Mag 7s' trajectory shows legacy economy ‘being sunset’ for the digital age

The article from CryptoSlate discusses the significant upward trajectory of the “Magnificent 7” stocks (prominent tech companies like Google, Apple, and Microsoft) compared to the flat performance of 493 other stocks, signaling a shift from the legacy economy to the internet economy. Bitcoin advocate Balaji Srinivasan argues this divergence reflects a permanent, structural change where offline activities are increasingly moving online, routed through tech companies. This “secular shift” is driven by the digital transformation of commerce, communication, and work, accelerated by events like COVID. Tech companies are becoming the core infrastructure of modern life, replacing or rewiring traditional sectors like banking and real estate. The growth patterns of these tech giants, despite their diverse businesses, highlight the internet’s dominance as the primary driver of economic growth. Show Less