Billionaire Warren Buffett is one of the most well-known and respected men when it comes to investment tips and financial advice. However, the Berkshire Hathaway owner hasn’t been too kind when it comes to the topic of Bitcoins and cryptocurrencies. A regular critic of cryptocurrencies, Buffett recently commented on the topic yet again during CNBC’s Squawk Box.
In his latest comments, Buffett said that Bitcoin is a delusion, albeit an ingenious one. He admitted that he does not understand much about the technology but has been briefed about it by people who are, by his own admission, ‘a lot smarter’ than he is. One of the world’s richest men, Warren Buffett made a fortune by making the right investments. Buffett, however, isn’t a fan of Bitcoin. Here’s what he said:
Bitcoin, it’s ingenious. And blockchain is important. But bitcoin has no unique value at all. It doesn’t produce anything. You can stare at it all day, and no little bitcoins come out or anything like that. It’s a delusion, basically.
In a number of occasions in the past, too, Buffett has been critical of cryptos. In 2018, Buffett had called Bitcoin a ‘Rat Poisoned Square’ and had compared it to speculative gambling! Elon Musk went ahead to troll Warren Buffett on Twitter over this.
Considering that the 88-year old’s views on Bitcoins had improved from being a ‘rat poisoned square’ to a ‘delusion’, he did admit that this was some sort of an upgrade. However, more insults were in store for the apex cryptocurrency.
Buffett then added that Bitcoin is ‘phony’ and ‘attracts charlatans’. He added that there’s no money in Bitcoin. The money is in Wall Street, said Buffett. He further expressed his views on cryptocurrencies by saying that Bitcoin doesn’t have any value but it is ingenious how having a limited supply and a hard means of creation could give the asset such a high value. Buffett said:
It was a very ingenious thing, to figure out how to have limited supply and make it harder and more expensive to create, all that sort of thing … This was explained to me by people a lot smarter than I am, but they say blockchain does not depend on bitcoin.
Given that Warren Buffett has gone from calling it a rat poisoned square to just a delusion, it will be interesting to see what the ‘Oracle of Omaha’ thinks about this technology in the months to follow. Stay tuned with us at Cryptoground for all the latest news stories and updates from the world of cryptocurrencies and the blockchain technology!