Good morning.
Insane few days for crypto and for the markets where some attention seems to be departing the latest hot stocks and moving back toward bonds, rates, and the Fed.
Bessent and Warsh are the talk of the town and internet again as Treasury and the Federal Reserve appear to be sending somewhat conflicting messages about how they want markets to function.
Bessent has become increasingly aggressive in trying to keep long term Treasury yields under control, while the newcomer Warsh is currently preparing for his first major Jackson Hole speech as Fed Chair with inflation still running above target and the bond market testing him. It’s just not the same as Jerome….
Bitcoin has reacted positively to the murmurs of the money printer and positive legislative chatter from DC, now trading close to $80,000. Odds on Polymarket for Bitcoin trading over $82,500 by the end of the month sit at about 60% as of last night. Ethereum
Today we’re going to talk about a sector that I think is currently being overlooked by most people.
Robotics.
We talk quite a bit about industries, trends, and themes here that are going to give you the opportunity to do the following:
make money
transcend wealth and social classes (more importantly avoid falling here)
secure your future and your children’s
ensure that you can survive the coming decades economically
Many of these areas are still in their infancy.
Crypto and tokenization certainly are. Tech is ever evolving and AI has stolen the show in the last year and a half, laying the groundwork for what is surely to be generational technological change.
I’ve made people a substantial amount of money in crypto, AI, and tech, and now we’re going to try and lay the groundwork for an early jump on what might be cooking silently while everyone’s attention is elsewhere.
For the last several years virtually every investor on Earth has been obsessed with artificial intelligence. It has defined equity markets for a long time now, driving volatility, insane earnings prints, and hype for companies that were long irrelevant prior to 2025.
It’s been a tornado of new tech and hot names.
Nvidia’s god run. Micron’s parabolic ascent. Data centers and people protesting against them. Semiconductors dominating market share an capital. LLMs. Cloud infrastructure. Power.
Nuclear slowly coming back into conversation. Every company on Earth and nearly every modernized government suddenly found a way to obsess and spend endlessly on this revolutionary technology.
And for good reason!
AI has created one of the greatest investment themes we have seen in decades, it has minted countless millionaires and changed work forever. I read a stat yesterday that close to 50% of NVDA 0.00%↑ employees are now worth more than $25M lmao. 78% or so and millionaires.
But I think we are approaching the point where the AI trade starts escaping the computer screen and digital realm.
Today we will cover everything you need to know about robotics, the companies set to benefit the most from the coming bull run, and the pockets of the industry that will see the most explosive growth.
By giving the space some attention NOW we can get an early start on one of the sectors poised to grow right along the hottest companies and themes of the coming decade.
An Overview of Robotics for Beginners
So let’s talk basics of robotics here. Most people don’t know much about robotics, they’ve seen iRobot once and now they’re pros but the “robot” itself isn’t necessarily the big breakthrough in my mind.
The breakthrough is actually being able to give the robot a functioning and capable brain. We’ve had robots in one way or another for decades.
Walk through any modern auto factory and you’ll see massive robotic arms welding, painting, moving parts, and assembling vehicles with incredible speed and precision. TSLA 0.00%↑ has turbocharged this.
The problem is that traditionally these robots have been pretty fucking stupid.
They are phenomenal at performing a specific task they’ve been programmed to do over and over again.
If you change the environment though or move an object somewhere unexpected things get much more complicated or there are some errors.
But the tech is sky rocketing.
To understand why everyone is suddenly talking about robotics, it helps to understand how quickly we got here.
I’m going to keep it one hundred with you guys, I am by no means an expert on robotics lol.
But I did try to consolidate history (with some help from AI), the current playing field, and the best investments we can move on now in the space. I want to stress that I really do feel we are early (for now) to this trend and that it will be a natural next extension from AI/tech/crypto. So let’s walk through my abridged history on clankers.
Let’s go all the way back to the first industrial robot which was called Unimate went to work at a General Motors factory in the year 1961. This thing was basically a giant programmable arm designed to perform repetitive and dangerous manufacturing tasks.
The arm kicked off what would end up being decades of industrial automation.
Full disclaimer I leveraged AI here to help me consolidate a short history of robotics
By the 1980s and 1990s, these robotic arms were becoming common across places you might normally expect them. Things like auto manufacturing and other heavy industries. Better computers, sensors and software were able to make them faster and more precise but the basic idea remained kind of remained the same. It was just tell the machine exactly what to do and it will do that thing 10,000 times.
Then you started to see some leaps. I still remeber watching some of these videos and thinking it was like some weird sci fi experiment:
In the year 2000 Honda introduced ASIMO which some of you might remember. It was one of the first humanoid robots that made people realize a machine could realistically walk, climb stairs and navigate around humans. It is pictured below
In 2013 Boston Dynamics unveiled their own called lil guy named Atlas. It eventually went from stumbling around a laboratory to running, jumping, performing backflips and navigating complicated environments. Videos of it went viral.
After that there was another pretty big breakthrough with computer vision.
Instead of robots simply following coordinates we now had increasingly powerful tech that allowed machines to start identifying and understanding objects in the world around them. Slowly gaining some additional capability and cool tricks.
The world then witnessed GPUs (Graphics Processing Unit) became more powerful while cameras kept getting better. The batteries improved and sensors got cheaper while motors became able to be more precise.
"I visualize a time when we will be to robots what dogs are to humans, and I'm rooting for the machines."
—Claude Shannon
And then this absolutely absurd generative AI explosion happened, which allowed massive amounts of real world data to become available for training not only humans but robots as well.
In my opinion, this was where the robotics story really begins to change and where we need to start pausing to think "it might be time to position financially for this”.
This could make us incredibly wealthy if we play it right.