Network State Podcast · the podbrain notes ·
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Cory Levy Interviews Balaji

Corey, founder of Network School, discusses his experiment in creating physical manifestations of online communities and his thesis that building alternatives is more effective than reforming existing institutions. Network School has operated for just over a year and has attracted people from more than 100 countries...

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Key Takeaways
  1. 01

    "It's easier to start a new city than reform San Francisco, and may even be easier to start new countries than to reform America" - Corey

  2. 02

    Gold has doubled against the dollar in two years while Bitcoin quadrupled, meaning the dollar dropped 50% against gold and 75% against digital gold

  3. 03

    Network School has brought people from more than 100 countries to create a physical manifestation of cloud communities in just one year

  4. 04

    "The next rules based order is the code based order" - smart contracts and Bitcoin provide cryptographic trust without human intermediaries

  5. 05

    US passport has dropped out of the top ten globally due to reciprocity rules as American identity and currency simultaneously devalue

  6. 06

    "Political risk is regulatory risk" - talent should consider platform risk when choosing where to build, just like choosing iOS over BlackBerry

  7. 07

    Reserve ratio was set to zero in 2020, making US banking "fictional reserve banking" rather than fractional reserve banking

  8. 08

    The Internet is to America as America was to the UK - a version 3.0 evolution from common law to constitution to smart contracts

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Corey, founder of Network School, discusses his experiment in creating physical manifestations of online communities and his thesis that building alternatives is more effective than reforming existing institutions. Network School has operated for just over a year and has attracted people from more than 100 countries to its Singapore location.

The conversation covers Corey's analysis of simultaneous economic, military, and political decline across Western nations, drawing parallels to historical collapses like the Soviet Union in 1991, Indian partition, and the Chinese civil war. He argues that Americans are in denial about this decline, similar to how Biden's senility was ignored until the final moment.

Corey advocates for talent mobility and building on better platforms, comparing nation-states to developer platforms like iOS or Android. He discusses the transition from a rules-based order to a code-based order built on cryptocurrency and smart contracts, positioning this as the successor to American-led global institutions.

The Network School Experiment: Printing Cloud Communities

Network School operates like "taking a cloud community and printing it out in the physical world" - demonstrating that online communities can successfully manifest as physical locations with over 100 countries represented in just one year.

"It's easier to start Netflix than reform Blockbuster, easier to start Bitcoin than reform the Fed, and I believe it's easier to start a new city than reform San Francisco" - Corey's core thesis for building alternatives rather than reforming existing institutions.

The space recreates "the good parts of SF" - a tech cafe environment that stays open late, addressing the limitation that San Francisco tech cafes close early.

The Dollar's Hidden Collapse and Western Denial

Gold has doubled against the dollar in the last two years while Bitcoin has quadrupled, meaning "the dollar has dropped 50% against gold and 75% against digital gold" rather than these assets appreciating.

Americans exhibit denial patterns similar to Biden's senility - obvious problems are ignored until sudden "digital death" collapses rather than gradual acknowledged decline.

Simultaneous economic, military and political decline is occurring across all G7 nations, with bond yields spiking and headlines about potential IMF bailouts for the UK and France.

As referenced in The End of the World Is Just the Beginning, empire contraction follows historical patterns where living standards plummet as the economic zone shrinks from billions to hundreds of millions of people.

Platform Risk: Why Talent Should Be Mobile

"Political risk is regulatory risk" - choosing the wrong nation-state platform is like building on BlackBerry instead of iOS, where even excellent coding can't overcome platform decline.

Young talent should visit Dubai, Warsaw, Riyadh, Bangalore, Singapore, Ho Chi Minh City, and Shenzhen to calibrate on global living standards that now exceed much of the US.

"Second passport is much more important than your first home for many people" - with dozens of digital nomad visas available and citizenship-by-descent options for many Americans.

The 2020 Fed decision set bank reserve ratios to zero, creating "fictional reserve banking" where banks don't actually hold deposits to support withdrawals.

San Francisco's Precarious Tech Position

Tech companies are "building AI in the bluest city, in the bluest state" while publicly claiming they'll put blue-collar workers out of jobs, creating political vulnerability in a state where they're massively outnumbered.

California proposed a retroactive 5% wealth tax on 200 billionaires that would apply to 2025 wealth even if passed in 2026, forcing immediate stock liquidation to cover potential tax bills.

San Francisco is in its "Eric Adams era" - better than before but potentially facing much worse conditions if economic deterioration continues while tech prospers.

The Code-Based Order: Rebuilding Trust Through Crypto

"The Internet is to America as America was to the UK" - representing version 3.0 evolution from common law to constitution to smart contracts, scaling from millions to billions of users.

"The next rules based order is the code based order" - Bitcoin and smart contracts provide cryptographic trust that reduces the need for human-mediated trust systems.

Crypto exchanges are about to flip NYSE and NASDAQ as the 3rd or 4th largest exchange globally, managing hundreds of millions of users in a growing parallel financial system.

When traditional systems crash, "you reboot from cloud backup" - the crypto infrastructure serves as a backup system for rebuilding trust and institutions.

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