I'm watching niggas on the block get shook and rat
To be shook means to be very, very scared.
A rat, or a snitch, is someone who gives up incriminating evidence generally to law enforcement.
Cassidy watches so-called street niggas get arrested and/or threatened and start snitching, probably making a deal to Law Enforcement to get a lesser sentence on there charges, because they scared of prison.
And Cassidy, he hates snitches
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