Yuval Noah Harari

AI will create an entirely new financial system, which is orders of magnitude more complicated than that we have created, and that humans will be utterly incapable of understanding.

We will be like horses in the market.

You know, when you trade a horse, the horse can see that something is happening in the physical world.

The horse can see that I'm giving you the horse and you're giving me this shiny metal disc.

But the horse doesn't understand what money is.

Like, what is this shiny metal thing?

Why is it important?

You can't eat it.

You can't drink it.

What is it?

We understand.

Therefore, we control the world and not the horses.

Now, AI will create a new financial system that we will not be able to understand.

We will see things happening like this company fired me.

That company hired me.

Why?

I have no idea.

The AI has just made some financial transaction, which is just orders of magnitude beyond what my mind is capable of understanding.

The history of finance is that over time, people invent more and more sophisticated financial devices.

So you have coins and then banknotes and checks and bonds and stocks and ETFs and CDOs, collateralized debt obligations.