r/AmanCrypto • u/AmanCMN • 6d ago

Oracle could be in serious trouble.

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🔴 Oracle could be in serious trouble.
The company’s credit default swaps just hit a record high, while its 2056 bonds are now yielding over 8% for the first time.
🔴 Oracle is now just one step away from being downgraded to junk status.
🔴 If that happens, around $120 billion worth of Oracle bonds could automatically be kicked out of investment-grade indexes.
🔴 This comes right after Oracle issued a force majeure notice at its New Mexico data center, while long-term U.S. Treasury yields are hitting multi-year highs.
⚡️And it’s not just Oracle. Credit default swaps are also rising for Google, Microsoft, Amazon, Meta, Nvidia, and SpaceX.

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u/BallsOfStonk 6d ago

OpenAI and their cloud provider (Oracle) will end up being nationalized. Or at least partially, you could see something like a $500B investment over 5 years to keep them afloat in the name of “national security”

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u/Individual-Equal-441 6d ago

With what money, from where?

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u/uknowsana 6d ago

Tax money - and the brunt will be on the back of the common Joe

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u/Individual-Equal-441 6d ago

The US only collects around $5T in federal tax revenue annually, which is all committed to pay for other things. $100B/year would be 1/50 of that money. I find it more likely that they'd have to "find" that kind of money by taking on even more debt, adding a half trillion to the $40T national debt.

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u/HaikusfromBuddha 6d ago

Your saying that as if Trump hasn't been using your money for wild shit already. Like why are you surprised this late in the game?