Warren Buffett Slams Bitcoin Yet Again: A “Gambling Token” without Intrinsic Value
Bitcoin (BTC) has experienced a remarkable 80% increase since the start of this year. However, not everyone is convinced of its value.
Billionaire Warren Buffett, known for his investment prowess, has labeled Bitcoin a “gambling token” without “intrinsic value.”
Buffett reiterated his earlier criticisms of the cryptocurrency asset, calling it a “delusion” and “rat poison squared.” According to Buffett, investments should have inherent value, which Bitcoin lacks.
Buffett’s longtime business partner, Charlie Munger, shares his views, arguing that cryptocurrencies are fraudulent and have no investment potential.
Despite Buffett and Munger’s negative outlook, the popularity of cryptocurrencies continues to grow.
Anthony Scaramucci, the founder of SkyBridge Capital, criticized Warren Buffett and several other billionaires who are against cryptocurrencies, saying they have not “done the homework” on the crypto market.
Buffett’s investment of $500 million in Nubank, a Brazilian financial institution with over a million crypto users, suggests that despite his skepticism towards cryptocurrencies, he recognizes the potential of companies linked to the crypto industry.
Despite the growing popularity of cryptocurrencies, Warren Buffett remains steadfast in his belief that investments should have inherent value, which he believes Bitcoin lacks.
Consequently, he considers cryptocurrencies as speculative assets that are highly vulnerable to sudden and dramatic price fluctuations.