During his recent interview with CNBC, Charles Munger discusses how investing firms have had their reputations destroyed by crypto. Here’s an excerpt from the interview:
Munger: It pains me that in my own country, I see people who were once regarded as very reputable people, helping these things exist, promoting their goose and so forth.
This is a very very bad thing. The country did not need a currency that’s good for kidnappers and so on.
Host: What do you think happened because there are a lot of big names, a lot of people and firms that you…
Munger: That’s what distresses me. There are people who think they just gotta be on every deal that’s hot. And they don’t care whether it’s child prostitution or bitcoin.
If it’s hot, they want to be in on it. I think that it’s totally crazy. Reputation is very helpful in financial life, and to destroy your reputation by associating with scum-balls, scum-ball promotions, is a huge mistake.
Host: Do you think those companies did any due diligence or what happened?
Munger: I think they actually mean well. You’re seeing a lot of delusion. It’s partly fraud and partly delusion. That’s a bad combination. I don’t like either fraud or delusion, and the delusion may be more extreme than the fraud.
Host: Delusion how so?
Munger: Nobody can build a new thing that every 12-year-old kid can be a billionaire or something. He just calls it Munger Coin. Starts trading it or something. It’s crazy. It’s demented.
You can watch the entire discussion here:
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