Welcome back to Impact Theory. In today's episode, the conversation focused on the exploding risks and hidden fragilities underpinning the AI-driven stock market boom. A key theme that emerged was the AI "arms race" between the US and China, where China's relentless drive for cheaper, competitive models—sometimes using questionable methods—threatens to undercut the entire US AI sector. The discussion explored the staggering costs and mounting debts behind AI infrastructure, the dangers posed by open source Chinese models, and how circular financing is masking deeper financial instability. Several points were raised, including the risk of regulatory capture, growing public opposition to AI, and the clever ways banks are spreading risk throughout the financial system. Ultimately, listeners are challenged to understand where the real risks lie, why having the right investment thesis isn't enough, and how to play defense in a market rigged by both geopolitical and economic uncertainty.