Nonagenarian Wall Street master investors Warren Buffett and Charlie Munger tore into Bitcoin and cryptocurrencies during the latest Berkshire Hathaway’s annual shareholder meeting on April 30.
Buffett: Bitcoin will go down to Zero
According to reports, Warren, a billionaire investor whose stand against Bitcoin is well tabulated, said he wouldn’t purchase all the Bitcoin in the world even if someone offered him for $25. Bitcoin, in his assessment, is worth nothing because it has no utility.
He added that crypto’s valuation is like a Ponzi scheme. Its value can only rise higher because someone else is willing to pay more. His position remains unchanged from his earlier stance when he termed Bitcoin as “Rat poison squared” and a worthless delusion that doesn’t produce anything.
Meanwhile, Charlie Munger harshly dismissed the concept of Bitcoin and cryptocurrencies, saying it is “stupid” because, over time, the coin would be worth nothing, “evil” since the idea of private money not minted by a central authority, that is, the U.S. Federal Reserve, comprises the stability and integrity of the financial system and makes the U.S. and other investors of his caliber “look bad” because the Communist Party of China banned it ahead of them.
Warren and Charlie are not Adapting
While there were supporters of Warren and Charlie’s assertions, most were willing to cut slack on the two successful investors. For decades, they have been in the industry, “tired” of the system and unwilling to adapt to new strategies as securitization changes.
Warren also said Wall Street was a gambling house during the same meeting. With the fast-paced nature of technological revolution and rising demand from end-users, desirous of speed, efficiency, and low cost, crypto solutions are critical.
Bitcoin Stands Tall
Unlike traditional systems, Bitcoin is global and maintained the community. It is a network operational for perpetuity, allowing users to transfer value seamlessly without involving a middle man. Over the past few years, Bitcoin has also found adoption in government and institutional cycles.
In 2021, El Salvador because the first country to make BTC legal tender. Panama and the Central African Republic are also two other jurisdictions to allow citizens and businesses to settle using BTC and cryptocurrencies.
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