How To Tell You’re In A Bubble

The following excerpt is from an article over at ZeroHedge™, it tells you everything you need to know if your looking for clues in the “How to tell…” perspective. Ready?

It’s not just secured credit (be it public or private): the recent $3.2 billion mega unsecured junk deal by bitcoin miner-turned-AI TeraWulf to expand a data center garnered a comparison to one of the high-yield market’s most acclaimed moments. That’s because, as Bloomberg notes, it’s the biggest junk bond sale to be led by a Wall Street bank since the acquisition of RJR Nabisco in 1989, the famous leveraged buyout chronicled in the book Barbarians at the Gate.

Last week, the (former?) cryptocurrency miner which has realized there is more value to be had by pivoting to AI data center, got more than $11 billion worth of orders, drawing significant demand from investors who were compelled by an untested structure: a “backstop” from Google. The Big Tech company is set to guarantee the debt once the facility is up and running. Why Google wouldn’t just give TeraWulf a much cheaper loan directly is unclear.
ZeroHedge.com

For those that may not truly understand the inference – it’s this….

When a Bitcoin™ creation company (aka Miner) decides there’s more value in creating an artificial intelligence data center, you should know what usually happens next, for both.

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