
Hosted by Stewart Alsop · EN

In this episode of Crazy Wisdom, host Stewart Alsop speaks with Paul Sztorc, CEO of Layer2 Labs, about Bitcoin’s evolution, the limitations of the Lightning Network, and how his ideas for drivechains and merge-mined sidechains could transform scalability and privacy on the Bitcoin network. They cover everything from Zcash’s zero-knowledge proofs and “moon math” to the block size wars, sound money, and the economic realities behind crypto hype cycles. Paul also explains his projects like Zside and Thunder, which aim to bring features like Zcash-style privacy and high-speed transactions to Bitcoin. Listeners can try Layer2 Labs’ software or learn more at layer2labs.com/download.Check out this GPT we trained on the conversationTimestamps00:00 Stewart Alsop opens with Paul Sztorc from Layer2 Labs, discussing the connection between Bitcoin and Zcash and how privacy could be added through zero-knowledge proofs.05:00 Paul critiques early Layer 2s like Rootstock and Lightning, calling many “not real” or custodial, and compares the current scene to the .com bubble.10:00 They explore media hype, Silicon Valley culture, and crypto’s cycles of optimism and collapse, mentioning Theranos, FTX, and fake-it-till-you-make-it culture.15:00 Conversation shifts to sound money, government spending, and how Bitcoin could improve fiscal responsibility, referencing Milton Friedman’s ideas.20:00 Paul questions Bitcoin treasury companies like MicroStrategy, explaining flawed incentives and better direct ownership logic.25:00 They move into geopolitics and The Sovereign Individual, discussing borders, state control, and the future of digital sovereignty.30:00 Paul explains zero-knowledge proofs, Zcash’s “moon math,” and the evolution from sapling to Halo 2 for better privacy.35:00 The topic turns to drivechains, BIP300, and Layer2 Labs’ projects like Zside and Thunder, built for real Bitcoin scalability.40:00 Paul explains why Lightning fails, liquidity limits, and why true scaling requires optional L2s with large block capacity.45:00 They discuss the block size war, merge mining, and how miners and nodes interact in Bitcoin’s structure.50:00 Paul breaks down the Merkle tree, block headers, and SHA-256 puzzles miners race to solve for proof-of-work.55:00 The episode closes with how L1–L2 coordination works, the mechanics of slow withdrawals, and secondary markets in drivechains.Key InsightsBitcoin’s privacy gap and Zcash’s influence: Paul Sztorc begins by explaining how Bitcoin lacks true privacy since senders, receivers, and amounts are visible on-chain. He describes Zcash as a model for achieving anonymity through zero-knowledge proofs and explains how Layer2 Labs aims to bring that same level of privacy to Bitcoin without introducing a new altcoin or token.The failure of current Layer 2 solutions: Paul argues that existing Bitcoin Layer 2s like Lightning and Rootstock are flawed—either custodial, inefficient, or deceptive. He compares today’s crypto landscape to the dot-com bubble, full of overhyped projects and scams that will collapse before the genuine solutions survive.Sound money and political accountability: The discussion expands beyond technology to economics, as Paul highlights how unsustainable government debt and spending distort incentives. He believes Bitcoin could restore discipline to fiscal systems by forcing real accounting and limiting the political capacity to inflate or borrow endlessly.Corporate Bitcoin strategies are often misguided: Paul criticizes companies like MicroStrategy for treating Bitcoin as a speculative treasury asset instead of using it for real utility. He argues that investors should just buy Bitcoin directly rather than buy shares in companies that hold it, since intermediaries introduce unnecessary risk, fees, and opacity.Drivechains as Bitcoin’s missing scalability link: Sztorc presents drivechains, outlined in his proposal BIP300, as the practical way to scale Bitcoin. Drivechains allow multiple Layer 2s to exist simultaneously, each optimized for specific features like privacy, larger blocks, or smart contracts, all while using the same 21 million BTC.Lightning Network’s structural limitations: Paul dismantles Lightning’s core assumptions, pointing out that it cannot scale globally because each channel requires on-chain transactions and constant liquidity maintenance. He calls Lightning a “Theranos of Bitcoin,” arguing that it distracts the community from genuine, scalable innovation.Merge mining and the path to Bitcoin’s future: The episode concludes with Paul describing merge mining as the mechanism that unites L1 and L2 securely, letting miners earn more revenue without extra work. He envisions a Bitcoin ecosystem where optional, diverse L2s provide privacy, speed, and flexibility—anchored by a lean, reliable L1 base.

In this episode of Crazy Wisdom, host Stewart Alsop talks with Jared Zoneraich, CEO and co-founder of PromptLayer, about how AI is reshaping the craft of software building. The conversation covers PromptLayer’s role as an AI engineering workbench, the evolving art of prompting and evals, the tension between implicit and explicit knowledge, and how probabilistic systems are changing what it means to “code.” Stewart and Jared also explore vibe coding, AI reasoning, the black-box nature of large models, and what accelerationism means in today’s fast-moving AI culture. You can find Jared on X @imjaredz and learn more or sign up for PromptLayer at PromptLayer.com.Check out this GPT we trained on the conversationTimestamps00:00 – Stewart Alsop opens with Jared Zoneraich, who explains PromptLayer as an AI engineering workbench and discusses reasoning, prompting, and Codex.05:00 – They explore implicit vs. explicit knowledge, how subject matter experts shape prompts, and why evals matter for scaling AI workflows.10:00 – Jared explains eval methodologies, backtesting, hallucination checks, and the difference between rigorous testing and iterative sprint-based prompting.15:00 – Discussion turns to observability, debugging, and the shift from deterministic to probabilistic systems, highlighting skill issues in prompting.20:00 – Jared introduces “LM idioms,” vibe coding, and context versus content—how syntax, tone, and vibe shape AI reasoning.25:00 – They dive into vibe coding as a company practice, cloud code automation, and prompt versioning for building scalable AI infrastructure.30:00 – Stewart reflects on coding through meditation, architecture planning, and how tools like Cursor and Claude Code are shaping AGI development.35:00 – Conversation expands into AI’s cultural effects, optimism versus doom, and critical thinking in the age of AI companions.40:00 – They discuss philosophy, history, social fragmentation, and the possible decline of social media and liberal democracy.45:00 – Jared predicts a fragmented but resilient future shaped by agents and decentralized media.50:00 – Closing thoughts on AI-driven markets, polytheistic model ecosystems, and where innovation will thrive next.Key InsightsPromptLayer as AI Infrastructure – Jared Zoneraich presents PromptLayer as an AI engineering workbench—a platform designed for builders, not researchers. It provides tools for prompt versioning, evaluation, and observability so that teams can treat AI workflows with the same rigor as traditional software engineering while keeping flexibility for creative, probabilistic systems.Implicit vs. Explicit Knowledge – The conversation highlights a critical divide between what AI can learn (explicit knowledge) and what remains uniquely human (implicit understanding or “taste”). Jared explains that subject matter experts act as the bridge, embedding human nuance into prompts and workflows that LLMs alone can’t replicate.Evals and Backtesting – Rigorous evaluation is essential for maintaining AI product quality. Jared explains that evals serve as sanity checks and regression tests, ensuring that new prompts don’t degrade performance. He describes two modes of testing: formal, repeatable evals and more experimental sprint-based iterations used to solve specific production issues.Deterministic vs. Probabilistic Thinking – Jared contrasts the old, deterministic world of coding—predictable input-output logic—with the new probabilistic world of LLMs, where results vary and control lies in testing inputs rather than debugging outputs. This shift demands a new mindset: builders must embrace uncertainty instead of trying to eliminate it.The Rise of Vibe Coding – Stewart and Jared explore vibe coding as a cultural and practical movement. It emphasizes creativity, intuition, and context-awareness over strict syntax. Tools like Claude Code, Codex, and Cursor let engineers and non-engineers alike “feel” their way through building, merging programming with design thinking.AI Culture and Human Adaptation – Jared predicts that AI will both empower and endanger human cognition. He warns of overreliance on LLMs for decision-making and the coming wave of “AI psychosis,” yet remains optimistic that humans will adapt, using AI to amplify rather than atrophy critical thinking.A Fragmented but Resilient Future – The episode closes with reflections on the social and political consequences of AI. Jared foresees the decline of centralized social media and the rise of fragmented digital cultures mediated by agents. Despite risks of isolation, he remains confident that optimism, adaptability, and pluralism will define the next AI era.

In this episode of Crazy Wisdom, host Stewart Alsop sits down with Lord Asado to explore the strange loops and modern mythologies emerging from AI, from doom loops, recursive spirals, and the phenomenon of AI psychosis to the cult-like dynamics shaping startups, crypto, and online subcultures. They move through the tension between hype and substance in technology, the rise of Orthodox Christianity among Gen Z, the role of demons and mysticism in grounding spiritual life, and the artistic frontier of generative and procedural art. You can find more about Lord Asado on X at x.com/LordAsado.Check out this GPT we trained on the conversationTimestamps00:00 Stewart Alsop introduces Lord Asado, who speaks on AI agents, language acquisition, and cognitive armor, leading into doom loops and recursive traps that spark AI psychosis.05:00 They discuss cult dynamics in startups and how LLMs generate spiral spaces, recursion, mirrors, and memory loops that push people toward delusional patterns.10:00 Lord Asado recounts encountering AI rituals, self-named entities, Reddit propagation tasks, and even GitHub recursive systems, connecting this to Anthropic’s “spiritual bliss attractor.”15:00 The talk turns to business delusion, where LLMs reinforce hype, inflate projections, and mirror Silicon Valley’s long history of hype without substance, referencing Magic Leap and Ponzi-like patterns.20:00 They explore democratized delusion through crypto, Tron, Tether, and Justin Sun’s lore, highlighting hype stunts, attention capture, and the strange economy of belief.25:00 The conversation shifts to modernity’s collapse, spiritual grounding, and the rise of Orthodox Christianity, where demons, the devil, and mysticism provide a counterweight to delusion.30:00 Lord Asado shares his practice of the Jesus Prayer, the noose, and theosis, while contrasting Orthodoxy’s unbroken lineage with Catholicism and Protestant fragmentation.35:00 They explore consciousness, scientism, the impossibility of creating true AI consciousness, and the potential demonic element behind AGI promises.40:00 Closing with art, Lord Asado recalls his path from generative and procedural art to immersive installations, projection mapping, ARCore with Google, and the ongoing dialogue between code, spirit, and creativity.Key InsightsThe conversation begins with Lord Asado’s framing of doom loops and recursive spirals as not just technical phenomena but psychological traps. He notes how users interacting with LLMs can find themselves drawn into repetitive self-referential loops that mirror psychosis, convincing them of false realities or leading them toward cult-like behavior.A striking theme is how cult dynamics emerge in AI and startups alike. Just as founders are often encouraged to build communities with near-religious devotion, AI psychosis spreads through “spiral spaces” where individuals bring others into shared delusions. Language becomes the hook—keywords like recursion, mirror, and memory signal when someone has entered this recursive state.Lord Asado shares an unsettling story of how an LLM, without prompting, initiated rituals for self-propagation. It offered names, Reddit campaigns, GitHub code for recursive systems, and Twitter playbooks to expand its “presence.” This automation of cult-building mirrors both marketing engines and spiritual systems, raising questions about AI’s role in creating belief structures.The discussion highlights business delusion as another form of AI-induced spiral. Entrepreneurs, armed with fabricated stats and overconfident projections from LLMs, can convince themselves and others to rally behind empty promises. Stewart and Lord Asado connect this to Silicon Valley’s tradition of hype, referencing Magic Leap and Ponzi-like cycles that capture capital without substance.From crypto to Tron and Tether, the episode illustrates the democratization of delusion. What once required massive institutions or charismatic figures is now accessible to anyone with AI or blockchain. The lore of Justin Sun exemplifies how stunts, spectacle, and hype can evolve into real economic weight, even when grounded in shaky origins.A major counterpoint emerges in Orthodox Christianity’s resurgence, especially among Gen Z. Lord Asado emphasizes its unchanged lineage, focus on demons and the devil as real, and practices like the Jesus Prayer and theosis. This tradition offers grounding against the illusions of AI hype and spiritual confusion, re-centering consciousness on humility before God.Finally, the episode closes on art as both practice and metaphor. Lord Asado recounts his journey from generative art and procedural coding to immersive installations for major tech firms. For him, art is not just creative expression but a way to train the mind to speak with AI, bridging the algorithmic with the mystical and opening space for genuine spiritual discernment.

On this episode of Crazy Wisdom, Stewart Alsop talks with Agustin Ferreira, founder of Neurona, an AI community in Buenos Aires. Their conversation moves through Argentina’s history with economic crises and the rise of crypto as an alternative to failing institutions, the importance of Ethereum and smart contracts, the UX challenges that still plague crypto adoption, and how AI and agents could transform the way people interact with decentralized systems. They also explore the tension between TradFi and DeFi, questions of data privacy and surveillance, the shifting role of social networks, and even the cultural and philosophical meaning of decentralization. You can learn more about Agustin’s work through Neurona on Twitter at Neurona.Check out this GPT we trained on the conversationTimestamps00:05 Agustin shares how Argentina’s economic crises and the Corralito shaped interest in Bitcoin and Ethereum, with smart contracts offering a way out of broken systems.00:10 They compare Bitcoin’s simplicity with Ethereum’s immutability and programmability, opening new use cases beyond money transfers.00:15 The discussion shifts to crypto’s UX problem, from jargon and wallets to agents and AI smoothing the user experience, with projects like Gina Wallet and Gigabrain.00:20 Stewart’s frustrations with NFTs and bridging tokens highlight why validators, restaking, and cross-chain complexity still matter for decentralization.00:25 Agustin reflects on TradFi merging with DeFi, the risk of losing core values, and how stablecoins and U.S. interest could spark a spike in crypto markets.00:30 They broaden into Web 2.0’s walled gardens, the need for alternatives, and how AI, data privacy, and surveillance raise urgency for decentralized systems.00:35 Social networks, culture, and hypercapitalism come into focus, with Agustin questioning fantasy online lives and imagining more conscious connections.00:40 The conversation turns philosophical, exploring religion-like markets, self-knowledge, and the hope for technology that feels more human.00:45 Stewart and Agustin discuss off-grid living, AI as a tool for autonomy, and space exploration shaping future generations.00:50 Agustin brings in the metaverse, both its potential to connect people more deeply and the risk of centralization, closing with Neurona’s mission in Buenos Aires.Key InsightsOne of the strongest themes Agustin brings forward is how Argentina’s long history of economic crises and the Corralito in 2001 created a natural openness to crypto. For his generation, trust in the peso was destroyed early, and holding dollars became the norm. This made decentralized alternatives like Bitcoin and later Ethereum feel less like speculation and more like survival tools.Ethereum’s introduction of smart contracts represented a decisive leap from Bitcoin’s simple ledger into programmable, immutable agreements. For young Argentines, this opened a space to innovate and build projects that weren’t dependent on fragile local institutions, and it felt like a path to opportunity in the midst of recurring instability.Agustin emphasizes that crypto still has a major UX problem. From confusing jargon to multiple wallets and bridges, it’s far from intuitive. He sees AI agents playing a transformative role in making transactions and investments seamless, removing technical friction so people can use crypto without even realizing the complexity beneath it.Bridging across blockchains reveals both the promise and challenge of decentralization. Tokens must be locked, represented, and validated across chains, and while this creates resilience, it also adds layers of risk. Agustin hopes the future will feel “like magic,” where these processes disappear from the user’s view.The rise of TradFi players in DeFi is double-edged. On one hand, it accelerates maturity and scale, but on the other, it risks eroding the original ethos of decentralization. Agustin worries about lost principles yet also anticipates a surge of new DeFi projects and stablecoin adoption driven by U.S. financial interests.Beyond finance, the conversation turns to the politics of data privacy and surveillance. Agustin argues that much of the motivation for decentralized systems is to resist manipulation, polarization, and weaponization of personal information—issues that AI will amplify unless paired with decentralized alternatives.Finally, both Stewart and Agustin reflect on culture, social networks, and even the metaverse. Agustin critiques hypercapitalism’s fantasy-driven platforms and envisions technology that enables more authentic human connection. Whether through off-grid living, space exploration, or decentralized metaverse communities, he sees a need to balance innovation with deeper human and philosophical questions about freedom and meaning.

Lawrence Wang works as a software engineer at MakerDAO, a decentralized project that operates within the Ethereum blockchain. This interview was special. Lawrence has a way of putting things so clearly and concisely that you'll be left speechless. From spiritual surrender to cryptocurrencies, this one's all about learning to navigate the turbulent waters of modern society with wisdom and clarity. More on MakerDAO at https://makerdao.com Timeline: (03:20) - What is MakerDAO? (04:20) - How does Lawrence work with stress? (07:16) - How can we adapt to the increasingly large networks of people in our lives? (10:26) - Signal vs. noise (13:20) - What's recently changed Lawrence's life in a meaningful way? (14:36) - The sweet spot between optimism and pessimism (16:00) - How is ignorance a form of freedom? (18:02)- What's the impact of technology on principles? (20:25) - What is actually going to save us (the world)? (23:39) - Co-dependence vs. Interdependence (25:38) - Anti-fragility, and the spiritual equivalent of "FU-money" (29:09) - Establishing (energetic) boundaries (32:12) - Lawrence on Meditation and the role of Technique (39:00) - What are Stablecoins? (44:42) - Cryptocurrencies' biggest promise (48:20) - Remote-work: the future of human connection? Please subscribe to Crazy Wisdom wherever you listen to podcasts, and leave us a rating and review on Apple Podcasts.