Nvidia announced partnerships with five of the biggest American financial institutions to establish independent financing platforms designed to mobilize hundreds of billions to support the buildout of AI infrastructure over time. In Nvidia's case, Circular financing describes a loop where Nvidia invests in AI startups and data center projects, and those same entities use those funds to buy Nvidia's high-end GPUs.The company replied to ‘circular financing’ accusations that are often raised about its funding. The para is titled 'The Important Questions: Is this circular financing? This is the beginning of an open capital market for AI infrastructure.It goes on to add: 'Why would Nvidia support financing?' More compute creates better AI; better AI creates more usage; more usage creates more revenue; and more revenue drives more compute.