Buying Bitcoin Is Not Investing, Claims ‘Oracle Of Omaha’ Warren Buffett

in bitcoin •  7 years ago 

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87-year-old American investor and CEO of Berkshire Hathaway, Warren Buffett, has again scorned investment in cryptocurrencies, claiming that “buying Bitcoin is not investing,” in an interview with Yahoo Finance in Omaha, Nebraska, today, April 28.

“There’s [sic] two kinds of items that people buy and think they’re investing,” he said. “One really is investing and the other isn’t.” He added:

“If you buy something like a farm, an apartment house, or interest in a business […] [y]ou can do that on a private basis […] and it’s a perfectly satisfactory investment. You look at the investment itself to deliver the return to you. Now, if you buy something like Bitcoin or some cryptocurrency, you don’t really have anything that has produced anything. You’re just hoping the next guy pays more.”

Buffett went on to suggest that such investments are merely a speculative “game” and a “gamble” and that “no one knows exactly what it [Bitcoin] is.”

The so-called ‘Oracle of Omaha’ has repeatedly poured contempt on the crypto industry, claiming with oxymoronic “almost certainty" that cryptocurrencies “will come to a bad end,” in an interview this January, all the while admitting that cryptocurrencies are “something I don't know anything about.”

Buffet has been recycling the lack of intrinsic value argument since 2014, when he first dismissed Bitcoin as "a mirage" on CNBC. Buffett has also wielded the bubble argument against Bitcoin, as well as stating that BTC cannot be valued because “it’s not a value-producing asset.”

The Oracle’s anti-crypto stance is shared by ousted Paypal CEO Bill Harris, who called Bitcoin a “scam” this week, and Buffet’s vice chairman at Berkshire Hathaway, 94-year-old Charlie Munger, who thinks interest in Bitcoin is “simply disgusting”.

posted by: cointelegraph

What do you guys think of Warren's comments? Agree or Disagree

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What do you guys think of Warren's comments? Agree or Disagree

I think BTC has had it's day. I think if you want a savings account, BTC is fine, but if you want a profitable investment, EOS is the way forward

EOS is my favorite coin "to the moon"

Simply put. I agree,

More detail answer:
Bitcoin is like a rembrandt painting. People buy it because the price have gone up so far. If knowbody believs in this anymore it will crash... (and you have some digital coins that do noting for you..

on the other hand. If you buy lets say sahres in an insurance company, that pays lets say 10% dividend p.a. If nobody whants the shares anymore you still get 10% cash per year ... (the company is buying back it's stock and you get a proportial higher stake in the company. or it increases it's dividend .. ) all kind of god things can happen to you. because the underlying asset produces a cashflow. Bitcoin does not thats the point

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