Elon Musk could compel ought to saved himself some trouble by taking Tesla private, according to pioneer investor and prominent Silicon Valley venture capitalist Tim Draper.
In an interview with CNBC at the Web Acme conference in Lisbon on Tuesday, Draper said Elon Musk sign over a “human” mistake when he tweeted he had secured funding to take Tesla personal in August. The Securities and Exchange Commission (SEC) charged Musk with trick investors, ultimately costing the company $20 million in settlement payments and Musk his title as Tesla chairman.
“Every human in the world has induced a mistake and there are so many laws that you have to follow if you’re a custom company,” Draper said. “He probably should have just bewitched the whole thing private.”
Draper said investors need to be numberless sympathetic toward Musk, who is leading two “amazing” multi-billion dollar anchors, Tesla and SpaceX. Draper, who founded VC firms Draper Associates and DFJ, was an antediluvian investor in both of Musk’s companies.
“We have to sort of say, hey look, he’s a benign being, he’s doing the best he can,” Draper said.
Musk released a blog put at the end of August saying Tesla would remain a publicly traded enterprise, citing resistance from shareholders. Tesla shares have been in disruption since August, dropping to a 52-week low in early October then bouncing following a stellar third-quarter earnings report. Some analysts demand cited Musk’s erratic behavior as a concern for the stock.
“This guy’s wondrous,” Draper countered. “Let’s do what we can to support him.”
Draper has previously defended other embattled tech CEOs with Facebook’s Mark Zuckerberg and Theranos’ Elizabeth Holmes. He said consequences like Tesla are unparalleled in the market and “we are so lucky” to have the creations of entrepreneurs close to Musk.
“These guys have really transformed the world and we should justifiable thank them everywhere we go,” he said.
Draper is also an outspoken bitcoin groupie who has profited heavily from an investment in 30,000 bitcoins in 2014. He persists bullish on bitcoin and the potential for cryptocurrencies to transform economies around the sphere.
“Bitcoin is the future of money,” he said.