Charlie Munger has made comments about both Bitcoin and Musk. In retrospect, some may be correct, some may be wrong, and some of his reflections on errors may not be accurate (for example, his failure to invest in Alibaba, which he attributes to it being a damn retailer); some still require further verification.
Organized as follows:
Munger's evaluation of Bitcoin:
Munger stated: "Bitcoin is stupid, evil, and makes you feel like you're a fool."
"In my life, I try to avoid things that are stupid, and evil, and make me look bad in comparison to someone else, and bitcoin does all three."
Munger stated: “Bitcoin is very likely to go to zero, and it also undermines the integrity of the Federal Reserve and national currency system.”
"It’s stupid because it’s very likely to go to zero, and it’s evil because it undermines the Federal Reserve System and national currency system, which we desperately need to maintain its integrity and government control and so on."
Munger said: “The Chinese leader wisely banned Bitcoin, while we, thinking ourselves civilized, are dumber than the Chinese leader.”
"He was smart enough to ban bitcoin in China, and with all our presumed advantages of civilization, we are a lot dumber than the communist leader in China."
Munger said: “Bitcoin is disgusting and contrary to the interests of civilization.”
"Bitcoin is disgusting and contrary to the interests of civilization.”
Munger said: “Trading cryptocurrency is disgusting, just like trading feces.”
“It’s like somebody else is trading turds and you decide, ‘I can’t be left out’.”
Munger also compared: “If you could profit from trading freshly harvested baby brains, would you do it? Bitcoin is nearly as disgusting.”
“Imagine if you could profit from trading freshly harvested baby brains. You wouldn’t engage in that, would you? It’s an abhorrent idea. To me, Bitcoin is nearly as objectionable. I see it as a mix of insanity and immorality. Those promoting it are a disgrace.”
Munger said: “I am ashamed that my country allows this crypto garbage; it is worthless, very crazy, and absolutely harmful.”
"I'm not proud of my country for allowing this crap — well, I call it crypto shit. It's worthless, it's crazy, it's not good, it ..."
Munger's evaluation of Musk:
Munger said: “I wouldn’t buy his stock, nor would I short it.”
"I wouldn’t buy his stock, nor would I short it."
Munger on Musk: “He is a genius, but overly confident; never underestimate a person who overestimates themselves.”
“Never underestimate the man who overestimates himself.”
Munger's evaluation of Alibaba:
Munger said: “I believe investing in Alibaba is one of the biggest mistakes I have ever made.”
"I regard Alibaba as one of the biggest mistakes I ever made."
Munger said: “I was attracted by their position in the Chinese internet, not realizing they are fundamentally a goddamn retailer. The competition in the internet industry is very fierce, and it won't be a cakewalk for everyone.”
"I got charmed by their position in the Chinese internet; I didn't stop to realize they're still a goddamn retailer. It's going to be a competitive business, the internet — it's not going to be a cakewalk for everybody."
Munger criticized Jack Ma for being “very arrogant” in dealing with the Chinese government, saying that publicly criticizing regulators was “very foolish.”
"Jack Ma was — made mistakes in dealing with the Chinese government. I think he was very arrogant for publicly taking shots at Chinese regulators. Pretty stupid, it's like poking a bear in the nose with a sharp stick. It's not smart. And Jack Ma got way out of line by popping off the way he did to the Chinese government. And of course it hurt Alibaba."
Munger admitted to constantly reflecting on his investment in Alibaba: “I keep reminding myself of the mistakes I made because I think it benefits me.”
"I keep rubbing my own nose in my own mistakes like I'm doing now because I think it's good for myself."
These further tell us that everyone should be an independent thinker. It's better to have no books than to fully trust them.
