The Download: a blockchain enigma, and the algorithms governing our lives

Crypto founder reveals true identity

Jean-Paul Thorbjornsen revealed his identity as the founder of the THORChain blockchain in March 2024. The Australian founder previously operated under the pseudonym "leena" and used an AI-generated female avatar to hide his face. This revelation follows a period of intense scrutiny regarding the decentralized nature of his platform.

THORChain functions as a permissionless network where users swap different cryptocurrencies to earn transaction fees. Because it is decentralized, no single authority should have the power to approve or deny users. Operators located across the globe run the network to maintain this structure.

The platform faced a crisis in January 2023 when users lost more than $200 million in cryptocurrency. Admin accounts froze transactions and accounts using a singular override during the incident. This action contradicted the belief that the network was entirely decentralized and beyond central control.

Thorbjornsen claims THORChain fulfills the original mission of Bitcoin by allowing people to trade without government interference. However, the 2023 freeze suggests that alternative financial systems still struggle with centralized vulnerabilities. The founder’s Catholic upbringing in rural Australia has shaped his view of a financial system free from perceived government corruption.

High altitude internet begins testing

Aerospace companies will begin testing stratospheric airships and uncrewed aircraft this year to provide internet to remote regions. These high-altitude platforms aim to connect the 2.2 billion people who currently lack reliable web access. This technology serves as a middle ground between expensive satellites and ground-based fiber cables.

The platforms operate in the stratosphere, which sits above commercial flight paths but below orbital space. This positioning allows for lower latency than traditional satellite internet. These tests could significantly reduce the number of people living without digital connectivity by the end of 2026.

Industry leaders are also exploring uncrewed aircraft as a way to maintain constant coverage over specific geographic areas. Unlike satellites that move in orbit, these platforms can hover or circle over a single location for extended periods. This approach targets rural communities where traditional infrastructure is too costly to build.

Tech giants face legal pressure

Mark Zuckerberg will testify in a major trial regarding social media addiction and its impact on young users. The court will question whether Meta intentionally designed its platforms to hook children. This testimony comes as regulators globally increase pressure on tech executives to take responsibility for platform safety.

Microsoft plans to invest $50 billion to expand AI infrastructure in the Global South by 2030. India remains one of the fastest-growing markets for this technology. A local startup, Sarvam, recently launched a new AI model that supports 22 Indian languages to drive local adoption.

The tech industry is seeing several major shifts in business models and regulatory compliance this week:

• Perplexity removed all advertisements from its chatbot responses to maintain user trust.
• Tesla agreed to stop using the term "Autopilot" in California following DMV inquiries.
• Microsoft is targeting India for its largest AI infrastructure expansion outside the US.
• Meta faces legal discovery regarding internal research on teen mental health.
• Grindr users report that AI bots have made the dating app nearly unusable.

Real estate markets are also shifting as land owners sell property to data center developers. Land originally meant for housing is now going to the highest bidder for server farms. This trend is exacerbating housing shortages in areas where power grids can support high-density computing.

Hydrogen trains arrive in California

The first hydrogen-fuel-cell passenger train in the United States is currently undergoing tests on a track in Pueblo, Colorado. The train will move to Southern California later this year to begin service for the Arrow commuter rail. This marks a significant attempt to decarbonize the American rail system without expensive overhead wires.

Regulators and activists are currently debating the best way to move away from diesel locomotives. Some argue that overhead electric wires or large batteries offer better performance for heavy rail. Others view hydrogen fuel cells as the only viable option for long-distance travel where electrification is impossible.

The Arrow service in San Bernardino County will serve as the primary test case for this technology. If successful, hydrogen trains could replace diesel engines on commuter lines across the country. Critics remain skeptical, calling the technology a distraction from proven methods like traditional electrification.

Decarbonization efforts in the rail industry are as much about politics as they are about engineering. Some advocates want a total transformation of how Americans travel, while others simply want to swap engines. The Colorado tests will provide the data needed to settle these technical disputes by 2025.

Algorithms and the power of prediction

A trio of new books explores how algorithmic forecasting is shifting power and control in modern society. These authors argue that humans have always used past experiences to predict the future for survival. Modern life has replaced human intuition with omnipresent, automated oracles that mediate daily decisions.

Algorithmic predictions now influence everything from crop planting to criminal justice sentencing. While people desire reliable forecasting, the rise of these systems often removes human agency. The books suggest that those who control the algorithms ultimately control the social and economic outcomes of others.

AI-powered private schools are already seeing the downsides of over-reliance on automated systems. Reports show that some schools are using AI to generate faulty lesson plans that fail to educate students properly. These "guinea pig" schools highlight the risks of replacing human teachers with unproven software models.

Scientists are also looking at ways to influence human biology through technology. Researchers are currently developing "dream hacking" techniques to help people solve complex problems while they sleep. This field of neuroscience aims to use external stimuli to trigger lucid dreaming and enhance cognitive performance during rest.

New medical trials for the weight-loss drug retatrutide show participants are dropping out at high rates. The drug may be too effective, causing physiological changes that some patients find difficult to manage. Simultaneously, new studies suggest that intermittent fasting may not be as effective for weight loss as previously believed.