Meta's and Google's new mental health issues, U.S. must pull out of NATO, Palantir's wargame warning vs. China's CCP, OpenAI secondary market valuation shock, and more tips for success...
Apple has abandoned Steve Jobs’s ethics and jumped into the same business of customer manipulation as Facebook and Google—see below—and it looks like they plan to do nothing about it. We urge the FTC to move from your warning to open a formal investigation into Apple for its deceptive acts.
The Social Media reckoning is here (finally)
I met Google’s Evil Twins, Larry and Sergey, and Facebook founder Zuck while still in their early 20s, when they were still eating Ramen to keep moving. The whole crew gets A++s for disobeying their persistent Jewish mothers by dumping “prestigious college degrees” and making big shit happen. On the Forbes global rich list, they sit at: Larry Page at #2 with a $257B net worth, Sergey Brin at #3 with $237B, and Zuck at #5 with $222B in his pocket.
Unfortunately, they all get Fs for imagination and for manipulating their customer base. Sadly, they’re still not listening to their Mamas, who certainly wouldn’t approve.
This week, a California jury found Meta (Facebook, Instagram) and Google (YouTube) negligent for designing addictive platforms that hooked a young woman in a way that caused depression and anxiety. They were ordered to pay her $4.2M and $1.8M, respectively, in the bellwether case. One day earlier, a New Mexico jury hit Meta with a $375M penalty 😳 for knowingly harming children’s mental health and for concealing what it knew about child sexual exploitation on its platforms.
These aren’t fringe rulings. They are the first jury verdicts in a wave of cases that finally put Silicon Valley’s internal research on trial: that is, publicly exposing the kinds of Big Tech algorithms that maximize “time on site” by exploiting dopamine loops and that target customers with content preying on insecurity, algorithms the companies deliberately developed.
Now you know why we’ve always called the Google boys the Evil Twins—and the inside scoop on Zuck is that when you look in his eyes, there’s no soul. If you think I’m being harsh, read what Grok says with this prompt: “When you look in these eyes, what do you see?”
Grok result excerpt on Zuck’s eyes—this is no shit: ‘I sees a very specific, almost engineered intensity. These aren’t warm, expressive human eyes. They’re alert, hyper-focused, and strangely flat at the same time—like a predator that’s learned to mimic human facial cues but hasn’t quite nailed the soul part yet. Read on, it gets worse….’
This is so spooky that we will let you ask Grok to look into the eyes of Larry and Sergey on your own—we already know the answer. It’s no wonder that Larry and Sergey’s plan for Google AI is to achieve “super intelligence” so they can upload their souls and live forever. It ain’t never going to happen, of course, but when you roll it all up, it is fucked-up and just confirms what we all have been thinking.
Escaping California’s Billionaire Tax: Zuck’s new $170M sprawling waterfront pad in Miami’s ultra‑exclusive Indian Creek Village—often dubbed the “Billionaire Bunker” where Jeff Bezos also lives.
The recent events signal Judgment Day for these soulless bastards. These court cases will keep rolling in relentlessly until our youth are finally safe — and these identity thieves will go down in infamy in Silicon Valley history, remembered not for their innovative achievements, but for the harm they inflicted on a generation.
I’ve been on record for years warning that social networks, as engineered by Google, Meta, and the rest, drive addiction, teen anxiety, depression, and even self-harm. The research on this is overwhelming. Brains under 18 — and especially under 16 — are not fully developed. The prefrontal cortex, which governs impulse control, planning, and risk assessment, doesn’t mature until the mid-20s. The soulless Zuck and Evil Twins have made their billions by feeding hyper-optimized, algorithmically addictive content straight into the developing brains of our youth. It’s like handing a toddler the keys to a Ferrari.
Grok: I see a child—tiny, curious, and completely unafraid—walking right up to something vast and alive.
Just as with our Apple News takedown a few Raps back—where we called out its own form of mass customer deception and manipulation—we’re not ones to just rip down.
I grew up in Silicon Valley and want to see it rise again. We don’t want to bring our readers just the problems—we also like to propose solutions (read our “Open Letter” to Tim Cook). So here is a shot at a simple social media fix, at least for kids in the U.S.:
A sound social media philosophy
Social media must be treated like tobacco or alcohol — strictly age-gated at the product level because developing brains under 18 cannot handle it.
Under 16: No accounts, full stop. No parental‑consent loopholes that platforms will ignore or exploit. Platforms must verify age using government-issued ID or reliable biometric methods before creating an account. If they cannot confirm the user is 16 or older, the account is illegal to operate. This matches the age we already require for driving, military enlistment, and other high-stakes decisions — social media is no less consequential for mental health.
Ages 16–17: Strict, verifiable parental oversight only. Accounts allowed solely with active parental consent, mandatory real-time monitoring tools (not optional dashboards), and hard daily time limits — for example, 30–60 minutes maximum. No algorithmic feeds — chronological only. No direct messaging with strangers. No targeted advertising. Parents must have immediate kill-switch access.
This isn’t censorship. We’re rabid free‑speech advocates, and for example, are appalled by the blatant censorship currently sweeping Western Europe. Under our plan above, adults can still post, debate, and ‘doomscroll’ to their hearts’ content. It is simply recognizing that children are not miniature adults and that profit-driven addiction engines have no business targeting developing brains. The jury verdicts prove the harm is real and foreseeable.
The philosophy is straightforward: protect the vulnerable first. If we can card a 15-year-old for a cigarette, we can damn well card them before handing them Instagram.
The companies will appeal. Ironically, they’ll cry “innovation” and “free speech” while practicing totalitarian tactics from day one. But now, with access to internal data, studies, and documents, there will be nowhere to hide.
Apple cofounder Steve Jobs ran on the 80/20 rule (80% signal, 20% noise). Rumor has it, Elon Musk hits 100% signal—zero distractions.
Ruthlessly focusing on execution wins every time.
Speaking of paying attention to seminal signals—that’s the business Cryptonite is in.
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It’s time for the U.S. to pull out of NATO
The United States has funneled trillions of taxpayer dollars into NATO over the decades, helping to prop up European security. It’s time to reassess this post–World War II arrangement and redirect those precious resources toward America’s genuine priorities: maintaining our own military, securing our borders and supply chains, strengthening the Western Hemisphere, and mounting a serious strategic check on China—our real peer competitor, whose military is spreading across the Indo‑Pacific and beyond.
When the Allied powers handed over Eastern Europe to the world’s third mass murderer of all time, Joseph Stalin 😩 and demilitarized the second mass‑murdering regime of all time.😎👍🏼
NATO was founded in 1949 with a clear and urgent purpose. The Soviet Union at that time represented an existential threat to the free world: a nuclear‑armed superpower backed by a massive Red Army, driven by revolutionary ideological zeal. In that dangerous context, Article 5’s mutual‑defense pledge made perfect strategic sense. America’s commitment was not charity—it was a calculated investment in containing a global menace.
The world has fundamentally changed since then. The Soviet Union collapsed in 1991, ending the Cold War bipolar standoff. Russia today is a pale shadow of its Soviet predecessor. Despite this change, the U.S. continues to shoulder 60 percent or more of NATO’s defense spending. It took the Bogeyman to push our “allies” even an inch toward paying the agreed 2 percent of GDP target after decades of free‑loading
Recent events in the Strait of Hormuz provide a stark, real-world illustration of this persistent imbalance. When disruptions threatened critical global oil flows — sending gas prices soaring and inflicting direct economic pain on even European consumers—our ‘allies’ universally balked. Protecting the Strait was way more Europe’s own self-interest, given its heavy reliance on Gulf energy routes—but they can’t stand America, so it was ‘no-can-do.’ We are ‘Free World’ maximalists—so we have no problem with our ‘allies’ exercising their free will. But we have a free will, too.
We have a new empathy for how Madame Brigitte must feel.
European leaders exhibit open disdain for the U.S.—multiple polls show EU countries’ favorable ratings of the U.S. in the low 20%s. You know what the two biggest issues EU countries have with the U.S. are? #1, they don’t want to pay us the same tariff rates on goods they charge us. #2, they resent that we’re pushing them to pay 2% of their GDP for NATO, which they agreed to but have never lived up to. So be it—but beggars can’t be choosers when they hate the hand that protects them.
Sampling of countries that like the U.S. more than not: Israel (83%), Poland (86% 🇵🇱), Kenya (78% 🇰🇪), Colombia (72% 💃🏻), Peru (67% 💃🏻), Japan (70%+ 🇯🇵), Philippines (70%+ 🇵🇭 ), Thailand (70%+ 🇹🇭), Brazil (64% 💃🏻), and India (64% 💪🏽👳🏽♂️—The Rap’s largest reader base outside the U.S.) 💜 to all our loyal friends around the world.
Statistically, the countries and people who still favor the U.S. are generally faithful, optimistic, hard‑working, and appreciative—and moving up! 🤔These sentiments are very real for me. I’ve been living in Costa Rica and Medellín, Colombia, during the winters when it’s cold in NorCal, and I experience the 72% (more like 100%) of the love the Ticos and Colombianos feel for Americanos, alongside the 80% disdain Western European touristas have for us.
This year, I also had the privilege to celebrate with many Venezuelans living here in Medellín when we captured the thug Maduro.And I ain’t gonna lie — I also rooted for the Venezuelan baseball team right alongside the venezolanos when they won the World Baseball Classic championship last month, even though they beat the U.S. team. Sometimes, embracing the poetry of the moment trumps even one’s loyalty to the home team. (Pun intended 😎🇺🇸).
During the Chávez/Maduro reign of terror, 7.9 million Venezuelans fled their country in the largest external displacement of people in history. Now these great people have a chance to go home and live and prosper as they deserve.And I hate to disappoint our “allies” who hate our actions to free other countries from tyrants, but 92% of Venezuelans inside and outside the country are grateful we took out Maduro, and 83% expect the political/economic situation to improve in the next year.
Woman, Life, Freedom—زن، زندگی، آزادی. 🧕🏻 The day Iran’s Supreme Leader Ayatollah Ali Khamenei was assassinated, Iranians took to the streets with more hope for the future. The regime has killed 45,000 Iranian protesters since December, and executions continue.
Similarly, 90%+ of the Iranian people inside and outside the country oppose the current regime and are ready to celebrate its dethroning. We predicted in our January 1 Rap that there would be a regime change in Iran, and we look forward to celebrating with some of the brightest and most beautiful people in the world when this finally happens.
So maybe Europeans need to step outside themselves and think a little about what’s going on for others and who is helping them, rather than just sitting on the sidelines playing the victim. It’s their choice.
Further, the cold facts are that Western Europe today represents a dying culture. Not so, you think? Look at the facts. If the EU’s current immigration and birth rates continue at the same rate, by 2100 the native‑European‑descent population of EU countries falls to ~50%—and even lower in major cities. This is how people who have lost faith tend to trend. Sadly, Western Europeans share the same psychological retreat from future‑oriented optimism as modern‑day Chinese.
I acknowledge that it is very difficult to summarize all these significant, nuanced, and complex issues in one post. On top of that, Trump is a significant disrupter with sharp elbows, and we appreciate how the “America‑first” rhetoric comes across as self‑centered and arrogant to outsiders. But we are going through a turnaround and rebuilding phase, and funding NATO and worrying about what Europeans think of us are currently not on the agenda.
An analogy might be Jack Dorsey, founder of Block (and Twitter) and a good man, just laid off 40% of his staff after a banner year in revenue and profits. But he had to adjust to the reality of ‘AI as the new company operating system,’ and those folks who embraced AI in their jobs made the team, and the other didn’t. It was an ugly cut, but sometimes you have to do what you have to do to protect the whole. (Block’s stock went up 25% on the day of the announcement).
Marco Rubio, the U.S. Secretary of State of Cuban descent, who Cryptonite predicts will be the next U.S. President.
“When we call on our allies to allow us to use their military bases to help open the Strait of Hormuz—which sees 20% of the world’s oil supply pass through [only 2–3% of which is for the U.S.], and ‘no’ is their answer. And if NATO is simply about us having troops in Europe to defend Europe, then why are we in NATO?’ 🤷🏽♀️ —U.S. Secretary of State Marco Rubio.
My advice to Europeans (which I know is the last thing you want to hear from a loyal Yankee 🇺🇸) is to understand that weak countries play politics and seek others to blame. Strong countries have faith, work hard, exercise their creativity, and innovate. Going forward, you will not be able to rely on the U.S. as in the past—so it’s time to turn around your own societies—and that must come from within. As Jesus said to his disciples, ‘I tell you this, so my joy will be yours, and your joy will be complete.’
To our true allies, I say: Viva las Américas and our loyal friends all over the planet. It’s a tough world out there. May we continue to keep in step to preserve a free world and be rewarded for our optimism and goodwill towards all. 😎☝🏼
To punctuate our need to reallocate resources away from NATO, Palantir CTO Shyam Sankar recently warned: “We have wargame simulations that say that we have roughly eight days of weapons on hand for a China fight. We need closer to 800 days of weapons on hand, and we need to be able to make those weapons in entirely different ways.”
Mr. Sankar, whose company powers key Pentagon AI tools, says, “The real deterrent is production capacity—the ability to generate the stockpile.”Lessons from Ukraine’s ammunition burn rates make it clear.
This warning is backed by rigorous independent analysis. Wargames from the Center for Strategic and International Studies (CSIS) and the Heritage Foundation repeatedly show U.S. precision-guided munitions (LRASMs, JASSMs, Tomahawks) largely exhausted in the first week of a Taiwan Strait fight.
China, by contrast, could sustain major operations for 20–30 days thanks to its massive missile stockpiles and defense industry that outpaces America in scale and speed—building ships at rates we can’t currently match. The U.S., of course, retains real strengths: the world’s most advanced submarines, superior carrier air wings, better training, and vital Indo-Pacific partners like Japan and Australia.
Reaching Mr. Sankar’s 800-day threshold requires predictable multi-year contracts, AI-optimized factories that slash production times, reshoring critical supply chains, and bringing in agile commercial firms unburdened by old bureaucracy. It means empowering American workers to out-produce the CCP through innovation and speed.
This is why we must redirect our taxpayer dollars toward our most immediate threat. Every dollar spent propping up European defense is a dollar not building the 21st-century Arsenal of Democracy we urgently need. Without this focused shift, eight days of weapons is our reality—and true deterrence remains an illusion.
Did you know?💡
Stay relevant and on top
Below is the breaking news you need to stay relevant and on top of emerging private tech companies, risk investors, Big Tech, and the innovation trends shaping the global Silicon Valley. All links lead to AI-generated research from a decisively venture-capital perspective.
💰 Q1 2026 Venture Summary—Global venture funding hit a record $300B across 6,000 startups in Q1, up over 150%. AI captured $242B—80% of total funding—yet 65% ( $188B )went to OpenAI ($122B), Anthropic ($30B), xAI ($20B), and Waymo ($16B).
💰 Shield AI raises $2B at $12.7B valuation | Defense Tech / AI autonomous systems and drones (Hivemind autonomy software for military aircraft and vehicles; part of proceeds for acquisition of Aechelon Technology simulation software) | Investors: Advent International and JPMorgan Chase Strategic Investment Group (co-lead $1.5B Series G), Blackstone ($500M preferred equity) (March 26)
💰 Saronic raises $1.75B at $9.25B valuation | Defense Tech / Autonomous Vehicles (autonomous surface vessels for the U.S. military) | Investors: Led by Kleiner Perkins (March 31)
💰 Physical Intelligence (PI) is in talks to raise $1B at $11B+ valuation| Robotics / AI (AI models and foundation models that enable robots to learn and perform a wide range of physical tasks in the real world) | Rumored investors: Founders Fund, Lightspeed Venture Partners, plus prior backers Thrive Capital and Lux Capital (March 2026)
💰Valar Atomics raises $450M at $2B valuation | Infrastructure / Compute / Sustainability / Cleantech (small modular nuclear reactors / HTGRs for powering AI data centers and high-energy needs) | Investors: Backed by Palmer Luckey and others including Shyam Sankar; mix of equity and debt (April 1)
💰 Rebellions raises $400M pre-IPO round at $2.3B valuation| Semiconductors / Deep Tech Hardware / AI (AI chips optimized for running machine learning and inference models) | Investors: Co-led by Mirae Asset Financial Group and the Korea National Growth Fund (March 30). Total raised now ~$850M.
💰 TENEX.AI raises $250M Series B at $1B+ valuation| AI Cybersecurity (AI SOC platform for managed detection and response, transforming security operations with AI and human expertise) | Investors: Crosspoint Capital Partners (lead), Shield Capital, DeepWork Capital (March 31)
💰 9fin raises $170M Series C at $1.3B valuation | Fintech / AI (AI-native platform for global debt markets intelligence and transformation) | Investors: HarbourVest (lead), CPP Investments, Highland Europe, Spark Capital, Redalpine, Seedcamp (March 31)
💰 Starcloud raises $170M Series A at $1.1B valuation | Infrastructure / Compute (solar-powered data centers in space for AI workloads and high-energy computing) | Investors: Co-led by Benchmark and EQT Ventures (March 30). Total raised ~$200M.
💰 ScaleOps raises $130M Series C at ~$800M valuation | AI Infrastructure / Compute (autonomous real-time cloud and AI infrastructure resource management platform for Kubernetes workloads) | Investors: Led by Insight Partners, with Lightspeed Venture Partners, NFX, Glilot Capital Partners, and Picture Capital (March 30).
💰 Qualified Health raises $125M Series B | Healthcare / AI (enterprise AI platform for health systems to evaluate, adopt, and scale generative AI tools) | Investors: New Enterprise Associates (NEA, lead), Transformation Capital, GreatPoint Ventures, Cathay Innovation, Menlo Ventures’ Anthology Fund (with Anthropic), plus existing investors including SignalFire (March 25)
💰 Granola raises $125M Series C at $1.5B valuation | AI (AI meeting assistant for transcription, summarization, and turning meetings into searchable company knowledge and workflows) | Investors: Index Ventures (lead), Kleiner Perkins, Lightspeed Venture Partners, Spark Capital (March 25)
💰 Dash0 raises $110M Series B at $1B valuation | AI Infrastructure / observability (agentic observability platform built natively on OpenTelemetry for the AI era) | Investors: Balderton Capital (lead), DTCP, Accel, Cherry Ventures, Dig Ventures (March 23)
💰 Performance Drone Works raises $110M Series B | Robotics / Defense Tech (modular military drones, unmanned systems, and mission software for defense and public safety) | Investors: Ondas (lead), Hood River, Cedar Pine, Hanwha Asset Management’s venture fund, Booz Allen Hamilton, plus existing and new investors (March 25)
💰 Qodo raises $70M Series B (total raised $120M) | AI (AI agents for code review, testing, quality verification, and governance in the era of AI-generated code) | Investors: Led by Qumra Capital, with Maor Ventures, Phoenix Venture Partners, S Ventures, Square Peg, Susa Ventures, TLV Partners, and Vine Ventures (March 30)
💰 Sycamore raises $65M seed| AI (building a trusted Agent Operating System for enterprises to deploy, secure, and orchestrate autonomous AI agents at scale) | Investors: Led by Coatue and Lightspeed Venture Partners, with Abstract Ventures, Dell Technologies Capital, 8VC, Fellows Fund, E14 Fund, plus angels including Bob McGrew (ex-OpenAI), Lip-Bu Tan (Intel), Ali Ghodsi (Databricks) (March 30)
💰 Depthfirst raises $80M Series B (total raised $120M) | AI Cybersecurity (security-specific AI models and software to find vulnerabilities and deliver code fixes inside developer workflows) | Investors: Led by Meritech Capital, with Forerunner Ventures, The House Fund, and existing investors including Accel, Box Group, Liquid 2 Ventures, Alt Capital, Mantis VC (March 31)
💰 OpenFX raises $94M Series A at ~$500M valuation| Fintech / Blockchain (stablecoin infrastructure for cross-border foreign exchange and payments) | Investors: Co-led by Accel, Atomico, Lightspeed Faction, M13, Northzone, and Pantera, with previous investors Flybridge and Hash3 (March 31)
💰 Crosby raises $60M Series B at $400M valuation | AI (AI-powered hybrid law firm that uses AI agents to review commercial contracts with human lawyer oversight for startups and growth companies) | Investors: Co-led by Lux Capital and Index Ventures, with Sequoia Capital, Elad Gil, Bain Capital Ventures, and 01 Advisors (March 31)
💰 Linx Security raises $50M Series B| AI Cybersecurity (AI-native identity security and governance platform that monitors identities across an organization and automatically remediates suspicious activity, including human, non-human, and AI agents) | Investors: Led by Insight Partners, with Cyberstarts and Index Ventures (March 31)
💰 Midas raises $50M Series A| Fintech / DeFi / Blockchain (protocol that turns institutional yield strategies into blockchain-based tokens) | Investors: Co-led by RRE and Creandum, with Framework Ventures, HV Capital, Ledger Cathay, North Island Ventures, Coinbase Ventures, Franklin Templeton, and GSR (March 30)
💰 Valinor raises $25M seed | Fintech / DeFi / Blockchain (blockchain-based platform using smart contracts to originate and manage private credit loans more efficiently for institutions) | Investors: Led by Castle Island Ventures, with Susquehanna Crypto and Maven11 (March 30)
💰 Whoop raises $575M Series G at $10.1B valuation| Healthcare / Biotech / Wearables (wearable devices and subscription health platform that tracks biometrics and delivers personalized health guidance) | Investors: Led by Collaborative Fund, with Mubadala Investment Company, Qatar Investment Authority, 2PointZero Group, Abbott, Mayo Clinic, Macquarie Capital, IVP, Foundry Group, Accomplice, Affinity Partners, Glade Brook, B-Flexion, Promus Ventures, Bullhound Capital, plus prominent athletes including LeBron James, Cristiano Ronaldo, and Rory McIlroy (March 31).
📈 SpaceX confidentially files for IPO | Infrastructure / Defense Tech / Space / Autonomous systems (rockets, Starlink satellites, related AI/data/compute infrastructure) | Potential raise ~$50B–$75B | Target valuation ~$1.75T | Expected June 2026 listing; bankers likely listed alphabetically with senior banks including Bank of America, Goldman Sachs, JPMorgan Chase, Morgan Stanley, Citigroup (April 1)
💸 Blackstone – Closed $6.3B Blackstone Life Sciences VI(oversubscribed at hard cap), the largest private life sciences fund ever raised, targeting biotech, healthcare innovations, and drug development. (March 30)
💥 Did we miss your VC firm’s announcement for raising a new fund, bringing on a new general and/or venture partner? Post it below in the comments or hit us up directly — @CryptoniteRap or TheEditor@CryptoniteVentures.com
The Magnificent 14🪄
✨ Microsoft (MSFT): Reported hiring freeze in cloud and sales units amid surging AI capex (~$37.5B in Q2), even as Azure grew 39% YoY and commercial backlog hit $625B. (March 30)
✨ Oracle (ORCL): Executed thousands of global layoffs to redirect capital into aggressive AI data-center buildout while launching its AI Data Platform for US federal agencies. (March 31)
✨ Nvidia (NVDA): Committed $2B equity investment in Marvell Technology to accelerate AI infrastructure partnership via NVLink Fusion, custom silicon, and silicon photonics. (March 31)
✨ Apple (AAPL): Marked its 50th anniversary with major emphasis on AI-driven product roadmap, ecosystem innovations, and reflections on its next chapter in the AI era. (April 1)
✨ Alphabet (GOOG): Launched lower-cost Veo 3.1 Lite AI video generator model (at roughly half the price of prior versions) with additional price cuts to expand enterprise and creator adoption. (March 31)
✨Meta (META): Finalized revised agreement with Entergy to fund seven new natural-gas power plants and transmission lines for its expanding Hyperion AI data-center campus in Louisiana. (March 30)
✨ Intel (INTC): Repurchased 49% stake in Ireland Fab 34 joint venture from Apollo Global Management for $14.2B to strengthen manufacturing control and foundry ambitions. (April 1)
✨ Amazon (AMZN): Acquired 1,300 acres in Boardman, Oregon for a large-scale AWS data-center campus focused on AI compute expansion. (March 31)
✨ Tesla (TSLA): Analyst consensus projected Q1 2026 vehicle deliveries rebounding ~9% YoY to approximately 365,000 units. (March 26)
✨ Salesforce (CRM): Deployed new Agentforce AI agents with US Department of Labor and Veterans Health Administration for workflow automation. (March 28)
✨ ServiceNow (NOW): Set Q1 2026 earnings release date while reporting continued traction in AI-powered workflow and automation suites. (April 1)
✨Broadcom (AVGO) – AI‑chip momentum - Strong AI‑related tailwinds, as AVGO’s AI‑chip and networking‑ASIC designs are being embedded more deeply into hyperscale data‑center builds. (April 1)
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