🦔Starting October 5, you'll be able to trade futures on the price of AI computing power. CME, the big Chicago exchange, is launching contracts that track the hourly rental cost of Nvidia's H100 and B200 chips, the same way it runs futures on oil or wheat. In CME's own words, compute has become the currency of the AI age, and they compare it directly to how oil went from a raw material to a global trading market. My Take So now you can bet on the price of AI chips like they're pork bellies. I get why the hedging side exists, a company renting thousands of GPUs wants to lock in the cost, same as an airline does with fuel. Fair enough, that's a normal use for a futures market. I have an issue with what usually comes after. Once a thing trades on an exchange, people bet on it and borrow against it. We just saw Nvidia turn its own chips into loan collateral and promise to cover their resale price, and now the rental cost becomes something traders can play. Every month there's a new way to package this boom into something tradable, and it's starting to rhyme with what they did to housing before 2008. I don't think this contract breaks anything by itself. But the more of the AI bet that gets wired into Wall Street, the more people go down with it if the thing ever cracks. Hedgie🤗