In this episode, Patrick McKenzie (patio11) is joined by Zac Townsend, a serial founder and CEO of Meanwhile, a fully regulated life insurance company operating in Bitcoin. They explore the differences between life and property insurance, explain why term life is essential financial protection everyone should consider, and dive into the tax benefits that shape the industry. Zac shares insights on how private equity firms are acquiring insurers for their stable capital base, and explains Bermuda's role as the world's insurance capital. –Full transcript available here: https://www.complexsystemspodcast.com/life-insurance-and-your-money-with-zac-townsend/–Sponsor: MercuryThis episode is brought to you by Mercury, the fintech trusted by 200K+ companies — from first milestones to running complex systems. Mercury offers banking that truly understands startups and scales with them. Start today at Mercury.com Mercury is a financial technology company, not a bank. Banking services provided by Choice Financial Group, Column N.A., and Evolve Bank & Trust; Members FDIC.–Recommended in this episode:Meanwhile https://meanwhile.bm/–Timestamps:(00:00) Intro(00:23) Overview of Meanwhile Insurance(00:56) How Bitcoin is being used in the insurance industry(02:12) Understanding different types of insurance(06:13) Term life insurance explained(07:26) Life insurance tips for tech professionals(12:47) Permanent life insurance and annuities(18:57) Sponsor: Mercury(20:11) Insurance regulatory insights(25:46) Principal-agent problems in insurance(37:09) Tax considerations in life insurance(42:16) Leveraging life insurance for estate planning(44:55) Premium financing explained(47:39) Wealth management and market segmentation(52:09) Regulatory challenges and mispricing in insurance(01:03:32) Reinsurance and the role of bermuda(01:10:27) Private equity's interest in insurance(01:14:24) Building a crypto life insurance company(01:20:02) Wrap
--------
1:20:53
Fixing government technology, with Mikey Dickerson
In this episode, Patrick McKenzie (@patio11) is joined by Mikey Dickerson to discuss the complex realities behind government software projects. Mikey shares insights from leading the healthcare.gov rescue effort and founding the United States Digital Service, explaining how procurement processes create requirements through committee decision-making without market-based feedback loops. They explore how government systems handle software development differently than industry, with Mikey noting that the issues are less about individual competence and more about systemic incentives that reward risk aversion. The conversation covers the challenges of "modernization" efforts, the loss of organizational management knowledge over decades, and reflection on when and how technologists might effectively contribute to public service. –Full transcript available here: –Sponsor: MercuryThis episode is brought to you by Mercury, the fintech trusted by 200K+ companies — from first milestones to running complex systems. Mercury offers banking that truly understands startups and scales with them. Start today at Mercury.com Mercury is a financial technology company, not a bank. Banking services provided by Choice Financial Group, Column N.A., and Evolve Bank & Trust; Members FDIC.–Recommended in this episode: www.complexsystemspodcast.com/fixing-government-technology-with-mikey-dickerson/Bureaucracy by James Q. Wilson: https://www.amazon.com/Bureaucracy-Government-Agencies-Basic-Classics/dp/0465007856 Movie: The Pentagon Wars https://en.wikipedia.org/wiki/The_Pentagon_Wars Mikey Dickerson's company Layer Aleph: https://layeraleph.com/ Complex Systems with Dan Davies https://open.spotify.com/episode/5QKxzgumJXSQuaWCmYAoM9?si=uQWgAx1iSzGm5iCUBWei8A Complex Systems with Dave Guarino https://open.spotify.com/episode/0UlTIRosmjtvpcdHQ7t2tK?si=MlUqO3uWRie1E_GRQ5D7jg –Timestamps:(00:00) Intro(00:24) Government software procurement(06:02) Fighter planes and requirements(08:37) Software development cycles(11:37) Deadline challenges(12:18) California vaccine scheduling(16:15) Pandemic priorities(17:27) Sponsor: Mercury(18:40) Government employee competence(22:30) Government pay scales(25:56) IRS modernization reports(27:48) System modernization plans(34:33) Healthcare.gov lessons(36:59) Government software capability(40:29) Feedback loops in civil service(44:09) Legislative expertise(46:49) Applied mathematics(47:57) Loss of knowledge(49:28) Tour of duty recommendation(53:06) Wrap
--------
53:39
Understanding and wielding power in local government, with Daniel Golliher
In this episode, Patrick McKenzie (@patio11) is joined by Daniel Golliher, founder of Maximum New York, to discuss the opaque mechanics of political power and how everyday people can effectively engage with government systems. They explore the stark gap between formal political science degrees and how politics actually works, practical tactics for influencing policy (like optimizing the printability of a blog post to placing well-timed calls to legislators), and Daniel’s concept of ‘blue tape’. Throughout the conversation, they emphasize that participating in governance requires far less expertise and connections than most people assume—mainly just the willingness to show up prepared. –Full transcript available here: www.complexsystemspodcast.com/understanding-and-wielding-power-in-local-government-with-daniel-golliher/–Sponsor: VantaVanta automates security compliance and builds trust, helping companies streamline ISO, SOC 2, and AI framework certifications. Learn more at https://vanta.com/complex–Recommended in this episode:Daniel Golliher’s essay: Political Science Degrees Must End: https://www.maximumnewyork.com/p/political-science-degrees Patrick McKenzie: https://worksinprogress.co/issue/the-story-of-vaccinateca/ Statecraft by Santi Ruiz: https://www.statecraft.pub/ –Timestamps(00:00) Intro(00:33) The reality of political science education(02:45) The apprenticeship model in government(04:24) Challenges in government training(07:06) The role of legislative aides(10:33) Local government and housing policies(14:24) Effective political engagement(16:15) The power of communication in policy(20:26) Sponsor: Vanta(21:44) Witnessing government in action(31:29) Learning government and politics(32:21) LLMs and policy(35:10) Engaging with local politics(37:58) Influencing policy(43:25) Running for office(47:10) Blue tape(58:39) Wrap
--------
59:35
The AI energy bottleneck, with Tim Fist
In this episode, Patrick McKenzie (@patio11) is joined by Tim Fist, Director of Emerging Technologies at the Institute for Progress, to discuss how energy constraints could bottleneck AI development. They explore how AI training clusters will soon require gigawatts of power—equivalent to multiple nuclear plants—with projections showing a single cluster needing 5 gigawatts by 2030. Tim explains why behind-the-meter generation and geothermal energy offer promising solutions while regulatory hurdles like NEPA and transmission permitting create "litigation doom loops" that threaten America's competitiveness. The conversation covers the global race for compute infrastructure, with China and the UAE making aggressive investments while the US struggles with permitting delays, highlighting how energy policy will determine which nations lead the AI revolution. –Full transcript available here: www.complexsystemspodcast.com/the-ai-energy-bottleneck-with-tim-fist/–Sponsor: VantaVanta automates security compliance and builds trust, helping companies streamline ISO, SOC 2, and AI framework certifications. Learn more at https://vanta.com/complex–Recommended in this episode:Compute in America https://ifp.org/compute-in-america/Tim Fist on Twitter https://x.com/fiiiiiist The Enchippening by Sarah Constantin https://sarahconstantin.substack.com/p/the-enchippening Solar economics with Casey Handmer https://open.spotify.com/episode/0GHegWgLSubYxvATmbWhQu?si=VKJYaSwaRJq_YcK8kJIdvQ AI & Power economics with Azeem Azhar https://open.spotify.com/episode/3KkvPiYpGvXCRukWxHP7Ch?si=RPEjrs67S9CFA0lLak6OVAFracking with Austin Vernon https://open.spotify.com/episode/0YDV1XyjUCM2RtuTcBGYH9?si=hSniC3N0QkqhF74ra-XAcA Economics of the grid with Travis Dauwalter https://open.spotify.com/episode/5JY8e84sEXmHFlc8IR2kRb?si=BsqMZGu6Qr-2F7-RSyyEhw–Timestamps:(00:00) Intro(00:40) Energy bottlenecks in AI development(02:56) Technical and policy solutions for energy needs(05:18) Challenges in transmission infrastructure(12:14) Behind the meter generation explained(17:50) Solar and storage: The future of energy(18:47) Sponsor: Vanta(20:05) Solar and storage: The future of energy (part 2)(29:07) Power purchase agreements and financing(33:17) Financing geothermal wells(33:53) The promise of geothermal energy(35:25) Challenges in geothermal adoption(36:59) Industrial applications of geothermal heat(45:01) Geothermal energy and national security(49:27) Global investments in AI and energy infrastructure(56:29) Policy and technical expertise in AI(01:00:54) The role of government in technological advancements(01:05:07) Wrap
--------
1:06:05
Taking stablecoins seriously, with Haseeb Qureshi
In this episode, Patrick McKenzie (@patio11) is joined by Haseeb Qureshi, a managing partner at Dragonfly, a crypto-focused VC fund. They discuss the evolution of stablecoins, three key use cases, and their impact on international finance. Haseeb explains how stablecoins have grown beyond their initial association with crypto trading and illicit activities to serve legitimate economic functions globally, in ways that many Americans might not fully appreciate. Patrick and Haseeb debate the regulatory landscape, the strategic ambiguity of crypto's positioning, and whether stablecoins represent a parallel financial system that might eventually converge with traditional banking. –Full transcript available here: www.complexsystemspodcast.com/taking-stablecoins-seriously-with-haseeb-qureshi/–Sponsor: SafebaseReady to save time and close deals faster? Inbound security reviews shouldn’t slow down your team or your sales cycle. Leading companies use SafeBase to eliminate up to 98% of inbound security questionnaires, automate workflows, and accelerate pipeline. Go to safebase.io/podcast –Recommended in this episode:Zeke Faux on Complex Systems https://open.spotify.com/episode/5OnSK3PuhfipMHv9htvuyb Chopping Block podcast https://unchainedcrypto.com/the-chopping-block/ Haseeb Qureshi’s website https://haseebq.com/about/ –Timestamps:(00:00) Intro(00:55) Crypto industry insights and tether discussion(02:52) Stablecoins and their economic models(05:04) Decentralized stablecoins and their mechanisms(07:41) VC perspective on stablecoin investments(13:18) Regulatory challenges and lobbying in crypto(20:36) Emerging use cases for stablecoins(24:16) Sponsor: Safebase(32:35) The initial response to stablecoins(33:38) Stablecoins and national security concerns(34:00) The shift in congressional attitude(34:49) Stablecoins and dollar internationalization(37:40) Retail payments in high-inflation countries(38:41) The role of black markets(46:13) International B2B payments(01:02:57) The future of stablecoins(01:05:44) Wrap
Acerca de Complex Systems with Patrick McKenzie (patio11)
We live in a world where our civilization and daily lives depend upon institutions, infrastructure, and technological substrates that are _complicated_ but not _unknowable_. Join Patrick McKenzie (patio11) as he discusses how decisions, technology, culture, and incentives shape our finance, technology, government, and more, with the people who built (and build) those Complex Systems.
España