The SaaS Apocalypse, Buttcoin, and the Moat Nobody Wants to Build - My 21 Sats on the Madness
Build the moat the slow way. Read, think, verify. There's no other way.
The real problem in investing isn't AI. It never was. It's understanding. Most people don't know what they own. They buy narratives, not businesses.
No understanding → no conviction → herd behaviour.
Selling leads to more selling, buying leads to more buying.
Nobody knows the future.
Will AI change the world? Yes
Is AI here to stay? Yes
Will it be a great investment automatically? Not necessarily.
Will it replace jobs? Yes
Will it create new jobs? Yes
Will the same people who lost jobs get the new ones? Maybe
"AI is a scam" or "AI will revolutionize everything." The truth lies somewhere in the middle. AI isn't useless, but it isn't magic either.
How do I use AI
As a generalist, I find AI extremely useful; it is my personal accountant, coach for nutrition, sleep, and training, and my first pass on quarterly results. Do i trust it 100% NO.
I have been investing for +20y as a hobby and running a business for +10y. I know enough to know what questions to ask.
It is simply predicting the next word. Can I replace my accountant with it? Probably yes, but I still need to control what I put in and what comes out.
Trust, accountability, and verification still matter.
For me, AI isn’t a replacement tool - it’s an assistant.
AI doesn't fix the ongoing stupidity in the world.
So what is it?
AI is leverage
AI is a tool for people who think
AI widens the gap between thinkers and consumers
AI rewards curiosity
It makes good workers more productive and lazy ones louder.
It rewards people who think and exposes people who outsource thinking.
AI doesn't remove thinking; understanding is still the moat. AI changes tools, not principles.
The game is still the same:
Understand what you own.
Ignore the noise.
Buy when others panic, sell when everybody is buying.
People will still chase hype.
Still panic sell.
Still outsource thinking. (People love shortcuts)
That was true before AI.
It will be true after AI.
AI is a filter.
If you can separate signal from noise, it’s insanely powerful. AI is bad at finding signal on its own; you are the prompter, you have to feed the signal.
If you can’t, it just gives you more noise and shit.
Same as the internet. Same as markets.
People keep buying the top and selling the bottom. You want proof? Look at the last 12 months.
Software stocks crashed. Bitcoin crashed from 124k to 64k, and the same crowd is out again. “It’s a ponzi.” “It will die again.” “Buttcoin.”
Funny thing is, they said that at 1k, at 10k, at 16k, at 30k, at 60k. Every cycle, same panic, different price. This is almost a universal law in tech cycles, be it software, AI, or whatever.
First global, private, digital, rules-based monetary system without government interference. Any value? I think so. For everybody? Maybe not.
The tools change constantly. The game doesn’t. The real problem was never AI. It’s the same problem it’s always been. Nobody wants to do the boring work of actually understanding what they own.
The real problem was never the tool.
It was always understanding.
And that’s the one thing you still can’t prompt your way to.
Sources:
The Royalty King: https://substack.com/@theroyaltyking/p-188353022
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