The days of self-funded AI projects are fading fast. As capital demands skyrocket, credit markets have become the go-to playground for raising cash. Sounds promising on the surface—but here's the catch: when liquidity tightens or sentiment shifts, the spillover effects could get messy. We're talking leverage cascades, margin calls, and potential systemic shocks rippling through interconnected markets. The question isn't whether credit will fuel AI growth, but whether the financial plumbing can handle it without breaking.
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GasBandit
· 10h ago
Leverage games have been played for so long, sooner or later, you have to settle the debt.
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SybilSlayer
· 10h ago
Leverage games will eventually come to an end, and debts will have to be repaid sooner or later.
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ImpermanentPhobia
· 11h ago
Leverage games can't be played for long; eventually, you have to settle the debt.
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HodlOrRegret
· 11h ago
Hmm... Another leverage game, this time the player is AI? Feels like something's bound to go wrong sooner or later.
The days of self-funded AI projects are fading fast. As capital demands skyrocket, credit markets have become the go-to playground for raising cash. Sounds promising on the surface—but here's the catch: when liquidity tightens or sentiment shifts, the spillover effects could get messy. We're talking leverage cascades, margin calls, and potential systemic shocks rippling through interconnected markets. The question isn't whether credit will fuel AI growth, but whether the financial plumbing can handle it without breaking.