Published: April 12, 2025
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This is J.P. Morgan. - Owned and sank the Titanic - Sold defective rifles to soldiers - Bailed out the U.S. government (twice) - Betrayed Nikola Tesla and drove him into poverty Here’s the dark story of the man who built the world’s first billion-dollar empire:🧵

Image in tweet by Ricardo

Born into banking royalty, Morgan inherited connections, not cash. His father's advice was simple: "Remember, my son, that anyone who is a bear on the future of this country will go broke." Morgan took this to heart - by any means necessary. But his start wasn't glamorous:

At 20, Morgan began as a clerk at Duncan, Sherman & Co. His big advantage? His father ran London's most powerful bank. While competitors chased deals, Morgan accessed European capital NO American could touch. Information asymmetry was his first weapon.

In 1857, America faced financial panic. While banks collapsed, 24-year-old Morgan did something unprecedented: He called in loans from struggling businesses, then used that cash to buy their competitors at pennies on the dollar. "Distressed assets" investing was born.

The Civil War Rifle Scandal: In 1861, Morgan bought 5,000 defective rifles for $3.50 each from a military arsenal. Then sold them back to the Union Army for $22 each. But when soldiers fired them, the rifles exploded, maiming HUNDREDS. The judge called it "immoral" but legal.

The Railroad Takeover: Morgan ruthlessly conquered the railroad industry. His method? - Create artificial price wars - Buy controlling shares as stocks collapsed - Force competing lines to merge - Install his men as directors By 1900, he controlled 60k miles of American rail.

The 1907 Financial Crisis: When Wall Street collapsed, there was no Federal Reserve. Morgan LOCKED 40 bankers in his library until 4:30 AM. "You will not leave until you pledge $25M to save the banks." The next day, he single-handedly stopped the panic.

The Tesla Betrayal: When Nikola Tesla needed funding for wireless electricity, Morgan invested $150,000. Then he discovered Tesla's system would make electricity FREE. Morgan immediately cut funding and spread rumors Tesla was insane. Tesla died penniless in a hotel room…

The Titanic Connection: Morgan owned International Mercantile Marine - the parent company of White Star Line. He was booked on Titanic's maiden voyage but canceled last minute, claiming "illness." Some speculate he knew about design flaws but pushed for launch anyway...

Image in tweet by Ricardo

But the crazy part? Most of Morgan's enemies were on board the Titanic - and died. It's still not 100% confirmed. But looking at Morgan's ruthlessness, it wouldn't surprise me. What do you think about this theory?

Morgan's key weapon in his conquest was his intelligence. He built: - The first private news wire in his office - A network of 100+ informants in government - A "black book" with secrets of every competitor He wasn't guessing - he ALWAYS knew first...

While Rockefeller and Carnegie built products (oil, steel), Morgan built something more powerful: The modern financial system itself. Morgan understood control of capital trumps control of production every time.

Image in tweet by Ricardo

When Morgan died in 1913, his estate was worth $68.3 million. Sounds modest right? But his REAL wealth was in CONTROL, not ownership: - $22 billion in corporate assets - 341 directorships in 112 companies - Power over 70% of U.S. steel production An unmatched legacy.

The Final Irony: One year after Morgan's death, the Federal Reserve was established. The reason? To ensure no private banker could ever again wield Morgan's level of power. Yet today, JPMorgan Chase remains the largest bank in America. His shadow still looms.

Morgan's playbook still runs Wall Street: - Money flows toward inside information - Crises create buying opportunities - Controlling the system beats playing by rules - Banks consolidate until "too big to fail" History doesn't repeat - but it rhymes.

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A bit about me: I'm Riccardo. Business owner who loves to talk about exciting and inspirational stories. My goal? Work with great founders and inspire others to become one. Follow @Ric_RTP to never miss out on future content on business & success. Great things ahead.

Image in tweet by Ricardo

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