Episode 1892 • • 1:30:55 - 1:32:59
1892: Kill Switch
The Collapse of Situational Awareness Hedge Fund
A 24-year-old former OpenAI employee's hedge fund, "Situational Awareness," reportedly collapsed after growing from $3 billion to $45 billion in assets. The fund suffered massive losses due to high leverage and a failed bet against traditional software firms. Citadel eventually purchased the fund's public equities portfolio, narrowly averting a larger financial crisis for its lenders.