position from a global perspective than we've been since the end of World War II.

• 1:10:47Tom Bilyeu?

  And that is a tragedy and that we have allowed ourselves to fall that far is really, really sad. I can draw a straight line between

• 1:10:59Tom Bilyeu?

  J D Vance saying that I think the reserve currency is causing problems for us because we lack discipline and what's going on right now in the New York State Education Department, where they are rejecting the idea of the Regents diploma. So, right now, New York, they've been doing this now for decades, but New York has been this decades-long process of making their qualifications to be a New York high school graduate mean less and less, always, of course, doing it in the name of empathy and this is better and it's less shaming to some of the students that don't do so well in the test. And what we're doing is lowering the expectation. When you lower the expectation, you lower the reach that students go for, because there

• 1:11:43Tom Bilyeu?

  will be some students among them that are incredibly motivated to get the really hard thing. And so, they will reach and they will strive to try to do that. Now, it's easy, as parents, as a nation, as a culture, to put pressure on kids to strive as hard as possible, to be disciplined, to be focused, to not fuck around, to think about what their future is, and to hold them accountable to how they're treating their own future life prospects when they're young, when life is hard. And it's very difficult to do that when life is easy. And this is, everybody knows the fourth turning, but this is exactly how you end up making weak men. It's just, things have been so prosperous for so long, that people don't feel any impetus

• 1:12:28Tom Bilyeu?

  to push people to be harder, to do better. But when you're actually hungry, when the world is hard, when things are stacked against you, but you have huge ambition, that's when people actually become their best. And we, just as a culture, are turning and running in the opposite direction, which makes me very, very sad.

• 1:12:46Speaker 04

  I disagree. I think this is the hard men era. And I think that this generation, like, when Ryan is 40, they are gonna be the baddest mofo's out, because they're getting the absolute shit end of the stick in every direction. And I think that, right now, the people that empower, including the people that are, during this school board administration, they grew up in easy times, when all they had to do was work at a grocery store and I could go down the street and buy a house. So now, it's like, you don't have to be, it's like, look at me, I did it, and I'm just a regular person. You could be a regular person too. And then they lower the expectations of the generation.

• 1:13:17Tom Bilyeu?

  You know how you'll be able to detect when the generation actually turns?

• 1:13:22Speaker 04

  What?

• 1:13:23Tom Bilyeu?

  They will push for increased competition, meritocracy at all levels, wanting to be great, to stand at the forefront of everything. And when you hear young people talk like that, I'll believe you. Right now, what I fear is that the prosperity is so deep, that we're actually getting multiple generations that are able to limp along, and things have not gotten hard enough for people to turn into, no one's coming to save me, I've gotta do this myself, and we're gonna do this through very disciplined, focused processes.

• 1:14:05Tom Bilyeu?

  Instead, what I see is, we need more immigrants, M'Amdani is suing the federal government because he thinks that by denying an illegal immigrant access to Medicaid, SNAP, that they're gonna be dying. And so, no matter what it does to the country, no matter what it does to the citizens, we've just gotta do that. That is not the hard generation. Those are the people making life harder for the generation that will ultimately, finally, have enough of this shit, and say, yeah, fuck all this. I'm getting back to first principles, I'm getting back to cause and effect, I'm gonna make myself stronger, I'm gonna demand that my friends are stronger, I'm gonna demand

• 1:14:49Tom Bilyeu?

  my kids are stronger, and I mean physically, I mean mentally, I mean emotionally.

• 1:14:53Speaker 04

  And you don't think that turn is gonna happen within that generation? Because, Tom, when you were 19, you thought that life was good and you could help anybody out, and it was a big blue world, and just come over the scene and come help. And then, as you got older, and as you made that turn, close to your 40s and your 50s, now you're like, wait a second, we gotta radically change the direction that we're going in. So I think that the young people are going in the direction that young people is always going. They're young and liberal and happy right now, then when they have to start paying bills and have responsibilities, they change. And that change, I think, is gonna be a fiercer change than what we had before.

• 1:15:22Tom Bilyeu?

  I love your optimism. I hope that's true. I want you to be right when we look back on this in seven or eight years. Here's what I predict is going to happen. Because those kids have grown up being told the exact opposite of that, it's all participation trophies or eliminating trophies themselves, it is all, you can be anything you want, you're a blank slate, everybody should come out the same, it is all, let's get rid of the more challenging curriculum, because it leaves some people behind, that the number one thing that you should be thinking about is who is the oppressed and who's the oppressor, and we're always on the team of the oppressed.

• 1:16:03Tom Bilyeu?

  Instead of going, strength is in and of itself a virtue, and we need to be focusing on that. And that, by the way, was how my generation, my generation was raised in one of two ways, or a combination of the following two things. We're known as the feral generation. So, our parents didn't even think about it, they just let us encounter the dangers of the world. So, we were the latchkey kids, our parents weren't home when we got home. I remember one time, to get a key into my house, my parents did not realize that a wasp's nest had ballooned where the key was. And so, I had to fight through a wasp's nest, and got stung multiple times, to get the key,

• 1:16:45Tom Bilyeu?

  just to get into the house, that there was no one helping me do my homework, I had to do that by myself, I used to ride my bike miles away from my house with no supervision whatsoever, and, but at the same time, I was expected to be the best. And so, in my house, it was an A, or you had to explain what the fuck happened. Like, there was no tolerance for even an A minus. It was, you had not met your obligation as a child of mine, if you don't have straight As. And so, did I represent every household? No, obviously not. But, being raised by a generation of people, my dad was in the military, it was the, pick yourself up by your bootstraps, no one's coming to save you, no one's gonna give you

• 1:17:30Tom Bilyeu?

  anything, but you can be anything you wanna be. That's what was beaten into my head, and that's what gave me the insane optimism. Now, yes, I thought, everybody is gonna be able to make it with me, and I spent an inordinate amount of time trying to encourage people to think like I thought, and to act like I was acting, because it was yielding incredible results. And, seeing that a lot of them didn't, so obviously, it isn't some big, universal thing to our generation, but I don't think, my generation was already on the downside, we weren't part of the bound up, we, my generation is the one that raised the kids to not get, not pursue true excellence, and was just helicopter parenting around them like crazy.

• 1:18:12Tom Bilyeu?

  So, I think we were part of the slide, but we could still, we still had a taste of, like, the real hardship. But when you really think about what the last generation was, that was hard, hard, it's the greatest generation. So, it's the generation that had to fight two world wars. Like, that's what it means to get hard. That's what it means, you lived through the Great Depression, you fight a world war, you fight a second world war, you come out the other side of that going, life is extremely hard, the only reason I'm still here is because I got tough and I got smart. And I watched plenty of other people get eaten alive, and I just realized I had to keep going. I know that you can't trust the government, I know that you can't trust people that have your bad interests, your best interests, in fact, some people have bad intentions and plan to kill you, and you've gotta be ready for all that.

• 1:18:56Tom Bilyeu?

  And that created what the prosperity that we then rode after World War II.

• 1:19:02Speaker 05

  I have never felt stronger in my life than marching side by side with my fellow Gen Z aged people, and standing up against oppression, standing up against corruption in the American government. And I think my generation is already on its way to be one of the stronger generations. I think we take care of ourselves, I think we look out for each other, and I think we work our asses off in a lot of ways that people don't recognize. Like, for example, most kids in my generation went through the higher path, we all had that A minus thing where our parents would lose their minds if we got anything lower than a 90, right? We were all told, you have to go to college, so we all worked our asses off to go to college. I think in many ways, our generation is doing the things that people are saying we will do down the line already. And that's my stance on it.

• 1:19:46Tom Bilyeu?

  That's awesome, and I love hearing it directly from you. So, I'll say this, like, I hope Drew is right, I hope you are right, here is my fear with what you just laid out. You guys are mapping way too closely to the boomers. And you're mapping as a group of people that are politically active, instead of building things. And my great fear is that you guys are treating activism as a religion, this is not me aiming this at you, I'm just saying, your generation, this would be my fear of the trap that you guys would fall into, instead of going, okay, I have a particular set of skills, passions, interests, what do I wanna create? What do I wanna build?

• 1:20:31Tom Bilyeu?

  What do I wanna be the best in the world at? And, right now, what I see a lot of people wanna be the best in the world at is, this system is broken, tear it down, without what I would call coherence around a first principles narrative of building it back up. Now, if, when you look at your generation, what you see is the founding fathers' generation, that would be awesome. And if you guys are gonna be the generation that actually have a coherent vision, that's built on top of first principles, a profound and deep understanding of philosophy and human nature, and you're going to, call it, reset the political establishment, in a way

• 1:21:11Tom Bilyeu?

  that gets back to the roots of the founding of America, which I will say were based on the most realistic look at what humans are actually like. And so, to me, it's gonna be a reset of that. That would be thrilling. Now, that is not what I see on social media, but that could be complete algorithmic derangement and that if I spent more time like going, okay, hey, what are you guys gonna build? Like, instead, what I do is I swap in, when I think about you, I basically swap in a mom Donnie. And I'm like, okay, this is where that cultural belief

• 1:21:53Tom Bilyeu?

  set goes. And it is so dark and dysfunctional that I worry, but I'm super open to that's a bad mapping. I'm, you know, reading too much into the DSA. Cool. I'm, I'm very open. But that is where I think when you get activists who don't plan to be builders, you're gonna get more trouble, not better outcomes.

• 1:22:17Speaker 05

  It is hard to be a builder when the tools that you need to build are constantly being pulled further and further away from you. I mean, I look at my own experience. I think I'm a very qualified person for a lot of things. But once again, I applied to like 400, 600 jobs and y'all were the only ones who gave me an interview, right? I, I think there is a real conflict in the idea that Gen Z is not a group of builders because we haven't even been given the chance to build, right? We don't have the assets, we don't have the money. And all that's happening is the boomer generation is sitting on their money and sitting on their wealth and circulating it amongst themselves, creating all these things that they think is gonna change the world instead of actively helping the people like my generation who need that assistance.

• 1:23:00Tom Bilyeu?

  Yeah, I think that's a really fair criticism. What I will say, though, is that if you guys are gonna claim the mantle of being the generation that's learned and gotten strong through the hard times, it will, first principles, uh, need to look like the following. One, you have to understand what Booker T. Washington understood, which is, I'm gonna build a school, but I'm a freed slave. I'm in an area where people actively hate us. They are legislating against us. They will lynch us if they can. Uh, and so what we're gonna do is literally figure out how to make bricks so that we can build the building. That's not a, well, they haven't given us a system and they're sitting on the money. That's just somebody that's like, I can look backwards, I can be mad about all the things that are wrong,

• 1:23:45Tom Bilyeu?

  or I can learn to make bricks. And then by learning to make bricks, they end up selling bricks and building a business because they became so good at a thing that people valued. Can I point something out in the business? Please?

• 1:23:56Speaker 04

  So, when you started this conversation, you said that you were raised on, I could do whatever I want to do. I can be whatever I want to be. And what Ryan just articulated is based off of the economic factors now, there are certain limitations. And your response to him was like, well, you're just gonna have to accept that you can't do everything. There's certain things that you're gonna just be able to get traction on. So, that in and of itself highlights the difference, that in the generation in which you were raised in, you were able to have every avenue open to itself because it wasn't private equity, monetized, exploited. Where now Ryan comes up, a lot of those doors that were traditionally open for people before him are now closed because of whatever reason. So now he has to pivot and adjust. So, the adjustment, 100% correct. That's the Booker T. Washington mindset. I think everybody in this chat needs this mindset because eventually we're all

• 1:24:40Speaker 04

  gonna have to change. But just in this conversation, we are already kind of highlighting the differences of, you have this open venue, and then Ryan is saying, I couldn't, I didn't have this open venue. I now have to only be able to expect 20%, 30%, whatever that percentage is. And then the generation after Ryan is gonna be like, I can't do this, I can't do this, I can't do this. I'm only gonna be this. And then now they're at the peasant level. Then that's when they're gonna then start to be, uh, revol. And that's when they're gonna start to be, come hard. Because now they're starting to realize, I don't need any of this. I'm going to flip it.

• 1:25:11Tom Bilyeu?

  But if they become hard and bitter, they will have lost and America will suffer for generations to come because they were fucking stupid. Let me be very clear about what's happening. So, what I'm trying to say is, I don't give a shit that they're up against something hard, because it doesn't matter. If I could make it go away, then I would care and I would make it go away. I can't make it go away. He can't make it go away. So if this generation is gonna do anything, they are going to have to realize one fundamental truth, what we all have to realize in the quiet darkness of the night, no one is coming to save you. And so now these guys, if they put their eyes to the things that they are bitter about, the things that are wrong, and focus on tearing down, which I will state again, that's what I see. Now, I'm very, I'm hopeful that I'm wrong.

• 1:25:56Tom Bilyeu?

  I'm hopeful that's algorithmic capture and I'm, I've gone down a rabbit hole that isn't actually true. But boy, oh, boy, do I believe it. And I believe that right now, the mistake that they are all making is that they are lamenting what they don't have, they are decrying all of the bad things that have been done to them, which are true, by the way. They really don't have some of the things. They're not going to get the easy street investment opportunity that the generation before them got. And that really fucking sucks. But they don't have it. And so now it's like, if you guys are really going to be the generation that gets us going in the right direction again, you have to completely

• 1:26:37Tom Bilyeu?

  issue bitterness. You can't spend any time with resentment. If you soak in the squalor of resentment over the true injustices that have been done to you, you will get fuck all for your trouble. And this is exactly my beef with what's going on in Palestine.

• 1:26:58Speaker 05

  But that's why...

• 1:26:59Tom Bilyeu?

  Bear with me, because you can't let me say something like that and then...

• 1:27:02Speaker 04

  That's a crazy...

• 1:27:03Speaker 05

  Well, I was gonna say the first thing before you go into Palestine.

• 1:27:05Tom Bilyeu?

  I'm going into Palestine, then we'll circle back.

• 1:27:07Speaker 05

  Okay.

• 1:27:07Tom Bilyeu?

  So, when, when I look at that conflict, all I see is a replay of Cyprus. Now, in Cyprus, same idea. They got invaded. Cyprus was far more violent. They just got invaded. An army showed up one day, there was no slow immigration. Army shows up from Turkey and says, this part of our, the island is now ours. You guys can fuck off. We're taking all your houses, we're taking your ports, we're, we're taking all of it. And you can get adult people that were there and kicked out of their land, uh, and this was like 50 years ago, to weep as of this day. But because there wasn't the additional, like, religious component, they just moved the fuck on. And yes, they'll still march and

• 1:27:52Tom Bilyeu?

  say that they want their own right of return and all that. But their focus on making Cyprus economically viable, making sure that their kids' lives are better than their lives, and they just got on with it and they started living a life. And that is the same Booker T. Washington story. It is the same thing that I really wanna see, the Gen Z who has been done dirty by the, the forces of the human mind when spread out over time scales. The reason that it loops and it rhymes is because humans are a certain way. It's not like the boomers thought of you and did a bad thing. The boomers just happened to be the ones that were inserted in that time period that got to ride on the back of those conditions. You are just the ones that happened to be born in this time and are being punished

• 1:28:35Tom Bilyeu?

  by this set of conditions. But no matter when you're born, everybody at the individual level has an opportunity to say, I can get so good at something that I can't be denied. Now, I don't know that anybody's gonna be able to save their entire generation. But I do know that every individual can go, oh, yeah, I can go learn to make bricks to build a school that no one else will help me with, that no one else is gonna fund, no one is coming to save me. I have to do this myself, literally at the point of brick and mortar. And so if I could get people excited about that, then I would be like, okay, we've really got a shot here. These are people who are like, I don't give a fuck. You can try and stop me. I literally don't care. Come at me as hard as you want. I am going to outperform

• 1:29:17Tom Bilyeu?

  you in every way possible. And no matter what you do to try and stop me, I'm just gonna get better. I'm just gonna get stronger and I'm gonna keep doing this. That is an unfair ask. You should not be asked to do that. But that's where you are. And given that that's where you are, and there is no other alternative other than bitterness and resentment, it's like, head down, get to work, show people what you're made of, get people excited about that, that discipline, that grind. So, yesterday Drew and I were looking at a very long day today. Today is gonna be rough. I have once again been up since 2:30, trying to get everything done, prep everything. And yesterday, when I was

• 1:29:59Tom Bilyeu?

  like, ooh, Drew, tomorrow's gonna be a big day. He said, goals make demands. And I was like, you goddamn right they do. Now, if you smile and are like, fuck yes, when your friend reminds you to nut up and just get that shit done because it's what you're supposedly building towards, good on you. You've got your head screwed on right. You're gonna do the right things. If in that moment, you lament, you cry, you piss, you moan, you're going to get run over by life, by the people that don't do that. And so, literally, first principles, no moral judgment. I'm just saying, one of these works, deciding, despite all the unfairness, despite all the things that are being, uh, pushed upon me, I am going

• 1:30:44Tom Bilyeu?

  to find a path through this. I am going to do the thing that's right for me, for my life, and I'm gonna start moving in a direction. And I'm not going to get caught up in resentment. I'm not gonna stay in a fight. I'm not gonna try to tear something down. I am going to turn away from the people that wish me ill and I'm gonna build something. I'm gonna build something that matters.

• 1:31:04Speaker 05

  Painting Gen Z as a generation run by spite and resentment misses the mark on what Gen Z is really trying to do. Gen Z is a generation that's grown up to say, you have a voice in this country. You can make action happen. You can do these things. No one's coming to save you. We were all taught that. And

• 1:31:26Tom Bilyeu?

  Politically?

• 1:31:27Speaker 05

  Across the board. Politically, everything ever is

• 1:31:31Tom Bilyeu?

  So you guys have been taught, you'll go build that company.

• 1:31:34Speaker 05

  Well, I don't know how that, let me

• 1:31:37Tom Bilyeu?

  Wait, wait, because you're about to say, I don't know how that fits into it. And I'm here to tell you, the only thing that this country should focus on building is businesses. Don't do that. You have no dollars to redistribute.

• 1:31:48Speaker 05

  I think there's more to life than building businesses. And I think Gen Z, back to my original thing, spite and all this stuff is not what we operate on. We operate on the idea that the only thing we really have power to control right now in this world is what is happening on a governmental level. Our vote matters, our voice matters. That is where we have control. We don't have control in our nine to fives. We don't have control in how much rent we have to pay. Our rent goes up every year. We don't have control on the cost of gas. These are all things we are learning actively outside of college and everything is more expensive in this current moment. What's the one thing we feel like we have control over? We have control over the actions our government can take. We vote these people in. We get to protest. We get to say what we want. I think that's

• 1:32:30Speaker 05

  where a lot of this comes from. And I understand we are all in a bubble online and we see a lot of people who operate off of spite and resentment. But I don't think we can define an entire generation by that. When I go to a Palestinian protest and see a bunch of people cheering, free Palestine, free Palestine, we're all standing together on this. We don't want our tax money. Going to a country genociding a group of people, right? Like, I think that shows the power Gen Z has. And it shows that we do understand no one's coming to save us. That's why we go out and do these things ourselves. We don't sit behind a phone screen. We don't sit at our home going, oh, woe is me, I can't find a job. We continue to apply. We continue to find a way to make ends meet. I mean, our rent is so expensive, people have to find ways outside of their job to go and pay it.

• 1:33:12Speaker 05

  I have friends who work three jobs every week, just to make ends meet, and they don't even live in big cities. I think that's the problem.

• 1:33:20Tom Bilyeu?

  Yeah, once again, your eyes are on the problem. Your eyes are on a solution that is completely nonsensical, which is, the only thing that we can control is the political apparatus. I will tell you, the only thing guaranteed to being weaponized against you is the political apparatus. Now, look, it's important, and I definitely think that you guys should be focusing on that. In terms of, don't turn away from it, vote for the people that you really believe that your conscience are the right people. I love you guys being engaged. But for you guys to see that as the answer over building things is crazy. And that is, I think, going to be a big part of why your generation is not

• 1:33:57Tom Bilyeu?

  going to get themselves out of this trouble, is you're misaligned with the foundational cause and effect of how this goes. Politics is downstream of culture. Build things that turns the tide of culture. Tell each other stories in intimate settings that get people thinking in another way. Tell stories at the level of movie theater and books that get people thinking and talking in different ways. But when you guys are putting all of your energy into what I'll call a religious crusade around political change, that's when I get very worried that your generation won't be able to deliver on the promises to itself.

• 1:34:42Speaker 04

  We shall see. We got three generations in this room. In 30 years, one of us is going to be wrong, one of us is going to be dead, and one of us is going to be bitter.

• 1:34:48Speaker 05

  And in a hundred, we're all dead.

• 1:34:51Speaker 04

  I'm living to a hundred. I'm hitting a hundred.

• 1:34:52Tom Bilyeu?

  Here it is. And then I'll say this. As, as a person speaking for the builders, none of these guys are going to be dead in a hundred years. There are going to be technological breakthroughs that even I, as the old man of the group, will be able to take advantage of, because people

• 1:35:08Speaker 04

  Tom's going to outlive us all.

• 1:35:09Tom Bilyeu?

  No, I'm going to make sure that you live just as long. This is going to be amazing. We're going to do this together, because these things are knowable. And this is what I'm talking about. We are not teaching people to be builders anymore. We are not teaching people to say, don't go try to get somebody else to create a thing and act like a parent and try to make things better for you. Instead, go fucking build. And if you can build something that people actually want, it puts you in a far more powerful position in your own life in terms of control. It also puts you smack bang into cause and effect land, because the marketplace does not care about you. They're not going to do something to be nice. They're only going to do something because you were able to create something that they really want. And that is a very sobering thing. And by the way, you're creating jobs and you're

• 1:35:54Tom Bilyeu?

  creating tax revenue. You're doing all the things you actually want. If you want to pay for more things in this country, you must grow this country. So the fact that we do not revere and celebrate our most successful entrepreneurs, but instead tear them down as if they are some evil thing in the world is fucking crazy. And by the way, when you carry out political stuff to its extreme, can we not all agree it's madness? Everyone in this room, I think, will agree on one basic thing. Get money out of politics. And so if we agree that we want to get money out of politics, it's like, we understand that is an institution that is ripe for corruption. What we want to do is actually go build the things. Go do the things that are actually going to make the country better. And so

• 1:36:35Tom Bilyeu?

  if you want better jobs, higher paying jobs, more housing, all of that, go do the thing. And if you have to, the only time I ever considered interfacing with the government directly, was when I was trying to put out a product that I knew was better for people metabolically, and the government was hinting that they were going to try to stop me. And that's when I was like, okay, now we get lobbyists. Now, we ended up not doing it because thank God they backed off of the policy. But that, that is the only reason that I would engage. I'm building a thing, and somebody is making that impossible. And I believe that this thing is actually good for people. And so I'm not going to allow myself to be regulated into oblivion. But if you're not even trying to build something, and it's just a religious crusade, it's going to be deranging, because now you're just

• 1:37:19Tom Bilyeu?

  existing in the land of nebulous ideas and morality that never have to make contact with the actual ground-like reality.

• 1:37:30Speaker 04

  All right, we got to talk about the Clarity Act. And I don't know if we're dropping that. I don't know if we're telling them what we're doing after this live. That's why we had to skedaddle a little bit early.

• 1:37:38Tom Bilyeu?

  We have to, we have to end early today. I'm not sure what you're talking about dropping, but, so we have to end early today. I'm going to be on Piers Morgan, talking AI. So don't need it to be, oh, dropping it like an info drop, not removing it from the docket.

• 1:37:53Speaker 04

  Get it.

• 1:37:53Tom Bilyeu?

  My bad. So no, definitely. Hey, everybody.

• 1:37:57Speaker 04

  Tom will be on Piers.

• 1:37:58Tom Bilyeu?

  We're going on Piers Morgan. So very excited about that. But it films immediately after this. So we've got to wrap up a few minutes early. And yeah, senators vote 49 to 50 to reject the so-called Clarity Act. Now, the reason that this is so wild, is that when the Senate voted today on whether to debate the Clarity Act or not, it needed to get 60 votes, and it got 49. So 50 senators voted no. Every Democrat, plus four Republicans, were opposed to this. Now, this was like, signature policy from Trump. He was saying, this is going to be the way that we actually make sure that we're at the forefront of what's going on from a technological standpoint. And by the way, that he is right. Other countries

• 1:38:43Tom Bilyeu?

  are doing this. We are going to get left behind. If you don't know what the Clarity Act is, it basically just tells people, the innovators in the world of finance, it tells them what crypto actually is. The government has been using vagaries and then just punishing people by suing them and taking them to court in order to basically slow down, stop people from using this, when what they should be doing, because they have completely abdicated their responsibilities, both administratively and morally, quite frankly, they are going against the best interests of this country by not giving people a clear regulatory framework. It's one thing if you're going to let people just run wild and you're not suing them and you're not trying to put them out of business. It's a whole nother thing when

• 1:39:28Tom Bilyeu?

  you're just like, hey, I'm not going to tell you what you can do, but if you do the wrong thing, I am legitimately coming after you and it will likely put you out of business. That is fucking crazy. And we've been letting the government get away with this. That's nuts. You don't have to like crypto. You can think that the vast majority of crypto is a scam, and anytime anybody does something that's illegal, they should be pursued. But the fact is, what's really going on here is it's a technology. It is a technology that scares the banks. This doesn't have anything to do with the things that people leverage this technology for, like some of the crypto scams that I'm sure people are mad about. But this allows for a new kind of banking that is way better for the individual. But

• 1:40:10Tom Bilyeu?

  they have to know, is this a security? Is this a commodity? They need to come out and make a ruling. And that's what the Clarity Act was going to do. It's going to give people clarity. So the fact that they are holding this hostage is super obnoxious. Now, having said that, the reason they're holding it hostage is pretty dope. So I am a bit conflicted, because what they're trying to do is pin Trump down so that he can't do scammy or outright illegal things and just keep profiting like a fucking madman while he's in office. So from that perspective, I am certainly empathetic. But the fact that we've gotten here, this never should have made it to the Trump administration. First of all, this should have been done years ago, years and years and years ago. So the two sides should

• 1:40:55Tom Bilyeu?

  be able to get together with a very simple framework that tells people what's what. And if they want to amend it down the road, by all means. But get some clarity, because it's already happened internationally. Those countries are already running. They are going to build a lead around us. And if we don't get this nailed down, so that the innovators can start building things in the world of finance, and we can stop being a dumb ass, out of date, backwater country that's somehow still trying to run the global economy, that would be real helpful, especially in an age where we are drowning under debt. We have got to find ways to help people. And let me tell you, if you've got a savings company

• 1:41:38Tom Bilyeu?

  that pays you nothing, and then you've got a crypto savings company that pays you four or 5%, should people not have the right to do that? Well, right now, they don't, because the banks are trying to shut it down. There's like one little loophole that allows them to do some sort of gray area thing, but they don't go full bore with it because they don't have the clarity that they need. And the government keeps threatening that they're not going to allow it. They just need clarity. Once people know the rules of the game, then they can play to win. And we, as customers, benefit when they play to win. But that is not what we're getting right now. This is fucking ridiculous. These guys need to get it across the finish line. And by all means, with the elements that will stop our, the

• 1:42:19Tom Bilyeu?

  elite, for lack of a better word, from abusing the system. That's why we need the clarity. Get it done. Immediately.

• 1:42:29Tom Bilyeu?

  So with the stable act or the genius act already solidified clarity, it just sounds like it's a it's a paperwork act like it's that's what I keep I'm trying to do. No, so when you look at what the stable coins is the genius act. Yeah. So they took one piece and said, we know what to do with this. It's necessary for our debt. And so we're going to strip it out and we're just going to pass it much less controversial. Mm hmm. Then we've got the broader context for the industry as a whole. So now, right now, you have people that are innovating around stable coins. But you don't have people innovating around banking as an entire sector that's going to be disrupted. It will be way better for people. And like, people don't understand regulatory capture is happening in banks.

• 1:43:13Tom Bilyeu?

  It is terrible for all of us as a consumer. Dude, it's so crazy. You're being regulatory captured in so many different directions and people don't even understand. And we are all just, if you've ever seen the movie Last Tango in Paris, we are all getting the butter for ourselves. Boy, do I hope some people get that reference. Uh, so yeah, the government just keeps saying, get the butter and we run and get the butter. Fucking wild, man. Wild. Immediately stop. We've got to stop. We're getting cucked out by our own government. That's that's part of the annoyance here. Tailor Brands, for real, for real, you guys are doing God's work. I am really honored to be partnering with these guys because I believe in entrepreneurs. Building companies is the way out of all this mess. Getting our economy booming.

• 1:43:56Tom Bilyeu?

  And yes, I agree with Ryan, there's more to life than a job. But man, when you do it right and you can really express yourself, your creativity, your pursuit of greatness, your ability to do better and to use your skills towards something that matters. If you pick the company right, it's one of the greatest things you're ever going to do. Not everybody wants to build, but if you do want to build, guys, I really encourage you to look at Tailor Brands. You can leverage them to make the hard stuff, the boring stuff, much easier so that you can actually build and impact the world, impact your own life, get out from under all the gross inequalities and things that have been thrown your way and just build your way out of it. I want that for you. I want it for the world, man. And the fact that we've got people like Tailor Brands making that stuff easier for you.

• 1:44:41Tom Bilyeu?

  So you guys can go and do the things entrepreneurs do, generate jobs, generate revenue. You guys are the reason that the world keeps getting better. I love you all and leverage the tools like Tailor Brands at your disposal. The link is in the description. Sign up today. They're amazing. All right, everybody, peace. We will see you on Friday. All right, later. Until next time, my friends, be legendary. Take care. Let's talk about a pattern that is guaranteed to be killing your progress. You know what you need to do. You need consistent nutrition. We all do. You need vitamins, probiotics, greens. We all know that we should be doing more of it. When your morning gets chaotic, you skip it. When you travel, you skip it.

• 1:45:20Tom Bilyeu?

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