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Warren Buffett and Charlie Munger top the list of critics of cryptocurrencies, especially bitcoin.
Whenever the biggest investors like Warren Buffett and Charlie Munger ask about bitcoin or the cryptocurrency concept, their statements and opinions blow within the space among the crypto enthusiasts. Recently, in Berkshire Hathaway shareholders’ annual meeting, both Buffett and Munger expressed their thoughts regarding digital assets, their future, and their take on it.
The chairman and CEO of Berkshire Hathaway, Warren Buffett, said that making predictions regarding the path that bitcoin could take over the five or ten years is something he doesn’t know. Still, he knows pretty sure that he is pretty sure it isn’t going to produce anything.
Buffett said that he would give $25 billion to someone having an offer to give 1% of farmland available in the US or 1% of total apartments available in the country. But someone with all the bitcoin in the world would come to him, then Buffer preferred not to buy it for even $25. He said that if he needed to get money out of it, he would need to sell it back to anyone else, so it would not produce or do anything.
On the other hand, Munger also criticized the digital assets by saying that in his life, he tries and avoids things that we’re stupid and evil and make him look bad while comparing to somebody else, and according to him, bitcoin is all these three.
Vice-Chairman of Berkshire Hathaway said that bitcoin was stupid as it has chances to go zero; it is evil because it compromises the US Federal Reserves’ role and the financial system and makes the country look foolish while relating to China who banned bitcoin effectively.
Analysts and crypto enthusiasts expressed their opinions regarding the criticism of bitcoin made by investor pairs, which attracted their interest in the past. For instance, prominent venture capitalist Peter Theil recently called Warren Buffet an ‘enemy’ of cryptocurrency and considers him a part of financial gerontocracy, a rule led by old people, which is working to degrade the adoption of bitcoin.
Co-founder and CEO of Injective Labs, Eric Chen, said that the views of Buffett and Munger are quite understandable from their perspective. He said this in the terms that they both are not the most tech-forward investors in the sector and have followed the traditional approach-based growth strategies for investing. It is their perspective where they see the value of every asset based on the US dollar.
Regarding the investor duo’s tech investment example, President and Co-founder of ProChain Capital, David Tawil, compared the views of Buffet on bitcoin and his unwilling embrace of tech stocks. He said that it took Buffett more than a decade before deciding to go ahead and invest in Apple, which his company finally did in 2016.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.
