Hi friend 👋🏼

From the world’s most expensive wristwatch to another chaotic weekend in crypto, this week has been full of surprises. We’re also diving into the real reason Warren Buffett became rich—and why his original playbook might still be the best investment strategy today.

The Weekly Fun Fact 🤔
The ultra-rare Patek Philippe Ref. 1518 in stainless steel is expected to become the most expensive wristwatch ever sold at auction. With only four ever produced, this 1943 masterpiece could fetch over $20 million in Monaco. Some say it’s as legendary as Paul Newman’s Rolex Daytona, but we’ll see if it shatters records when it sells.

🔴 Black Sunday for Crypto
Crypto markets had another meltdown this past weekend, proving just how volatile the space still is. A flash crash in Ethereum wiped out 27% of its value in minutes before rebounding—leaving investors questioning the lack of guardrails in digital markets. Unlike traditional finance, crypto lacks circuit breakers, allowing massive swings like this to happen in the dead of night.

While some traders called it a reminder that crypto is still the "most insane casino ever created," others are pushing for more regulation. Either way, it’s clear the industry isn’t quite ready for prime time.

🟡 The Art of Trade Wars
Trump and Xi are back in the ring, but this time, their trade war looks more like a strategic chess match than a full-scale battle. Trump’s proposed 10% tariffs on Chinese goods (down from his campaign’s aggressive 60%) and China’s measured response suggest both sides are testing each other’s limits before making any drastic moves.

Markets are betting that a deal will come soon, with the yuan rebounding after an initial dip. But with China’s manufacturing dominance growing and the U.S. still dependent on imports, this economic sparring match is far from over.

🟢 The Real Way Warren Buffett Got Rich
Forget all those Buffett quotes about buying "wonderful businesses at fair prices." That’s how he invests now, not how he built his fortune.

In the 1950s and 60s, Buffett made his money by hunting for deeply undervalued stocks, buying entire businesses at dirt-cheap prices, and making strategic control plays. He wasn’t looking for household names—he was buying forgotten companies and turning them around.

One example? Dempster Mill. He bought a controlling stake in the struggling farm equipment company when its stock was $18 but had a book value of $72. That’s like buying a dollar for a quarter.

For everyday investors, Buffett’s early playbook might be the better strategy:

1. Buy dirt-cheap stocks with real value.
2. Look for special situations (mergers, spinoffs, distressed companies).
3. Invest with the mindset of a private owner, not a speculator.

Buffett himself has said that if he were managing smaller sums today, he’d go back to this strategy. Maybe it’s time more investors followed suit.📚 Interesting Reads

• Babe Ruth’s Rookie Card & Other Baseball Memorabilia Head to Auction
• The 10 Cars With the Highest Rising Values Since 2020 (Spoiler: Ferrari still dominates)
• A $1M Richard Mille Prototype Watch Leads Sotheby’s First Saudi Arabian Sale
• This 1954 Mercedes Race Car Is Now the Second Most Expensive Vehicle Ever Sold at Auction ($53M!)

🎬 That’s a wrap on this week’s recap! Whether it’s the most expensive watch, the latest crypto crash, or Buffett’s real investment strategy, there’s plenty to think about.