Investing in AI, Crypto, & Tech in 2025 | Elad Gil
Dec 16, 2024
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Elad Gil, a legendary Silicon Valley investor known for backing unicorns like Airbnb and Stripe, dives into the future of AI and crypto. He discusses the evolution of AI technology, emphasizing recent shifts towards generative AI and its implications for various industries. Elad explores the convergence of AI and cryptocurrency, highlighting the potential for decentralized AI systems. He expresses optimism about tech investments in light of new political dynamics, examining the competitive landscape and future use cases emerging in these rapidly evolving sectors.
The podcast outlines three technological ages, emphasizing a future dominated by machine intelligence that redefines human interaction with technology.
Elad Gil discusses the transformative potential of AI, particularly through generative technologies that enhance productivity and redefine labor roles.
The conversation highlights the evolving regulatory landscape for AI and crypto, stressing the need for balanced legislation to support innovation.
Deep dives
Three Ages of Humanity
Humanity can be categorized into three distinct ages based on computational capabilities. The first age consisted solely of humans and animals where computation was derived from biological entities. The second age represents the current state where there is a blend of human and machine interaction, with humans directing machine activities. The anticipated third age is characterized by machine intelligence dominating computational processes, fundamentally changing what it means to create and engage with technology.
Current Landscape of AI and Crypto
The discussion highlights the rapid evolution of artificial intelligence (AI) and its intersection with technologies like cryptocurrency. Noteworthy advancements in AI have occurred in recent years, particularly with the introduction of transformer models which significantly shifted AI capabilities. Companies like OpenAI have demonstrated the vast potential of AI to transform various sectors, including customer support and programming. The implications of this transformation extend to how crypto interacts with AI, hinting at a collaborative future that could reshape industries.
Generative AI and Labor Automation
Generative AI technologies are changing the way labor is approached in both digital and physical realms. AI is increasingly enhancing the efficiency of human workers, providing tools that allow them to accomplish more in less time. The concept of 'units of labor' through AI is emerging, where companies can utilize AI to multiply the effectiveness of their workforce, leading to significant productivity gains. This shift could potentially lead to a future where labor is less about traditional roles and more about optimizing AI capabilities.
Exploration of AI’s Future Trajectory
As AI technology continues to evolve, debates are ongoing regarding how far along the technological S-curve it currently is. Various factors, including data quality, computational power, and post-training tuning, all play roles in determining the future progression of AI capabilities. There's an assertion that much improvement remains, suggesting that the market could be on the cusp of further significant advancements. The analogy of current AI developments to early internet growth implies a potential exponential increase in applications and functionalities as technology matures.
Integral Role of Regulation and Politics in Tech
The podcast discusses the increasingly political nature of technology and its regulation in recent years, particularly in the realms of AI and crypto. Prominent industry figures are engaging in political discourse, advocating for frameworks that will govern emerging technologies. The regulatory landscape is a major concern for the tech community, with efforts underway to navigate the complexities brought on by government interventions. The involvement of tech leaders in politics signals an urgent need for balanced legislation that encourages innovation while addressing societal challenges.
Navigating Investment Opportunities
Investors are encouraged to look for ways to participate in technology advancements through strategic investments in companies that serve as indices for broader market movements. Companies at the forefront of AI and crypto are highlighted as potential opportunities, providing exposure to rapidly growing sectors. The importance of selecting businesses that are resilient in the face of technological evolution is emphasized. This approach is seen as a robust strategy for retail investors poised to enter the dynamic tech landscape.
What are the best investing opportunities in Tech for 2025?
Elad Gil is one of silicon valley's legendary investors. He's backed 40 unicorns including Airbnb, Coinbase, Figma and Stripe to name a few. He's super active in AI and hosts the no priors podcast which is like Bankless but for AI.
In this conversation, Elad explores the state of AI and how the industry is evolving, what he thinks about Crypto. and why he’s bullish on Tech in general given the new United States political administration.
0:00 Intro 6:02 AI in 2024 8:21 The Future of AI 12:35 Where are we on the S Curve? 17:38 AI vs Other Tech Revolutions 20:23 Are we in a Bubble? 23:59 Evolution of AI 29:06 AI x Crypto 34:12 Centralized vs Decentralized AI 37:46 AI Agents 42:32 Doomsday Scenario 47:16 Raw Crypto 52:28 Order of Trends 55:06 Silicon Valley on Crypto 58:14 Crypto Founders vs Tech Founders 1:01:27 Politics & Tech 1:14:36 Advice for 2025 1:17:13 Closing & Disclaimers
