Warren Buffett’s negative stance on cryptocurrencies is well known which is yet again proved by him bashing bitcoin. While calling bitcoin “probably rat poison squared”, Buffett admits being wrong about Amazon and Google.
Warren Buffett severely bashes Bitcoin
Warren Buffett, the revered billionaire investor, and a crypto bear yet again blasted bitcoin at the annual shareholder meeting of Berkshire Hathaway.
“Cryptocurrencies will come to bad ending” the Oracle of Omaha reiterated to his negative stance towards cryptos claiming Bitcoin is “probably rat poison squared.”
Buffett, 87 stated that unlike land or corporate shares, Bitcoin is not a productive asset. He further stated that the only price-determining factor for it is the investors’ demand that only attracts charlatans.
It’s not the first time Buffett has talked down bitcoin, previously he said buying crypto isn’t investing rather simply speculative gambling. He commented:
“If you buy something like bitcoin or some cryptocurrency, you don’t really have anything that has produced anything. You’re just hoping the next guy pays more.”
Charlie Munger, 94, the VC at Berkshire Hathaway shares the same sentiments as Buffet, who joined the bitcoin bashing with:
“I like cryptocurrency even less than Warren does … to me it’s just dementia.” Munger further commented on bitcoin trading desk, which according to him is “like somebody else is trading turds and you’re being left out.”
While regretting not investing in Google & Amazon
In the same meeting, Buffett admitted that “I made the wrong decisions” by passing on the investments in Google and Amazon. According to him, this was the result of being stuck with his longtime investing principles.
Talking about Jeff Bezos and Amazon, he stated:
“I’ve watched Amazon from the start. I think what Jeff Bezos has done is something close to a miracle . . . the problem is when I think something will be a miracle, I tend not to bet on it.”
Following to his investing philosophy, Buffet has always cautioned the investors to bet on businesses they understand while admitting “it would have been far better obviously if I had some insights into certain businesses” regarding Google and Amazon.
And yet making the same mistake with bitcoin (BTC)
Wall Street hotshots like Warren Buffett have been discrediting Bitcoin for a long time, however, digital currencies are still here and going strong.
In December last year, cryptocurrency market crossed $800 billion market size and despite severe ups and downs is making its way to new heights again.
While these veterans remain sceptic of the crypto sector, many young generation billionaires like Jack Dorsey and Peter Thiel are crypto enthusiastic and believes it’s here to stay. Recently, the banking giant, Goldman Sachs made its foray into the crypto industry and a number of Wall Street C-suite executives have already started making their way into the crypto space.
Well, after lamenting his choice to not to invest in Google and Amazon, Mr. Buffett might share the same feeling for Bitcoin is not so far off future.
What do you think of Warren Buffett’s continuous negative stance and remark on Bitcoin and crypto industry?
I am an associate content producer for the news section of Coingape. I have previously worked as a freelancer for numerous sites and have covered a dynamic range of topics from sports, finance to economics and politics.