Bernie Madoff

'The smart people must know' is how every bubble forms

Sam catches himself rationalizing a sky-high valuation by assuming the investors are smart — then compares it to how financial crises happen, invoking Bernie Madoff as the cautionary case of trusting apparent smarts.

“I'm like, well, the people who invested are really smart, so they must know what they're doing. And then I'm like, well, this is not like every like financial crisis ever happens. Like, you're like, well, Bernie Madoff, this guy's like, he's smart, right?”