“Nvidia Quadruples Down On Circular Financing”
NVDA's circular financing creates hidden off-balance-sheet risks and contingent liabilities that obscure its true financial position.
It shows the complicated web of financial transactions between Nvidia, OpenAI, and numerous cloud service providers. Everybody knows about the circular financing arrangements. It's done out in the open and is widely reported on by the mainstream media.
Yet investors don't seem to care. This has led to a surreal situation where the AI bubble has inflated to a grotesque size even as the red flags pile up.