Peter Thiel Emerges As Ron Paul's Biggest Super PAC Backer; Bill Gross Next?

Tyler Durden's picture

While it has been well-documented by now, that even as the campaign of Mitt Romney continues to be funded exclusively by Wall Street legacy firms, that of Ron Paul is largely in the hands of the US military. Yet when it comes to the recently infamous SuperPAC, things have changed. Because as Politico reports, of the roughly $3.4 million total in cash raised by the pro-Paul group Endorse Liberty since its founding on December 20, none other than PayPal cofounder and Clarium Capital chief Peter Thiel has donated $2.6 million. So as the renegade financier, whose opinion on Ben Bernanke and the gold standard is well-known to Zero Hedge regulars emerges as a primary backer of all that is wrong with the status quo, and the Ben Bernanke way of monetary suicide, we wonder who is next? Actually, scratch that: Bill Gross has already made his opinion well known vis-a-vis Ron Paul's candidacy. Isn't it about time the Newport Beach multibillionaire reached into his back pocket and put his money where his mouth is, especially following his tongue in cheek endorsement of Ron Paul for president?

From Politico:

PayPal co-founder Peter Thiel donated another $1.7 million in January to the super PAC supporting Ron Paul’s presidential bid, according to documents released Monday.

Theil, a billionaire who runs the hedge fund Clarium Capital, has donated a total of $2.6 million to the pro-Paul group Endorse Liberty since it was founded on Dec. 20.

The full document can be found here (10MB pdf, take some time to load).

As for Clarium, which as recently as 2009 was exposing the sham that is the modern monetary and fiscal ponzi, here is a must read letter from the hedge fund from early that year, with a choice extract below:

Frank Baum wrote an illustrated children’s novel called The Wonderful Wizard of Oz in 1900. It captured the popular imagination and was turned into a movie in 1939. Today the book and the movie are remembered for the entertaining story, the iconic characters, and the imaginative fantasy world of Oz. Less appreciated are the historical context and political overtones of the story dealing with the struggle around the gold standard and the battle between inflation and deflation.


The yellow brick road is an obvious reference to the gold standard: a golden path that keeps one safe and delivers one to the prosperity of the Emerald City so long as it is faithfully followed. In the section, “Follow the Yellow Brick Road,” this essay describes how Ben Bernanke has carefully designed the policy response to avoid inflation. One can fancifully think of it as a twenty-first century version of a “fiat money gold standard” that attempts to solve our economic crisis and deliver us to prosperity by staying on a path of monetary responsibility.


At the start of her journey on the yellow brick road, Dorothy describes the dreary poverty of her home in Kansas to the Scarecrow. Upon hearing her description he tells her he can’t understand why she would want to leave Oz and return to “the dry, gray place you call Kansas.” Dorothy replies, “That is because you have no brains. No matter how dreary and gray our homes are, we people of flesh and blood would rather live there than in any other country, be it ever so beautiful. There is no place like home.” Popular culture remembers the final sentence, but forgets the context. Baum was poking fun at Midwesterners who idealized farm life even though the future lay in the migration to the cities. In the section, “There’s No Place like Home,” this essay explains why repairing the financial system will not lead back to Goldilocks. The previous Goldilocks regime was not a happy equilibrium, but instead a highly leveraged and indebted state of affairs. Even a complete restoration of the supply of credit will not forestall a deflationary contraction in its demand. Wherever the path of policy and events will take us, it will not be the “home” of an untenable prosperity where private credit grows faster than our economy.


When Dorothy and her companions arrive at the Emerald City, it appears at first that they have found a utopia of prosperity and good governance. Eventually, however, they learn that the Emerald City is based on lies. The city is not really made of emerald; it only appears green and sparkling because everyone in the city wears goggles that distort their view. Furthermore, the Wizard lies about his abilities in order to maintain power. He means well, but he is a fraud. Nevertheless, so long as everyone goes along with the charade life is generally good for its inhabitants. The Emerald City represents Washington, DC. In the section, “The Emerald City,” this essay describes the political challenges of changing the policy to be more inflationary. Even if the fear of deflation widens the ideological perspective, politics both at home and abroad may limit what can be done. An angry middle class will demand that Congress tighten its purse strings, while America’s largest foreign creditor will strive to protect its dollar assets.


By 1900, Baum was able to satirize the politics and economics of the 1890s lightheartedly. When William Jennings Bryan gave his famous speech, the nation had given up any hope of reaching a state of Goldilocks and was instead locked in a struggle between choosing inflation or deflation. Because Bryan lost his presidential bid in 1896, the US stayed on the gold standard. Yet to everyone’s surprise, after 1897 adherence to the gold standard was no longer deflationary and instead began a period of mild inflation that lasted until World War I. New gold discoveries combined with improvements in mining and refining technology enabled the gold supply to expand steadily, which caused prices in the United States to rise between 2% and 2.5% per year from 1897 until 1914. Baum published his novel at the beginning of a new Goldilocks regime. Unfortunately, the situation in 2009 is the mirror image of 1900. We are at the end of a long Goldilocks regime that has led to substantial imbalances and indebtedness, and we are only beginning to come to grips with the new economic and political realities.


One final parallel with the novel is worth noting. Although the character of the Wizard is probably meant to represent President McKinley, in today’s context it is easy to reinterpret him as Ben Bernanke. In the novel, the Wizard could give Dorothy’s companions what they sought – brains for the Scarecrow, a heart for the Tin Man, and courage for the Cowardly Lion – because they already had those qualities. Much like a central banker in normal times, the Wizard mainly needed to supply confidence. But Dorothy’s case was different. When Dorothy asked the Wizard to send her home, he was unable to help her. Unlike the Wizard, Bernanke is honest and capable. But like the Wizard, what is required may lie beyond his abilities. Who today will provide Bernanke with the magic he needs?

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Lost Wages's picture

Do they ever explain how it becomes green? Because people are not green. I assume it is food coloring, but I haven't seen the movie.

tmosley's picture

The rich people eat soylent pink.  Soylent green is what is left at the back of the fridge after a few months.

Max Fischer's picture



Quite frankly, I'm surprised more 1%'ers haven't come out to support Paul.  After all, his anti-government, anti-social programs, anti-safety net ideology (more commonly known as survival of the fittest) benefits the 1% the most.  I would think every titan of industry, every CEO on this planet would pour money into his Super PAC. 

Max Fischer, Civis Mundi 

BW's picture

You obviously don't understand monetary policy, the .01% want their free printed money they get, not the gold standard.'s picture

The troops are marching on Washington DC for Ron Paul! The revolution will not be televised but it's streaming live at Adam Kokesh's site:


The Heart's picture

Thanks for posting this Crockett.

It was very heartening to see all those men and women there in perfect stance and salute. In prayer and solace for those who have passed on.

What a spectacle that brought tears to eyes that wish to no longer see war, much less in our own backyards. The direction this country is fast taking is a suicide path towards death and destruction. All as well planned. Why can't the mass mind see this? The ZOG media propaganda digital TV weapon of mass deception is the tool of the deceiver that is used daily to lead the lemmings off the cliff of ignorance in bliss.

So who profits from this?

What does it profit a man when his neighbor holds his keys to survival in the face of ever the emerging threats to the national security of America and all her people living in this country?

Roger O. Thornhill's picture

Max, you aren't getting it - no matter your perfect attendance.

The Too Big Too Fails etc. have this benefit that government gives them called the Fed Discount Window. They get billions for a fraction of a percent and then buy T-Bills and other higher interest rate instruments and automatically pocket the profit made by the difference with no real risk (as they will be bailed out by the FedGov if things go bad) - this is big business, crony capitalism, that could never exist without big government and the Federal Reserve.

Ron Paul would end the free money ride of the 1% - hence, they mostly hate his guts. Ron Paul would pretty much end the leverage game that supports the parasite banker class.


fuu's picture

Dishonest troll is dishonest.


Max Fischer - Rex Culus.

faustian bargain's picture

Nice bit of sarcasm. Well Done.

fuu's picture

You think Red Neck Repugnicant/Libertarians for Prosperity/Max Fischer is sarcastic? Odd.

Papasmurf's picture

Because Ron Paul believes in the RULE OF LAW.

longdong silver's picture

Rush Limbo endorsment of Dr Ron Paul.

**** Anouncement imenent.

Cathartes Aura's picture

there goes the neighbourhood. . .

Barbarous Relic's picture

So as the renegade financier, whose opinion on Ben Bernanke and the gold standard is well-known to Zero Hedge regulars emerges as a primary backer of all that is wrong with the status quo, and the Ben Bernanke way of monetary suicide, we wonder who is next?

It is me or does this sentence say the opposite of what it means to say?

Makurian's picture

It also doesn't make sense to me, is Ron Paul all that is wrong with the status quo ?

faustian bargain's picture

Occasionally one or more of the Tylers takes the run-on sentence to the breaking point.

chumbawamba's picture

I don't know, I wouldn't necessarily trust this guy.  He's involved in a lot of high up and heavy government spook shit, was a primary backer of Facebook, and by his stank is attached to the shit that he helped poop out into the market, i.e. PayPal.  And he's tied in with the high-powered investment banking community.

On the one hand, one might make a positive case for him (hooray, Ron Paul).  On the other hand, he's somewhat douchey.  Despite his "liberatarian" posture, everything he's touched has either turned shitty or has become shit and just happens to end up in the hands of Big Brother being used to scam, monitor or control us.  Does anyone else find that kind of odd?  I do.

I'd keep my distance and reserve my judgment for another day.

I am Chumbawamba.

prole's picture

I disagree and I am a fan of Thiel

Just from casual reading I recall that he designed or backed paypal to be a ~international?~ financial system that would be above and superior to governments and not bound by them. Government did bind paypal down with the chains of slavery as they do to everything, but I believe his intentions were pure. (and he made his wealth) He also supports seasteading, the idea of taking to the seas to allow some of the remnant the chance to escape slavery.

For a lover of Libertas like him, to support RP is a natural. He could just make all the same pro-State pro-government proclamations like the Buffett and Soros trolls and Max Fischer, but he doesn't.

Cathartes Aura's picture

Thiel is listed as having attended the Bilderberg 2009 meetings. . . that & Facebook are a red flag for me. . .mileage may vary for others here. . .

StychoKiller's picture

Someone has to spy on the Bilderbergers...

dizzyfingers's picture



Chum: warning (perspicacious) duly noted. Wait and watch.

dizzyfingers's picture

Barbarous Relic


Yes, it absolutely does. I had to read it twice, but I'm pretty sure whoever typed that didn't proofread.

Lost Wages's picture

Do you know why they call him Bill Gross?

Because he is gross.

I'm riding the Bill Gross horse, temporarily. He seems to have clued into the evils of the world & I'm hoping he's smart enough to want to profit from his new wisdom. I don't think he liked being mocked at the end of last year for PTTRX underperforming his competitors & he's out for blood.

So I put some of my wife's 401K into the total return fund, because what difference does it make? It's all paper crap, so work that derivatives magic, beeotch. I noticed in 2009 it didn't crash as much as the other funds and if a crash is upon us, Bill Gross might keep you afloat for an extra day or two before your 401K is wiped out by your employer.

kito's picture

wow, and i thought alice in wonderland was an acid trip.............

StychoKiller's picture

Just 'cause you're not psychotic doesn't mean you're sane...

Hmm...'s picture

Do people still think that RP can win the nomination?  Again, I'm not asking if he deserves to win, but whether or not he CAN win.

there has been nothing to date that would argue that he can win.  all the odds have always been stacked against him. 

perhaps something big happened the last 10 days when I was out of the country and not checking American Politics, but the last I checked RP hasn't won a single state, and thus has no delegates.  You must win delegates to win the nomination.  even the batshit crazy Santorum has won 4 states.  Even Gingrich won a state. 

As I've said before, it's still good to have him run, as it brings good ideas to the Republican Party... he broadens the conversation.  But he just can't win.

perhaps he is going for a VP spot?

Lost Wages's picture

Ron Paul has been installing delegates behind the scenes, so to speak. After the part of the caucus where the vote is taken, most people leave. But then the next part of the caucus takes place where delegates are chosen. Ron Paul supporters get themselves nominated as delegates. Delegates attend county convention, state convention, national convention, etc. They do not have to vote for who the caucus voted for. They can vote for whoever they want. As Ron Paul supporters are not likely to be bribed by Romney chocolate, Ron Paul now believes he has most of the delegates in the caucus states. The poll may say Romney won, but all the delegates are Ron Paul supporters and they will vote for Ron Paul at the convention.

schoolsout's picture

That was his strategy last election cycle, too.  I hope he can do something, but I remember the same things being said 4 years ago.

NoClueSneaker's picture

Ron Paul supporters know what political WORK means. They dig hard and make delegates safe, after all extreme expensive trumpeters left the stage.

  Cheating & corporate money don't  count a lot in this run.

( OK, just Barry's WS-Tsunami - but if he gets reelected, then the AR-15s have a word ).

rodocostarica's picture

Lost Wages explains it correctly. RP will have many more delegates than the others in most caucus states becuase the folks stuck around and became delegates to the next level conventions after the straw polls which is what they report. 

That is not to say he will win the nomination. The MSM always shows the true picture right?

Just like your link to the NYT delegate count. Rick Santorum with 37 delegates out of Minnesota when those delegates have not been elected yet and RP has more caucus elected delegates than him. Total fucking bullshit.

And like RP will not get any National delegates in Iowa? Total bullshit too.

Same old fucking story. NEO con GOPers control everything and the MSM reports bullshit.



Cheduba's picture

If I remember correctly, no delegates have been chosen yet (especially the ones at the state level that really count). So, any delegate counts are pure propoganda at this point. 

fuu's picture

The article is, like most media at this point, assigning delegates based on percentage of votes won. The article is in fact wrong.

Seize Mars's picture

Of course he can win. Moron.

Libertarian777's picture

you need to watch Rachel Maddow on Ron Paul's strategy. There's a very real possibility he could get the nomination.


Why? In spite of all the BS the MSM is producing, it fails to show the reality.

the reality is most delegates have NOT been awarded. The MSM takes the poll numbers in each state and divides the delegates according to that vote. Fortunately that's not how a caucus works... delegates have to stay after the vote to be nominated as delegates. How many Romney or Santorum supporters do you think are willing to wait for 2-3 hours after the polls close to get nominated as a delegate?

How many Ron Paul supporters do you think would wait 3 hours to become delegates at the convention?

Gohn Galt's picture

Here's one, nobody wants to be a delegate and I will make sure RP supporters count in my district.

Whiner's picture

Hope he wins by a landslide, but I fear the sheeple will vote for Ogimmie when Paul says no more freebies. I can only hope TSHF, he gets the nomination and wins with a turnover of the Senate Club.

ChacoFunFact's picture

Yes and no.  i have learned the hard way to never put a person up on a pedestal.  Temperance.

grid-b-gone's picture

Ron Paul can win, but it will be a battle. Luckily, Romney, Gingrich, and Santorum all have great self-destruct instincts.

The Santorum surge recently gives RP a chance to go into the large March primaries as a top-three candidate. I think Gingrich probably can't regain his steam, but will do well in some SE states.

Romney is polling surprisingly weak in Michigan and Ohio. Ohio is interesting because of the Kirtland Bank incident of the late-1830's. Mormon founder Joseph Smith intended to settle in the Kirtlnad area and had created a temple there. He was "instructed by God" to create a bank in 1837. Story short, many local investors, farmers, and church members lost a bunch or were financially ruined. Some elders left the church, and Joseph Smith only escaped prison due to some key ties to Ohio Legistators. So, even though ancient history, the scandal has every element we see today.

Santorum will flame out as his draconian views on personal morals gets more attention. His voting record also does not match his recent conservative talk. 

Unless Romney can regroup and dominate like he was a few weeks ago, it very well could be a Romney & Paul battle by mid-March.

Paul has the military backing, but the DC-based DOE $100K+ crowd will present a powerful lobby against him. When you promise to cut all but critical functions in five federal departments, you will get some strong pushback.

The second Paul negative - Even though 9/11 showed that evil can be done on a shoestring budget, most Americans believe in "buying" security. Ron Paul's effort to cut U.S. military, especially in Japan and Germany, is seen as weakening our defense. Even though he explains his position well, most soundbite-affected Americans only hear "cut defense" and feel less safe.

Paul's biggest plus, any deterioration in economic news puts focus on his proposed solutions. Obama and Romney both need the economy to remain propped up for three more months or Ron Paul will continue to be an effective delagate accumulator.

Paul polls at 7-10% behind Obama in a head-to-head, but if Republicans should make him their candidate and the media starts showing his face and stating his name, that gap would disappear in the first week. If he had been named Ron Voldemort, he'd be getting better press.

The Heart's picture

Sanitarium is unelectable. So is Gingrich and Mittneybama.

All the real deal comes down to is two options that all people must make a decision to side with NOW, not later.

More war, or no more war? It is an easy choice to make. Choose well. Every heart on earth has a vote to cast.

Now the question might be, after some sort of govt sponsored false flag event, will there be a world war, or a martial law economic crash and depression first?

Any ideas?


dizzyfingers's picture


Can't win. If he did, he wouldn't be able to "do" anything. If he did, he'd be killed.

Lost Wages's picture

"Who today will provide Bernanke with the magic he needs?"

Alien invasion bitchez.