• BTC
    27365.73 2.15%
    1.08 -0.15%
  • ETH
    1859.58 2.38%
  • SOL
    19.9 2.36%
  • ADA
    0.37 1.09%
  • AVAX
    14.85 1.09%
  • DOT
    5.4 1.77%
  • LTC
    92.43 1.8%
  • BCH
    116.46 1.4%
  • CRO
    0.06 0.65%
    0.88 1.7%
  • LINK
    6.58 0.7%
  • XLM
    0.09 0.58%
  • UNI
    5.14 1.28%
  • SHIB
    0 1.02%

Warren Buffett strikes again – calls Bitcoin a “gambling token”

As Bitcoin reached $30,000, Warren Buffett compared cryptocurrencies to gambling in a new CNBC Squawk Box episode.

Warren Buffett doesn’t hide his distaste for cryptocurrencies. The legendary investor and CEO of Berkshire Hathaway once again showed his scepticism towards Bitcoin on CNBC’s Squawk Box on April 12th.

Warren Buffett simply hates Bitcoin

There’s not a year without Warren Buffett criticizing Bitcoin along with other famous skeptics, such as Jamie DimonCharlie Munger, or Jim Cramer. Needless to say that Bitcoin’s price rises no matter what anyone says. 

Related article: How is Warren Buffett investing – top picks of legendary investor

Buffett’s comments reaffirm his long-held pessimism about Bitcoin, the largest cryptocurrency in the world by market capitalization, calling it a “gambling token” with no fundamental value. While people may be right about being reserved to the unknown, Bitcoin became the best-performing asset in the first quarter of 2023.

Bitcoin and other cryptocurrencies are gambling activities like roulette and slot machines, according to Buffett. He points out that the prospect of winning and the attractiveness of success stories may entice people. 

The psychological factors that draw people to these games are then illustrated by his discussion of the disparate chances on a roulette wheel and the noisy payouts of slot machines. Buffett suggests that investors may make uninformed financial choices due to sensationalism and FOMO.

Also read: Elon Musk rebrands Twitter to X Corp, creating ‘everything app’

Buffett admits he does not know what can be done to stop this downward spiral. The Oracle of Omaha famously called cryptocurrencies “rat poison squared” and has repeatedly urged investors not to put their money into these risky digital assets. 

Final thoughts

Buffett is unwavering in his belief that Bitcoin is nothing more than a speculative risk, despite the widespread adoption of cryptocurrencies in the banking industry. While he is skeptical, Michael Saylor’s MicroStrategy bought even more Bitcoin in 2023, making their portfolio worth over $4 billion. 

I got into financial markets by accident in 2012 and started with Forex trading. Later in 2017, I started investing in stocks in cryptocurrencies and began writing articles profess...


Post has no comment yet.

Want add your comment? Sign up or Sign in