Smart People With Bad Takes...Bitcoin, Robinhood and Price Pays

If you put microphones in front of smart people you will get a lot of bad takes.

This weekend for example, Warren Buffett and Bill Maher had plenty of bad takes on Bitcoin and Robinhood. Here is Warren on Robinhood.

Warren is excited to read the Robinhood S1 and so am I as a shareholder. Warren also loves oil companies and tobacco companies and sugar companies but he’s old and he’s Warren so he gets a pass on all the hideous companies he has owned because they had cash flow that he approved.

Warren thinks Robinhood caters to the gambling instincts of people. I have definitely gambled and lost using the Robinhood app. I have also gambled and lost on all the other brokerage platforms who just forgot that the world was moving mobile.

Warren is upset that 10-13 percent of Robinhood users trade short term Apple options. I am excited and amazed that 87 percent of ‘yoots’ are trying hard to invest without options and that 13 percent of this next generation will learn pretty quickly how hard it is to time the markets.

As for Bitcoin and most likely Robinhood at IPO…let the price be the record of how wrong Buffett and his crew continue to be.

Dollar cost averaging or just owning the $QQQ has crushed Warren the last 10 years and likely beat him the next 50 years.

Bill Maher had a rant himself this week about Bitcoin. You can watch it here. I think Bill is right about a ‘mania’ that has developed. The rest is just the same bad takes with some ‘gotchas’.

Price matters and price pays in the world I live in.

Also – Bill and Warren never played video games and it shows.