Warren Buffett, CEO of Berkshire Hathaway, recently said wouldn’t buy all of Bitcoin in the world even if offered at $25.
News flash Buffett: No one is going to sell you all the Bitcoin in the world for $25. The current price of BTC is $38,678.40 per coin so good luck getting someone to sell you all the Bitcoin in the world for $25. For someone this wealthy, Buffett sure says a lot of stupid things.
Speaking of stupid, his long-time partner and right-hand man, Charlie Munger, believes Bitcoin is “stupid and evil”, and that it makes him “look bad. Based on Munger’s idiotic comments in the past about Bitcoin he doesn’t need any help looking bad as he does a great job embarrassing himself on his own.
Warren Buffett explains why he hates Bitcoin
During Berkshire Hathaway’s annual shareholders meeting on Saturday, Warren Buffett and Charlie Munger discussed Bitcoin. Buffett is the CEO and Chairman of the Board of Berkshire Hathaway. Munger is the company’s vice chairman of the board and is often referred to as his right-hand man.
The “Oracle of Omaha”, famous for saying Bitcoin is “probably rat poison squared,” explained why he would not purchase BTC in detail. He stated:
I’m not sure if it will rise or fall in the next year, five, or ten years. But one thing I’m certain of is that it doesn’t produce anything… It has magic, and people have attached magic to a variety of things.
Buffett provided several examples. He would pay $25 billion for a 1% stake in all farmland in the United States. He would also pay $25 billion for a 1% stake in all of the country’s apartment buildings. “I’d write you a check this afternoon,” he said confidently.
However, when it comes to purchasing Bitcoin, he goes into detail:
“Now, if you told me you owned all of the Bitcoin in the world and offered me $25 for it, I wouldn’t take it because I wouldn’t know what to do with it. In any case, I’d have to sell it back to you. It’s not going to change anything. Unlike Bitcoin, “the apartments will produce rent and the farms will produce food,” he emphasized. What a genius.
It is statements like this that are so astoundingly stupid that one wonders how Buffet made any money in the stock market. And to be honest, what he does isn’t rocket science-he just buys stock in established companies and holds on to it.
If you live to be 138 like Buffett and Munger then you’re bound to make money-which is what they’ve done and now they want to make sure that fiat currency remains the global standard and for some reason fears Bitcoin.
Nobody is making Buffett and Munger buy Bitcoin and nobody I know cares what they think about it. Buffett missed the boat on Amazon because he apparently didn’t understand the company. Same with Bitcoin.
The Bloviating Bitcoin Hater
The Berkshire CEO then went on to bloviate about the US dollar. “Assets must deliver something to someone in order to be valuable.” And there is only one accepted currency. You can come up with anything — we can put up Berkshire coins… But, at the end of the day, this is money,” he added, holding up a $20 bill. “And there is no reason in the world why the United States government… will allow Berkshire money to replace theirs.”
Buffett, on the other hand, invests in the Bitcoin-friendly digital bank Nubank, which provides BTC investments. The hypocrisy is stunning.
Charlie Munger: Stupid, evil and foolish
Munger also reiterated his scathing view of Bitcoin in alignment with his boss, Buffett. The vice chairman of Berkshire Hathaway stated:
In my life, I try to avoid things that are stupid, evil, or make me look bad in comparison to someone else — and Bitcoin fulfills all three criteria.
“First and foremost, it’s stupid because it’s still very likely to go to zero,” Munger continued. “It’s evil because it jeopardizes the Federal Reserve system… Third, it makes us look foolish in comparison to China’s Communist leader. He was astute enough to forbid the use of Bitcoin in China.”
In response to a question about what single investment should be made to protect against high inflation, the Berkshire vice chairman mentioned bitcoin. He stated:
If you have your own retirement account and your friendly adviser suggests you invest it all in Bitcoin, simply say ‘no.’
Again, Buffett shows his ignorance.
Data highlighted that BTC (Bitcoin) significantly outperformed Meta by 46.74%, followed by Tesla at 18.37%. Furthermore, BTC also outperformed Amazon by 3.78%, followed by Alphabet at 1.84%
Munger has been a vocal critic of Bitcoin. In February, he said the government should outlaw cryptocurrency, referring to it as a “venereal disease.” He has previously praised China (a country that imprisons and kills its citizens for practicing religion) for banning cryptocurrency, stating that he wishes cryptocurrency had never been invented. He called Bitcoin “disgusting and contrary to the interests of civilization” in May of last year.
Hey, Munger! Maybe the problem isn’t Bitcoin but rather a totalitarian regime that prevents free speech and imprisons and kills its own citizens for “crimes” of conscience. What an idiot.
Final thoughts
As we are perched on the cusp of the Metaverse, listening to someone like Warren Buffett rant about bitcoin is lunacy. Buffett didn’t believe in the world’s most valuable company (Amazon) enough to invest in it, and now he’s warning you to stay away from the world’s most valuable cryptocurrency. Buffett and Munger have no clue. Invest in bitcoin.
The opinions expressed in this article are those of the author and do not reflect Blockzeit. The author holds Bitcoin as well as other cryptocurrencies.