Disruptions In Financial Industry & OpenAI + Walmart w/ @AnthonyPompliano | PBD Podcast | Ep. 667

Patrick Bet-David, Tom Ellsworth, and Adam Sosnick are joined by Anthony Pompliano to discuss major disruptions shaking up the financial industry, OpenAI’s groundbreaking partnership with Walmart, and what these shifts mean for the future of money and innovation. ------ 👞 GET THE NEW FLB 1'S: https://bit.ly/4mXV9gd 📕 ANTHONY POMPLIANO'S BOOK: https://amzn.to/4hkQcNu Ⓜ️ PBD PODCAST CIRCLES: https://bit.ly/4mAWQAP 🍋 ZEST IT FORWARD: ⁠⁠⁠⁠⁠⁠⁠https://bit.ly/4kJ71lc⁠⁠⁠⁠⁠⁠⁠ https://bit.ly/4kJ71lc 📕 PBD'S BOOK "THE ACADEMY": ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://bit.ly/41rtEV4⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ https://bit.ly/41rtEV4 🎙️ FOLLOW THE PODCAST ON SPOTIFY: ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://bit.ly/4g57zR2⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ https://bit.ly/4g57zR2 🎙️ FOLLOW THE PODCAST ON ITUNES: ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://bit.ly/4g1bXAh⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ https://bit.ly/4g1bXAh 🎙️ FOLLOW THE PODCAST ON ALL PLATFORMS: ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://bit.ly/4eXQl6A⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ https://bit.ly/4eXQl6A 📱 CONNECT ON MINNECT: ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://bit.ly/4ikyEkC⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ https://bit.ly/4ikyEkC 👔 BET-DAVID CONSULTING: ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://bit.ly/3ZjWhB7⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ https://bit.ly/3ZjWhB7 📰 VTNEWS. AI: ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://bit.ly/3OExClZ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ https://bit.ly/3OExClZ 🎓 VALUETAINMENT UNIVERSITY: ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://bit.ly/3BfA5Qw⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ https://bit.ly/3BfA5Qw 📺 JOIN THE CHANNEL: ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://bit.ly/4g5C6Or⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ https://bit.ly/4g5C6Or 💬 TEXT US: Text “PODCAST” to 310-340-1132 to get the latest updates in real-time! ABOUT US: Patrick Bet-David is the founder and CEO of Valuetainment Media. He is the author of the #1 Wall Street Journal Bestseller “Your Next Five Moves” (Simon & Schuster) and a father of 2 boys and 2 girls. He currently resides in Ft. Lauderdale, Florida.

Speaker names marked ? are inferred from speaking time and the show’s known hosts — they are not voice-verified.

• 0:01Speaker 00

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• 0:26Speaker 01

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• 1:08Speaker 02

  My handshake is better than anything I ever signed, right here.

• 1:13Patrick Bet-David?

  You are a one of one?

• 1:13Speaker 02

  My son's right there. I don't think I've ever said this before.

• 1:21Patrick Bet-David?

  Let me tell you what's crazy. Yesterday, we're at the Ritz Carlton having an executive strategy session, and I walk outside with Tom, and I'm looking at these three girls around Tom's blue Porsche. Like, what are they doing around Tom's blue Porsche? And then I see Tom comes to me saying a lady wrote a note on his Porsche. I don't even know if I should show it to you or not. I don't know if it's appropriate to show it to you. And then he comes and goes, who would write something like this? Beautiful handwriting. Rob, maybe I'm gonna send it to you for us to show. Stay tuned. But you know what we may do, Rob? I may, at the end of the podcast, think about posting this picture just on our Manect podcast circle. For free, you can go watch it. It is so inappropriate. Last week, we talked about this foreman that was flirting with Tom, you know, 30 some years ago, pre-Cam, and then they got...

• 2:05Tom Ellsworth?

  Female foreman.

• 2:06Patrick Bet-David?

  I mean, it's just, it's just a bunch of different things that we're talking about. Anyways, deeply concerned, but whoever Crystal is, you have very good handwriting. I was so impressed by you, by the way you wrote. Just a little bit inappropriate inviting Tom back to your hotel room. That kind of stuff shouldn't happen, but anyways. I thought you needed, I thought the audience needs to know that this man still got game.

• 2:24Tom Ellsworth?

  Well, down in Fort Lauderdale, all the retired women, I actually look young.

• 2:28Patrick Bet-David?

  They see someone like Tom, they're like, I want me some biz doc is what I want.

• 2:32Tom Ellsworth?

  It's relative, apparently.

• 2:34Patrick Bet-David?

  All right, let's go through some of these stories here. We have a special guest here. Folks, if you're panicking about the crypto crash, the guy that's here is gonna be your therapist, be your expert, give you a little bit of insight, little bit of history. Uh, he and I did a podcast together four and a half years ago during COVID, April 28th of 2021. The one and only Pompliano is in the house, man. How you doing?

• 2:54Tom Ellsworth?

  Doing great. How are you guys?

• 2:54Patrick Bet-David?

  Fantastic. Very good. So we're gonna go into a lot of different stories. Let me read them off here and we'll get into it. Okay, so there, there was apparently a crypto crash. People were panicking, right? Bitcoin, Ethereum, XRP jump after crypto crash. What's fueling the rebound after the crypto crash? A rush to hedge against another free fall. Jim Cramer, who is a history of getting everything right. Some people say whatever Jim Cramer says, do the complete opposite, you will be very wealthy. I'm not telling you that. I'm just saying a lot of people say that about Jim Cramer. He fears growing influence of crypto over US stocks. Here's why. I don't even know what that means. Let me read it one more time to you. Jim Cramer fears growing influence over crypto over US stocks.

• 3:37Patrick Bet-David?

  He fears more people putting money in crypto than in US stocks, and he wants you to leave crypto and go into US stocks. I don't know if he's gonna convince you or not. We'll talk about that today. There's a bunch of people saying gold, gold's gonna hit $5,000. And, uh, uh, you know, it's at, I think it's at 4150, some change as of yesterday. I don't know what it is right now, Rob, if you can check. Walmart stock pops on OpenAI partnership to create a chat GPT shopping experience. Spotify partners with Netflix for video podcast distribution deal. So Spotify is teaming up with Netflix. Bill Simmons and a couple of other guys are putting their podcasts on Netflix. So meaning if you're Netflix and chilling, now you can Netflix and watch a podcast while you're probably not gonna be chilling.

• 4:22Patrick Bet-David?

  But I'm just saying like, if you're watching Netflix, you can now with some, watch podcasts as well. MTV, some are saying is MTV shutting down?

• 4:31Patrick Bet-David?

  These channels set to cease broadcasting reports say some of them are in Europe, but we'll talk about it. Tom's got some things to say about that. Warner Brothers Discovery rejected Paramount Skydance acquisition offer of $20 a share as too low to partner. Supreme Court rejects Alex Jones appeal of 1.4 billion out of redefinition judgment in Sandy Hook case. What are you gonna, the guy does not 1.4 billion dollars. You want to get 1.4 billion dollars at a guy that's worth maybe 10, 20, 30, 40 million dollars? What kind of payment is he gonna make? Is I making a million dollar, if you made a million dollar payment pump every month for 50 years, what is that? That's if 12

• 5:08Patrick Bet-David?

  times 50, 600 million dollars, right? If you do that. They want 1.4 billion. Is it even 60? Yeah, 50 years, 600 million dollars. I don't, Alex, I don't know how you're gonna come up with the money. You may want to call a guy who is an African-American guy who has this one thing, this company with a bird on it. He may help you out. I don't know. I don't know if anything's gonna happen there, but that's a lot of money. We'll see what happens. Ken Griffin, billionaire, says Citadel's Chicago Exodus was not hard. Cites crime rates and taxes. JP Morgan, Jamie Dimon says the four industries JP Morgan will invest billions of dollars to preserve US dominance.

• 5:51Patrick Bet-David?

  Obviously, the US stocks rebound after Trump's take on China gets a little bit softer on what he said. China says it'll fight till the very end after US said it was trying to hurt the world economy. Who knows? China blasts new US trade curbs. Treasury Secretary notes talks back on track. TSMC's Q3 profit expected to soar 28% on AI spending boom. Oracle cloud to deploy $50,000, $50,000 AMDI chips signaling new Nvidia competition and AI videos of dead celebrities are horrifying many of their families. Some of them were not even gonna play. Some of them are super inappropriate. But I'm not gonna lie to you.

• 6:33Patrick Bet-David?

  The Martin Luther King one is phenomenal. You have to see a couple of them. Eminem singing a country song, it's great. 50 Cent, you know, up in a club in a country version, it's funny. But some of the other ones are pretty scary. We got a couple of the stories here that is in the addendum. I'll read to you, President Trump went after Stephanopoulos for how Stephanopoulos and ABC interviewed JD Vance even yesterday when he was doing a press conference. He was not even allowing ABC to ask questions like, no, I'm not coming to you the way you treated a VP. We're not going to be doing that. And then yesterday was Charlie Kirk's 32nd birthday, if he was still around. 32nd birthday and Trump awards Charlie Kirk Medal of Freedom to his wife Erica, widowed wife Erica, and

• 7:18Patrick Bet-David?

  Trump proclaims October 14th National Day of Remembrance for Charlie Kirk. And then we got maybe these two stories that we'll get to. BlackRock developing tokenization, tech amid Bitcoin, Ethereum, and ETF success. Now, having said that, gang, on Monday, I introduced you to the FLBs. The FLB1 Shoes, Future Looks Bright Shoes. And let me tell you what happened since that day. For black shoes that we had, I'll give you the report here. For black size, Rob, I think you have it as well, size 8 and 11 and 1/2 sold out. If you place the order now, it's pre-order, it'll get here second week of December. For

• 7:59Patrick Bet-David?

  brown, 8, 12, and 13, sold out. Navy, size 13, sold out. Everything you order on those sizes will be pre-order. I shared with you the fact that a lot of the sizes are going to sell out. A lot of them, there's only four or five or six remaining for the shoe sizes. So, for some of you that didn't see what we talked about on Monday, for the last 25 years, I speak a lot on stage. And some of the events, whether it's my insurance company, or the Vault Conference, or BPW, at some events, I can speak 40 hours, where I'm on my, just standing up talking and I'm wearing dress shoes and they're uncomfortable. I wanted to find a shoe that can combine both the comfort and the technology and the authentic Italian leather, the trainers, because I love those shoes. I didn't want

• 8:44Patrick Bet-David?

  it to be too heavy, where I'm feeling like I'm carrying weight. We went to Italy, we put a shoe together called the FLBs, and I want to show you this clip one more time. And then I'm going to show you one other clip, and then we'll give you some intel, and then we'll get right into the stories. Go ahead and Rob, play this clip, please. When we set out to create a shoe that blends comfort, function, and luxury, we had the choice to make it fast, we had the choice to make it cheap. We chose neither. Instead, we chose Tuscanyero. We chose true Italian craftsmanship. Each pair touched by 50 skilled hands. We chose patience, spending two years perfecting every detail, and we chose the finest quality at every step. Introducing the Future Looks Bright collection.

• 9:30Patrick Bet-David?

  Not rushed, not disposable, not ordinary. Rather intentional, luxurious, timeless.

• 9:42Patrick Bet-David?

  So just so you know, if you're wondering, Pom came in here, he saw the shoes, and he kinda goes like this. He's like... I looked under the table. He's auditing me. He's like, "Let me see if this guy's a product of the product." 24 days in a row I've been wearing this, just so you know that. 24 days in a row I've been wearing this. No matter where I go last night, I was at Casa di Angela, I was wearing this. The most comfortable trainer shoes with the Italian leather. And again, if you haven't placed your order for yourself or your spouse, this was us at the Vault Conference, Rob, if you want to play this clip. The launch of it when we did it here was so exciting. People were coming from all over the world. That was a 10-foot shoe that we put up. But guys coming back, how comfortable it is, how light it is, feeling the super form at the bottom of it, taking pictures of it,

• 10:27Patrick Bet-David?

  sitting in boardrooms with your feet up with somebody says, "Wait a minute. Does that say Future Looks Bright on the bottom of the shoe?" Yes, let's make a deal happen, right? There's a certain sense of optimism when you're wearing these Future Looks Bright shoes. So again, the black and brown, if you order them, we have them now. If they're sold at pre-order, because you'll get it second week of December. The white, when it comes out, it will not last, because, you know, there's a certain material that we mixed it with the light. The white is absolutely ridiculous. This will come out second week of December with the navy blue. The navy blue and the white will come second week of December. The black and the brown are here for you to order.

• 11:09Patrick Bet-David?

  Order depending on your size. So go to VTmerch.com place your order and you can learn more about the comparison or have these shoes compared to a Tom Ford. Rob, if you can go a little bit lower to a Gucci, to a Berluti, to a Ferragamo, to a Xenia. Make the comparison for yourself instead of spending nine fifty eleven ninety eight ninety five eight forty. It's built in the same exact factories as Gucci, Louis Vuitton, same ones, five ninety nine. Uh, I just put them on this morning. It took me half a second to put them on and I. Driver came, picked me up, got in the car, came over here. So if you haven't placed the order yet for yourself or somebody else. Place the order, go to VTmerch.com. Having said that, let's get right into it. Pump.

• 11:48Patrick Bet-David?

  Crypto crash. Okay. And they keep using that phrase crypto crash, but to the people that are in the space of crime, I want to read this thing. I'm going to turn it over to you. So Bitcoin, Ethereum, XRP jump after crypto. Crash. What is fueling the rebound? Let me read this, Robin. I think you got a couple of video clips on this as well. If you want to pull them up. Okay, so.

• 12:11Patrick Bet-David?

  Bitcoin and other cryptocurrencies were rallying on Monday pairing uh. Uh, back. Some of their losses following President Trump's renewed tariff threat against China. Bitcoin was up three point seven percent. To a hundred fifteen thousand dollars within twenty four hours. Uh, according to CoinDesk, it's still trading about nine percent off the record high, which was around one thirty, one thirty one. I don't know the exact number. It hit earlier this month. Ethereum jumped nine percent. Solana jumped eight point two, XRP up nine point four within twenty four hours. The tokens plummeted on Friday with Bitcoin racking up double digit percentage losses and failing below a hundred and ten thousand dollars at one point. The sell off out came after Trump threatened to hike tariffs on China, which likely sapped investors appetite for risk assets.

• 12:53Patrick Bet-David?

  What's really going on here? Is it really the reaction to tariffs? Is that what the fear was? What do you, what do you think caused the crash? Well, I think there's a couple of things that are worth unpacking. First of all is uh, Trump understands uh. Market hours of the stock market. So what did he do? He waited till the stock market closed on Friday and then he came out.

• 13:11Speaker 05

  And said, hey, we're gonna put the hundred percent tariff on. I don't think that's a coincidence. Uh, as the market corrected, um, in after our stock, there's just not that many people who have access to the aftermarket stock. So what do they do? They look in their portfolio and they say, well, what market is open? What market has liquidity right now? If I want to sell, if I want to change my financial life or my portfolio, I'm going to sell cryptocurrency. And so Bitcoin specifically sold off, uh, it sold off thirteen thousand dollars, which is a pretty big move, right? I mean, an asset went down thirteen thousand dollars in a single day. Um, but it's only about 10%. And so if you go back and you look at all these bull markets, historically, there have been multiple 30% drawdowns in these bull markets. And so this, you know, joke is like a crypto crash for ants to the crypto crowd.

• 13:52Speaker 05

  Now that the stock market, if the stock market goes down 10, 20%, they're freaking out. They're talking about the Great Depression. They're, you know, 1929, doing all that kind of stuff.

• 13:59Patrick Bet-David?

  Yep.

• 14:00Speaker 05

  And the crypto, again, it doesn't feel good to see your assets go down 10%, but it is still pretty small compared to what everyone has lived through. There's somebody who was chirping at me on Twitter yesterday and they said, uh, you know, why are you saying, uh, that we shouldn't be worried about a market correction? I said, my brother, we've lived through two 80% drawdowns in four years. I said, your stock market crashes, they don't even register for the crypto people. So I think that plays into a lot of like what's going on with the retail folks.

• 14:24Patrick Bet-David?

  By the way, it's interesting what you say. The fact that for the regular guys that are trading after hours are like, what do I mess with now?

• 14:32Speaker 05

  They don't have access to anything.

• 14:32Patrick Bet-David?

  They don't have access to anything. What they do with crypto, you can track what Bitcoin's doing.

• 14:37Speaker 05

  Gold, gold's closed, stocks are closed, bonds are closed, everything is closed.

• 14:40Patrick Bet-David?

  Oh, wow.

• 14:40Speaker 05

  Now, here's the thing is Trump on Sunday night, you know, I, I posted this, uh, this meme. It's like abracadabra, make the markets go back up, right? What does he do? He tweets out an hour and a half before a future's open on Sunday night. Like the guy knows what he's doing. And so that, you know, that's fine. Understand that. But I think the bigger thing about crypto, uh, and Bitcoin in particular, is if you sold your Bitcoin because of geopolitical uncertainty, you had no clue what you were holding. The whole point of Bitcoin, it is that it is a non-sovereign asset. It is supposed to be the safe haven that you can go and hold regardless of what any government in the world does. And so I think that's part of what people are trying to figure out now is the hardcore Bitcoiners, they know that they're looking to buy on dips, but you still get tons of new people who come in and. Obviously, leverage plays a huge part of this. And so the big story over the weekend was

• 15:25Speaker 05

  there was $19 billion of leverage that got wiped out.

• 15:27Patrick Bet-David?

  Yep.

• 15:27Speaker 05

  Now, you can look at that as how the prices went down. The way I look at it is we just reset the entire leverage in the system, and therefore that probably clears us that we can go higher.

• 15:36Patrick Bet-David?

  Yeah, so it says 19, historic 19 billion dollar sell-off, but two accounts made $160 million. I don't know if you saw this article or not. The two accounts that placed bets against the market, minutes before the news broke, scored $160 million windfall. Bitcoin dropped 12%. Less popular token saw declines as steep as 80% Coinglass, a crypto data platform. Ahead of the sell-off, two accounts on Hyperliquid, a decentralized exchange that allows investors to make leveraged bets on future crypto prices, placed massive bets that Bitcoin would, and Ether would fall by days. And Friday, the positions were closed for $160 million in profits. You know, when you see stuff like this, this is

• 16:19Patrick Bet-David?

  the Wall Street Journal story right there. These guys made $160 million. How much do you know about this story? Do you know much about what happened here?

• 16:25Speaker 05

  I've been paying attention to it. So a couple of things. $19 billion, if you wipe out $19 billion of leverage, that doesn't mean that people holding cryptocurrencies lost $19 billion, right? If you put, you know, $10 in, but you get $100 of leverage, right? You didn't put $100, you put $10 in. So there's some math that I think is a little bit misleading. The second thing is, you know, when prices go down, sometimes people make money. When prices go up, people make money. It's all about what are they positioned? How are they positioned? All that kind of stuff. There is a trend that is happening in America, but also globally, which is the intertwining of finance and entertainment. And what you now see is whether it's the prediction markets, whether you see it's the stock market, whether you see crypto, people want something to talk about. You know, I joke all the time, like, financial markets have become like soap operas for young people. And so not only is there the gambling or speculation component to it,

• 17:10Speaker 05

  but what now in crypto is you have on-chain analytics. You can go and you can see what are the positions people are taking, what wallets are moving, right? All this information is almost like kind of new media to them. And so what people do is, oh my God, there's this big liquidation. They immediately begin scouring all this data, trying to find some storyline. Who caused it? Who knew what? Right? Who made money here? And so when they find this- They kind of latch on to it. Now, does this person have information about the tariffs? Maybe, maybe not. I don't know. I don't know who the person is, right? And so I tend to think that good investors, they're not paying attention to this stuff. They're just saying to themselves, listen, I want to continue to acquire this asset, hold it for a long time. This is more entertainment factor.

• 17:47Patrick Bet-David?

  Do we know who these two people are? You can't know who it is. Is it just pure speculation who they think it is?

• 17:53Speaker 05

  So there are strong, maybe thesis as to who they are because on the wallets at times, people can start to identify whose wallet is who. And so in one particular case, there's a guy who's associated with a wallet that they believe is the person who has it. But again, you don't have full confirmation. It's not like they're coming out and tweeting and saying, hey, that was me that made 160 million bucks.

• 18:14Patrick Bet-David?

  Is this a well-known name or just somebody that's known in the crypto space?

• 18:18Speaker 05

  It's not even really.

• 18:19Patrick Bet-David?

  Not even known in that space. Okay, got it. So where are you at now with it? Are you, because I think the last time we spoke, you were a full-on Bitcoin, you were all Bitcoin. Have you opened up a little bit? Is your, you know, if I was to look at your wallet, would I see some additional things there outside of Bitcoin?

• 18:37Speaker 05

  So I've always thought about this barbell, right? Which is basically Bitcoin is a store of value asset, call it, you know, digital gold. They're not going to stop printing money. Bitcoin's not going to stop going up. And it is going to be a great way to protect your economic value that you've earned. I don't think that thesis has changed. I actually think it's stronger today. You know, it kind of went from a contrarian trade to a consensus trade. And now the world has kind of woken up to the fact that this thing's going to work. The other part that, you know, if you go back to 2016, 2017, that I've always thought was going to happen, whether, again, the hardcore Bitcoiners, whether they like it or not, is this whole tokenization thing. And ultimately, my understanding of the intersection of, call it crypto and Bitcoin with Wall Street, is once Wall Street figured out that they could make money, they'd go all in.

• 19:20Speaker 05

  And that's what you've pretty much seen. Bitcoin ETFs, BlackRock now. The Bitcoin ETF is their single most profitable product in their entire product suite. So is BlackRock a Bitcoin company? It's the most profitable product they have, right? So now all of a sudden, every other firm on Wall Street says, wait a second, if they're making a bunch of money on this, maybe we should start participating. And so you're gonna see a bunch of people start going in there. Then you start to see the Bitcoin companies, right? The ETF is a Wall Street wrapper for Bitcoin. Now you start to see these public companies putting Bitcoin on their balance sheet. That's a Wall Street wrapper around Bitcoin. What you're starting to see them talk about is they want to basically rip out cost and inefficiencies from the way that they trade stocks, the way that they trade various assets, through this whole idea of tokenization. Now, there's still a lot to figure out.

• 20:04Speaker 05

  The technology seems to work, but I don't think this is gonna be a retail-driven thing. I think this is going to very much be an institutional-driven thing, where they say to themselves, all the plumbing in Wall Street is, you know, T2 settlement times. If I go to buy a stock, I don't actually get it till tomorrow. You know, it's just kind of very antiquated-type technology. These guys want to upgrade that stuff. And so it's kind of sounds sexy, but the actual work that they're doing is very, very kind of nerdy. And so I think that that will become a huge part of this story. But I don't think we're gonna be talking about critical crypto. I think that's gonna be much more of a kind of an institutional story.

• 20:38Patrick Bet-David?

  So going back to my question, do you own other things?

• 20:41Speaker 05

  I own Bitcoin is probably 90-plus percent of the portfolio. And then I very publicly, in December of 2023, I had some, so I started out mining Ethereum way back in the day. And I sold Ethereum and bought Solana, which ended up being a great trade. And I specifically said, look, this is a trade, I don't-

• 21:04Patrick Bet-David?

  Nothing more, nothing less, yeah.

• 21:06Speaker 05

  I'm not gonna be holding Solana, you know, five years from now, right? But it's just from this perspective. And so I think that Bitcoin is the king of the crypto market. It's going to remain the king of the crypto market. And I think it's probably the only truly institutional asset that you're gonna see central banks and others start to buy over time.

• 21:20Patrick Bet-David?

  What do you think about XRP? The conversations with XRP would ripple, whether it's the technology or the coin.

• 21:25Speaker 05

  I think that the market is very, very good at figuring out where value ends up accruing. And what you see in, let's call it outside of Bitcoin, in the top 10 coins, what you will start to see is Bitcoin's dominance has not only remained constant, it's actually gone up over time. And so I think that the market is assigning Bitcoin as kind of in a class of its own. Now, if you then go into, let's say, coins 2 through 10, what you start to find is those are much more akin to me to like technology stocks. There's a lot of competition there, right? So take XRP. My understanding is that they have a couple of different things that they've done. They're trying to do the stablecoin, right? Well, they've got a lot of competition from Tether, Circle. Now, all of a sudden, Stripe's getting in the game. Like, there's a whole bunch of competition. There will probably be multiple winners, but it's heavy, heavy competition.

• 22:10Speaker 05

  On top of that, one of the things that is interesting, not so much about XRP the coin, but about Ripple, the company, is, you know, they have this kind of engine to generate profit and monetize that XRP. They've started to acquire real companies. So what they did is they bought, I think one of the companies was called Hidden Road, and these are like big acquisitions. These aren't like, you know, $5 acquisitions. These are like billion-plus-dollar acquisitions that they're doing.

• 22:33Patrick Bet-David?

  Rob, can you pull up a company's Ripple acquired?

• 22:36Speaker 05

  And so what you're starting to see is, again, there's incredible controversy and debate, I think, over is XRP going to be sustainable? Is it something that people are going to use? But what they've started to do is they've started to take, I mean, look, $200 million acquisition, $1.25 billion acquisition, $250 million acquisition, right? And so what they're doing is they're essentially using the monetization of their balance sheet, and they're starting to acquire real companies. Now, what I will say is we have seen this happen in traditional finance over time. You have a company that has very controversial or maybe unsustainable kind of business model, but they have some access to capital, and they begin to convert that into something else. And, you know, look, the Bitcoin treasury companies, a lot of them had companies that weren't working, and they said, "Well, why don't I just start to buy Bitcoin?" And all of a sudden, they kind of revived their business.

• 23:20Speaker 05

  And so I think that this is very interesting. Now, you know, there's kind of a delineation between XRP and Ripple, but I think that this acquisition stuff, people in the industry, even the people who don't like XRP, I think are saying to themselves, "Hey, that Hidden Road, that's a real company. Paid $1.25 billion for it, right? Okay, you may be able to end up with an entire set of infrastructure there that you can then go and actually build a business with."

• 23:43Patrick Bet-David?

  What does Hidden Road do?

• 23:45Speaker 05

  Hidden Road, if I remember correctly, they do a lot of, it's like market infrastructure. Right? So like, again, it goes back to this idea of where value accrues in the crypto industry is really kind of two, and really in finance in general, there's two buckets. You have the retail facing platforms, and then you have institutional facing like infrastructure. And so the retail platforms, that's your Coinbase's, Binance's, Gemini's, you know, Tethers, all those guys. But then you've got this like institutional infrastructure, everything from market making to, here you go. So like a global credit network for institutions, prime brokerage clearing, financing, right? All this stuff that is very institutional in nature.

• 24:23Patrick Bet-David?

  Is it like a Pershing? Is that what a, would it be considered is, is Hidden Road Company ripple acquire like a Pershing company? What is Hidden Road?

• 24:40Patrick Bet-David?

  Yes, it is. Okay, sounds good. So I got it. I understand it. Okay, I mean, that's a big deal to buy something like that at 1.25 billion. And the guy that's running it, I think his name is Brad, I can't say his last name. He seems like a very intellectual guy. He's involved on the, I've seen him with the Trump administration, a couple of different things with them. But he doesn't just sound like one of these guys that came and created a coin, hey, let's sell a bunch of stuff and then let's go. They're actually creating technology and buying technology. Good for them. So you're optimistic because you hear some people talk about Ripple could replace Swift, possibility of that. Of course, the likelihood of that happening is less than 5%.

• 25:23Speaker 05

  I wouldn't go that far. In terms of, I think, I know Brad, I think Brad is a nice guy. I think that the strategy that they're pursuing at Ripple is if you were in their situation, I think it's very smart to go and acquire these businesses. I've always just said that, you know, my focus is on Bitcoin because I think of, there's two problems in the world that I care about and they're very interrelated. The first is, I believe that the single biggest issue, if you can correct this one issue, it will have a profound impact on people's lives around the globe, is if you can basically stop the debate. If you can stop that, then all of a sudden now what you do is you stop this silent theft. And now you allow people to actually keep the economic value that they've worked hard to earn. And so Bitcoin to me is the solution to that problem.

• 26:07Speaker 05

  There's kind of this heuristic of people have been complaining about this for decades, centuries. Right? If you go back through all these societies, Bitcoin is the first technology solution to the problem. And so I think that that is a very profound solution that is going to have an impact that we quite don't understand yet, frankly. Right? So I think that's one big problem. The second problem that I'm very interested in is this idea of the little guy or the quote unquote retail investor, being able to get a level playing field against these large institutions. And I think that those two issues are very interrelated because now what we know in this country is you can't be a saver, you need to be an investor. As these retail folks realize I have to become an investor, they need access to information, they need access to the market. So that's my focus. That's where I think I'm most passionate about. That's what I'm most intellectually stimulated by.

• 26:52Speaker 05

  What these guys are doing, I think, is something that is different and outside of it. And so it's just not something I spend, you know, any time on.

• 26:57Patrick Bet-David?

  Yeah. And then last but not least on these topics, Doge, where are you at with Doge? Because they just had an announcement, if I'm not mistaken, either on Monday, was it Monday? Or I think Monday they had an announcement. Where are you at with Doge?

• 27:09Speaker 05

  I think that Doge is entertaining. I don't own any, and I think Bitcoin is probably the signal among the noise.

• 27:17Patrick Bet-David?

  Probably the signal. So you think Doge is noise, is what you're saying?

• 27:21Speaker 05

  I generally think that, again, it goes back to Bitcoin is, think of it as a savings technology, right? It's kind of the safe thing that if you earn money, you spend less than you make, you store it in your account. So one of the frameworks that I have is in your traditional finance life, you have a savings account, you got a checking account, you got a brokerage account, right? In the digital world, you've got the same thing. Bitcoin is your digital savings account. When you earn it, you just store it there, it's going to protect your economic value over time. You have a checking account, which is your stable coins, and then you're going to have a brokerage account. People are going to have all kinds of crazy stuff in there. That brokerage account is actually really, really hard to navigate, just like the stock market is. If you're going to go pick individual stock names, maybe you're right, maybe you're wrong, maybe you've got some information that, you know, or a unique view on the world, I think

• 28:05Speaker 05

  that that is basically what all the other coins are.

• 28:08Patrick Bet-David?

  I actually love that breakdown. I love how you broke it down to the average person that sees that. So you can play ball in your brokerage account and see what it does, but then you have your, where you put your money like, and by the way. Some people, when they think about savings, they think about half a percent, quarter of a percent, or a percent, or money markets, sometimes 2%, 3%. Bitcoin is not a half a percent. It's not the traditional saving account. So let me qualify that when he says that. It is not half a percent rate or return type of thing. Now, let me get to the next thing, and I'm gonna open it up, guys. And we can talk about a few other stories. The great Jim Cramer, okay? Who, what is the antonym of Nostradamus? Can you, uh, uh, you know what I'm saying, Rob? Like,

• 28:49Speaker 05

  Skip Bayless.

• 28:50Patrick Bet-David?

  What is the antonym of Nostradamus? They have to, they have to come up with, I mean, if there was a antonym for Nostradamus, it'd be Jim Cramer, right? I think that's what, I honestly think the dictionary needs to-

• 29:03Speaker 05

  It's called a mush.

• 29:04Patrick Bet-David?

  No, they need to really come up with the-

• 29:06Speaker 05

  In the gambling in the Italian days, they called it mush.

• 29:08Patrick Bet-David?

  Type of thing. Because whatever he says, Duri, go to that tweet right there, Rob, that you had. It's a nice one right there. It's finally happening, okay? Which one? We had a previous, okay, there you go. "The hope: We can take the air out of quantum nuke crypto and put money into real economy stocks. If it can be done seamlessly, then we will be fine." Jim Cramer hopes we can take the air out of crypto and put that money into real economy stock. Let me, let me read this to you. So Jim Cramer fears growing influence of crypto over US stocks. He's mainly concerned about people like Anthony Pompliano. He is just really concerned about it.

• 29:42Speaker 05

  No, he likes me a lot.

• 29:43Patrick Bet-David?

  And I'm giving you hard-

• 29:44Speaker 05

  You know why?

• 29:44Patrick Bet-David?

  Why is that?

• 29:45Speaker 05

  Because he made a lot of money, and he sold the crypto, and he bought a farm. So I tell him, we own half each.

• 29:52Patrick Bet-David?

  Okay. All right, so let me go through this. So here we go. "CMBC Mad Money host Jim Cramer has raised fresh concerns over what he calls the growing influence of cryptocurrency speculation on the traditional financial system. In a recent post,

• 30:06Patrick Bet-David?

  he described the relationship between crypto and the S and P 500, the tail wagging the dog, implying that the volatile digital assets are now dictating the direction of US equities, not the other way around. Crypto suggested that when crypto prices surge, Wall Street follows with gains. And when crypto market crashes, traditional stocks often tumble too. "I've been worried this would happen for weeks," he wrote, highlighting how closely correlated the two markets have been. His comments come amid renewed turbulence triggered by US-China trade tensions and growing uncertainty around the Federal Reserve's next rate move. Kramer remarks coincided with a market correction that happened in Bitcoin." So what is, what is Kramer saying? And do you agree with him?

• 30:46Speaker 05

  I think that um.

• 30:48Patrick Bet-David?

  Is it a fear? Is it old school thinking? Is it out of touch? Is it? Is it wise? Is it? Like, you know, Benjamin Franklin, man, go save that penny. Is he? Is he trying to get people to? You know, go back to the old way of doing things. Well, what's he concerned about? What's he worried about?

• 31:06Speaker 05

  Again, I think that there is a, there's a bifurcation that's happening in the market that people um who come from the legacy financial system are a little bit slower to maybe understand or adopt and and really it comes down to, yes, there are real economy stocks. Uh, you can look at the Facebooks and you can go look at their P and L and their balance sheet and their growth rates and, you know, their valuation multiples and all that. And you can go all around the stock market and you can find all these things. Um, I think what you're finding is that a lot of young people, they'll understand these new technologies and they say to themselves, well, hold on a second. I'm really interested in artificial intelligence and Bitcoin and stable coins and prediction markets and all these like, you know, new shiny things. That are providing value in a way that these guys are not paying attention to. And so, you know, if you look at, use prediction markets maybe as a great example.

• 31:48Speaker 05

  Uh, I think that a lot of folks in the traditional world are saying to themselves, this prediction market thing is about gambling. Right? A lot of young people I know, they're saying that's the source of truth. That that is the difference in between these two uh groups of of people. And so if you then look at something like Bitcoin, right, they're uh saying, hey, that's gambling. Young people are saying that's my savings account. If you look at stable coins, they're saying, oh, that's for gambling. Young people are saying this is a faster, cheaper, better way for me to move money around the world. And so you just have this uh kind of viewpoint difference, which is fine. I do not think that it would be good for America to take money out of Bitcoin and stable coins. I think that actually those two things have been very good for America. Uh, I think that there are lots of new technologies that are actually the future of America, not the past.

• 32:29Speaker 05

  And so what we should be trying to do is actually move capital from low multiple, low growth industries into high growth, uh kind of high impact industries. Um, and I think that's where you see the tech industry kind of leading the way in Wall Street. They kind of chase where innovation ends up showing up.

• 32:43Patrick Bet-David?

  Tom, where are you at with this?

• 32:44Tom Ellsworth?

  Well, I think he said something very interesting. When you talk about the prediction markets, I think you're talking about calcium polymarket.

• 32:49Speaker 05

  Correct.

• 32:49Tom Ellsworth?

  Yeah. And what's really interesting about those two things is, you know, when people say Gallup poll says. Young people don't trust Gallup, not because of Gallup the company or any bad feeling about it. They just, that's old school to them. And they look at Calci and Polymarket and they see numbers trending and they see real people making real bets. And so their perceptions are, oh, the crowd is coming together and squeezing out the noise and therefore I can trust this. Rightly or wrongly, that's the psycho, that's the psychology of, of the new generation. So when they look at that and they're like, that becomes their analyst.

• 33:26Tom Ellsworth?

  They don't go all the way, scroll 20 lines down, 100 lines down to find out who the five tracking analysts are that are saying something about, you know, Nike, a stock they like. They go to Polymarket. What is Poli? They go to Calci. That's where they go. So it is a whole new perception. And they, they, they are in what I call the microwave plus thinking. Everything's gotta be the microwave. Go in the microwave, beep beep, there's my popcorn. They have that same thinking about digital. They don't understand FedEx emails right now. They don't have to wait overnight for FedEx. So they are an instantaneous, um, uh, generation coming up that trusts you. And then they say, now I can go trade and guess what?

• 34:08Tom Ellsworth?

  Crypto allows them to trade right now. They believe in the security of blockchain. They believe in the security of wallets. They love the story about the guy who's trying to dig up an entire dump to find his hard drive and trying to pay the city to do it. Because to them, that's just a validation of the, of what's instant. And that's a whole different thinking of this, of, shall we say, our nieces and nephews generation coming up, which is the point you were making, right?

• 34:32Speaker 05

  I, I, I agree. And you know, uh, you guys remember during the 2024 election when, uh, on Polymarket, uh, Trump's odds were significantly higher than the polls? They went and they talked to the guy who's in France and they said, how did you know that Trump was going to win? And what he said was, uh, all the polls, they ask, hey, Tom, who are you going to vote for? And people lie, right? They, they don't tell the truth. So what he did is he commissioned something called a neighbor poll, which basically he said, hey, Tom, who's your neighbor going to vote for? And all of a sudden, people told the truth. And so this guy had a piece of information.

• 35:01Patrick Bet-David?

  Great question.

• 35:02Speaker 05

  Right, yeah, this guy had a piece of information that he had actually spent resources to go get. And so he was able to exploit or to get a financial reward for that piece of information. And so if you think about the Nobel Prize that just came out, I don't know if you guys saw that.

• 35:15Patrick Bet-David?

  Mm-hmm.

• 35:16Speaker 05

  Same thing.

• 35:16Patrick Bet-David?

  Mario Nocorino Machado, yeah.

• 35:17Speaker 05

  Couple hours before, she won it, all of a sudden, her odds spiked on the prediction market. Now, it's unclear, why did that happen? There's only like five or six people at the Nobel Foundation that knew that that was the winner. So somebody told somebody, and they went into the prediction market. So what the prediction market is, is basically like an economic bounty. If you have information in the world, we will pay you to make it public. And so if you go through every single one of these things.

• 35:45Patrick Bet-David?

  We will pay you to make it public?

• 35:47Speaker 05

  Correct.

• 35:47Patrick Bet-David?

  So Polly Market pays you to...

• 35:49Speaker 05

  What I mean by that is, let's say there are five people at the Nobel Foundation that knew that information. And let's say one of them told a cousin.

• 35:56Patrick Bet-David?

  Their niece.

• 35:56Speaker 05

  A cousin, a niece, whatever. All of a sudden, that niece has got a piece of information the world doesn't know yet. So if the niece goes on to Polly Market or Kausi and says, "This is gonna be the winner." If they're right, which they believe they are, they get an economic reward. They're gonna win because they're betting on the odds. Now, here's where it becomes really interesting, is I actually think that this is gonna take off in finance. Right now, it's taking off in sports because people are gambling and the odds are a little bit better. You're not betting against a house because of the way that it's structured. But let's take Tesla deliveries. So a lot of people will go buy the Tesla stock going into an earnings report. And they'll say, "I think that Tesla's gonna beat on the deliveries. So I think the stock's gonna go up." Well, as people know, what will happen is Tesla will beat on the deliveries and maybe their guidance is lower. So the stock actually goes down.

• 36:37Speaker 05

  So you were right on your analysis, but because it's a complex, you know, evaluation, the stock can go down. So it can move against you. So what the prediction markets now do is they create a market and they just say, "Hey, is Tesla gonna beat on the deliveries or not?" So you can isolate these data points. Now, the reason why that becomes interesting is you cannot trade on material, non-public information. But what if you work at, let's say, the company that makes the windshields? And you start to realize that, hey, the number of windshields that we are sending to Tesla, there's a correlation to whether they beat on deliveries or not. You don't actually have any of the Tesla information, right? And again, I think this is where regulators are gonna have to figure out, what are the rules here? How do you start to look at this stuff? But now, that person who worked at the windshield manufacturer, they're incentivized to give the world a piece of information,

• 37:23Speaker 05

  which is, hey, Tesla is actually increasing the number of windshields that they're ordering. And so I think that's the type of stuff that we're starting to see is like, there's like a market of truth that has an economic reward attached to it. And so I think that that is going to ultimately be what people look to.

• 37:37Patrick Bet-David?

  What is the, what is the compliance levels of poly market? Like what, who holds them accountable?

• 37:44Speaker 05

  Well, my understanding is that these are marketplaces. And so actually Tesla has to hold their employees accountable, right? You can't go and you trade on material.

• 37:52Patrick Bet-David?

  So poly market has zero risk?

• 37:54Speaker 05

  I think, I think that there's probably some risk that they take, right? If they're facilitating certain things, if they're not KYCing people, like, you know, there's regulatory risk. These are, um, Kashi, I think was the first regulated US market under the CFTC.

• 38:05Patrick Bet-David?

  Has poly market ever had a lawsuit? Can you look up like, uh, has poly market?

• 38:11Tom Ellsworth?

  Well, the two of them, one's regulated, one's not regulated, kind of definitionally. One's crypto oriented, one's cash oriented.

• 38:17Speaker 05

  Yeah.

• 38:17Patrick Bet-David?

  Including settlement with US commodity futures in 2022. Well, it has not named it in a formal lawsuit. Action generated, see what this, you know, poly market for. So offering illegal, unregistered trading contracts, which the agency defined as swaps. Poly market ordered 1.4 million dollars, which is nothing, shut down non-compliant markets and so.

• 38:37Speaker 05

  So poly market started and really went and won internationally. Kashi started regulated in the United States. Think Coinbase versus Binance. And now poly market is coming to the US and Kashi is going international. So they're both gonna end up being domestic and international. They just took kind of two different paths to get there. But that's where, uh.

• 38:55Patrick Bet-David?

  Who's bigger?

• 38:57Speaker 05

  So interesting, poly market was huge. Kashi has gone from like four or 5% of the market to like 70% of the market. In the last like.

• 39:06Patrick Bet-David?

  Stop it.

• 39:06Tom Ellsworth?

  Dollar contracts.

• 39:07Speaker 05

  Year or two.

• 39:09Patrick Bet-David?

  From four to 70?

• 39:10Speaker 05

  Mm-hmm. Yeah, if you look up just like poly market versus Kashi, uh, market share. A big part of it is one is more crypto native versus the other.

• 39:20Speaker 00

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• 40:16Patrick Bet-David?

  September 12th, you surpassed Polly market and become the market leader capturing 60% of global prediction. The shift was largely driven by Cowshy's partnership with Robinhood, which gave it a large user base and a surge in sports-related predictions.

• 40:29Speaker 05

  Click on like images. I think there's like this great chart that, uh, that'll show, um, nah, no, those, that's like individual ones. There's this great, I'll try to find it, but the, um, there's this great chart that basically shows the reversal. And so again, like now Polly market's going to launch at the, I think, end of this month or beginning of next month in the United States. And so there's going to be a real battle. Like remember a couple of years ago, FanDuel, DraftKings, all these guys, just, I mean, they were pouring money into customer acquisition.

• 40:54Patrick Bet-David?

  Yeah, absolutely.

• 40:55Speaker 05

  That's going to happen in these prediction markets.

• 40:56Tom Ellsworth?

  And outfield walls.

• 40:58Speaker 05

  Outfield walls.

• 40:59Patrick Bet-David?

  So then that means great acquisition by, who is, uh?

• 41:04Speaker 05

  Ice.

• 41:04Patrick Bet-David?

  Yeah, that great acquisition by Ice for picking him up.

• 41:07Speaker 05

  Yeah, here you go.

• 41:07Patrick Bet-David?

  Adam.

• 41:08Speaker 05

  So, I mean, this is just what, last year? You can see Cowshy versus Polly market. I mean, you know, it was basically Cowshy was getting their ass kicked and now all of a sudden, you know, they've got more than 50% market share.

• 41:18Tom Ellsworth?

  You know, it's interesting. You were asking about regulation. It's illegal for me to say this, hey, I probably shouldn't tell you this, but I just closed a deal for $600 million of Tesla windshields over the next two years. That's illegal to say. But to say, how are you doing, Tom? My company's having a great year. We're having a really great year. We're private, but our investors are really happy. There's nothing illegal about that. Isn't Tesla one of your largest? Yeah, they're actually our largest customer. I can't say how large. Just that, that's plenty for you to say, okay, Tom's having a great year. He makes windshields. Tesla is his largest. Those are the kernels that end up in the river that gets traded. So how do you on that, Pat?

• 42:02Tom Ellsworth?

  How do you go compliance on that?

• 42:04Speaker 05

  So hard.

• 42:05Tom Ellsworth?

  Where you have a downstream vendor who's actually not trying to be slimy or trying to be cute or clever and maybe wasn't, you're going to have the day where somebody from Polymarket or Calci runs around the back of the barn and gives somebody, you know, crypto in a second wallet to give them information. There is your compliance issue. There is where you have, but the manipulation won't be at the market level. The manipulation's going to be the betting market in a million $1 contracts that are on Calci. That's where the people are going to, some people will get hurt and say, this isn't fair. Now we have to step in. What do you think?

• 42:40Speaker 05

  I think that there are a lot of regulatory questions that are going to have to get figured out here because also I think what becomes really interesting is as you isolate these data points, it's, if you work at a vendor and they're making windshields and you go and you buy Tesla stock because you say, hey, I like Tesla car. I think that, you know, they're ordering a lot of windshields, whatever, right? Again, depending on all the details, regulators have a point of view. If all of a sudden though, you go and you say, there's a prediction market on how many windshields is Tesla going to order this year? Right? Because you could isolate that one data point.

• 43:10Tom Ellsworth?

  And you buy yourself 10,000 contracts at 60%? Yes.

• 43:13Speaker 05

  Right? That's a different story. So I think that, now look, the reason why it's taking off in the United States right now is sports. It's not finance, it's sports. And in sports gambling, there's a line, right? Which kind of skews it. And you're betting against a book. These prediction markets is peer to peer. So it's just you and I sitting down and saying, are the Browns going to win or not?

• 43:32Tom Ellsworth?

  They're not.

• 43:33Adam Sosnick?

  I promise you that.

• 43:34Speaker 05

  Are the Giants gonna win or not? So now all of a sudden, it's a little bit, you know, quote unquote, uh, more level playing field. And so a lot of people are moving over here because they're saying, wait a second, I can go and I can still get the same uh, engagement of I'm betting on sports, but I'm not betting against a Vegas book with a line. And so I think that that is why you're seeing so much.

• 43:54Patrick Bet-David?

  What is the business model of Polymarket? Like, uh, it takes a percentage? Is that what it does?

• 43:58Speaker 05

  I think they, I think they both just take 1% if I remember correctly.

• 44:02Patrick Bet-David?

  Can you pull it up, Rob? Like, how does, how much does Polymarket or Kalshi take? Like, what's their business model? How do they make money? Do you have an idea, Tom?

• 44:12Speaker 05

  Yeah, I think.

• 44:13Patrick Bet-David?

  Because 1% is not a lot of money.

• 44:15Adam Sosnick?

  Well, that's, I mean, that's what the big guys charge for.

• 44:17Patrick Bet-David?

  What I'm saying to you is, as a person that's doing it, I'm open to it. Like, but put the dollars, it ends up becoming a lot for them. So, two percent. Two percent for your net winnings from trades, fees and markets. So it also benefits from, so trading fees on net winnings. When a user makes a profit, Polymarket takes a 2% net winnings, for example. That's nothing.

• 44:36Adam Sosnick?

  Well, if you do any traditional betting, you know, the juice is always 10%, the vig, right? So this is significantly less.

• 44:42Patrick Bet-David?

  Yeah, you bet $100. So you win 200. You receive 198. It takes 2 bucks off. That's nothing.

• 44:48Adam Sosnick?

  It's nothing compared to the.

• 44:49Tom Ellsworth?

  Yeah, it's a marketplace. It's like eBay or Airbnb. It's the little, it's the small.

• 44:54Patrick Bet-David?

  Yeah, that, so, so the, so what, what was Polymarket's revenue in 2024? Maybe 2025? What's Polymarket's revenue this year? Curious. 2025. What are they doing Q2 or, okay, 2025, total revenue, 7.7 billion. Total revenue is not available. Well, just take 7.7 billion and take 2%, right? So, which can be significantly higher in activity. Activity has remained elevated in 2025, single month of September trading. 1.42 billion dollars and 1.5 billion dollars. So 7.7. So if you take 2% on 7.7 billion, it's 150 million dollars, 155 million dollars.

• 45:32Adam Sosnick?

  It wouldn't used to be Pat, that 150 million, we all know that.

• 45:34Patrick Bet-David?

  155 million dollars that becomes a 77 billion, it's 1.5 billion dollars. And what is the market cap of polymarket? What is a polymarket's market?

• 45:43Speaker 05

  Polymarket was 9 billion with the ICE investment and Caoshi was like 5 billion.

• 45:48Patrick Bet-David?

  Wow.

• 45:49Speaker 05

  Yeah, I mean, these things are big.

• 45:50Tom Ellsworth?

  And the US elections, Caoshi, I like Caoshi a lot.

• 45:53Patrick Bet-David?

  5 billion?

• 45:54Tom Ellsworth?

  I quote Caoshi.

• 45:55Patrick Bet-David?

  You don't think Caoshi is going to be a 50 billion dollar company?

• 45:57Speaker 05

  Oh, I think the.

• 45:58Tom Ellsworth?

  I think it's going to be bigger than that.

• 45:59Patrick Bet-David?

  That's what I'm saying. So 5 billion is a steal. It's like TikTok, they just bought it for 14 billion dollars. You know, the, the, the number they're looking at trading TikTok is 14 billion and they're allowing ByteDance to keep 2, 20%, but the, the 80% Oracle's coming in. I think, I think TikTok's a trillion dollar asset.

• 46:15Tom Ellsworth?

  Rob and I have quoted the Caoshi polls in here and the stuff we're covering. And the reason is, I'm looking back and I'm finding them like Rasmussen and Atlas Intel were correct. They're right about a lot of these elections. They're right. And so the more they're right, the more it's a valuable voice. Like I say, Rob and I use it.

• 46:31Patrick Bet-David?

  Rob, can you, I'm sorry, Pom, while you're doing that, can you pull up who gave the 300 million? If you go to Crunchbase for Caoshi, Caoshi, see who gave that 300 million dollar that they just raised? Go ahead, you were saying.

• 46:42Speaker 05

  I think it's like founders fund Sequoia. The, you know, one of the most interesting markets on these prediction platforms, the weather. So if you think about it, if, if you're a prediction market, what do you want? You want something that has a lot of volume, but also you want something that settles often. So if you do an election, it only once every four years. So you can have lots of people betting, but there's only one time settlement. And so every four years, it's a big number, but it's not that frequent.

• 47:09Patrick Bet-David?

  The weather.

• 47:10Speaker 05

  So these prediction markets have weather markets where people are literally sitting there trying to predict, what is the highest temperature, the aggregate temperature number that will happen in New York, or Chicago, or San Francisco, or Austin, or Miami, or whatever. Now again, I'm not going to go bet on the weather, but what I think is very interesting is, you know what is going to happen? That economic reward that sits out there, somebody's going to figure out a more accurate way to predict the weather. It's going to incentivize innovation. And so you're telling me that there's not hedge funds? You're telling me there's not hedge funds that are sitting there saying, hey, if I got a couple of million dollars every day on the line? I can't go figure out how to better measure?

• 47:52Patrick Bet-David?

  Don't do it in Florida. It's very volatile here. Bet in Texas, bet in LA, bet in Palm Springs.

• 48:00Tom Ellsworth?

  So to answer your question, Calshi's Series D, all the adults showed up. Sequoia's been there since Series A. Sequoia's in there, General Catalyst, also pronounced General Narcissist. And then Andreessen Horowitz and Spark Capital are in there. So the adults are at the table in Series D, $300 million.

• 48:20Patrick Bet-David?

  Listen, this is, this is a steal, if you ask me. This is an absolute steal of a $5 billion? Okay, no, this is, this is my opinion. Guys, I'm not telling you go buy or do anything. I don't even know if you can participate because you gotta, you gotta be on the end. But it's a no brainer. This ain't going away. This is a new way of doing it and it's going to be another disruptor for a lot of other companies out there. Adam?

• 48:45Adam Sosnick?

  There seems to be three different camps here and I want you to kind of maybe isolate this. There's the big banks, big government, obviously Trump and everyone on that side of things have advocated for crypto. BlackRock, you mentioned Goldman Sachs, they're all doing their ETFs. You talked about that. So that's one, the big stuff, the big markets. Number two, you sort of have like this day trading gambling, poly market crowd. Who I would say are young, are savvy and they're trying to make money and it's a lot of entertainment. And then the third, I just say, just the average guy is like, dude, I don't even know what the hell you guys are talking about. How do those all things intertwine? Whereas like the big banks are making all this money. You have the day traders using this for entertainment. You called it sort of like this asset allocation breakdown.

• 49:27Adam Sosnick?

  And then you have the average guy being like, dude, I can't even spell ETF. How do you correlate and cross all these three together?

• 49:34Speaker 05

  Well, I think that the Wall Street Journal had a great article recently that said, people who have, are on the lower end of the income level, they are participating in the stock market at a rate that we've never seen before. So what you're getting is that like, average Joe, average American, they are starting to understand, I cannot save, I have to invest in the market, right? And here you go, so more working-class Americans than ever are investing in the stock market. That's a great thing for the American citizen. Now, what that means is, they're gonna do one of two things. They're either gonna come into the market, and they're gonna gamble and speculate and do all kinds of crazy stuff, and get blown up and lose their money, or, they are going to actually come into the market, and they're going to be sophisticated, they're gonna buy things, use timeless investing principles. One of the data points that I pay a lot of attention to, zero-day options, these things

• 50:17Speaker 05

  are highly speculative, they're now more than 50% of all options traded on Wall Street. So, zero-day options is basically betting, what is the price of this gonna be at the end of today? That's more than 50% of all options traded on Wall Street. And so, you see the rise, there's a Wall Street Journal reporter, this woman, Gunjan Banjari, who's done a fantastic job, she's talked to thousands of retail investors, and I did an interview with her, and you know one of the things she told me? Guess where she met a lot of them? AA meetings. Gambler's Anonymous. And so, what happened is, people were in there, and some people are addicted to sports gambling, some people are addicted to Las Vegas.

• 50:52Patrick Bet-David?

  I think, Adam, you may like her predictions.

• 50:53Adam Sosnick?

  Yeah, I'm interested, I'm excited, thank you. But Rob, you aren't verified yet, Rob.

• 50:59Speaker 05

  And then, some people are there, and they're addicted to options trading. They're addicted to day trading. And so, I think that this is, you know, a blessing and a curse, is you have access, now people are participating, but also, you're gonna get downside, right? You're going to see these people come in, and in some of these articles you read, and people are like, hey, I put $20,000 into some stock, and, by the way, I only make $40,000 a year.

• 51:20Adam Sosnick?

  Right.

• 51:21Speaker 05

  So, there's a downside to it, but I do think that the more people who have access to the market, I've Obviously, the better for for the

• 51:26Adam Sosnick?

  The whole concept of investing is it should not be fun, right? Like it should be watching paint dry, it should be watching grass grow like that's what I'd learned. You know, not day trading, decade trading. A lot of people have become very impatient. This microwave culture. What would your advice be to these people of like, I make 40 grand a year, just pumped a $20,000 into some spot ETF trade, whatever that is, but that's not how investing works.

• 51:50Speaker 05

  Well, now, do you see the 5X ETFs that got launched yesterday or got filed? This is fucking crazy. I don't know.

• 51:57Speaker 05

  What is it called 5X? If you go 5X levered ETFs, so there's ETFs on single names, right? So you can go, you can, or I'm sorry, there's ETFs that usually are a basket, the S and P 500, NASDAQ 100, etc. Recently, over the last two or three years, people have started to do 2X ETFs. And they position them as trading tools. So they say, hey, listen, you can go two times long by just buying this ETF. You don't really need to understand leverage. You just buy the ETF. And let's say you're going into an earnings call or something and you want some leverage on a single name stock. Well, of course, 2X comes out, they're very popular. Somebody launches 3X. Yesterday I saw, it's the first time I had ever seen, I don't know if there's been other ones, but this volatility shares, they launched 5X

• 52:37Speaker 05

  levered ETFs. So you can buy a single name ETF that has 5X leverage embedded into it. So you know retail is going to go buy it, right? You get 5X leverage. Of course they're going to buy it. I think we're playing a dangerous game.

• 52:49Adam Sosnick?

  Isn't this just sort of similar to sports gambling? It's like, we're going to do a 10-team parlay and we're gonna

• 52:55Speaker 05

  Crypto does it. Crypto offers 50X leverage, right? And some of these, some of these exchanges. So again, it's like if, what's the saying on Wall Street, like when the ducks are quacking, feed them? But I mean, that's what the platforms are doing is they're saying, hey, these, these folks want this stuff. So we're giving it to them. But again, I think that when you start getting into this 5X levered ETF world, right? Like, is somebody going to come out with 10X levered? A regulator is going to approve that? What happens when the article comes out in the New York Times or Wall Street Journal about the people who all got blown up, you know, holding the 5X levered thing? There's, if you look at, do AMD ETF blow up? There was a AMD ETF, I think it was like a 3X or 2X ETF that, yeah, here you go.

• 53:36Speaker 05

  So when OpenAI announced this deal with AMD, obviously the stock price exploded, went up 38%. And the Granite shares, I think 3X levered fund, I think that's the one, it blew up. Net asset value went to zero, meaning that if you were holding that ETF, you lost all your money. Because it was a 3X short ETF. So you're basically three times leveraged short on a stock that goes up 38% off of an announcement. So like, that is a perfect example where I think that people are sitting there and they're saying, hey, you know, I think AMD is overvalued, it's going to go down, let me put 3X leverage on. Like, leverage is a hell of a drug.

• 54:14Patrick Bet-David?

  Tom, where are you at with this?

• 54:15Tom Ellsworth?

  Well, there's, there's two things here. First of all, there's also gamification and there's things that are happening. And if you go look at Reddit and you look at the Reddit threads on there, and I don't mean just Wall Street Bets and Roaring Kitty and all that goes with that and the meme stocks, you go and look at things like, I've been doing this test so that we can come back with a number scream and do a little segment on it. And what I did was, you know, I read about these guys, autopilot. What is autopilot? Autopilot is very simply automated trading based on a formula. So you could go to autopilot and you could select the Nancy Pelosi portfolio and connect it. So I said, I'm going to do a test.

• 54:55Tom Ellsworth?

  So on July 1st, I took $50,000, I created a simple Robinhood account, basic. And then Pat, I went to autopilot, filled out the credentials and said, okay, autopilot, you can trade the $50,000 in my Robinhood according to the Nancy Pelosi disclosures.

• 55:15Patrick Bet-David?

  You did this?

• 55:16Tom Ellsworth?

  I did this. And I am at, this, this is just a little test. So this is a small test in a real world environment. Right now it's up 18.8%. It's gained 9,500 since July 1st.

• 55:27Patrick Bet-David?

  Stop it, Tom.

• 55:28Tom Ellsworth?

  No, I'm not. Just this little 50,000. I did this to do a test because I was reading that in the first, like, 90 days of autopilot being out there, some 40,000 accounts were created and these were citizens out there, retail traders, that were doing this. And by the way, there's also some very interesting things you can go find out. You can trade World War III portfolio on defense. Uh, Jim Simmons.

• 55:55Patrick Bet-David?

  You can do Jim Simmons?

• 55:56Tom Ellsworth?

  Yes, you can. And also, you can do the inverse Kramer.

• 56:01Patrick Bet-David?

  You, you can do Jim Simmons.

• 56:03Speaker 05

  No, what they, what they probably do, I don't know for sure.

• 56:05Patrick Bet-David?

  No way you can do Jim Simmons.

• 56:06Speaker 05

  No, because what they probably, what they probably do is they probably take the 13F filings from Renaissance and then they just follow.

• 56:12Patrick Bet-David?

  Too late if you do that, no?

• 56:14Tom Ellsworth?

  That's exact, this is.

• 56:15Speaker 05

  Depends, right?

• 56:16Tom Ellsworth?

  Well, I don't know.

• 56:17Patrick Bet-David?

  There's no way you can do the Jim, Jim.

• 56:19Speaker 05

  That's what they're getting for the Pelosi tracker, right?

• 56:21Patrick Bet-David?

  I get that. I, I, I understand that.

• 56:23Tom Ellsworth?

  They, they have, they show that if you had put money in the Jim Simmons tracker at 74% for a year.

• 56:29Speaker 05

  One year?

• 56:29Tom Ellsworth?

  One year, one year from right now, this summer last, I mean, this fall, last fall, and it is, uh, tracking publicly available information from Jim Simmons Medallion Fund.

• 56:38Patrick Bet-David?

  You know, Jim Simmons closed his fund to his customers, told everybody to get out, and they just kept it for themselves. That's how amazing Renaissance Technologies was. Getting a rate of return of, yeah, I mean, it was a ridiculous, their, their clients were getting 30.

• 56:55Tom Ellsworth?

  Files by the Renaissance trustee.

• 56:57Patrick Bet-David?

  Their clients were getting 39% rate of return and they were getting 65% rate of return, give or take, and they said, folks, take your money out, we're not wanting any more new money.

• 57:05Tom Ellsworth?

  Tom, so what was your, what was your return on your 50,000?

• 57:07Patrick Bet-David?

  18%, 18%.

• 57:09Tom Ellsworth?

  Here's what I know, Tom. Lunch is on you today, buddy. No, no, no, no, no, I'm doing.

• 57:13Patrick Bet-David?

  No, what do you mean, no?

• 57:14Tom Ellsworth?

  I, I'm doing this to show, people were doing this with 10 grand, 5 grand, and, and doing this like this, and actually getting return.

• 57:21Patrick Bet-David?

  I'm telling you, Tom, but let me tell you, it's changing, things are changing, investment is changing.

• 57:25Tom Ellsworth?

  That's the point.

• 57:26Patrick Bet-David?

  You know what is scary?

• 57:27Tom Ellsworth?

  And this goes at that retail story.

• 57:28Patrick Bet-David?

  You know what is scary about this? You know who should be scared about this? The traditional guys that are working at Morgan Stanley, the traditional guys that are working at Chases, the traditional guys that are there.

• 57:38Tom Ellsworth?

  The middle.

• 57:39Patrick Bet-David?

  The middle where you're like, hey, man, why am I putting, you're coming, well, this is going to give us a good rate of return of 6% annually for the next 10 years. Your money's going to double in 12 years. Excuse me? Yeah, your money's, it is going to be a very, very competitive market for those guys. The financial, but the traditional, good financial advisors that come to you and say, we got a great fund for you that can make this kind of money for you.

• 58:04Speaker 05

  Go a step further.

• 58:04Patrick Bet-David?

  Yeah, go for it.

• 58:05Speaker 05

  We um, we actually think that those guys are all gonna go away for the most part. We um. If you think what a financial advisor does, a financial advisor ingests information about your life, synthesizes it, looks into the market as to what's happening both in financial markets and various products, and then gives you back an output. It gives you advice, it gives you recommendations, all this stuff. We have built an AI version of that.

• 58:29Patrick Bet-David?

  This is CFO Sylvia.

• 58:31Speaker 05

  That is crushing in terms of, not only is it smarter, it's faster, it's free, but what you start to realize is you can do things. So like the whole problem with, if you go to ChatGPT or perplexed it and you start asking it questions, it can give you advice about the financial market. So it could tell you, hey, the stocks are up or down, or this stock here, let me do some analysis. Like, it's pretty powerful stuff, but the thing that's always missing is your personal financial information. So it doesn't, it can't give you advice about your portfolio because they don't have access to that data. So what we did is we built this AI agent called Sylvia, where you go in and you attach your bank account, your crypto account, your brokerage, you can attach your credit card, you can upload your tax returns. Like, you just give it all your information, that data is anonymized and encrypted. My data's in there, I don't want anything to happen to it.

• 59:17Speaker 05

  And then you can start to ask questions, but you can do crazy things. You could say, hey, run a Monte Carlo simulation on my portfolio and tell me where I'm likely to be in 10 years, and do 100,000 simulations. Or let's say that the US-China trade deal happens. Within seconds, you can ask Sylvia, how is this trade deal going to impact my portfolio? And the AI will go and it'll read the entire breakdown of the trade deal. It'll look at your personal portfolio and it'll spit out to you exactly what is likely to happen. And so then you can even start to do things where you can say, hey, you know, go do deep research on Palantir stock. And when you do that deep research, I want you to tell me whether you think that I should buy the stock or not, and how I should do it. And so it is going to go and look at not only Palantir, it'll come back and say, here's the pros and cons of Palantir stock,

• 1:00:00Speaker 05

  all this stuff, but then it'll look and say, do you have a concentration of tech stocks? Well, your concentration means you're very correlated to tech, and so maybe you should actually put a smaller position on rather than a larger position to Palantir. And oh, by the way, should I do a one-time purchase, or should I dollar-cost average into the stock over six months? Right? It can start to do all this stuff in a very automated way, and it does it in seconds. And so we actually think that the financial advisors are not going to be the ones who are recommending these products in the future, because just like you're seeing the agentic commerce happen in OpenAI, and I know we're probably gonna talk about Walmart and a bunch of this stuff. You're gonna start seeing in finance, the AI is the one who's going to start directing people to where they should go. So autopilot's a good example. Autopilot is just saying, hey, if you put your money in here, Tom, we're just gonna follow the 13 F's, or we're gonna

• 1:00:45Speaker 05

  follow the disclosures from Pelosi, and the AI is essentially gonna do it for you.

• 1:00:49Patrick Bet-David?

  Of the proxy you select.

• 1:00:50Speaker 05

  Correct. So we think that, you know, the Sylvia product is a good example where, right now, you don't put your assets on the platform, you just connect your data.

• 1:00:57Patrick Bet-David?

  This is, so who owns autopilot, Tom?

• 1:01:00Tom Ellsworth?

  It's an independent, independent startup.

• 1:01:02Speaker 05

  Two guys, super smart guys, I talked to them, very, very smart guys.

• 1:01:05Patrick Bet-David?

  How recent did they start it?

• 1:01:06Tom Ellsworth?

  Let's go back and look at the history of that, I think it's 24 months?

• 1:01:09Speaker 05

  Yeah, two years ago.

• 1:01:11Patrick Bet-David?

  Uh, how much money have these guys raised?

• 1:01:13Speaker 05

  Three guys.

• 1:01:14Patrick Bet-David?

  How much have they raised? Rob, can you say how much money they've raised?

• 1:01:17Speaker 05

  Not, not, uh, not a ton.

• 1:01:21Patrick Bet-David?

  How much money have these guys raised? Let's see, autopilot.

• 1:01:25Tom Ellsworth?

  Seven million.

• 1:01:26Patrick Bet-David?

  They've raised, uh, seven million in, and where they based that up? Are they here in Florida, or are they Silicon Valley?

• 1:01:34Speaker 05

  I forget.

• 1:01:39Speaker 05

  Rob, you're excellent Googling, man. Yeah, you're fast.

• 1:01:44Patrick Bet-David?

  All right, got it. Interesting. This is the beautiful thing about capitalism and ideas people are gonna come up with. Uh, folks, if you wanna learn more about CFO Sylvia, go to CFO Sylvia dot com, CFO Sylvia, S I L V I A dot com to learn more about it. But this is a, you know, this is a big, because...

• 1:02:04Tom Ellsworth?

  This is good, this is the good news side.

• 1:02:06Patrick Bet-David?

  This is very good about capitalism, and by the way, this is why we chose to do the podcast once a week that's around business and, and money, because we want people to start making more money and have more success for themselves as well. But this is the part about, you know, everybody wanted to go on to Jim Simons Renaissance Technology. By the way, he was one of the first guys ever that used AI, and he did that in 80, no, in the 60s if I'm not mistaken. Can you, can you type in when Renaissance Technologies got started? It could be late 60s, 70s.

• 1:02:35Speaker 05

  Oh yeah, they've been doing it a long time.

• 1:02:36Patrick Bet-David?

  Yeah, they've been doing it for a long time.

• 1:02:38Speaker 05

  He was a mathematician.

• 1:02:39Patrick Bet-David?

  He was a mathematician, yeah, he was... nineteen eighty-two, okay, but he started earlier, he was a teacher at first and then he somehow some way gets into this with Renaissance Technologies and then it takes off. There's another fellow in the story as well outside of him. That there's a Howard Morgan guy, yes. So what this does is Tom. So now imagine if you're Renaissance Technology. What do you do now? If a company like this can come and use the way you're making the investment, what is your differentiator?

• 1:03:09Speaker 05

  You like it.

• 1:03:10Patrick Bet-David?

  You like it?

• 1:03:12Speaker 05

  Everyone on autopilot is buying after you bought.

• 1:03:16Patrick Bet-David?

  So it it only validates what you're doing. So a Renaissance.

• 1:03:19Speaker 05

  Pushes the stock price higher.

• 1:03:21Tom Ellsworth?

  In theory, secondary investors are like.

• 1:03:24Patrick Bet-David?

  So it even helps Nancy Pelosi. So it also helps Nancy Pelosi.

• 1:03:28Speaker 05

  Yeah, that's a good way to think about it.

• 1:03:30Patrick Bet-David?

  What did Tom, what did you say? It does what?

• 1:03:32Tom Ellsworth?

  He said, well, when a series C comes up and it's Sequoia, they're marking up my deal if I'm the series B. They're marking up the valuation and they're putting more validation in with their investment. Now you have the public basically marking up the deal for everybody else that's already in.

• 1:03:47Speaker 05

  So the other thing that's happening in financial markets that I think people are starting to realize is um I I've talked with a lot of institutional investors, a lot of hedge funds in the last year or so.

• 1:03:57Speaker 05

  You have to remember that the young people who are growing up with a phone in their hand, they're on, you know, X, they're on Reddit, they're listening to podcasts, etc. They live a dual life. They're an institutional investor when they're at work, they're a retail investor when they're in their personal account. So now what's happening is historically it was the institutions who were leading and retail was trying to chase the trend, right? Institution puts a position on, they go on television, they start talking about it, retail goes and buys it.

• 1:04:22Tom Ellsworth?

  We like Nike.

• 1:04:23Speaker 05

  Correct. Now it's flipping. The retail investors are running into different investment themes. Because they don't have the constraints, they don't have an investment committee, they don't have, you know, uh, rebalancing and all this stuff. So they're going to buy, well, the the people that are inside the institutions, these young people, they think of themselves as a retail investor, they see the trends, they're sitting on Twitter all day. And so then they go and they advocate for those positions inside the institutions. So a good example is Open Door, right? If you look at this. Stock, the retail investors all started to buy it. Basically, there's a hedge fund manager in Canada, this guy Eric Jackson, who comes out and he says, hey, I think this thing is significantly undervalued. It was trading at like 50 cents. And he says, I think that this thing can come back. And so he goes and he buys the position.

• 1:05:05Speaker 05

  I interviewed him when he did it. And, you know, I heard the pitch. I thought it was interesting, but I didn't do anything. I'd go buy the stock or whatever. Stock started to move up and I paid attention. I see all the retail guys and I see what they're doing. And I say, you know what? I'm going to buy this stock. You know, I'm going to buy the stock. The company at the current moment doesn't look super attractive, but I think the retail guys are going to be able to advocate change inside this company, basically like an activist campaign. So I buy the stock. All of a sudden, the retail guys, they get super loud. Within, I don't know, 72 hours of them really going hard, the CEO steps down. They get management to eventually agree to stop selling shares. They bring in a new CEO who's the former COO of Shopify.

• 1:05:46Speaker 05

  They bring back the founders onto the board of directors, all this stuff. So it's like the most successful activist campaign recently. Well, right after the retail guys all started buying the stock and advocating for all these changes, all the 13 F's start coming out. All the institutions start buying. You see all these guys are buying up this stock. Now, some of it is they think it's trades are going to come down. This is in the residential real estate market. So that would be kind of a tailwind for the company. But a big part of it is they're paying attention to what the retail guys are doing. And so they're sitting there saying, wait a minute, why are all these guys all buying the stock? There's energy now, right? There's momentum. They're advocating change. They're bringing back the founders. They're putting in this great CEO. Like that is going to change this company. And so the institutions follow retail, which is very different than 10 years ago.

• 1:06:28Adam Sosnick?

  Doesn't that kind of almost sort of validate what Jim Cramer was saying about the the tail wagging the dog, not the dog, because he said basically that volatile crypto trading is sort of insinuating why the capital markets are moving in the direction they're going. So is Cramer kind of accurate in that assessment?

• 1:06:43Patrick Bet-David?

  He is, but he's afraid of this pattern. That's my, that's the way I understood it. He's worried that crypto is now the leader, not, you know.

• 1:06:54Tom Ellsworth?

  Something important that you said, something really important that you said. And I can, for people that are listening, I'll take you back to The Big Short, where you have the Asian gentleman that's working with Merrill Lynch. And Mark Baum comes over to his table at the restaurant, as you recall. And he says to him, and he says, "I have a question for you." And he starts talking about the CDO, collateralized debt obligation, which was nothing more than a big stack of mortgages put in an investment. And he starts describing the synthetic CDO and all of these mechanisms. And Mark Baum acts, I'm saying, "If the CDO market is this big, how big is the insurance market on the CDO?"

• 1:07:38Tom Ellsworth?

  And he says, "Probably 20x." Remember that scene? And Baum suddenly realizes, as he says, that the insurance market on the CDO was the nuclear bomb. Now, what you just described, that is how the traditional organizations think. And so the people that built the 3x are thinking, "We'll just build a 5x." That's the traditional people, the same people that built the synthetic CDOs, that put the insurance on the CDOs. That is Wall Street and the institutions, building their products and opportunities. Meanwhile, all these other things are happening for the retail investors through Robin Hood, and then through autopilot, and then through Reddit, and then through Calci and the democratization of opinion, that you can look back and say, "Was it right or is it wrong?

• 1:08:23Tom Ellsworth?

  And do I like it?" I see two different things happening for institutions that are making increasingly bigger bets. "We're going to put 1.3 trillion in infrastructure," to quote a current event. And then retail coming. I see it like that. Do you think I'm nuts?

• 1:08:41Speaker 05

  I think you're dead on. One of the stats, look up a retail percentage of the stock market. I think it's like 38% or something now. That number, I think, is going to go to over 50. Right? If you think about in the stock market, so it's like 35% is the latest number. I think it's like 38% now. The reason why that's important is because if all of a sudden retail is bigger than the institutions in terms of the trading volume in the market, you have to start to look at what is retail doing? What are they interested in? What are the themes that they are investing behind? And I think that's a big reason why these institutions, right? So like some recent figures placing as high as 36%. And so that is, a lot of these apps are starting to give access.

• 1:09:25Speaker 05

  But I also think that people drastically underestimate how smart these retail investors can be. So to me, there's still going to be the like gamblers, right? The people who are just speculating in the market. But I think actually there is this kind of middle ground. There's the institutions, there's like retail with like $10 in an account. But there is something, I call them professional retail. There are people who, you know, it's the Google engineer who's got a million dollar salary. They're not dumb, but they're also saying, I don't trust the financial advisor. I don't trust the stock program. I'm going to go and I'm going to invest in the market directly myself. I've accessed information. Now I have access to the market via these apps. I'm going to go and I'm going to do it myself. That is a very fast growing segment of the market.

• 1:10:02Speaker 00

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• 1:10:57Patrick Bet-David?

  Let me tell you, disruption at a high level is coming to the space. At a high level. And it's, I remember one time, Tom, you and I went to Armonk. And we're sitting there with Swiss Re. And we're saying, we want to introduce a model of underwriting for insurance. And I said, this model is going to get rid of actuaries. And they say, you're going to face a very big problem here because a lot of these guys are, they're making 250, 400,000, a senior actuary, what is a senior, 20-year vet actuary making? 400 grand, 300 grand, it's a pretty good life, what they're making, some of them half a million dollars? Says, if you guys, I said, look, we can create a way, I want to underwrite somebody in 20 seconds. I don't want to underwrite somebody in four weeks. I don't want to wait two weeks. Can we do it based on 30 seconds?

• 1:11:42Patrick Bet-David?

  Can we pull up this data, that data, this, what if we do this?

• 1:11:44Tom Ellsworth?

  Because the data was there.

• 1:11:45Patrick Bet-David?

  The data's there.

• 1:11:46Tom Ellsworth?

  Your credit report was there, your driving record was there, your med check of what, I don't smoke, really then why do you have nick patches on your, on your med check?

• 1:11:54Patrick Bet-David?

  Yeah.

• 1:11:55Tom Ellsworth?

  I can check, I can check all of that in 30 seconds and I have to pay $6 for this, $4 for that, $13 for that.

• 1:12:01Patrick Bet-David?

  Do you know what's crazy?

• 1:12:02Tom Ellsworth?

  And now I can underwrite that in seconds for about 25 bucks.

• 1:12:05Patrick Bet-David?

  So check this out, we go and I start proposing that to different underwriters, I start meeting with them. And one of the underwriters I met, but I won't even tell his name, but you know who I'm talking, maybe you know who I'm talking about. I'm talking to this underwriter in Hawaii. Maybe you know where I'm going with this.

• 1:12:19Tom Ellsworth?

  Oh, yeah, yeah.

• 1:12:20Patrick Bet-David?

  I have an underwriter, this conversation.

• 1:12:21Tom Ellsworth?

  Our buddy.

• 1:12:21Patrick Bet-David?

  Yeah. I have a conversation with this underwriter in Hawaii.

• 1:12:23Tom Ellsworth?

  Two letters.

• 1:12:24Patrick Bet-David?

  Yes. I have a conversation with this guy in Hawaii. And I'm presenting this thing to him. Oh, this will never happen. I says, is it because you're going to be replaced? Is it because that, those jobs of the old school? Well, no, I mean, you're still going to need us. I said, I don't think so. I don't, I said, you probably have a safe job for five or 10 years. I said, buddy, your job's going to be extinct very soon. This whole concept of the AI thing that's coming, and what these younger guys are building, and by the way, that was one of the reasons why I wasn't interested in staying in insurance for 20 years. I was like, this is, if I'm fighting this, it's going to be too slow. We're going to go a completely different route and then we

• 1:13:04Patrick Bet-David?

  sold off and the speed, the speed was my biggest thing, it's too slow, let's go, is what it was.

• 1:13:10Tom Ellsworth?

  And Pamp, you love this, CVC, Corporate Venture Capital.

• 1:13:13Patrick Bet-David?

  Yep.

• 1:13:14Tom Ellsworth?

  Swiss Re, one of the reinsurance companies, and a reinsurance company is Hayden Bermuda, some of the largest stacks of money on, on earth. They had one guy in a basement office that we went to speak to about innovation. Remember that guy? He was nice. Remember this guy? One guy who had an office literally in the basement in the old section that didn't have this grand artwork and all this redone. And we're like, you guys are, you guys should be all over CVC and investments.

• 1:13:43Speaker 05

  I saw this in real time in a different sector. There's a company called Figure Technologies that we invested in. And at the time, they started getting into HELOCs, you know, home equity lines of credit. And historically HELOCs, I forget all the data, but it's like, it takes like 45, 60 days. You gotta send in physical paperwork, right? You gotta fill it out. You gotta send your pay stub. You gotta get an employment letter, all this crazy stuff.

• 1:14:05Tom Ellsworth?

  For a guy with a job living in a house he owns.

• 1:14:07Speaker 05

  Correct. So what they did is, and to kind of paraphrase, is they basically said, you can come here. You basically use Plaid to owe office into your bank account. You fill out, you know, a quick form. Within five minutes, they tell you whether you're gonna get the HELOC or not, and they send you the money within five days. They became like the second or third largest HELOC originator in the United States. And a huge reason was like, why do you have to send in your W-2? If they can just see in your bank account, you keep getting a direct deposit every two weeks, what is the amount of money? So it sounds very similar to what you're talking about is like if the med check, I think you called it?

• 1:14:40Tom Ellsworth?

  Yeah.

• 1:14:41Speaker 05

  If you know that they've got nicotine patches, like, yeah.

• 1:14:43Tom Ellsworth?

  I'm assuming you're either smoking or trying to quit.

• 1:14:46Speaker 05

  So I just think like this whole like data business, or this like, you know, automatic underwriting, automatic analysis is going to become very, very big as people realize that now the data doesn't only exist, but also there have been companies that have popped up that have become the connectivity. So it makes it very simple for developers to be able to go and do it. Plaid's a great example for banks. There's many others like this. And so I think you're gonna continue to see this over and over.

• 1:15:12Tom Ellsworth?

  Doesn't it just come down to efficiency and cutting out the middleman and all the red tape and deregulation? Is that just what, just efficiency, efficiency, efficiency? That's what it is?

• 1:15:20Patrick Bet-David?

  If you're not, so one of the things that, you know, and I already know that I'm preaching to the choir here with the kind of entrepreneurship, but like, if you think of what entrepreneur is, is a problem solver.

• 1:15:28Tom Ellsworth?

  Right.

• 1:15:28Patrick Bet-David?

  So if you're trying to offer something in the marketplace and somebody says to you, "Hey, you can have a 60-day process, you gotta do all these paperwork, all this crazy stuff," or you can go on a website and click buttons and I'll tell you in five minutes whether you're gonna get it or not, where are people gonna go, obviously? So whether it's insurance, whether it's HELOCs, whether it's, you know, whatever sector, like, that is where the world is going, and I think that entrepreneurs are just trying to figure out where is there inefficiency that we can cut out. Let's go to the next story. Let's go to the next story. There is a new major player in media. To me, in my opinion, they're officially number one. My opinion, they're number one. I'll tell you why. Warner Brothers Discovery rejected Paramount's Skydance acquisition for $20 a share as too low. Now, keep this in mind, Skydance, if you're watching this, you may say, "Who the hell

• 1:16:13Patrick Bet-David?

  is Skydance?" Skydance is a billion-dollar revenue company, $90-million EBITDA to roughly $110-million EBITDA. So, they got $100-million EBITDA. 2010, they started, they co-produced movies, I believe, like Top Gun, like Star Trek, they did a couple co-producing with these movies. They've done pretty okay for themselves over the years. Skydance is ran by a guy named David Ellison, Larry Ellison's son. Larry Ellison, 41% owner of Oracle, who's worth $365 billion, and for a minute, he was the richest man in the world. I believe this year alone, his net worth has gone up $130-something billion, give or take, just this year. So then last year-

• 1:16:55Tom Ellsworth?

  Driven by Broadcom.

• 1:16:56Patrick Bet-David?

  Last year, Skydance goes out and buys a company called Paramount for roughly $8 billion. And that $8 billion is some very, very, very strong assets that they bought. We're talking, you know, when you look at the list of companies, Rob, who Paramount owns, if you pull up who Paramount owns, most people probably don't even know what company's Paramount owns. Paramount owns, I believe, BET, they own CBS, they own Nickelodeon, MTV-

• 1:17:23Patrick Bet-David?

  CMT VH1 when it used to be VH1. But now they come out and they want to buy Time Warner. Time Warner says, no, the numbers are too low. And they rejected the offer of 20 million dollars, uh, 20 dollars a share by David Ellison. Bloomberg reports. WND shares closed at 1710 share on Friday. Up more than 36% since the news broke on September 11th of Ellison's interest in bidding. For the rival just weeks after closing Skydance deal to acquire Paramount. Warner Brothers, Discovery, HBO, HBO Max. Warner Brothers Entertainment, CNN, TNT, TBS and more has a market cap of 42 billion dollars. So billion dollar company, Rev, Skydance. Buys a 8 billion dollar Paramount.

• 1:18:06Patrick Bet-David?

  And now wants to buy a 42 billion dollar Time Warner. The Bloomberg story did not indicate whether Paramount bid included the assumption of WBD's total debt. Which is roughly 35.6 billion dollars. Paramount Skydance has been in talks about Apollo Global Management. The asset management firm that was pre that had previously bid for Paramount Global. Japal joining its bid is David's father, Larry Ellison. It's kind of cool when Larry Ellison's your dad worth 400 billion dollars. Ellison speaking last week at LA's Bloomberg Screen Time Conference did not confirm. That Paramount Skydance has bid for WBD. But at this point, a lot of people know. And on top of that, when the US government got involved and they said, hey, Tik Tok. You're either done, we're shutting you down or we're owning you.

• 1:18:51Patrick Bet-David?

  And the president and whoever that was involved, they allowed ByteDance to keep 20% and allowed 80%. To be owned by companies in America led by Larry Ellison. Rob, can you tell me who were the 80% owners of buying Tik Tok? And by the way, they're buying Tik Tok at a valuation of 14 billion dollars.

• 1:19:10Tom Ellsworth?

  Thought it was Oracle through its corporate arm and Silver Lake?

• 1:19:14Patrick Bet-David?

  Yeah, Silver Lake's involved in a while Silver Lake money. Silver Lake seems to be everywhere. That's where the money for our insurance company came from when they bought us. So. Essentially.

• 1:19:22Speaker 05

  So you like Silver Lake?

• 1:19:23Patrick Bet-David?

  We don't like Silver Lake. Silver Lake has money. I think they're a hundred billion dollar company, by the way, if I'm not mistaken, like meaning assets.

• 1:19:29Tom Ellsworth?

  Money green and good.

• 1:19:31Patrick Bet-David?

  So, so, so here's the question, here's the question becomes, can you tell me a power player in media now? Bigger, yeah, a hundred billion, a hundred and ten billion dollars now. Can you tell me a power player now? Bigger than the Ellison's? Think about it. And by the way, Ellison, Larry Ellison is what, eighty-two, eighty-three years old? I don't know what his age is, but.

• 1:19:50Speaker 05

  Looks great.

• 1:19:50Patrick Bet-David?

  Looks great. I was about to say that he looks phenomenal for his age.

• 1:19:53Tom Ellsworth?

  Playing tennis.

• 1:19:54Patrick Bet-David?

  Still playing a lot of things, more than just tennis, but he's. So eighty-one years old, right? Three hundred and seventy billion dollar net worth and now you have Disney, which by the way, we know what Disney's revenue was per year. I think Disney's revenue was forty. Can you look up Disney's revenue per year? It's forty-three billion. I don't know what their revenue is, but it's a, what's Disney's revenue per year? Ninety-two billion, ninety-four billion. Uh, then, then you have, oh, Netflix's revenue was forty-three billion. If you type in Netflix revenue, I think Netflix's revenue is forty-three billion, if I'm not mistaken. One of these guys is forty-three billion. Is that it? Yeah, their twenty-twenty-five is forty-three billion. So now you combine the revenues of all those companies is ninety-two, ninety-three, ninety-four billion. Is if they pull off all that stuff together. I don't know. That's a pretty nice place to be.

• 1:20:38Patrick Bet-David?

  How, how, how much does that change the media space, Tom? Do you think Ellison's been sitting there trying to buy up all these media assets? Do you think it just happened accidentally? Why do you think they're picking them up? Where do you put them as the biggest power players in media right now?

• 1:20:52Tom Ellsworth?

  I, I think they are just four steps ahead of private equity because the, the old media from cable and satellite is content libraries that can be repurposed, reused, rewatched in a streaming environment. So the content libraries are valuable, but along the way, you have to trim all these things off called the cable nets. Because you're no longer doing that anymore and that's, those are very, very costly. Um, and so Skydance is really, you might think of it as the first, um, of, of the P E people because Ellison, Team Ellison, has a passion for it. And so they're out there first. And by the way, you know, with them is, is people like. Silver Lake and you also look at the industry is begging for consolidation.

• 1:21:36Tom Ellsworth?

  So number one, he is a power player and I think he's forward on the moves that are going to happen by big private equity. However, big private equity doesn't like all the debt and they also want to get to achievable EBITDA. And so when you the old deal maker, who is the old deal maker? Bob Iger, look at Bob, he'd look at these libraries he's bought, look at he bought Star Wars and Marvel and all these things. Isn't that amazing? And so he was the guy and then David Zaslove, well, not David Zaslove spends his time alone at the bar at the Allen Conference. Up at, you know, the ski resort, saying that the industry needs more consolidation. Translation, will somebody please buy CNN from me with this pack of channels? And he's not able to do it.

• 1:22:21Tom Ellsworth?

  So he Ellison absolutely is the is the influential John Malone of his time on this. And he's leading the steps on the industry consolidation. But you'll read the industry's had so much debt when it was trying to assimilate. That the question is, like what we just saw here is no word on what happens to the 35.6 billion dollar credit card. The cute young girl had when she when he married her. Who pays for that?

• 1:22:50Speaker 05

  You know what I think is one of the parts of the story that people are completely ignoring? You said earlier, the number one, what do you need to be number one? You need capital, but you need ambition. This dude's hungry. You're telling me that the guy who's 42 years old, whose dad is the richest man in the world? He don't want to make a name for himself? He don't want to go and say this is what I built?

• 1:23:13Patrick Bet-David?

  You know what I like about him? No, it's not, by the way, you should never, like your kid's going to have a dad that has money, right? That money's going to go to them. You should never fall for the trap of, well, you know, your daddy's money and all this other stuff. Yeah, the other day, one of my kid, one of my kids, he's in school, he's being, trying to be punked by another guy.

• 1:23:38Patrick Bet-David?

  It was the word. A guy comes up to him and he says, first of all, you're just a rich guy's kid. That's what you are. You know, your dad's got money and that's where he says, he says, wait a minute. Who has a cellphone? You have an iPhone. My dad even hasn't bought me a cellphone. So maybe your dad is richer than my dad. And he says, no, everybody knows your dad is rich. And then he turns around and he says this, he says, look, I'm, it's not my fault. My dad works harder than your dad. And the guy loses it, right? But you know what it is? Even, even, I'm not saying, you know, I'm just the only person that works hard. That part of what David wants to do, I think, I love that those genes are being passed down to you. Good for you. Leverage the assets, leverage your dad's money, leverage the relationship.

• 1:24:21Patrick Bet-David?

  But then you're going to add your own little, you know, spice to it, you know? When Elon is having a hard time with certain relationship with X, when he's buying into it and he's going through all these issues and he's calling out Tim Cook every single day and he goes to Larry Ellison's island to be with him for a couple of days. And Larry says, hey, pump the brakes with going after Tim Cook. He's on your side. You want X to be on Apple, you know, on the platform. Don't go too hard with Apple. Look at them as a partner. Then it comes down, lowers the temperature. This is a very, very low key powerful player. Don't get me wrong. He's got some stuff that he's doing is also, you know, wanting to make sure, or watching every move and security. There's some things that freaks a lot of people out. But I think what I like about this, it happened quietly.

• 1:25:04Patrick Bet-David?

  Suddenly boom, Paramount, boom, boom, boom, boom, boom. Number one. Control with one of the social media companies, TikTok, which is the youth, Paramount. Now if they get Time Warner, Skydance.

• 1:25:19Patrick Bet-David?

  At that age, I mean, think about it this way. Alex Soros, which a lot of people talk about, what does Alex control?

• 1:25:25Adam Sosnick?

  What the Soros phone?

• 1:25:27Patrick Bet-David?

  So what does Soros control? What companies do they own?

• 1:25:31Patrick Bet-David?

  Actually, think about it. They bought 400 radio stations, right? Can you pull up what?

• 1:25:35Adam Sosnick?

  The Open Society, I believe is what their foundation is?

• 1:25:36Patrick Bet-David?

  Open Society is a charity, 7 billion dollars, he's given 32 billion dollars or so, but what is, what is, what does, what media companies does the Soros family own? Not Murdoch, Soros family own. So it's a very interesting game that we're playing right now. So, Audacity, yeah, which is a, Odyssey is the second largest radio company. This the 400 radio stations, 230 radio stations, go a little bit lower.

• 1:26:05Patrick Bet-David?

  Crooked Media, okay, so that's a different pot of America, great, respect that, those guys are pretty big.

• 1:26:12Patrick Bet-David?

  Yeah, I mean, if you think about it, though, Ellison's are like, you want to play that game? Let's play that game.

• 1:26:18Adam Sosnick?

  Good.

• 1:26:18Patrick Bet-David?

  Let's go buy up all these other media companies. Which is a beautiful, beautiful thing to see. Competition is getting real here.

• 1:26:27Adam Sosnick?

  What did you call them? You said that they're the new leader in media? The biggest media?

• 1:26:30Patrick Bet-David?

  I don't know, man. I mean, every year in December, we put our top 50 biggest power players in media. Every year we do this. If you go to last year's list, we're getting close to putting that list together this year in December. Every year, we put this list together. And, uh, uh, this was 2024, it's 2025, yeah. I don't know where the list is, but you can find it somewhere there, Rob, if you want to send that to, uh, Paul Williams as well. But every year we come up with a list, this year's list is going to be different. And, and, and we score it based on multiple different categories. One of the reasons Ellison ranks higher is because he's got a son to pass it to that won't be going away. So there is a generational duplication that is taking place there.

• 1:27:11Adam Sosnick?

  Do you remember who was number one last year?

• 1:27:13Patrick Bet-David?

  I put Musk ahead of Trump last year.

• 1:27:14Adam Sosnick?

  Okay, so he was like, individuals, is what this was?

• 1:27:17Patrick Bet-David?

  It's individuals. We do families and we do individuals. Families was different, individuals is different, this becomes a power player. But, uh, anyways, we'll be looking at it. Let's get to the next one here, so. Spotify partners with Netflix for video podcast distribution deal. This is a TechCrunch story. Spotify? Netflix? Yes. Spotify is bringing in its video podcast to Netflix. Starting next year, the company announced on Tuesday amid the company's push to further expand its video content selection and boost its ad business. Spotify has announced a partnership with Netflix that will showcase select video podcasts on popular streaming service. At launch, the Netflix Spotify partnership will bring a curated selection of sports, culture, lifestyle, and true crime podcasts from Spotify Studios and a ringer to Netflix.

• 1:28:01Patrick Bet-David?

  Over time, the deal will see Spotify adding even more podcasts from other studios and genre Spotify say to move follow Spotify's increased focus on video podcasts, beginning with the launch of tools that made it possible for anyone to publish it. Their shows as videos over the last year, the company has added incentives that pay podcaster hosts for the popular videos and launched a partner program so hosts could monetize their video content in a challenge to YouTube. Spotify's interest in streaming video comes after a major shift in its podcast strategy back in 2023, which included layoffs, including the chief of content, business officer, Don Ostroff, who had led its podcast initiatives. And that's when they signed people like Joe Rogan, Alex Cooper, and others, which some of them have expired, by the way.

• 1:28:46Patrick Bet-David?

  Tom, your thoughts on this story?

• 1:28:48Tom Ellsworth?

  Well, I was trying to figure out, is this Spotify trying to monetize content that it has some control over, in some cases indirect ownership or direct ownership? And they're just trying to monetize their content and hey, we've been really big, just as YouTube is big in the video podcast. Netflix, you could help us monetize this. Or is this Netflix buying library and it has to be in the podcast lane to create, you know, because there's no difference between a series created by Netflix, you know, you know, season one, episode one, two, three, four, and a podcast. It's the same. So is it Netflix buying library or is Spotify monetizing content? I think it's both.

• 1:29:32Tom Ellsworth?

  I think it's both, and I think it's a very convenient partnership, and I can see how it works for. Both because Spotify also, I think, realized that big money content creation was best left for people like Netflix. And Spotify is trying to enable, rather than, you know, buy out the room. I mean, they tried to buy out the room during Ostroff's time. And they came back and said, it's kind of like Sirius Satellite Radio when they, you know, they bought NFL Sunday Ticket. And it kind of ran its course and things happened and it got split up. But I think it's both and I think it's good. It's going to be good for the content creators who have big content because they'll be able to monetize on Netflix.

• 1:30:15Tom Ellsworth?

  And, you know, with Spotify wanting to help them with that.

• 1:30:19Patrick Bet-David?

  Anthony, what are you thinking?

• 1:30:21Speaker 05

  Well, one of the things that we see in a lot of the data, I'm assuming you guys do as well, is on YouTube. The consumption is like 60% on mobile. Pretty high number, right? Like, I don't watch that, but it must be other people are watching on their phone. Second highest is on television.

• 1:30:38Patrick Bet-David?

  That's right.

• 1:30:39Speaker 05

  It's not on their laptop. And so I think that there's a kind of the millennial generation.

• 1:30:42Patrick Bet-David?

  It's weird though. I never thought that would be the case.

• 1:30:44Speaker 05

  In business, I think we sit at our computers a lot. So we're used to doing these on our computer. Most people, they got to watch on their phone or they get home, they're not watching TV. They're watching, you know, like regular cable news stuff. They're turning on the YouTube app or the Netflix app, right? So now what I think is basically that podcast is the perfect viewing experience sitting on your television, right? So I think that there's like a consumer trend or a consumer behavior that has changed here. And Netflix is realizing if we have somebody's attention, some people want to watch movies. Some people want to watch sports. Some people want to watch podcasts. Like, it's all the same thing. It's all entertainment to them. There's this guy, Rich, over at Lightshed. They're like a TMT or like a media analyst firm. And they do a lot of research for, you know, hedge funds and stuff like that.

• 1:31:28Speaker 05

  He told me years ago, he said, you got a podcast? You compete with Netflix. You compete with Spotify. You compete with Facebook. And I said, what do you mean? He goes, it's an attention economy. Because they're all actually competing with each other. So you're putting up content, but you're competing with the television stations. You're competing with the programming of Netflix or an Amazon. It's just all an attention economy. When somebody pulls up their phone or they turn on their television, are they going to watch you? Are they going to watch somebody else? And that's just stuck with me because I think that that was very prescient in kind of how this has played out.

• 1:31:58Patrick Bet-David?

  See, this goes back to when you're talking about autopilot or when you're talking about some of these other companies that are creating disruptions. These podcasts are now, but the difference with Spotify and Netflix is they're saying, you know what, instead of competing with you, come on down. Bring your talents to Netflix. Bring your talents over here. Bring your talents to this. The other day, Tom and I were talking, I'm like, what if we go acquire iHeartMedia? And then we look up the numbers. iHeart used to be massive 12 years ago. 10 years, I don't know what the timeline would be, but 10, 12 years ago, iHeart was a place to be.

• 1:32:33Tom Ellsworth?

  The radio player.

• 1:32:34Patrick Bet-David?

  Do you know what iHeart's market cap right now is?

• 1:32:38Speaker 05

  Not a lot.

• 1:32:38Patrick Bet-David?

  Less than $400 million. Do you know why?

• 1:32:43Speaker 05

  What's the financials?

• 1:32:44Patrick Bet-David?

  Do you know how much debt they have? Rob, can you pull up how much debt iHeartMedia has?

• 1:32:48Tom Ellsworth?

  This pretty girl's got a credit card.

• 1:32:50Patrick Bet-David?

  Not just, not just a small one. We're not talking about a million dollar credit card. They're in debt.

• 1:32:57Speaker 05

  Five.

• 1:32:57Patrick Bet-David?

  5.14 billion dollars.

• 1:33:00Speaker 05

  Levered up more than 10 times?

• 1:33:01Patrick Bet-David?

  Yeah, 5.14 billion dollars as of a few months ago. As of a few months ago. So if you buy iHeart, you're getting that debt. And that's a massive, massive credit card debt.

• 1:33:14Speaker 05

  What's the, what's the revenue?

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• 1:34:14Speaker 05

  They've got to be able to service the debt, right?

• 1:34:17Patrick Bet-David?

  How long is that sustainable though?

• 1:34:19Speaker 05

  Well, that's the question.

• 1:34:20Patrick Bet-David?

  How long is that sustainable for you?

• 1:34:24Speaker 05

  Still doing 3.8 billion.

• 1:34:27Patrick Bet-David?

  Yeah, so Q1 807, Q2 934. It's still a player, but for iHeart to be only worth $300 million due to the debt?

• 1:34:37Speaker 05

  That's crazy.

• 1:34:37Tom Ellsworth?

  CFO's on Calci betting that rates go down.

• 1:34:42Tom Ellsworth?

  Because you want them to, I need them to.

• 1:34:44Patrick Bet-David?

  Adam, what do you think?

• 1:34:45Adam Sosnick?

  So the revenue for iHeart in this instance is almost $4 billion annual? And the total debt owed is close to $5 billion? Is this not sort of similar to the US economy where?

• 1:35:01Patrick Bet-David?

  Some could say.

• 1:35:02Adam Sosnick?

  Is that not kind of, you probably looked at me like I'm either smart or crazy. Which one was it?

• 1:35:07Speaker 05

  No, I agree. I think the big thing with all these companies is if you're doing 3.8 billion, what I think we have seen now example after example is it's probably a bloated company in terms of the number of employees. So already you got expenses that are kind of off the charts.

• 1:35:21Adam Sosnick?

  Cut the f-.

• 1:35:22Speaker 05

  You know, I always use the heuristic, if Elon Musk went to iHeart Radio, you think he could make it more profitable?

• 1:35:26Adam Sosnick?

  Of course.

• 1:35:27Speaker 05

  Probably, right? Okay, so you got some bloat in there. Second thing is then you've got whatever that profit, I don't know, look real quick what the profit of iHeart is. You got to be able to service that debt.

• 1:35:40Patrick Bet-David?

  Yep.

• 1:35:40Speaker 05

  And so depending on what type of debt they have, the cost is going to range pretty, yeah, operating at net loss, right?

• 1:35:49Tom Ellsworth?

  Operating income of $35 million.

• 1:35:53Speaker 05

  So I mean, you start to look at it, right? And you're like, okay, well, now I understand why it's trading at, you know, three, $400 million. So like, the market is usually pretty smart. And if the market is punishing a company like iHeart like this, there's a reason. Now, if you look for it, like, forget where they got themselves into. If you were to go in today and try to fix this business, you got a lot of work ahead. You got to cut a lot of costs, you got to get rid of the debt somehow, or at least refinance it so it's more attractive. You got to grow top line revenue. And you probably got to worry about the existential threat. Like, what happens when these guys get smacked with all this AI content that's coming?

• 1:36:24Patrick Bet-David?

  It's another zombie company. It's just, it's a, it's another zombie company. Who's the CEO of iHeart? Can you pull up who the CEO of iHeart is? Who's the CEO of iHeart Media?

• 1:36:36Adam Sosnick?

  Yeah, Robert Pittman, he has been there for 15 years.

• 1:36:39Patrick Bet-David?

  That smile is a little concerned, by the way. That's an old smile. It's not a new smile.

• 1:36:43Tom Ellsworth?

  So it's a zombie company. So what's the difference between something like this and the WNBA?

• 1:36:48Tom Ellsworth?

  Well, WNBA has somebody to pay the credit card.

• 1:36:51Patrick Bet-David?

  Yeah.

• 1:36:51Tom Ellsworth?

  Who, the NBA?

• 1:36:52Patrick Bet-David?

  Yeah, of course.

• 1:36:52Tom Ellsworth?

  This is, this is an example of, you know, you almost say, are they, how close are they to throwing the towel time? And the reason I say that is because they aggregated, where did the debt come from? Aggregating all these radio stations. And then radio stations died. Because remember what they thought? Oh, it'll be a stack of streaming and you can go get any radio station you want. Remember that? That was, it was happening on Bear Share, it was happening on Napster, going back, back, back, back, back 20 years. And then everybody thought, well, we'll just, you'll just be able to go get your favorite radio station from college, whatever, and listen to it. And they aggregated it with a bunch of debt. And then guess what? That didn't happen. Because the radio stations are built for your taste on Pandora and Spotify. So suddenly, another way they went out. And

• 1:37:35Tom Ellsworth?

  well, also, iHeart, we're here, will, will be the largest producer of podcasts. They've got, I think, the largest number of titles that are produced. But they still have this. And it's like, are you going to be able to turn the Titanic before the debt servicing? And you're never going to get to it. And so someone's going to buy this. They're going to have to restructure at some point. That'll knock down the debts 20%. And then somebody's going to go buy it for basically, the podcast infrastructure. Because the radio stations in there are not worth zero, but worth a lot less. So it's like, you see what I mean, Pat? It's like, what do you do with it? At some point in time, you have to go through this painful, this is what the, this is what the bankruptcy and the chapter.

• 1:38:19Patrick Bet-David?

  I think the right, I think the right. Flywheel that buys it could do something to it.

• 1:38:25Adam Sosnick?

  Not for five billion.

• 1:38:27Patrick Bet-David?

  No way. I'm just saying the right.

• 1:38:29Speaker 05

  Buy for three hundred.

• 1:38:30Patrick Bet-David?

  Yeah, the right, you would, you would probably have to pay six hundred billion. You'd probably have to pay maybe shy of a billion dollars.

• 1:38:36Adam Sosnick?

  Have them file first and get all the debt knocked down.

• 1:38:38Patrick Bet-David?

  Yeah.

• 1:38:39Speaker 05

  So I don't think you have to file, though. That's the thing is, these guys have distribution. Everyone looks at it as what's the revenue of the current monetization? If you guys all took over this, I think what you immediately would do is you would start to expand. Think about your business, right, that you've built. You're going to start to do events. You're going to start to put products through the distribution. Like, you're going to open up all these other revenue channels. And really what they have is they have a monopoly on distribution in a certain way. The problem is that they're pretty unilateral in their pursuit of, they're just trying to do advertising revenue. They think of it as a pure media business versus thinking of it as a distribution business.

• 1:39:09Patrick Bet-David?

  I think, I think the right strategic.

• 1:39:10Adam Sosnick?

  I think that's a great point.

• 1:39:12Patrick Bet-David?

  The right strategic partner can really drive these guys. I think they're number three, number two. I don't know what number they're on, but they're, but they're up there.

• 1:39:20Adam Sosnick?

  Pat, let me ask you a question. You know, this makes me think of, I used to see, when you started making content, there was an old phrase that says, you know, content is king, but distribution is queen. But when I'm looking at these numbers, it means that profitability is like God. Because if you're, if you're just doing all this distribution and making all this great content.

• 1:39:37Patrick Bet-David?

  Yeah.

• 1:39:38Adam Sosnick?

  But you're losing money. What's the purpose of all this?

• 1:39:40Patrick Bet-David?

  Many, many years ago, a, a big insurance company from, uh, uh, from a Dutch, uh, Netherlands insurance company, bought a distribution company and a life insurance company at the same time. They used one to lose, but to drive massive valuation to this one because the EBITDA on this, uh, the multiples were higher. So.

• 1:40:01Speaker 05

  It worked.

• 1:40:01Patrick Bet-David?

  It worked in a, in a beautiful way. It worked massively. It worked. So I, I, I don't know. There needs to be the right flywheel that is sitting there saying, I'll take the loss to feed this. I'm all in. But there needs to be the right flywheel. Who that flywheel is? I don't know. I, I don't know who that flywheel is. You know, in, in, in a part of it, sometime when you're there for too long, like, let's just say Robert Pittman said, I've been there for two thousand and eleven. And let's just say they were crushing it. What is the peak of iHeartMedia? Can you type in, when was iHeartMedia number one? What year was iHeartMedia number one? What year was iHeartMedia number one? If you, if you pull them up, was it 2019 was number one? Let me see, mid to late 90s?

• 1:40:45Patrick Bet-David?

  No, I'm, I'm talking about like the last 15 years. So.

• 1:40:48Speaker 05

  Even like a stock price.

• 1:40:50Patrick Bet-David?

  Yeah, the, the reason why I'm asking this, or maybe even if you ask, what was iHeartMedia's highest valuation?

• 1:40:56Speaker 05

  Just do max.

• 1:40:57Patrick Bet-David?

  Go max.

• 1:40:57Speaker 05

  Max.

• 1:40:58Patrick Bet-David?

  Right there you were, Rob, go max. So what year is that? 2021? It doesn't go past that? Okay, so they went public in what, 2020? Go to the max, Rob, to the, to the peak right there, whatever the top, no, right there, yeah, right to go a little bit higher? Okay, 27.36 and now it's what? Damn.

• 1:41:13Speaker 05

  Down 90%.

• 1:41:14Patrick Bet-David?

  Down 90%, right? Okay.

• 1:41:17Speaker 05

  I wonder if the debt is, uh, recent?

• 1:41:19Patrick Bet-David?

  I mean, if you look at the sudden, what happened in 2020, June-ish? What happened there, right?

• 1:41:24Speaker 05

  Can't go, but, can't go past that.

• 1:41:26Patrick Bet-David?

  2022, 2022, right? Right there, like, what is that drop off? Right? Cause COVID probably helped them out. Look at how COVID, they went up during COVID.

• 1:41:34Adam Sosnick?

  $12 from April 14th, go to the trough?

• 1:41:39Patrick Bet-David?

  Yeah, 689. So, so the, the reason why I asked is, sometime when you got a guy that's been there, the CEO, and maybe at the bottom of it, 22, 23, you give him a little bit of a chance, but since mid of 2023, it's been around the same? Man, just bring somebody else in. Give somebody else a shot and see what they do. What do you have to lose?

• 1:41:57Adam Sosnick?

  Is this even a CEO problem, or is this just, this is a problem in the market? Because iHeart used to be Clear Channel, it was actually my first job out of college. This is the radio industry in a nutshell. So how we, the radio industry is dead. I mean, what we're doing is essentially what radio stations were.

• 1:42:14Patrick Bet-David?

  What Anthony said.

• 1:42:15Adam Sosnick?

  But with AV.

• 1:42:17Speaker 05

  Free Press just got bought, uh, for 150 million bucks.

• 1:42:20Adam Sosnick?

  Very wise, yeah.

• 1:42:21Speaker 05

  These guys are worth 400. Just think about this, that business been around, he's been the CEO for five times longer than the Free Press has existed. And so it's just a, it's a different business model, it's a different distribution point, right? But it's also growth. So you don't have a business like this that it's valued that way if you're not, if you're growing fast.

• 1:42:41Patrick Bet-David?

  I would change, I would, I'm telling you, I would mix up the leader. Bring the new guy in, find the Brian Niccol type who took Chipotle from seven billion to seventy-one billion, who is now with Starbucks. Bring a guy like that who's in his mid thirties, early forties. Bring that person in, put him in there, give him a massive upside, massive, massive upside. If he ten x's the company's valuation, allow him to be a billionaire. Whatever he does, allow him to be worth a half a billion, quarter of a billion dollars. You put something like that in place. New guy's gonna come in, mix things up, and who knows? But I think the way they're going right now, keeping the same guy, and maybe he's watching this right now, so it's, and I'm a big PBD pod, why would you say such a thing? I just think sometimes, I remember one time, Tom, you remember this? One time, it's two thousand fifteen. I, I didn't know if I was a good CEO. I had a meeting with Tom, I'm like, listen, man, maybe we need to hire a new CEO.

• 1:43:26Patrick Bet-David?

  Maybe we need to mix it up, maybe I'm just a driver, I don't know. Do you remember that meeting, Tom?

• 1:43:29Speaker 05

  Yep.

• 1:43:30Patrick Bet-David?

  I came to him, like, look, I'm okay being chairman of the board, and let's bring somebody else in to run the entire company. And then I went to Harvard OPM program, sat next to a guy that ran the Victoria's Secret of New Zealand and Australia. I said, I'm, we're gonna kill it. I came back and I took it personal to work on being a driver and a CEO to drive valuation, technology, all this stuff, and things changed. It was a very different strategy, and maybe he needs to go to a place to have a resurrection of himself and be, because I still think there's something there. I don't want to spend a lot of time on iHeartMedia, we can move on, I just, you know, keep seeing something here. The right flywheel, the right CEO, something can happen there. Let's go to the next story, let's go to Walmart.

• 1:44:09Patrick Bet-David?

  Walmart stock pops on OpenAI partnership to create a chat GPT shopping experience. Anthony, I'm gonna come to you first, so let me read this to you guys, and, Rob, is this a clip you got? Yes, sir. Go for it, if you can play this clip.

• 1:44:23Speaker 07

  Be announcing a partnership with OpenAI to allow customers to buy goods directly within ChatGPT. Shoppers will get video and images along with purchase links inside their conversations. And this begs the question, will ChatGPT be incented to direct shoppers to Walmart over some alternatives? For more, let's bring in CNBC's Mackenzie Segalas. Hey Mel, so to your question, no, this doesn't mean that Walmart gets priority placement inside of ChatGPT. OpenAI told me that product results remain organic and unsponsored, ranked purely by what's most relevant to the user. Walmart's simply building its own shopping experience into ChatGPT through a new tool called Instant Checkout. That makes it possible to complete a purchase, not to game the results.

• 1:45:06Speaker 07

  I also asked about how much of a cut OpenAI gets. They say that those merchant fees are bespoke, negotiated case by case, and it's not disclosing Walmart's cut. And that is important because this is one of the first ways that OpenAI is monetizing ChatGPT beyond subscriptions with a fee structure that could ultimately resemble Apple's App Store. Investors are clearly rewarding the move. Walmart's market value climbed about $41 billion today, its second strongest session of the year, trailing only April 9th when Trump rolled back his tariff plan. Now Walmart doesn't usually move this much, and that underscores just how powerful AI-driven commerce could become. Big picture, everything OpenAI is doing in shopping and search chips away at Google's dominance, positioning ChatGPT as the new starting point for discovery online.

• 1:45:51Patrick Bet-David?

  There you go. Pomp, your thoughts on this?

• 1:45:54Speaker 05

  Well, I think first is, um, obviously this is going to happen. Like, OpenAI has traffic. I think OpenAI was already 15% of the referral traffic to Walmart. So they're already sending traffic there. Amazon pioneered one-click checkout in terms of, there to have all my information, I just click it one time, bam, I'm done. Right? So bringing that elsewhere on the internet makes a ton of sense. Um, I do think that there's been compression over time in terms of, I have intent to buy, I have completed the purchase. You've just seen on the internet that continues to get compressed in terms of how long does it take? How many clicks do I have to take? Right? You just keep going down. That one-click is a great example. Inside the feed, I think that there's, we're probably six to 12 months away from this.

• 1:46:38Speaker 05

  People are gonna start getting really upset because Google's been getting attacked for this for 20 years. Are you putting your finger on the scale of what you're showing? And are you getting paid for it? How are you disclosing it? Do I, are you showing me one product versus another? Is it actually the best one? You know, Walmart product versus an Amazon product versus, that all is coming. Frankly, I think it's probably a lot of noise and it'll get figured out, but I think that that debate's coming. But more importantly is, ChatGPT is doing this like agentic checkout. You're going to trust ChatGPT more than you trust people. You're gonna trust the software. And so it comes back to this idea of, I do think that OpenAI and perplexity or any of these model companies,

• 1:47:19Speaker 05

  they are going to try to go get personal data because it makes their models more effective. And so it's not very helpful if you come in and you're searching for something and OpenAI doesn't know anything about you. But they save the history of your chats now. So they can actually see all the things you're talking about. That makes it smarter about the recommendation, right? Google's the same way. They got a bunch of, you know, a data profile on you. They start to make recommendations. Like, the more people use these products, the better they're gonna get. And if all of a sudden you can one click checkout, Walmart is gonna have actually a challenge. It's like, if you put all of your business on ChatGPT, right? If it really does become, you know, billions of people around the world are using this thing. Now you're at the whim of those people. Ask the media industry about Facebook.

• 1:48:01Speaker 05

  Facebook gave them tons of traffic. They started to create tons of content for Facebook, then Facebook took it away. That platform risk becomes real. And so I think like, those are the things that are coming here. But it makes sense that the stock goes up because people are realizing, hey, this is gonna drive sales to Walmart. Tom.

• 1:48:15Tom Ellsworth?

  Yeah, I think there's another, I agree with that. And there's another angle here too. Walmart has been chasing Amazon, being able to deliver as quick and sometimes quicker. Jennifer talked about some stuff, Pat. Remember Jennifer said to us? I actually ordered some stuff on Walmart that got to me quicker.

• 1:48:31Speaker 05

  Than Amazon.

• 1:48:32Tom Ellsworth?

  It was like batteries or something.

• 1:48:33Speaker 05

  Yeah.

• 1:48:33Tom Ellsworth?

  And it got to me quicker than the Amazon guy did. That's very, very interesting. So they were getting speed. The other thing is that overall e-commerce as a category.

• 1:48:43Tom Ellsworth?

  Walmart turned a profit in Q1 and it was not a fluke. It wasn't just big holiday spending that waterfall into Q1 because in Q2 that profitability went up and the metrics that were underneath it went up. So Walmart has turned the corner and the e-commerce division of Walmart's delivery system is because the stores are number one, right? Brick and mortar is now profitable. And they're just adding things to it because they have to keep up with Amazon and they've caught them on speed. They're now profitable in e-commerce delivery and this is another element. And who is more than happy to work with anybody but Amazon who has its own homegrown

• 1:49:26Tom Ellsworth?

  Alexa system and its own servers and everything else? Everybody else says, hey, ChatGPT, Walmart, I'll work with you. You need a dance partner.

• 1:49:36Patrick Bet-David?

  Is this a revolutionary thing or is it just you have to do this?

• 1:49:39Tom Ellsworth?

  I think it's, I think they need a dance partner. I mean, if you take a look, everyone has a dance partner, right?

• 1:49:45Adam Sosnick?

  What do you mean by dance partner?

• 1:49:46Tom Ellsworth?

  Google has Gemini, you know, perplexity cut a deal. Apple is seeking, seeking a deeper deal. Everybody needs to be aligned with one of the, one of the majors and there's going to be three. ChatGPT, Gemini and perplexity for the most part. And now I know everybody's going to say, well, what about Julius? What about things? Yeah, well Julius will crank it out in Python if you really want to be a developer and you want to run that, that lap. But I think this is Walmart gets empowered by OpenAI's technology to keep driving its e-commerce and its overall business success. And so I, this wasn't something that was going

• 1:50:26Tom Ellsworth?

  to grow on its own and somebody who's a natural enemy of Amazon becomes a very natural partner for Walmart.

• 1:50:33Adam Sosnick?

  Let me ask you guys, when's the last time any of you went into a Walmart?

• 1:50:38Patrick Bet-David?

  Uh, last month, I go to Walmart or Target. Yeah, it's, uh, trust me, like where Legos are, we go.

• 1:50:47Adam Sosnick?

  Oh, you're getting the Legos.

• 1:50:48Speaker 05

  I was gonna say Target, yeah.

• 1:50:50Patrick Bet-David?

  Yeah.

• 1:50:50Adam Sosnick?

  We bought a whole bunch of stuff that guy. Is there a Walmart here in South Florida? I don't, there's not one in Miami that I'm familiar with.

• 1:50:55Patrick Bet-David?

  Listen, i- i- if I can go to Target every day, my kids would make me go to Target every day. And there's.

• 1:51:00Adam Sosnick?

  So you mean you like Target better than Walmart?

• 1:51:01Patrick Bet-David?

  It's just because they're here. If Walmart was here, I'd go to Walmart. So it's not like I have a discriminate against either one of them. Uh, I'm not like that black pastor who won't go to Target. I am brown, I'm not black, I'll still go to Target, I'm not offended by it, but, uh, yeah. So, okay.

• 1:51:14Adam Sosnick?

  I just feel like Walmart is a very like, I could be wrong, a sort of like an outdated antiquated Amazon.

• 1:51:19Patrick Bet-David?

  Don't underestimate Walmart.

• 1:51:21Adam Sosnick?

  I'm just saying, I'm just Miami guy. There's no Walmart even in Miami. There are more newspapers on Amazon.

• 1:51:28Speaker 05

  Section of the New York Times.

• 1:51:29Adam Sosnick?

  I'm saying.

• 1:51:30Patrick Bet-David?

  By the way.

• 1:51:31Adam Sosnick?

  I'm living in big cities.

• 1:51:31Patrick Bet-David?

  And you're.

• 1:51:32Adam Sosnick?

  Do Walmart exist in big cities?

• 1:51:34Patrick Bet-David?

  Let me tell, but here's what you gotta realize. Rob, can you pull up how many stores Walmart has? In America alone, how many total stores Walmart has?

• 1:51:43Speaker 05

  Be sure they add up Sam's Club.

• 1:51:45Patrick Bet-David?

  Okay, in US, look at the number.

• 1:51:47Speaker 05

  Oh.

• 1:51:47Patrick Bet-David?

  Okay, ju- just, just watch this. Now, can you do me a favor? Can you type in how many, uh, what do you wanna call it?

• 1:51:54Speaker 05

  Ninety percent, ninety percent of the US population lives within ten miles of a Walmart store.

• 1:51:58Patrick Bet-David?

  But this the part though, this the part, right there.

• 1:52:00Speaker 05

  Including Alaska.

• 1:52:01Patrick Bet-David?

  This is the part, can you now ask, when it comes down to Amazon? What do you wanna call it, where Amazon's stores, the, the items that they sell to you, what do you wanna call that? A, how many?

• 1:52:12Speaker 05

  Like a warehouse?

• 1:52:12Patrick Bet-David?

  Warehouse, how many, how many Amazon warehouses are there in America? Okay, this is the strategy that believe it or, look at that, thirteen hundred.

• 1:52:21Adam Sosnick?

  Versus what was the other one?

• 1:52:22Patrick Bet-David?

  So they have forty six hundred. They have almost three times, four times, three and a half times more than that. So what they're doing now, their storefronts are becoming.

• 1:52:32Adam Sosnick?

  Fulfillment centers.

• 1:52:33Patrick Bet-David?

  Fulfillment centers.

• 1:52:33Adam Sosnick?

  Kinda like the Go Puff.

• 1:52:34Patrick Bet-David?

  And that's why when Jennifer told me this about a month, two months ago, she's like, babe. Let's order at Walmart. Walmart delivers faster than Amazon. Like, there's no way in the world.

• 1:52:41Adam Sosnick?

  Okay.

• 1:52:42Patrick Bet-David?

  Go watch this.

• 1:52:42Adam Sosnick?

  So you just taught me something. I live my life on Amazon. Everything I just order, it's there the next day.

• 1:52:47Patrick Bet-David?

  Test it. Test it for yourself.

• 1:52:47Adam Sosnick?

  You're saying you can do that on Walmart?

• 1:52:49Patrick Bet-David?

  And Walmart comes faster.

• 1:52:51Adam Sosnick?

  It comes faster.

• 1:52:51Patrick Bet-David?

  Because they are three in a

• 1:52:52Adam Sosnick?

  So you're not physical enough to go to the store?

• 1:52:53Patrick Bet-David?

  Yes.

• 1:52:54Adam Sosnick?

  Seriously.

• 1:52:55Speaker 05

  Test home goods.

• 1:52:56Adam Sosnick?

  How do you even think of that?

• 1:52:57Speaker 05

  Yeah.

• 1:52:57Adam Sosnick?

  I just think of Amazon as a tech thing.

• 1:52:58Tom Ellsworth?

  Test home goods. Laundry detergent.

• 1:53:01Patrick Bet-David?

  There's a reason.

• 1:53:01Adam Sosnick?

  Sorry, Jeff Bezos.

• 1:53:02Tom Ellsworth?

  Kitty litter.

• 1:53:03Patrick Bet-David?

  There's a reason why Amazon bought, is it Whole Foods that Amazon bought?

• 1:53:07Adam Sosnick?

  Yeah.

• 1:53:08Patrick Bet-David?

  Amazon bought Whole Foods?

• 1:53:09Adam Sosnick?

  Yeah, Whole Foods, exactly.

• 1:53:10Patrick Bet-David?

  There's a reason for that, because it's like, you know, we have, we have certain other, you know, businesses that we can add to the flywheel. So Walmart, you know how much, Walmart's doubled their market cap in the last couple of years. They went from 380 billion an hour.

• 1:53:22Adam Sosnick?

  What the percentage of the

• 1:53:23Patrick Bet-David?

  Can you go to Walmart stock and let's just look at their market cap, what it looks like the last, go to, go to Max? Go back and just go to Max?

• 1:53:31Adam Sosnick?

  Rob's getting

• 1:53:32Patrick Bet-David?

  Look at that. Look at that. By the way, can you do me a favor? Go to, go to

• 1:53:36Adam Sosnick?

  Just do five years and look at the pop out of

• 1:53:38Patrick Bet-David?

  Just do this, Rob. Go to 2015, right there at the dip. You see, right at the bottom of the dip, right there. What's the stock?

• 1:53:45Speaker 05

  20 bucks?

• 1:53:45Patrick Bet-David?

  20 bucks. Where is it now? 109.

• 1:53:48Adam Sosnick?

  Wow.

• 1:53:48Patrick Bet-David?

  Dude, that's a, that's a, that's, that's a, that's a real 870 million dollar market cap.

• 1:53:54Adam Sosnick?

  Private company?

• 1:53:55Speaker 05

  Is what?

• 1:53:55Patrick Bet-David?

  No, it's a publicly traded.

• 1:53:57Adam Sosnick?

  Publicly traded?

• 1:53:57Patrick Bet-David?

  Yeah.

• 1:53:57Speaker 05

  Yeah. Well, the other thing about, if the narrative becomes, if you order from Walmart, it gets here faster? If they start running commercials to say, "We're fast."

• 1:54:07Patrick Bet-David?

  They should.

• 1:54:08Speaker 05

  Oh my

• 1:54:08Patrick Bet-David?

  Have they or have they not?

• 1:54:10Speaker 05

  I haven't

• 1:54:11Patrick Bet-David?

  I don't know why they're not.

• 1:54:12Speaker 05

  But if that, if that's true?

• 1:54:13Patrick Bet-David?

  Let me tell you.

• 1:54:14Adam Sosnick?

  The point is, you don't even think of Walmart.

• 1:54:16Speaker 05

  Every mom, every mom in America, every mom in America will be on Walmart.com tomorrow.

• 1:54:20Patrick Bet-David?

  This is not brought to you by Walmart. You're not a sponsor. Can you do me a favor? Order something small off of Walmart. Go ahead and do it. And comment on it, the next podcast that we're doing. Or send them an act or tweet us. Just order something off of Walmart right now.

• 1:54:34Adam Sosnick?

  Like home goods, soap, whatever it is.

• 1:54:36Patrick Bet-David?

  And check to see how fast it comes to you. Okay? By the way, Walmart, I swear to God, if you get this idea from us, we're expecting you to respond forward. We're expecting that phone call, Mr. Walton. One of you guys, all the kids that are worth 60, 50 billion dollars.

• 1:54:49Adam Sosnick?

  Affiliate fee.

• 1:54:49Patrick Bet-David?

  Yeah.

• 1:54:50Adam Sosnick?

  Affiliate fee.

• 1:54:51Patrick Bet-David?

  We ain't taking that. Let's go to the next story. Let's talk about Alex Jones. Supreme Court rejects Alex Jones' appeal to 1.4 billion dollar defamation judgment on Sandy Hook's case. Rob, if you want to play this clip by CBS. 1.4 billion. Here's Alex. Go forward.

• 1:55:07Speaker 07

  Alex Jones, leaving in place the 1.4 billion dollar judgment against him over his comments regarding the 2012 Sandy Hook Elementary School shooting. Jones had claimed it was a hoax staged by crisis actors. Twenty first graders and six educators were killed in the Newtown, Connecticut massacre. The Infowars host had argued that a judge was wrong to find him liable for defamation and infliction of emotional distress without holding a trial. The justices issued their order Tuesday without even asking the victims' families to respond to Jones's appeal. Jones has faced mounting legal pressure after juries in Connecticut and Texas found him liable in 2022. He's repeatedly tried to head off the sale of his far-right platform, Infowars, to pay for those damages. Jones filed for bankruptcy in late 2022, and his lawyers told the justices

• 1:55:52Speaker 07

  that the plaintiffs have no possible hope of collecting the entire judgment. He is separately appealing a $49 million judgment in a similar defamation lawsuit in Texas after he failed to turn over documents sought by the parents of another Sandy Hook victim.

• 1:56:06Patrick Bet-David?

  Okay, Tom, what's gonna happen here?

• 1:56:08Tom Ellsworth?

  Well, basically, the headline should be this. Supreme Court confirms man that unable to pay 1.4 billion remains unable to pay 1.4 billion. Right? It's, it's, it's kinda silly. So it became a headline because the media, apparently CBS, last place in media, didn't know that a war was ending in Gaza and a bunch of other things were happening on tariffs. So CBS News decides to cover this.

• 1:56:32Patrick Bet-David?

  You think so?

• 1:56:32Tom Ellsworth?

  Yeah, it's, it's, it's rather, it's rather dull. Because thi- this is a natural part of the appellate process. He's been to Circuit Court for Circuit Court of Appeals, and now he's going to Supreme Court. And the Supreme Court says, you know what? This is so clear, we're not gonna hear your appeal. And by the way, that happens hundreds of times a year as our Solicitor General and the Supreme Court say, hey, we're not gonna hear these cases, so never mind. So that's point one, that it was a natural thing, Supreme Court's not gonna hear it. But point two is it means that, you know, he still probably is what he is, is impinged in his ability to make a living. But people forget that he could basically work on Infowars 2.0 for a day.

• 1:57:17Tom Ellsworth?

  And his wife owns the company and makes money on it because there's, there's ways so a person can get around this. Um, it just kind of reminds me of something my dad told me about money long, long, long, long time ago.

• 1:57:31Patrick Bet-David?

  Here we go folks.

• 1:57:31Tom Ellsworth?

  And he said this.

• 1:57:32Patrick Bet-David?

  Go ahead.

• 1:57:33Tom Ellsworth?

  Tom, if you owe somebody a million dollars, you're in trouble. If you owe somebody a billion dollars, they're in trouble.

• 1:57:40Patrick Bet-David?

  Tom.

• 1:57:41Tom Ellsworth?

  And so.

• 1:57:42Patrick Bet-David?

  Your dad took that from Donald Trump, just so you know that. Your dad took it from somebody else.

• 1:57:46Tom Ellsworth?

  I'm sure, I'm sure he did.

• 1:57:47Patrick Bet-David?

  He was, he was probably watching Trump's tweet back in the eighties when Trump was tweeting back in the days and he picked it up from him. So to you, Tom.

• 1:57:55Tom Ellsworth?

  I would say so.

• 1:57:56Patrick Bet-David?

  To, Tom, to you, this is a nothing burger is what you're saying.

• 1:57:58Tom Ellsworth?

  No, it's not. I think it's a nothing burger. It's, it just points out that.

• 1:58:02Patrick Bet-David?

  Can they stop him from making money? Can they stop him from paying his bills? Can they stop him from still growing his business and finding ways to make?

• 1:58:08Tom Ellsworth?

  Well, growing a business that has value, they can come in there and, and now try to encumber him.

• 1:58:13Patrick Bet-David?

  I was on a show the other day and one of the ads I heard, I don't know if anybody sells ads the way Alex does. One of his ads said, this omega three, if you take, has the possibility, a lot of people who took it, they've had better dreams at night.

• 1:58:28Speaker 00

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• 1:59:29Speaker 05

  Did you take it?

• 1:59:30Patrick Bet-David?

  I have good dreams. But when I hear it, I'm like, that is so-

• 1:59:34Tom Ellsworth?

  You know, there's claims and then there are claims.

• 1:59:35Patrick Bet-David?

  But by the way, listen, it could, I'm not telling you it's a lie, I'm just saying that the way he's been, if, can he continue sell to make money to pay his bills? Can he continue to do what he's doing?

• 1:59:44Tom Ellsworth?

  Yes, he can on a basic level.

• 1:59:46Patrick Bet-David?

  I think he's a necessary voice, form of entertainment and form of giving different angles no one's thinking about.

• 1:59:50Tom Ellsworth?

  But if he builds a company that's worth a hundred million dollars, then they're gonna come down on him and ask him to monetize the value-

• 1:59:56Patrick Bet-David?

  Ah, I got it.

• 1:59:56Tom Ellsworth?

  And make partial payments to the victims. But if he makes a hundred grand a year, a hundred fifty grand a year, even two hundred fifty grand a year, you can't squeeze blood out of a rock. There's nothing here. And so, the Supreme Court said, "Your case is so clear, that there's no reason to hear it." "You still owe them 1.4 billion, and hey, folks over here on the left, there's no way he's gonna pay you."

• 2:00:17Patrick Bet-David?

  He's so entertaining, though, let me tell you. He's entertaining and, you know, he, he has a, he always has a unique angle where he sees things that somebody else doesn't. And guess what? Whether he's right 10% of the time, 20% of the time, 30% of the time, he's been right on some very massive things.

• 2:00:34Tom Ellsworth?

  Right.

• 2:00:34Patrick Bet-David?

  9/11, like, some of the stuff that he, you know, went through and, what was that one, uh, uh, community he went to? Bohemian Grove, is that where he went to?

• 2:00:42Tom Ellsworth?

  Of course, that's where he made his name.

• 2:00:43Patrick Bet-David?

  Yeah, I mean, this is a, so, what, what do you think about all this stuff? I mean, by the way, Pom, you were one of the first that interviewed Tate, if I'm not mistaken, right? You were one of the big Tate interviews at the beginning.

• 2:00:53Speaker 05

  YouTube, YouTube took it down. Oh, yeah.

• 2:00:57Patrick Bet-David?

  I didn't know that.

• 2:00:58Speaker 05

  Oh, yeah, yeah, yeah. They took it, they let it, left it for a month. Very, very popular, because I was the first person to interview with them, so, uh, Tate, I can't remember if I DM'd him or he DM'd me first, but this is way, way before anyone knew who he was. Uh, he was a world champion kickboxer.

• 2:01:14Patrick Bet-David?

  This is in what year, 2020, 2021?

• 2:01:17Speaker 05

  I can look and see, but, uh-

• 2:01:19Patrick Bet-David?

  It was a very good interview.

• 2:01:20Speaker 05

  We, we started talking about, uh, about Bitcoin. Like, it had nothing to do with what he was posting, and, and again, no one really knew, uh, who he was.

• 2:01:28Patrick Bet-David?

  Yeah.

• 2:01:29Speaker 05

  And, and I just thought, look, this is a, a guy who, uh, is trying to figure out investing and, and all that stuff.

• 2:01:35Tom Ellsworth?

  This was during your warm, collaborative, loving relationship with YouTube?

• 2:01:40Patrick Bet-David?

  No, he's still up. He doesn't have a channel. His YouTube is not a... The fact that they took his interview down was kinda weird.

• 2:01:47Speaker 05

  Well, here's the crazy thing.

• 2:01:48Adam Sosnick?

  They've taken other things down on Pomp.

• 2:01:50Speaker 05

  Yeah, they deleted our channel at one point. So, uh, I got two great YouTube stories. Uh, one is the Tate interview. We do it. Now, I didn't... He wasn't really talking about all the things that he ended up talking about. At the time, he was starting to post a little bit more, but he came in to do the interview. And, uh, I gotta say, you see the little clip there. Uh, he was in full Andrew Tate mode. I mean, he had the glasses on, the whole thing, right? Whatever. But what I was interested in is his life story, how he made money, his family, all that kinda stuff. You know, chess, all that kinda stuff. So, uh, post the interview, becomes very popular, you know, million or more views. After thirty days, then they take it down. I say, "That's kinda weird." But clips are still up.

• 2:02:30Adam Sosnick?

  Huh.

• 2:02:30Speaker 05

  Right? So, okay, fine, whatever. But, uh, after this, maybe six months, nine months, uh, we used to do a live stream show, some of this. And, uh, one day, we, uh, we end it. Five minutes later, the whole channel is deleted. Not like a video taken down, deleted. And, you know, I got a big platform on other platforms. I get on Twitter, I say, you know, at the time, Susan Wojcicki was the CEO. I say, "Hey, what the hell's going on over there?" Right? And I start tweeting, tweeting, tweeting. And, uh, long story short, we get the channel back. And it turns out that, uh, the way it was described to me is that there was an employee internally at YouTube who just hit the delete button.

• 2:03:02Adam Sosnick?

  Oh, one person.

• 2:03:05Speaker 05

  Again, I don't know if they somehow went around some sort of control or whatever, but again, it wasn't a video got taken down, it wasn't a suspension, it was the entire channel deleted. So, my take on a lot of this stuff is, uh, I'm actually surprised it doesn't happen more. Right? Like, that was the first time I'd ever heard about that, first time I had experienced it, whatever.

• 2:03:22Patrick Bet-David?

  For Alex Jones? You're talking about Alex Jones or...

• 2:03:24Speaker 05

  I'm just talking about in general, on the internet, the fact that, uh, there's not some rogue employee internally that does something.

• 2:03:29Patrick Bet-David?

  Oh, yeah, I see what you're saying. Yes.

• 2:03:30Speaker 05

  All that kinda stuff.

• 2:03:31Patrick Bet-David?

  Yes, yes.

• 2:03:32Speaker 05

  So, if you go back to, uh, to Alex Jones, um, I think that there is a very, uh, unique balance in America, which is, the test of free speech is, are you willing to protect the speech of the people you disagree with? Now, what has become popular is this whole, like, hate speech stuff and, and all this, all this, uh, kind of, um, what is free speech, what is not free speech? But what I do think is, uh, going to be more and more important over time is, people like an Alex Jones who are talking about some of this stuff.

• 2:04:05Speaker 05

  What do you do with them? Forget the money stuff. The money stuff is like the courts will figure that out, right? But in terms of allowing him to go on shows, allowing him to have YouTube, allowing him to stream on a platform, right? You've got to start to figure out how do you deal with this speech stuff. And so I think that 1.4 billion dollars is a hell of a lot of money. I don't know if he's gonna pay it back.

• 2:04:26Patrick Bet-David?

  Here's how I process that. Okay, what's, what did he say? He said those are actors, right? Okay, you're defaming the family. It's a very nasty claims to make, right? And it's not allegedly, it's this is what he thought was really happening. Okay.

• 2:04:45Patrick Bet-David?

  And of course, the stories, family, heartbreaking, devastating, no question. We all remember the times where you're watching videos and the families as they're going through that atrocity. But then you have somebody else that almost got another person to be the president of the free world.

• 2:05:04Patrick Bet-David?

  And they manipulated and edited a video to make the candidate look better. CBS. What did CBS pay Trump, Rob? What did CBS pay Trump? Was it 25 million? I don't know what the number was. I know Stephanopoulos was like 13 something million dollars. What was it? 16 million bucks? So you pay a 20 billion dollar company.

• 2:05:26Patrick Bet-David?

  Pay 16 million dollars? But Alex Jones was worth, what's Alex Jones worth? What's Alex Jones worth? Alex Jones' net worth? I don't know what the net worth is. It's gonna be negative, but I'm saying like, yeah, but what is his, what's his?

• 2:05:40Speaker 05

  What was it before?

• 2:05:41Patrick Bet-David?

  Say 40 million, say 20 million, whatever. Let's just say 10 billion bucks. 1.4 billion? I mean, yes, sue him. Yes, maybe get some money that you want to get, fine. But what is your point of making a 1.4 billion? It's just very weird to me. That's all it is. Let's wrap up with this.

• 2:05:58Adam Sosnick?

  Can I just say one thing about Alex Jones? For me, it's more about the lesson of Alex Jones than Alex Jones himself. For me, it's the, comes down to reputation. It's the whole story about the bridge builder who builds a thousand bridges. He does all these amazing things, a lifetime of good work. And he makes one stupid drunk mistake, has sex with a goat. He's no longer a bridge builder. He's a goat effort. And to me, I mean, even Rogan said it. He goes,

• 2:06:23Patrick Bet-David?

  Call like,

• 2:06:23Adam Sosnick?

  I did. I called him.

• 2:06:24Speaker 05

  I don't know what parable that was. That was great. That was a great one.

• 2:06:27Patrick Bet-David?

  Just so you know, he's not saying that's what Alex does. It's an analogy.

• 2:06:31Adam Sosnick?

  It's a metaphor.

• 2:06:33Patrick Bet-David?

  I was sick that day in third grade. Supreme Court's gonna watch this. Now they're gonna add this to the lawsuit about the goat. They're gonna look for the bridges and the goats.

• 2:06:40Adam Sosnick?

  That's my friends in Hamas. They're doing the goat thing.

• 2:06:43Patrick Bet-David?

  Go ahead, Tom. Go ahead, Adam.

• 2:06:43Adam Sosnick?

  But to me, I mean, even Rogan said it when we spoke to Rogan. He goes, you know, a lot of what he says is accurate.

• 2:06:51Adam Sosnick?

  But he did mess up on that one thing. And it just goes to show you, you mess up so big one time. You know, the market could usually be very forgiving. You talk about, you know, a comeback. And I mean, what Trump did is probably the most incredible thing. Most incredible comeback. What you said on Jesse Waters was immaculate of what Trump did. The amazing comeback.

• 2:07:10Patrick Bet-David?

  You know, it's crazy. When I said to Jesse Waters, who texts me at 1:15 in the morning?

• 2:07:14Adam Sosnick?

  Who's that?

• 2:07:14Patrick Bet-David?

  From the Air Force One, the president. My man. I'm serious. At 1:15, it's like, hey, I just watched you on Jesse. You know, you know, me and Baron are big fans. Literally, at 1:15, I get, I'm like, this guy's on a flight back from, he's on a flight back from the Middle East.

• 2:07:33Adam Sosnick?

  From saving the Middle East.

• 2:07:35Patrick Bet-David?

  Texting at 1:15 in the morning.

• 2:07:38Adam Sosnick?

  You know what he texts me?

• 2:07:39Speaker 05

  What'd you, do you hear?

• 2:07:40Adam Sosnick?

  He goes, you're gay. I go, stop it, man. Why would you?

• 2:07:43Speaker 05

  Did you hear Caitlin Collins?

• 2:07:44Adam Sosnick?

  Oh, Trump's right again.

• 2:07:45Speaker 05

  About Air Force One?

• 2:07:46Patrick Bet-David?

  No, what'd you say?

• 2:07:47Speaker 05

  She was doing an interview and a clip went viral. She said, yeah, it's really hard to be on Air Force One with Trump because as a journalist, he's supposed to be covering what he's doing. He didn't sleep. So he wants to talk to someone. He'll tell staff, hey, go wake them up. I want to talk to them. It's the whole flight and he sleeps like three hours. So he's just constantly waking people up.

• 2:08:02Patrick Bet-David?

  Incredible. Love it. I freaking love it.

• 2:08:05Adam Sosnick?

  My plane, my rules.

• 2:08:06Patrick Bet-David?

  But let me tell you though, that is why. He is who he is. He goes at a pace and everybody has to go match his pace. And it's not an easy job. If you remember the first term, a lot of people couldn't hang. This time around, Rubio's hanging, Latnix hanging, Vance is trying to hang, Whitkoff's hanging. Kushner came out of retirement and he's hanging, right? You got a bunch of, bunch of different people that are hanging. And that's a beast. Yeah. Pat, last point with Alex Jones. Do you have that clip? Do you have that clip, Rob, about ABC and what happened with the JD Vance and Stephanopoulos? And what Trump said to that? Yes. Maybe let's wrap up with that. Let's wrap up with that.

• 2:08:43Tom Ellsworth?

  Why didn't the lawyers just help Alex get a $50 million deal on Spotify and distribute it?

• 2:08:48Patrick Bet-David?

  Yeah. So here's. That's a good question. Here's Vance talking to Stephanopoulos, okay? And Stephanopoulos is not letting him finish his points. Just watch it, folks. Go ahead, Rob. If this is the one, go ahead. I don't know what tape you're referring to, George. I saw media reports that Tom Homan accepted a bribe. There's no evidence of that. And here's, George, why fewer and fewer people watch your program and why you're losing credibility. Because you're talking for now five minutes with the Vice President of the United States about this story regarding Tom Homan, a story that I've read about, but I don't even know the video that you're talking about. Meanwhile, low-income women can't get food because the Democrats and Chuck Schumer have shut down the government.

• 2:09:32Patrick Bet-David?

  Right now, we're trying to figure out how to pay our troops because Chuck Schumer has shut down the government. You're focused on a bogus story. You're insinuating criminal wrongdoing against a guy who has done nothing wrong instead of focusing on the fact that our country is struggling because our government's shut down. Let's talk about the real issues, George. I think the American people would benefit much more from that than from you going down some weird left-wing rabbit hole where the facts clearly show that Tom Homan didn't engage in any criminal wrongdoing.

• 2:10:01Speaker 00

  It's not a weird left-wing rabbit hole. I didn't insinuate anything. I asked you whether Tom Homan accepted $50,000, as was heard on an audio tape recorded by the FBI in September 2024, and you did not answer the question. Thank you for your time this morning.

• 2:10:15Patrick Bet-David?

  No, George, I said that I don't.

• 2:10:17Speaker 00

  Up next. We'll be right back.

• 2:10:19Patrick Bet-David?

  Wow. Okay. So you cut off the Vice President and you don't let him come back? There is a guy who works at this thing called the White House off of Pennsylvania Avenue that saw that clip. And here's what he did. Go ahead, Rob.

• 2:10:35Speaker 07

  Extremely non-hostile and friendly. Like JD went through a very friendly interview with George Slapadopoulos, who was nice enough to pay me 16 million dollars. The last time we came, he had to pay 16 million dollars to me, which was good. It was worth it. It was worth having somebody lie. If you get 16 million dollars, that's good. But JD had a very nasty person interviewing him, and we can't let that happen. Just as inappropriate to cut off a highly respected Vice President of the United States mid-sentence. It was, I guess it's one way to win an argument. That was the only way he was gonna win the argument. So it was pretty inappropriate. I want to tell you that.

• 2:11:17Patrick Bet-David?

  I love that. I love backing up your guys. I love, you know, doing a message like that. How do you process this yourself, Pom?

• 2:11:25Speaker 05

  Well, the number one thing that's running through the White House is loyalty. You see this across every single one of them. They're all loyal to him. He's loyal to them. And I think that they knew going into this that they learned from the first term that they were going to be attacked every single day, nonstop. And the only way to get through it is you gotta lock arms and take it on headfirst. So I think that's one big lesson. But the other thing is, actually, in a weird way, is good for JD that he got cut off? Because now everyone goes and watches the clip of him basically making his point. Because part of the thing that people forget is like, a lot of folks don't watch these shows. Correct. So the clip is where the attention. So whatever George asked him for 20 minutes or 10 minutes or whatever before, nobody has any clue. All they know is George asked a question and JD Vance smacked him down.

• 2:12:10Speaker 05

  Right? And it's the disrespect to him that ends up making it go viral later. So in a weird way, it's like the controversy actually drives the awareness of the point.

• 2:12:19Patrick Bet-David?

  So in other words, ABC, if you're looking for a chief content creator, Pompliano will be willing to take that offer for 8,000 Bitcoins. If you want to make an offer, he's here. You can send him a message. He's taking offers. Tom, go ahead, Tom.

• 2:12:33Adam Sosnick?

  No, I mean, it's so funny. You've got 400,000 people watching George Stephanopoulos show and then you have 1.6 million people. I'd love to know what is like, you know, we talk about the multiple in value for EBITDA, it gives you a multiple in value for purchase. I'm wondering what the multiple in value for social media is when a traditional network, news network flubs like that. I'd like to figure out, I'm gonna, I'm gonna, I'm gonna ask this guy at Call Shams, say, can we figure this out? So that we, you see where I'm going, Pat? Like, media makes a flub and it guarantees a 5X circulation of what they don't want you to see.

• 2:13:08Speaker 05

  Well, here's the, you know, the biggest thing right now that, it's business media for sure, but I think this happened across the country. The number one thing these guys are all trying to figure out is there's a crisis of talent. Go look at business media in particular. Everyone is getting longer in their career. So if you want that new generation, if you want the new perspective, who do you go and find? They're trying to figure out who to do that. But most of the people who would have been that talent, they're going on the internet and said, I could just do it direct myself. And so I think that, I don't know about politics as much, but definitely the business media.

• 2:13:35Adam Sosnick?

  Remember when David Faber and Aaron Ross Sorkin were the young guys?

• 2:13:38Speaker 05

  Yeah.

• 2:13:39Adam Sosnick?

  Now they're the uncles.

• 2:13:40Patrick Bet-David?

  He's still old, he's still young, though.

• 2:13:41Speaker 05

  Oh, Andrew Ross, yeah, yeah, yeah. He's got a, by the way, he's got a new book that came out yesterday.

• 2:13:45Patrick Bet-David?

  I think he's coming on the podcast next week or following.

• 2:13:48Speaker 05

  1929.

• 2:13:49Adam Sosnick?

  Rob, hold it up high.

• 2:13:53Patrick Bet-David?

  Something like that, yeah. Yeah, 1929. Anyways.

• 2:13:57Adam Sosnick?

  So, the, the problem with Stephanopoulos and I guess the, and the lame stream media is they're still looking for that gotcha moment. They're still trying to expose the other side. Here you have, you have the, you have the sitting VP of the United States, don't you want to have at least a, at least a cordial relationship with someone like this? Because they're expecting it. It's almost like the eight mile thing. It's like, I already know what you're gonna say. You're gonna try to get me and I have this line ready to go. And this is why nobody watches your show. He was ready for that.

• 2:14:27Speaker 05

  JD loves it.

• 2:14:28Adam Sosnick?

  You know that. And, and rather than, than talking about the 10 million illegal aliens, whatever the number is, that have come through the border, when you're guarding Tom Homan, you want to kind of get them in this $50,000 bribe thing that JD Vance has nothing to do with. And then if you look at the, you know, trust and media rankings that we talked about recently and how that's plummeting. But if you look at the big three, ABC, NBC, CBS, if you just scroll down a little bit, NBC has the highest quote unquote trust rankings of the three, then CBS, and then ABC is less than the New York Times. Less than New York Times, one of the most leftist, uh, red newspapers in the country.

• 2:15:07Patrick Bet-David?

  Look at Wapo, one the other way around. CNN, all the way at the bottom. Go a little bit lower, Rob. Let's see what the Atlantic is, which is absolutely. Wow, even though MSNBC is number two, they're one of the lowest of the lowest. LA Times, New York Post, interesting. Politico, The Hill.

• 2:15:24Adam Sosnick?

  This is like, uh, if you go to the top, it'll give you the, the exact phrase of what it is. Trust me, it's changed. So meaning, it hasn't changed much.

• 2:15:32Patrick Bet-David?

  Weather Channel went up. Good for you, Weather Channel.

• 2:15:34Adam Sosnick?

  The Weather.

• 2:15:35Patrick Bet-David?

  Do some Polly market.

• 2:15:36Adam Sosnick?

  Well, you know, the Weather Channel is the most credible source out there.

• 2:15:39Speaker 05

  So, uh, it's fascinating because, uh, News Corp, they've made a big play into the new, uh, into the weather. Because they see that as one of the next big battlegrounds in the, uh, entire, uh, culture wars, the politics, et cetera, is because of climate change.

• 2:15:53Patrick Bet-David?

  Well, that's important, but also if you want people to watch the Weather Channel, the host of the Weather Channel makes the weather better. So you have to almost like, it, it has a little bit to do with talent of the person giving how the weather is doing, right?

• 2:16:11Speaker 05

  I remember that's part of the strategy.

• 2:16:12Patrick Bet-David?

  I, I don't, if you're targeting, you single, uh, you know, males, yeah, but I mean, listen.

• 2:16:17Adam Sosnick?

  In Miami, we know what the weather is.

• 2:16:19Patrick Bet-David?

  We do a Weather Channel, we bring one guy, six pack chiseled, and another girl, and we say, let us tell you how the weather is today. And we go for like six straight hours.

• 2:16:28Adam Sosnick?

  I don't know how it's gonna.

• 2:16:29Patrick Bet-David?

  I could careless what the weather is like.

• 2:16:31Speaker 05

  You seen the, uh, the, the Greeks doing the weather?

• 2:16:33Adam Sosnick?

  Don't they do it naked?

• 2:16:34Speaker 05

  Look up, no, look up the, uh, it's like a famous video.

• 2:16:36Patrick Bet-David?

  This is not one of those corny type of stuff.

• 2:16:38Speaker 05

  No, no, Greek weather day. Yeah, this one, the first one right there. I think it's this first one.

• 2:16:42Patrick Bet-David?

  What do they do?

• 2:16:43Speaker 05

  In the 60 seconds, I'm gonna show you how. Hold on a second.

• 2:16:46Adam Sosnick?

  Now we gotta get those ad free, Rob. We gotta.

• 2:16:49Patrick Bet-David?

  Okay.

• 2:16:50Speaker 05

  So this woman, they, they play music and she's like, goes viral all the time. And she's always doing these like crazy, uh, crazy videos.

• 2:16:58Adam Sosnick?

  Well, have you seen?

• 2:16:58Speaker 05

  So I think this is, I think this is coverage of it.

• 2:17:00Adam Sosnick?

  Have you seen what they do in Miami or in Latin America?

• 2:17:02Patrick Bet-David?

  Yeah.

• 2:17:03Adam Sosnick?

  They don't even speak English. They go, hey, it's looking good outside today. And look at me. That's all they talk about.

• 2:17:09Patrick Bet-David?

  Sounds good. Gang, to wrap it up, before we finish off, by the way, when you said the, the business content creators, we, just like for her take, we're looking for talent and we've had some very, very good conversations. We are aggressively looking for talent to put on.

• 2:17:26Patrick Bet-David?

  Our Wednesday business show repeatedly over and over again to cover business stories. If you know anybody, let us know. And last but not least, Pomp has a new book that is out called How to Live an Extraordinary Life. Pomp, can you tell us a little bit about this book?

• 2:17:44Speaker 05

  I wrote 65 letters to my children and the whole idea is throughout my life, I've been very fortunate to meet lots of great, smart people. You guys are three of them. And I started to write down all the life lessons I picked up from other people, everything from professional life, personal relationships, happiness, how to be healthy, all that kind of stuff. And on this, you know, maybe side quest or this mission to get more fathers to write letters to their kids, because I think that strong dads in kids' lives is very important. A lot of people, I think, look and say, hey, I learned, you know, X, Y, Z from my dad. But usually it's passed down verbally. And so they gotta say it like 50 times before you remember, right? Especially sons, I think that they say, hey, if my dad don't tell me 50 times, I don't remember.

• 2:18:28Speaker 05

  And so this was my kind of contribution of writing down 65 of those life lessons. And I think that hopefully more dads will do the same thing.

• 2:18:36Patrick Bet-David?

  And I love that. I love to inspire other dads to do the same. Folks, if you like the insight he shared with you here today, go support the man. Rob, put the link below for people to go place the order. How to Live an Extraordinary Life by Anthony Pompliano. If it's not for you, give it to your husband, give it to your son, give it to somebody that may want to read it. Having said that, Pomp, great having you on, buddy. Keep kicking ass.

• 2:19:03Speaker 05

  Thank you guys.

• 2:19:03Patrick Bet-David?

  We will see you guys on Thursday. God bless. Bye bye, bye bye.

• 2:19:06Speaker 05

  Go get the shoes.

• 2:19:07Patrick Bet-David?

  Go get the shoes. Yes, go get the shoes.

• 2:19:14Patrick Bet-David?

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• 2:19:43Patrick Bet-David?

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