“Black Swan” Author Explains Why Crypto Keeps Attracting Inexperienced Investors

Prominent mathematician, former risk manager, modern philosopher, author of bestselling non-fiction books, including “Black Swan”, Nassim Nickolas Taleb has taken to Twitter to share another of his messages with the audience.

This time he touched on the topic of inexperienced investors entering crypto with high expectations and why it continues despite manifold “opportunities” to lose money on scams, volatility, etc.

Taleb tweeted that “the inexperienced tend to be Utopian” with cryptocurrencies and “other techbeciles”. According to the scholar, it is a question of perception. As one lives through events one does not register negative factors but only see thing positively and subjectively.

However, when one looks back, one sees everything from the perspective of “survivorship bias”.

Why do the inexperienced tend to be utopian as we witness w/the crypto & other techbeciles?
When you consider the past, you get stuff marred w/the survivorship bias. When you live events you register all the mess & the crap that doesn’t make it.
(Lond discussion in #TheBlackSwan)

— Nassim Nicholas Taleb (@nntaleb) December 10, 2022

A few years ago, Taleb praised crypto and Bitcoin in particular as opposed to banks. However, he then turned into a vocal crypto hater and now he often publishes tweets, slamming Bitcoin and the whole crypto space. Recently, he called Bitcoin a “tumor” that metastasized because of “Disneyland economy” in the US.