Warren Buffet Says Buying Bitcoin is Not Investing
Bitcoin is not an investment
Berkshire Hathaway CEO Billionaire Warren Buffet has again talked against cryptocurrencies saying that buying Bitcoin is not investing during an interview with Yahoo Finance in Omaha yesterday. According to Buffet:
“There are two types of items which people buy and think that they are investing. If you buy an asset like a firm, interest in a business or an apartment. If you buy such items, then you have a satisfactory investment. This is because if you look at such investment, it will deliver returns to you. But if you buy something like Bitcoin or any other digital currency you don’t have anything that has produced anything because you are just hoping that the next person pays more.”
The Billionaire went on to say that investments like Bitcoin are simply speculative and a gamble and that there is no one who knows what exactly Bitcoin is.Oracle of Omaha has several times poured contempt on crypto industry claiming that it will come crashing down at the end claiming that digital currencies are “Something that I do not know anything about.”
Warren Buffet has been repeating that Bitcoin had a lack of intrinsic value since 2014 when he started dismissing Bitcoin saying it was a mirage. He has also in the past claimed that Bitcoin was a bubble which would burst. All comments from Buffet about Bitcoin have always been negative. At one time he actually stated that Bitcoin could not be valued because it is not a value producing asset.
The Oracle’s negativity about cryptocurrency was shared by ousted PayPal CEO Bill Harris who had claimed that Bitcoin was a scam. More to that Buffet’s Vice Chairman Charlie Munger who is 94 years old thinks that Bitcoin is simply disgusting and people who invest in Bitcoin are simply crazy. Most of the aged investors and billionaires seem to have negativity against cryptocurrency which has hugely been adopted by the younger generation.