Warren Buffet’s right-hand man and Berkshire Hathaway vice chairman’s comments about bitcoin have gone viral for their innovative depiction of cryptocurrency.
Charlie Munger, Berkshire Hathaway’s ancient vice chairman and Warren Buffet’s right-hand guy, has no qualms about sharing his honest thoughts about cryptocurrency: He despises it.
The 98-year-old investing legend compared cryptocurrency to a sexually transmitted illness during a shareholder Q&A session at the annual meeting of the LA-based media company, Daily Journal Corp.
“I didn’t put any money into cryptocurrency.” I’m proud of myself for avoiding that. It’s like a sexually transmitted sickness.”
“I wish it had been banned immediately,” Munger added, expressing his disdain for Bitcoin and other cryptocurrencies. I applaud the Chinese for prohibiting it. I believe they were correct, and we made a mistake by allowing it.”
Munger and Buffet aren’t shy in criticising and dismissing the rise of cryptocurrency. Buffett has previously mocked Bitcoin as an asset that “does not create anything,” referring to it as “rat poison squared” and describing it as a “delusion that attracts charlatans.”
Munger’s fanciful depiction of bitcoin does not appear to be reflected in Berkshire Hathaway’s new investing theory, which is reducing its exposure to cryptocurrencies.
Berkshire Hathaway reported in a securities filing late Feb. 14 that it had extended its cryptocurrency exposure by purchasing $1 billion worth of Nubank stock, Brazil’s largest fintech bank, which is popular among Brazil’s crypto investors.
“The Nubank investment can be seen as Buffett’s way of supporting the fintech/crypto world without reversing his previous criticisms,” said Greg Waisman, co-founder and chief operating officer of crypto wallet service Mercuryo, who added that Berkshire is now indirectly supporting the “digital currency ecosystem.”
Crypto Munger’s comments on digital assets drew a swift response from Twitter.
To their 225,000 followers, @gmoneyNFT pointed out the irony in Munger’s recent remarks:
Charlie Munger: Fiat currency is going to zero
Also Charlie Munger: Crypto is like some venereal disease. I'm proud of the fact that I've avoided it. pic.twitter.com/ua85ubdy35
— gmoney.eth (@gmoneyNFT) February 17, 2022
While @cryptonator1337 slammed Munger’s age, telling his 35k followers that Munger might not be the greatest person to counsel on new technology.
When Munger was born in 1924…
.. Lenin died
.. the Ottoman Empire ended
.. Disney created the first cartoon
.. IBM was founded in New York State
.. the US president delivered a radio broadcast the first time
But sure let's listen to him talking about #Bitcoin
— CR1337 (@cryptonator1337) February 16, 2022
Disclaimer: These are the writer’s opinions and should not be considered investment advice. Readers should do their own research.