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There is one specific time where a poker pro did this. It was Gus Hansen, who is known for an ultra-aggressive style to begin with, and it was under specific circumstances where he had to win the table or be eliminated. If you break down the factors involved, it wasn't as crazy as it looked. But was still damn crazy.
Once. That happened once where a number of things lined up perfectly. I would be very surprised if you found another instance of a pro player doing this ever.
Playing heads up, or when almost out of chips, this can be a either a winning strategy, or necessary. If Musk was doing this against a table of players he was just a fish the other players would have done whatever the could to keep him in the game for as long as possible.
Depending on the actual game played, and how/when he was going all in he might have been increasing the variance in the game, which might have priced inadequately bankrolled players out (but this is unlikely to happen with the likely professional/competent players in a game the size of which Musk might play) but ultimately he was printing money for everybody else.
Thiel just wants his fellow nepo-baby to appear smart. The competent players would have been happy to indulge the fantasy to keep the fish at the table.