Woofun AI notes that Tether CEO Paolo Ardoino identifies significant capital misallocation risks within the AI industry. He observes that major technology firms are subsidizing computing power to expand user bases, a strategy dependent on high capital expenditures with assets depreciating rapidly over three to five years. Ardoino outlines multiple structural mismatches, including divergences between token prices and real value, profitability cycles and investment timelines, and capital costs versus debt maturities. He further emphasizes how open-source AI trends continue to erode revenue potential, questioning the sustainability of such a structure amid accumulating industry risks.