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E172: SBF gets 25 years, Trump's meme stock, RFK Jr picks VP, Biden's 2025 budget & more

(0:00) Bestie Intros: Late night poker snacks! (2:33) SBF sentenced to 25 years (16:41) Trump's meme stock: modern trading card, protest vote, or something else? (34:59) RFK Jr. selects Nicole Shanahan as VP (47:46) Biden's budget plan for 2025: how to confront America's existential crisis? (1:11:59) Science Corner: Why the price of cocoa has skyrocketed! (1:16:41) Movie talk and wrap! Follow the besties: https://twitter.com/chamath https://twitter.com/Jason https://twitter.com/DavidSacks https://twitter.com/friedberg Follow on X: https://twitter.com/theallinpod Follow on Instagram: https://www.instagram.com/theallinpod Follow on TikTok: https://www.tiktok.com/@theallinpod Follow on LinkedIn: https://www.linkedin.com/company/allinpod Intro Music Credit: https://rb.gy/tppkzl https://twitter.com/yung_spielburg Intro Video Credit: https://twitter.com/TheZachEffect Referenced in the show: https://www.reuters.com/technology/sam-bankman-fried-be-sentenced-multi-billion-dollar-ftx-fraud-2024-03-28 https://www.cnbc.com/2024/03/25/ftx-estate-sells-majority-stake-in-startup-anthropic-for-884-million.html https://coingeek.com/ftx-founder-sam-bankman-fried-sentenced-to-25-years-in-prison https://www.google.com/finance/quote/DJT:NASDAQ https://www.sec.gov/Archives/edgar/data/1849635/000119312524036093/d408563ds4a.htm https://www.sec.gov/news/press-release/2023-121 https://apnews.com/article/trump-media-gamestop-truth-social-meme-stock-666e62b4f3f788bd6276764056bc7c0d https://www.nytimes.com/2022/05/18/business/melvin-capital-gamestop-short.html https://www.reddit.com/r/wallstreetbets/comments/lau37c/we_can_stay_retarded_longer_than_you_can_stay https://www.wsj.com/politics/elections/rfk-jr-to-name-nicole-shanahan-as-running-mate-for-presidential-bid-4b9a698e https://twitter.com/CollinRugg/status/1773147897439436939 https://www.cnbc.com/2024/03/01/the-us-national-debt-is-rising-by-1-trillion-about-every-100-days.html https://www.reuters.com/world/us/bidens-2024-us-government-budget-is-also-campaign-pitch-2024-03-11 https://www.whitehouse.gov/wp-content/uploads/2024/03/budget_fy2025.pdf https://manhattan.institute/article/the-limits-of-taxing-the-rich https://www.brookings.edu/wp-content/uploads/2016/06/09_effects_income_tax_changes_economic_growth_gale_samwick.pdf https://fred.stlouisfed.org/series/FYFRGDA188S https://fred.stlouisfed.org/series/FYONGDA188S https://www.oecd.org/tax/revenue-statistics-united-states.pdf https://www.visualcapitalist.com/inflation-chart-tracks-price-changes-us-goods-services https://fred.stlouisfed.org/series/USGOVT https://www.blackrock.com/corporate/investor-relations/larry-fink-annual-chairmans-letter https://www.kakaoplattform.ch/about-cocoa/cocoa-facts-and-figures https://www.movieposters.com/products/daliland-mpw-138836 https://twitter.com/stillgray/status/1773234188663054751 https://twitter.com/elonmusk/status/1773240336292393144 #allin #tech #news

Jason CalacanishostDavid FriedberghostChamath Palihapitiyahost
Mar 28, 20241h 27mWatch on YouTube ↗

At a glance

WHAT IT’S REALLY ABOUT

SBF’s 25 Years, Trump’s Meme Stock, RFK VP Pick, Budget Doom

  1. The hosts open with light poker banter before diving into Sam Bankman-Fried’s 25-year federal sentence, noting the irony that FTX may still fully repay customers thanks to solid venture bets like Anthropic and Solana. They contrast SBF’s partly legitimate businesses with his criminal siphoning of customer funds into Alameda, politics, and personal aggrandizement, framing it as manic, messianic hubris amplified by drug-fueled culture. The conversation then shifts to Donald Trump’s Truth Social SPAC, arguing its sky‑high valuation is less about fundamentals and more a tradable ‘Trump brand token’ and protest vehicle against perceived “lawfare.” Finally, they debate RFK Jr.’s VP pick, the structural danger of US deficits and federal dependency, and briefly hit on cocoa price spikes and pop‑culture tangents like Dune Part Two and classic films.

IDEAS WORTH REMEMBERING

5 ideas

Legitimate businesses don’t prevent fraud—controls do.

SBF ran a functioning exchange and made genuinely strong early investments (Anthropic, Solana), yet still chose to siphon customer funds into Alameda, politics, and risky bets; the hosts stress that governance, controls, and ethics—not IQ or deal quality—are what prevent criminal outcomes.

You’re guilty even if the money gets paid back.

Quoting the judge’s analogy—stealing customer money, gambling in Vegas, and then winning doesn’t absolve the crime—the panel underlines that FTX’s likely 100% depositor recovery does not mitigate the underlying fraud in the eyes of the law.

Trump’s DJT stock trades more like a political brand token than a media company.

With negligible revenue, no disclosed user metrics, and a massive valuation, they frame DJT as a modern ‘Bowie bond’ on Trump’s name plus a protest vote against establishment media and legal actions, not as a business priced on cash flows.

Retail speculation and gamification have structurally changed public markets.

Between meme stocks, zero-day options, and apps like Robinhood, short squeezes and narrative trading can overwhelm fundamentals; the hosts warn that shorting cult names like DJT is dangerous even when intrinsic value appears tiny.

RFK Jr.’s VP pick shores up his left flank, likely hurting Biden more than Trump.

They see Nicole Shanahan as emphasizing progressive issues (chronic disease, criminal justice reform, anti–big ag) rather than RFK’s cross‑over issues (Ukraine skepticism, border, COVID policy), suggesting her appeal pulls more from Biden’s coalition than from the right.

WORDS WORTH SAVING

5 quotes

If you steal customers’ money, go to Vegas, gamble it, you’re still guilty even if you can pay them back with the winnings.

David Sacks (paraphrasing Judge Kaplan)

The crazy part about SBF is he didn’t need to do this. He already had a winning business and winning bets in his portfolio, and then he went crazy with Alameda.

David Sacks

Donald Trump’s company is effectively a trading card via a stock on the value of his name, his recognition, and his likeness… the modern instantiation of the Bowie Bond.

Chamath Palihapitiya

We are increasing the federal debt by a trillion dollars every hundred days. The outrageousness of the condition that the US is in right now makes it so insane to me that we are talking about any other topic.

David Friedberg

I don’t know whether you’re going to make money or lose money [on DJT]. You can’t justify the valuation based on fundamentals, but you can sure as hell justify it based on payback.

David Sacks

Sam Bankman-Fried’s 25-year sentence, FTX recovery prospects, and Alameda’s roleEffective altruism, drug culture, and psychology behind SBF’s fraudTrump Media/Truth Social SPAC as meme stock, brand vehicle, and protest voteValuation, speculation, and gamification in today’s retail stock marketsRFK Jr.’s VP pick Nicole Shanahan and its impact on 2024 electoral dynamicsUS federal budget, debt, entitlements, and systemic dependence on government spendingCommodity shock in cocoa prices and how weather and disease drive food inflation

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