← Simon Dixon Hard Talk
Simon Dixon Hard Talk
Why They’re Rushing To Build 5,000 AI Data Centers | Putin, Xi & The AI Bubble (Simon Dixon on CapitalCosm)
00:49:40
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- [00:00]
Simon Dixon
The overarching goal is to have the justification for a police and surveillance state. And so we are moving to that pre crime social media scraping arrest based upon predictive behavior, Palantir social credit scores, enforcement through drones, robotics, Terminator type of environment like we. That is what the end result of the AI data center build out is. There is not enough energy in the world to power that. So they're building capacity to power it.
- [00:39]
Danny
You're watching Capital Cosm. My name is Danny. It is May 19, 2026 and my guest today is Simon Dixon, big fan favorite on the show. Simon, thank you so much for making the time.
- [00:49]
Simon Dixon
Hey Danny, thanks for having me. Every time we do like a couple of weeks and then the world seems to change.
- [00:55]
Danny
Oh, exactly. I mean even if we did one every day, there'd be a ton of stuff to talk about. So, you know, let's, let's take it, let's talk about this China summit that we saw last week and the Putin summit, the Putin G Summit that's to come later today and tomorrow. We'll get some developments later on today. But let's just recap what we saw. The China summit and what are some of the key items from that meeting that play into your, your thesis and if you see anything has changed overall and the overall trajectory between the US and China.
- [01:33]
Simon Dixon
Yeah, no, I don't think so. So I was, I was thinking this meeting could have been quite a symbolic event to resolve the Iran situation. I thought that for a long time and the original meeting was delayed. So I thought, okay, there needs to be more time to figure out a deal. And then the meeting passed. And it's become very apparent to me that there is a lot of benefits to having the Strait of Hormuz close and everyone that benefits from it, with the exception of Russia and Iran, that also benefit from it in terms of these higher energy prices, oil prices and sanction relief and also showing signs of U.S. weakness in the world, were sat around a table in Shanghai. It really, I think is very symbolic for how power works today that you have Xi Jinping, the China Communist Party with all the, you know, the politicians and important people within China sat around a table with the oligarchs of the technical industrial complex, financial industrial complex, and not all of the military players, obviously, with the exception of Boeing. And so what we got on the post announcement, I guess you could break it into, there was a bit of, a, a bit of a humiliation ritual with Xi Jinping having a higher chair and Trump having a lower chair. A bit symbolic I think Xi Jinping didn't meet Trump at the, you know, actually coming off the red carpet from the plane, which I think is, you know, symbolic as well. And so we had that kind of repositioning of, you know, Trump visiting China and China positioning itself as a rising superpower with America looking like the falling superpower. And it really much felt like, of course we have respect, we are very important trading partners, but we're showing what the world looks like in the future. And, of course, Trump brought around everybody that would lead to a little bit of a stock market pump and the real power structure of America, which is the executives of the corporate companies that represent the interest of the large shareholder class. The financial industrial complex, whether it be blackrock, State Street, Vanguard and Larry Fink, and the executives from all of the major players were there. It's almost like a meeting of everybody that is going to be powering this transition to a world of AI and robotics. There was also players like Visa and mastercard, which I also think is pretty interesting, because China will never open up its payment systems to America. They have capital controls. They guard their financial markets because they suffered that century of humiliation. And they know that the Western tool for colonization is currency wars and capital market wars and acquisition of state of key assets in order to subordinate a country. However, the financial complex, I believe, has been prepping for a multipolar world. And so one of the golden gems that they could achieve is setting up global financial centers, whether it be through uae, through Hong Kong, through Saudi Arabia, that's opened up its markets now. And even the Iranian stock market got announcement that is coming back online as we move into a deal, the Venezuelan stock market. So what I think the FIC wants to do is set up these multipolar financial centers to hedge away from what could happen in US when you're exposed to just one currency, one capital market, and one dominating financial system. Visa and MasterCard being there, is, I think, looking to integrate into the SIPs, Chinese SWIFT system equivalent of Swift system they've all got in the Middle east, in India, in China, they're building their own payment rails in Russia. But integrating those payment rails into a new multipolar world is, I think, symbolically. And I don't look at these meetings as, all right, we show up and then we try and figure out a deal. The deals have been negotiated over an extended, even more than a decade, I'd imagine, as we're progressing to this managed transition. And remember, all of those companies, they all depend upon China for their manufacturing, for Their bases. You had tin cook from Apple. The growth of Huawei was based upon the World Trade Organization globalization model where China can provide all the components, Apple can set up their factory in China, they get access to the cheap labor, but you have to play by China's rules. China's rules are we get to set up our own factories. We don't really care about intellectual property and patent protections and trademarks. You get the advantage of being able to have a cheaper product and a higher margin that you can sell into a debt based consumption base and you can keep churning out those iPhones. But in the meantime we're going to utilize, you have to employ Chinese people and you have to train Chinese know how and you have to build Chinese factories. And so that know how goes on and creates other competing companies. And then those companies with more investment in infrastructure and higher education end up leading. And so you can see that all of those Tesla, you can see how this relationship works, that there is no chance of World War 3. It's absolutely impossible as a concept when the US military depends upon China and the US stock market depends upon China and the US bond market has weakness that China can exploit. And we are also seeing one thing leading up to this meeting is that there was, there's a large China Fund, the Big Fund that has been investing in all of the AI infrastructure and technology for like Huawei and all of the big tech companies. But one of them got an investment I think from Tencent and from the China Big Fund for software for the first time, which was Deep Seek and Deep Seek which can do 90% of what the best AI in America can do at like 110 of the cost. But now it's 100% integrated across chips, hardware, energy and software that has zero U.S. dependency. And so now the fact that the infrastructure is now investing in software and you've got DeepSeq that can function off the Huawei ecosystem with these energy independent corridors, they can do it at a significantly cheaper cost. Meanwhile, we've got the SpaceX $2 trillion IPO coming and the $1 trillion OpenAI and an economy in America that for two years is 100% dependent upon ginormous capital inflows just to build out AI data centers. You can see that we have this real valuation mismatch between what's happening in America and what's happening in China. A dependency from American elites on China. And obviously the, the follow up narrative was from China saying Taiwan is off limits. That's our red line. And that was the only thing they talked about publicly. And then we had a series of announcements from the White House that were very symbolic. One of them was, you can do some trade with our farmers. Well, guess what, that was lower than the trade that China was already doing with American farmers prior to the trade war. You know, so since they, since Liberation Day, then there was an announcement that China's going to buy American oil and gas. Well, they were already buying oil and gas. It was February 2025 that they stopped buying LNG, and it was May 2025 that they stopped buying oil. And it was April 2, 2025, that the tariff policy started. So this is just false cards that can return to what they were before. So, you know, beef, soya beans, oil, lng. There was, we're going to allow China to buy Nvidia chips. But if you remember, China prohibited their companies from buying Nvidia chips because they want to go independent and they want to have their own infrastructure that they see as national security, as they do with energy, as they do with all of these things. I mean, there was some symbolic announcement, as with the Iran deal, you always have a fake narrative. It's about nuclear programs. And then you've got the real narrative. It's about energy, it's about oil, it's about gas, it's about other things. The same happened here. You have a fake fentanyl narrative, which China has allegedly said. But remember, the CIA protects the drug trafficking routes and they're probably just rebalancing their drug portfolio away from fentanyl to something stronger. So all of that was nothing. But there was one interesting thing, and I think it was quite strategic and I'll end here. It did say with China not confirming it or not denying it, but strategic ambiguity, where the White House said China agrees that the Strait of Hormu should open to free flow, free passage, and Iran shouldn't have a nuclear program. Now, those types of announcements by the White House, they don't normally happen unless it's kind of agreed that that's meant to happen. And so China said nothing. And they, you know, they got to say that. I think that really furthers and helps us get to the end narrative that's needed once a deal is announced, which I believe will still happen. My analysis hasn't changed. I just completely got the timing off. This has taken longer and I didn't realize that they would use this opportunity to significantly reset the world order, do a manufactured crisis and price everyone out the market. But now it makes total sense because I believe we're still leading to, we need a narrative to justify the big print. And it looks like the AI side, China forcing a deal, like, I think everything's moving in that direction, but there's a lot of deals still to be signed. So they want the, they want the straight, all the powers want the straight closed so they can lock in as many deals as they can get at these higher prices and force Europe into another LNG deal with America. And so in answer to your question, I think it confirms where I think this is going to. I think everything's taking longer and I can see how now everyone's benefiting from the straight being closed.
- [14:27]
Danny
Why does. So you mentioned AI. Both China and the US are competitors in AI. You look at China's population, you've got about 1.2 billion people there in comparison to America, which is around 3 to 400 million. Now America is building out something to the tune of 5,000 data centers. China has about 500 data centers that manages its surveillance grid. I mean, given the, I mean, why is America building such a disproportional amount of data centers, especially relative to China, do you think? I mean, I mean your guess is as good as mine here, but I'm just curious to get to your thoughts.
- [15:12]
Simon Dixon
Yeah, I think absolute number of data centers is a bit misleading. It's more around how much energy do they have. And China has multiple energy forms, whether it be fossil coal, LNG, hydro, solar, wind, all these nuclear, all these different forms. China also is building out these mega, mega, mega economies of scale, ginormous infrastructure. America's starting to do the same. The next one in Utah is meant to be like bigger than Manhattan State. So although America is quite fragmented here because it's private opportunities and so it's relying upon who's going to actually pay for these data centers, who's going to pay for the energy. One answer is, well, the government can pay for it. That's very unpopular. You need to make some crisis narrative to justify big printing and the bonds that are needed. The other is you get the companies to build it out. We're seeing different strategies from different companies. Matters going all in. They're saying we'll lay off our staff, we'll invest in data centers and we'll build out the infrastructure that can let us lay off our staff later as well. Apple's kind of sitting back and saying, well, I think Apple probably thinks this is an overvaluation bubble, we'll scoop something up in the distress. But the reason that it's happening is the same reason everything happens. The Entire US GDP is these AI buildouts. And the entire war is about getting the energy that's needed for these AI buildouts. The trade war is about the rare earth and the vital minerals. So you could look at the entire world and say this is everything that's happening in the world. While it looks chaotic, we can see what's being built here. If you can push up the price of LNG and America can become the largest exporter of LNG in the world, then a few companies are going to significantly benefit from that. Now the average American is just paying higher gas prices. We get a CPI print of 3.8%. Now we've got PPI, that's looking like it's going to 6%. And now the bond markets are looking like refinancing. The debt is going into a loop that justifies a big print. So you've got all the markets there. But I think America is actually doing what Goldman Sachs has always done, and I use that figuratively for the whole investment banking industry.
- [18:08]
Danny
I don't know if you have the ticker right in front of you here, Simon. I'm looking at the 10 year yield right now. It's knocking on the doors of 4.7%.
- [18:15]
Simon Dixon
4.7%. Wow. Okay, so it's really working out.
- [18:19]
Danny
Yeah, it's at 468 right now. It looks like it's heading towards 4.7. Yeah, pretty soon.
- [18:25]
Simon Dixon
So I've always, in real time. Yeah, so I've always said throughout the entire Trump administration, 4.5% on the 10 year yield. When it goes above that, that's when you had the capitulation on tariff policy and 5% on the 10 year yield. That became very symbolic. Sorry, 30 year yield. That became very symbolic throughout the whole Iran war.
- [18:47]
Danny
And it's 519 on the 30 year right now.
- [18:50]
Simon Dixon
Yeah, 519. So we are at territory where we're leading towards the Fed as the savior. So if we're getting significant selling of those bonds from foreign purchases, more and more of it's happening via Cayman Islands. We're getting a decoupling between the bank of Japan and the Federal Reserve. In the Middle east we're getting FX swap lines in order to stop people selling their bonds. In Europe, they're trying to ink a trade deal that locks in more of these Eurodollars in order to stop Europe which actually if you combine China and Japan together, Europe combined has more Treasuries. So if you, if you have the Gulf countries, Japan, China, then you have Europe and uk, that's the entire foreign bond market, they are all in distress, you know, with the exception of China. So all of those potentially, if you keep the clothes, the Strait of Hormuz closed for long enough, you get more and more high priced oil contracts which puts those economies in distress. When you put those economies in distress they could end up selling their bonds. If they sell their bonds then yield rips out that makes the government debt unsustainable. You have a stimulus check through increased war expenditure through the Department of War and you've got what looks like record growth gdp. You've got a stock market that is absolutely ripping. You've got a debt market that is reaching unsustainable levels because while the straight is closed the dollar's strengthening in DXY terms but with the other commodity currencies it's not doing so well. And so you're really engineering a crisis that can justify a significant amount of Fed purchases of bonds. And we had the first print of the 30 year bond auction at that above 5% and we've been ripping ever since.
- [21:16]
Danny
Yeah, I mean just. Sorry, didn't mean to interrupt you. But just year to date wise we are up 33% on the Thomson Reuters Commodity CRB Index. So 33 in commodity prices which within what, five months?
- [21:32]
Simon Dixon
Yeah. So now combine, combine that with this, the entire economy is the complete infrastructure of AI and robotics build out structurally overvalued CAPEX and you've got the 99 Internet boom and bust with the 2007 financial crisis, yields with a 1973 energy crisis and the stock market is taking all of the value. As soon as you get the straight open we get back to the weakening of the dollar again. We get to the reversal of that trade. And so what have we got coming up? Well, we've got two of the biggest IPOs in history. If I'm Goldman Sachs, I don't want the straight, you know, I want to time the announcement of the opening of the straight with probably post IPO or with the IPO. And so if you get the SpaceX IPO at $2 trillion, massively overvalued, you get the OpenX AI at a trillion dollars. All of these secondary trades have been happening. It's quite interesting that we got the announcement from OpenAI that they don't recognize some of these secondary trades. So they're just deleting some of the stock from people, which is wild. At the same time as justifying the force through of Clarity act, the tokenization of securities. The SEC announced it today which solves those secondary market trade issues in terms of a ledger. But it just so happens to make it where the custodian owns the asset. You own a token, which is a claim on a share and that share is, you know, you're getting further and further away from actually owning your asset. Combine that all together and I think you've got the perfect internal Internet.com boom and bust narrative. Now don't get me wrong, I do think that they will bail it out and I do think that many of these companies are the most significant companies in the world to they're concentrating like I think we're almost at 50% of the S&P is the magnificent seven companies. So half of the value of the stock market is this play is this tech data play. And so you can see what's happening here. Trump needs GDP and they're maximizing for fiscal dominance. Trump needs rollover the debt, the rates is the issue. But you can get the Fed to buy them. And I think we're leaning towards that ginormous print, the biggest print we've ever seen. And what narrative do you need? Imagine this. You've got China with open source AI, extremely efficient energy infrastructure, significantly lower value for 90% of the efficiency and an AI arms race that says this is a national security issue. So now energy is a national security issue and AI is a national security issue. And semiconductor chips as a national security issue. If you were to engineer anything, you would line up, you would do the IPOs, try and time the announcement of the opening of the straight to create a ginormous pump of those valuations. You'd probably exit your significant positions into that pump and bubble and then you'd pull some of the levers with China that can structurally reprice and justify why for national security you need to blow the debt, you need to issue bonds, you need to get yields down and you need all that value to be probably the largest wealth transfer in human history. Combining the global financial crisis, the energy crisis of previous cycles and the dot com boom and bust, which all of those led to very, very large wealth transfers.
- [26:16]
Danny
Yeah. So we've covered the China summit of last week with President Trump and the rest of the U.S. envoy. Today, like we mentioned at the start of the show, we do have President Putin meeting with President Xi as well. The Russia China summit. The agenda is bilateral relations, economic cooperation, including energy. Energy like power of Siberia 2 pipeline, trade and key international regional issues. Dozens of agreements are expected to be signed. Here's some footage of President Putin's arrival in China let's go ahead and pull that up here right now. So it's kind of just last week is.
- [27:05]
Simon Dixon
Is g meeting him. Let's see.
- [27:12]
Danny
Yep, there he is. Yeah. Some very subtle differences there. You could see it towards the end there. President Xi reached out his hand to shake Putin. I don't think he did that with Trump. I think Trump was the one who initiated the handshake last week, and I wasn't paying attention here in the middle, I think.
- [27:57]
Simon Dixon
Did you go meet him on the plane at did.
- [27:59]
Danny
I'm not sure, actually.
- [28:01]
Simon Dixon
Yeah, well, I, I'll look.
- [28:03]
Danny
I'll look into that here in a second. But we also have a message from Putin as well talking about the summit. So let's go ahead and cut to that, too. Do you have audio, by the way?
- [28:15]
Simon Dixon
I got audio, yeah. Stability. Padierjuit Activity of the Majesty of Alini Owen Shanhaiski Organization bricks.
- [29:27]
Danny
So what do you see about this meeting here, Simon? What do you read between the lines here in contrast to last week's meeting with President Trump?
- [29:36]
Simon Dixon
Yeah, I was unable to see the video. What did the. I. Oh, it didn't show much.
- [29:43]
Danny
Was it not playing?
- [29:44]
Simon Dixon
No, I just couldn't quite see it. I just got a. On a strange screen because I'm on the move at the moment.
- [29:48]
Danny
Oh, okay. So, yeah, he was even Putin was basically talking about how China and Russia will cooperate with all of these international agencies like the UN and the Shanghai Cooperation Council, and seek to foster peace with, you know, through regional disputes and issues and things like that. But what. But this boilerplate stuff. But what do you see as the purpose of this meeting? We've kind of outlined it at the start of this segment here. But from your perspective, reading between the lines, how do you view it?
- [30:21]
Simon Dixon
Yeah, I mean, well, prior to this, the power of Siberia 2 energy corridor between China and Russia was a project that's accelerating. I think that's going to take some time. So it's not something that immediately comes into play, but that permanently draws China and Russia closer together in terms of energy ties. Now, leading up to this, we had UAE leaving opec. Now, I think people interpret this wrong. I covered it last time on your show. Very briefly, you had UAE getting access to the Federal Reserve FX swap lines at the same time as leaving opec. That is the mechanism of having significant control over the petrodollar. The petrodollar is that you price your oil in dollars. You recycle into purchasing treasuries. Then with the interest on those treasuries, you have to make forced investments into US Defense contracts. And then US gets a defense base that you get to kind of show a pretense to your people that this is about defending the energy infrastructure. And we got a very out of this, we got a very symbolic that that doesn't work. There is no defense. You know, Israel gets defense, but the Gulf countries don't. We got the FX swap line, which is, don't sell the Treasuries, which they're leveraging in order to get access to the Federal Reserve System to be able to stabilize their financial system with dollars by creating new dollars with their own currency as collateral. And that protects the peg. And then they left opec, which is the other half of the petrodollar. That was what was the agreement of how much oil would be released and therefore how much Treasuries could it purchase. Now, 11 months prior to this, we had BRICS energy agreements. And so while the energy technology has not been built yet, there was leading up to this, an announcement that they're no longer doing a BRICS currency. The unit has been shelved as a project, probably because of the potential to manipulate and create a currency war. But instead they're focusing on tokenized energy infrastructure. And remember, both Iran and UAE join brics with Egypt and Saudi Arabia as observers. So Saudi is the holdout in the negotiations. Then we get escalation and now we're getting, I would say, I would say a progression towards what the more aggressive sanctioned countries and the corridors that they built. Now remember, a vital node in that is uae. And so most of Iran's sanction evasion infrastructure happens via uae. At the same time, they're becoming the center of crypto. And Trump is receiving most of his funding and bribes from Saudi and UAE and Qatar, whether it be Boeing planes, whether it be crypto stablecoin deals, and whether it be, you know, the Affinity Partners fund, multi billion dollar fund. So you can see how this is breaking up of the petrodollar. And this is Trump, Putin and Xi Jinping, I think, transitioning the world with Trump representing elite financial and technical power from both AI banks. And let's call it the World Economic Forum that encompasses the West. This is OPEC is the old order. The petrodollar is dead. And now we have the BRICS energy agreements and we're going to be moving and transitioning towards that. And the closure of the Strait of Hormuz has achieved all of the goals to take out and renegotiate every single contract. So I still see this as way more coordinated than hostile. And the thought of nuclear war, that all of the targets and infrastructure rebuild that will come as a result of this is going to be funded by the BRICS corridors, the GCC corridors, the World Economic Forum elites, and obviously the most important node in the sovereign wealth fund is China. So we're going to be leading to very big rebuild contracts. We've already started to see the testing and flexing of the Pakistani, Saudi Arabia defense deal. We've already started to. We're seeing this transition is, to me, a managed transition. And Russia and China and Putin and Xi Jinping are just people that they deserve more respect. And even the whole. Trump not being able to talk about Taiwan is very symbolic of this new power structure. Trump, you're not allowed to talk about Taiwan. You have to avoid the question. And all of this together is very symbolic of the new power dynamic. And remember, these meetings, these don't get anything done. They're just public demonstrations of what you want to signal to the rest of the world. The deals are all being done continually. They take years and years and years. You don't turn up at a table and negotiate a deal. You take years with lawyers and everything. These are just. We have progressed significantly and now we're ready to signal to the rest of the world so that the rest of the world can now repurpose their strategies around this new world order.
- [37:01]
Danny
Just an FYI, by the way, Xi did not meet Putin at the airport. It was a foreign minister, which is better protocol over there in China. So, you know, that's. That's pretty much how Trump was greeted last week as well.
- [37:19]
Simon Dixon
Okay, well, yeah, I mean, that's some equal. There's no symbolism there then. They're treating them as an equal process.
- [37:27]
Danny
Well, you also had this news that broke today talking about how NATO was prepared to deploy itself onto the Strait of Hormuz should it not be open by July. Now, I mean, what do you think of that news?
- [37:41]
Simon Dixon
Interesting. I just see, you know, European Union and NATO as the same power structure that controls America. But you have good cop, bad cop, just like we have with UAE and Saudi, but with Europe and US, same elite, same system, but good cop, bad cop. So you can play both sides. We can have record energy sales in America, and we can have significant investment in renewable energy and subordination to and in crisis that make government more subordinate to private, corporate, transnational capital. All of these make that more powerful. So I interpret that and I'm hearing this in real time. So just shooting ideas on the Fly probably marking a deadline which coincides with some of the IPOs. So if they're saying we're going to get involved by July, I interpret that initially as, okay, we're going to use Europe in order to put a deadline that's going to push all of the deal making, set the deadline, we get the IPOs done and that will be the pump, the next phase of the pump in the market. If we haven't had enough of a pump in the market. But if you get a real deal, then you're going to get the stocks are going to go through the roof, Buy the rumor, sell the news type of event as well. So not quite sure where it goes. I mean we are in uncharted territory at these valuations. You know, I mean I don't want to, I don't want to give advice and everyone starts pumping into stocks because it really could be one of those buy the rumor, sell the news events as well.
- [39:29]
Danny
Oh, I mean it's. That's been the case for a lot of these use cases here. I know you don't see a kinetic war on the horizon or like the one, a type of war that most people have in mind when it comes to World War iii, but I want to get your thoughts on this as well. This is Trump talking about the ballroom. I think this is out recently. He says that the ballroom is. It will include a hospital, research facilities and meeting rooms for the military that are being built below the ballroom. So let's go ahead and see what he has to say.
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C
I want to take a look at the complexity. These are all different rooms down here. They're building a hospital, they're building. It's a military hospital. They're building all sorts of research facilities, also meeting rooms and rooms that go hand in hand for the military. Using the ballroom and the ballroom is really a shield and protecting all of the things that are built here. This goes as you see, it's already up to the ground. This goes down very deep. You get a better view right over here. This is down and because we've already done these floors, but these are already down two floors. That is down about six stories deep. That's big stuff. Normally when you build a ballroom, you build it flat. You just build a ballroom. It would have been built the complexity of this. And again, it's all knit. It's all knit together between the drone proofing, the missile proofing we have and the drone capacity upstairs. We can have all sorts of military up whether I hate to, to use the word snipers, but we have great sniper capacity. It's built for our snipers, not the enemy snipers, our snipers. And because of the height, we get a, a very clear view of everything all over.
- [41:13]
Danny
I mean, doesn't it sound like he's building a bunker here? I mean, are they? Because it sounds the reason why I brought up World War III again is because, I mean, doesn't it sound like they're building a military fortress underground or underground military bunker or like coming war or something? What do you think make of what he's doing with the ballroom here?
- [41:30]
Simon Dixon
Yeah, definitely sounds that way. My analysis is that the bigger risk to America is not external war, but it's internal war. And so I believe that the tactics that the deep state has always used abroad in order to stoke civil unrest is the same tactics that I'm seeing a lot happening within America right now, across Europe and across the uk. And so I think that the goal of that is to weaken the government at the federal level, fracture into, you know, a smaller and smaller infrastructure at the state level, most likely. But the overarching goal is to have the justification for a police and surveillance state. And so we are moving to that. Pre crime, social media, scraping, arrest based upon predictive behavior, Palantir social credit scores, enforcement through drones, robotics, Terminator type of environment. That is what the end result of the AI data center build out is. There is not enough energy in the world to power that, so they're building capacity to power it. And so I believe that elites know that the next enemy is the domestic population and they also want it to be because that's how you get the end game of bank secrecy Act, Patriot Act, Genius act, and now Clarity act, which provides everything you need. So expect to see manufactured domestic violence followed by a large build out of the privatized prison system in order to have more capacity. Because when the military can't make profits through enforcing a global hegemon, then they have to make up for lost revenue at home. And that's why, you know, you'll see, I think beta tests of escalations like in Cuba, drain it of its energy, have a manufactured crisis, people can't, you know, can't function and roll out technology to solve their problems just like they're doing in Gaza, just like they're doing, I think next in Cuba, just like they'll be looking to do in Venezuela, just like their beta testing in uk. So we're getting lots of, we're getting lots of nationalistic uprising events hosted by intelligence agencies, assets, and you're seeing anger built up, built up, built up. And immediately a new contract with Palantir is signed, a new digital ID is brought in, a new central bank, digital currency, digital euro is brought in, a new policy that utilizes algorithms in order to galvanize people into radicalized communities. And the net beneficial winner of that whole thing is the technical industrial complex. And so you'll see Elon and Peter Thiel and Alex karp and the PayPal mafia stoking a lot of this on X. So to me, when I, when I see this, this type of thing being built, I don't see it because we're going to enter into World War III or there's going to be anyone's going to fire at America. America is going to be attacked from within. And if Americans don't do it, the intelligence agencies will try and manufacture it.
- [45:33]
Danny
Wow. Well Simon, it's always a pleasure having you on, my friend. And anything else you want to talk about before we wrap up?
- [45:43]
Simon Dixon
No, I think we covered it all. I think one thing we could either cover next time or is it was very interesting that Iran took this opportunity to roll out a parallel financial system that circumvented Lloyds of London through insurance, circumvented Swift through Bitcoin, and circumvented the previous order of maritime protection through a new type of insurance contract using technology with multi signature bitcoin wallets. We can cover that another time. But it is another show that when the assets of Iran were seized, they stole the stable coins because they could call tether and say freeze them. They stole the money that was hacked through alternative currencies and shitcoins because there was a foundation called Arbitrum that was able to freeze but they couldn't take the Bitcoin. And so Iran still has its Bitcoin and it's been mining bitcoin with nuclear energy to build an internal legal system. Again, none of this is sanctioned circumvention legal advice. There is serious consequences to violating sanctions law and you'll end up in prison. I'm just explaining what's being built here. At the same time we're getting these alternative financial systems, the opening up of the Saudi market, the new central banking system being built between Iran and Oman, the new FX swap line, central bank, digital currency enbridge network and sanctioned circumvention rails that are happening through uae, all leading up to the opening up of Iran. That seems to be that they're going to be the new leader in a bitcoin based financial system. And so that's, it's very, very interesting. Follow the money. We are in currency wars and those currency wars are being determined and they're not quite the same as the theatrical kinetic wars that make the headlines.
- [47:58]
Danny
Does it look like Iran will be, I guess, for a lack of a better term, the hegemon of the Middle East? Is that where things are heading towards?
- [48:07]
Simon Dixon
I don't think that's China's plan. I think China's plan was to divvy up power between uae, Saudi and Iran. And China has the capacity to control that because of the financial rails and oil rails and divvy up the petro yuan and petrodollar. But I don't think China would ever allow Iran to be the hegemon. I think it wants gcc, Iran and financial rails via UAE and all of them integrated into the Chinese system with the ability to be an intermediary because they don't want world reserve currency, they want a weaker yuan, but they still want the dollar to provide those pricing rails. But the control grids as you get to the Middle east and West Asia are closer and closer to Chinese control grids. That's why they're accumulating all the gold and that's why the gold is leaving London. That's why the gold is leaving the west is migrating eastwards because the Chinese system has effectively got a gold backing. The Middle Eastern system is switching from oil to lng, which changes a lot. AI and robotics is the global system and the west is being subordinated to the World Economic Forum, Financial industrial complex and technical industrial complex and they're all working together as one transnational capital bloc is how I see it.