Mark Moss argues Elon Musk lost $12 billion, potentially $40 billion, by selling Tesla shares to cover collateral for loans he took to buy X. As Tesla's price fell, Musk had to post more collateral, forcing sales that Moss calls a costly mistake. Moss advocates borrowing against assets instead of selling them.
Elon Musk lost over $12 billion in just the last couple years because he failed to do this one thing. What am I talking about? He went to borrow against his Tesla stock to buy X. But the problem is that Tesla stock was going down at the time he was trying to do it, and he had to post more collateral. So he decided to sell the Tesla stock instead. How much will Tesla stock eventually be worth one day? It's cost him $12 billion in just a couple years, but eventually it cost him $42 billion. $64 billion. Eventually it's going to be a trillion dollars that this one move would've cost him. Let this be a lesson to you. Elon Musk is the example that you can follow. This is why we don't want to sell our assets. We want to rent the liquidity against them instead.
