Originally aired on August 3, 2023

In this episode, hosts Nick Black and Brandon discuss recent AI developments, crypto news, and amusing finance updates.

On the AI front, OpenAI has filed a trademark application for GPT-5 despite not planning to launch it until December. This highlights the rapid pace of progress in AI. Anthropic has also released a new tool called Claude that can generate music from text prompts. Meanwhile, Google aims to improve its AI search to compete with Microsoft’s Bing by adding images, videos, and publishing dates to search results. However, the episode notes that Google’s track record with AI has been mixed since the disappointing launch of Bard.

The crypto news covers an impending Department of Justice lawsuit against Binance, which the hosts view skeptically since fines may be used instead of prosecution. Multiple companies have also filed for regulatory approval of Bitcoin and Ethereum futures ETFs. But the SEC’s Gary Gensler appears to be politicizing the approval process according to his pattern of rejections before Congressional crypto hearings.

In amusing finance updates, credit rating agency Fitch has downgraded US debt from AAA to AA+, sparking backlash from the White House and Treasury Secretary Janet Yellen. But the hosts walk through Fitch’s rationale, citing rising deficits, poor fiscal governance, and political dysfunction. The hosts poke fun at Yellen’s objection to the downgrade despite her role in the deteriorating finances. Finally, a new report reveals that Alameda Research, Sam Bankman-Fried’s trading firm, used bots to pump up affiliated crypto tokens on Twitter.

What are the key AI developments covered in the episode?

• OpenAI files trademark for GPT-5 showcasing rapid AI progress
• Anthropic releases Claude music generator from text prompts
• Google adding more AI to search results to catch up to Microsoft Bing
• But Google’s track record spotty after disappointing Bard launch

What is the latest with Binance and the Department of Justice?

• DOJ preparing fraud charges against Binance
• But fines more likely than prosecution to avoid crypto industry turmoil

What is happening with crypto ETF applications and approvals?

• Many more companies filing for Bitcoin and Ethereum futures ETFs
• But Gary Gensler appears to time rejections around Congressional hearings

Why did Fitch downgrade US debt and how did officials respond?

• Fitch downgraded US debt from AAA to AA+ citing deficits and poor governance
• White House and Janet Yellen objected calling the downgrade “bizarre”
• But hosts walk through Fitch’s sound rationale for the change

How did Alameda Research allegedly use bots for manipulation?

• Report reveals Alameda used Twitter bots to pump affiliated tokens
• Fake tweets surged prices up 30% right before FTX listings

What sketchy crypto project is connected to SBF?

• Developers with SBF ties launched and rugged project called Baldcoin
• Hyped it up with influencers then drained liquidity after pumping price