Warren Buffett on Bitcoin Again, Shout it as Gambling Device and Button of His Jacket

Warren Buffett, a.k.a Oracle of Omaha, will not believe in the mechanism of crypto or bitcoin in anytime soon. Beside calling Bitcoin as rat poison, Buffet now names it as a Gambling Device.
Known as the most successful investor of all time, Buffett remains a skeptic on Bitcoin, While addressing the group of reporters in the annual meeting of Berkshire Hathaway at the CHI Health Center in Omaha, Nebraska, Buffett broke out his negative sentiments towards the largest cryptocurrency, Bitcoin. He says, Bitcoin involves a lot of frauds and addressed that it hasn’t produced anything. In his words;
“It’s a gambling device… there’s been a lot of frauds connected with it. There have been disappearances, so there’s a lot lost on it. Bitcoin hasn’t produced anything,”

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Buffett – Bitcoin is not an Investment to me
Although Bitcoin’s market cap recently jumped over $1billion, the famous entrepreneur Elon Musk involved himself into crypto conversation; Twitter CEO Jack got enough of it, Buffett believes bitcoin isn’t an investment to him. In his continuous talk, he added;
“It doesn’t do anything. It just sits there. It’s like a seashell or something, and that is not an investment to me,”
Well, the comment didn’t go over, he continued his talk by comparing the value of Bitcoin with the button of his jacket. Buffett expresses that once the button is removed, it is over, means that it has “only one use and it’s very limited – which he thinks same with Bitcoin.
“I’ll tear off a button here. What I’ll have here is a little token…I’ll offer it to you for $1000, and I’ll see if I can get the price up to $2000 by the end of the day… But the button has one use and it’s very limited use,” Buffett said.
While he remarks Bitcoin in a completely negative scenario, in contrast, he thinks Blockchain is very big. Just like the Indian Govt pushes Blcockhain forward and leaving crypto behind, Berkshire Hathaway chairman and CEO, Buffett thinks Blockchain didn’t need bitcoin. Now as he thinks quite positive on the blockchain, he says, he isn’t the person to be ‘a big leader in blockchain’’ but he admits that they’re probably doing something with blockchain technology indirectly.
“Blockchain…is very big, but it didn’t need bitcoin. J.P. Morgan, of course, came out with their own cryptocurrency, “
What’s your take on Buffett’s bitter view on Bitcoin, the crowning cryptocurrency.? Let us know in the comment below
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Source: CoinGape

Wells Fargo, Warren Buffett’s Investment, Paid 20% of Bitcoin Market Cap in Fines

In his recent interview with CNBC, America’s most successful capitalist Warren Buffett reiterated his negative stance on bitcoin.
The legendary investor told Becky Quick that bitcoin was a delusional asset which “attracts charlatans,” adding:
“If you do something phony by going out and selling yo-yos or something, there’s no money in it — but when you get into Wall Street, there’s huge money.”
The comments didn’t surprise. Buffett has already made a name of himself for being a staunch bitcoin critic. Last year, at the Woodstock of Capitalism, Buffett and his sidekick Charles Munger gathered to talk investing and ended up providing one of the most reference quotes on bitcoin. Buffett warned that cryptocurrencies like bitcoin would come to a bad end, while Munger called them a “dementia.”

However, this time, Buffett, in particular, tried to kick the bitcoin fans below their belts, by calling them frauds. It was certainly not going to go well among the white suits who primarily invested in bitcoin. Barry Silbert, Founder, and CEO of Digital Currency Group, for instance, took potshots at Buffett for investing in a firm named in multi-billion dollar frauds.
“Wells Fargo, a Buffett investment, has been fined 93 times for fraud and other abuses, for a total of $14.8 billion in fines since just 2000,” wrote Silbert. “I’ll take bitcoin’s “charlatans” over that any day.”

Wells Fargo, a Buffett investment, has been fined 93 times for fraud and other abuses, for a total of $14.8 billion in fines since just 2000
I'll take bitcoin's "charlatans" over that any day https://t.co/9OZkzxgQ7x
— Barry Silbert (@barrysilbert) March 9, 2019

The fines make roughly 20-percent of the Bitcoin’s market capitalization.
A Hypocritic Capitalist
A brilliant investor that he had become, Warren Buffett cannot let go of his past full of shady insider deals. In retrospective, his father was a stock market broker and a congressman. These are the only people who could trade on insider information without having to deal with criminal charges. Buffett spent a gala time in his father’s office learning about stocks and eventually bought his first shares at the age of 11.
By the time Buffett had come of age, he was already investing in firms suspected in financial frauds. His tales about Goldman Sachs fraud and what he did to bail himself and his company, Berkshire Hathaway, out would take a separate article to explain. But the case explained what power and money – and a handful of good connections – can do. (To know further about it, I would recommend you read this article.)
Source: Reuters
And indeed, Buffett is 90% brilliant because of his political connections. The US government seeks his help while making their bailout decisions. And when an investor of such caliber gets firsthand information about the billions of dollars in bailout money coming to Bank of America and Wells Fargo before anyone else, then it is likely he buys millions of share in both the firms at a cheaper rate to sell them a few years later at a higher price.
Did Warren Buffett think about working with charlatans, then? No. It shows the hypocrisy.
Why Does Buffett Hate Bitcoin?
Warren Buffett is 88. One cannot expect him to understand the complex nature of cryptocurrencies, the Merkle trees, the proof-of-work, and whatnot. He is the same person who missed on Apple earnings as late as 2011. Instead, Berkshire invested $10 billion in IBM, thinking it was a superior firm at that time. As the world already knows, Buffet’s firm exited IBM on a substantial loss. At the same time, Apple’s stock value had quadrupled.
As a crypto believer, I do not expect him to understand bitcoin in his remaining life. For the very same reason, his opinions have to stop mattering to young investors, the denizens, who understands how the bitcoin’s underlying tech works. But to say they are charlatans brings me to quote British economist John Maynard Keynes:
“Capitalism is the astounding belief that the most wickedest of men will do the most wickedest of things for the greatest good of everyone.”
Like they will.
[Disclaimer: The opinions discussed in this article are of the author. NewsBTC does not claim any responsibility for errors/claims made in the article.]
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Warren Buffett Calls Bitcoin a ‘Delusion’: Key Takeaways from the Latest Interview


Warren Buffett Calls Bitcoin a ‘Delusion’: Key Takeaways from the Latest Interview

Warren Buffett, chairman and CEO of investment conglomerate Berkshire Hathaway, began a week taking a fresh dig at Bitcoin.

Warren Buffett Calls Bitcoin a ‘Delusion’: Key Takeaways from the Latest Interview

Continue reading at Coinspeaker
Source: CoinSpeaker

Warren Buffett Believes Bitcoin is a ‘Delusion’ By Still Sticking to be an Ardent Bitcoin Hater

And once again – Bitcoin is no more value-added thing in a view of Billionaire investor, Warren Buffett. Mr. Buffett, Berkshire Hathaway CEO had once called Bitcoin as ‘probably rat position squared’ – and he is again hitting headline criticizing the largest cryptocurrency of the crypto space.
Buffett Remains long-time critic of cryptocurrency
Trading with 0.20 percent growth today at press time and with value $3843 against USD, Bitcoin is still on the peak of coinmarketcap. Though every satoshi that turned Bitcoin’s value green on the graph, matters to the crypto enthusiast – it means nothing to Warren Buffett.
During the recent talk with CNBC’s Becky Quick, Mr. Buffett says ‘Bitcoin is a delusion basically’, he further adds, it simply ‘attracts charlatans’. In his words;
“If you do something phony by going out and selling yo-yos or something, there’s no money in it — but when you get into Wall Street, there’s huge money.”
This is not the first time Buffett talks negative on Bitcoin – in fact, every comment on Bitcoin by Oracle of Omaha wouldn’t get unnoticed. When there was a bubble, he called Bitcoin probably rat poison squared, and most often he termed it as ‘a mirage, tulips, not a currency – and this time the term followed as ‘Delusion’.
It’s important to note that Buffett’s view on Bitcoin is pessimist while he is quite optimistic in Blockchain technology. He sees the underlying technology of Bitcoin, the blockchain is quite important – he didn’t see Blockchain’s success depends on cryptocurrency.
Very recently when Mr.Buffett talked about his net worth of $100 billion in cash and said ‘I can’t find anything to buy’, crypto geeks, especially the most influential figure in crypto space, Morgan Creek’s Anthony Pompliano mockingly suggested him to buy Bitcoin. Pomp’s suggestion was definitely sarcastic, knowing Mr.Buffett is the well-known Bitcoin hater. In a tweet, posted on Feb 22, 2019, Pomp said;

He should buy Bitcoin.
It has a better risk/reward profile than anything else he will see, it will reduce the overall risk of his portfolio, and it is likely to outperform every other investment he makes for next decade.
— Pomp 🌪 (@APompliano) February 22, 2019

What do you think of Buffett’s view? share your opinion with us. 
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Source: CoinGape

Bitcoin Surges as Warren Buffett, The “Charlatan” gets Exposed: Max Keiser

Bitcoin has finally crossed the threshold of $4,000 as it currently trades at $4,169 with 24-hours gains of 4.65 percent. Since February 17th, Bitcoin has surged more than 21 percent as it moves from $3,400 to nearing the December high at $4,272. The leading cryptocurrency is managing the daily trading volume of $9.8 billion, really close to outdoing the February 19th’s $9.9 billion which was the last hit in May 2018.
This hike in Bitcoin price according to Max Keiser, a  Bitcoin proponent and co-founder of crypto-focused VC, Heisenberg Capital could be the result of “short the bankers, long bitcoin” narrative as he took to Twitter to share that Warren Buffett, the chairman, and CEO of Berkshire Hathaway is a “fraud.”

Bitcoin Will Swallow up the World’s Over-Supply of Worthless Fiat Money
Yesterday, Warren Buffett issued an annual letter to shareholders accounting the loss of $25.4 billion in the fourth quarter of Berkshire Hathaway. This letter, Keiser says is proof that Buffett is a “fraud and a charlatan.” However, he says, Buffett’s loss could be Bitcoin’s gain.
RT reported Keier saying, “Buffett’s frauds are innumerable and date back decades,” when it comes to the corporate malpractice at Wells Fargo, which is partly owned by Berkshire.
In the annual report, under the “repurchases and reporting section,” it has been shared, “Earlier I mentioned that Berkshire will from time to time be repurchasing its own stock. Assuming that we buy at a discount to Berkshire’s intrinsic value – which certainly will be our intention – repurchases will benefit both those shareholders leaving the company and those who stay.”
Before the SEC gave green light to buyback in 1980, this practice was considered market manipulation.
“It’s pure fraud. Its sole purpose is to commit accounting fraud for the benefit of insiders,” added Keiser.
The report further slams gold calling it a poor investment choice, “The magical metal was no match for the American mettle.” To this Keiser had this to say,
“The real story is to put gold in context and understand that Buffett’s so-called success is entirely driven by a cozy relationship with Wall Street and the Fed that gives him virtually unlimited access to credit carrying zero percent interest.”
Keiser further commented on Buffett calling Bitcoin a rat poison last year, “The world is waking up. The Ponzi schemes of Buffett are being revealed and the masses are moving to hard money like bitcoin and gold.”
He doubles down on his Bitcoin price prediction at $100,000 and that the flagship cryptocurrency will swallow worthless the fiat money.
“I maintain my price prediction I first made on Keiser Report in 2011 when Bitcoin was $1. We will see $100,000 for Bitcoin, as it swallows up the world’s over-supply of worthless fiat money; marking the end of charlatans like Warren Buffett.”
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Source: CoinGape

Technology Adoption Determines True Value of Crypto Industry

When Warren Buffett, a multi-billionaire investor, admitted that he was wrong about not investing in companies like Amazon and Google, it proved that not even the world’s most renowned investor can always get it right.
Amazon and Google were bringing in products that the market hadn’t experienced before. Skepticisms were meant to be there. But eventually, user adoption won over anything. Cut to today, both the Buffett’s rejects are now trillion dollar companies.
Such successful case studies only make the case of blockchain stronger, a technology that is gradually becoming the secret ingredient of big corporations and tech startups these days.
At its heart, blockchain is a simple concept. It is a ledger of blocks containing information whose copies are stored across a network of computers. These blocks are arranged chronologically, can be viewed by anybody on the web, and does not get managed by a central authority such as a corporation, bank or government. Therefore, hacking a blockchain system means gaining access to at least 51% nodes in the network, which makes it impractical for cybercriminals to modify the information on blocks.
It’s potential has attracted multi-billion dollars worth of investments in thousands of projects around the world. Some startups are testing blockchain to record government records, while some are creating decentralized supercomputers. Every industry in some way is willing to put their traditional systems through blockchain trials.
As a result, at least $1.3 billion worth of funding has entered the blockchain industry in 2018 already. It is expected to grow further in the coming years.
The Hype
Steve Wozniak, the co-founder of Apple, believes blockchain technology is going through a hype phase and isn’t ready for mass-scale adoption yet. He said that investors would most likely “burn themselves out by not being prepared to be stable in the long run.”
The statement finds evidence in 2017’s famous initial coin offering (ICO) mania in which blockchain projects raked in millions of dollars throughout the year. Users, who believed they had missed out on the early Bitcoin rally, put their trust on new projects that were looking to be better than the Satoshi Nakamoto digital currency. It led to a crypto gold rush as people started believing they would become wealthy quickly.
As evident, it didn’t happen. A majority of these blockchain projects failed to deliver and went to dust, taking away all the Bitcoins and Ethers that people had invested in them — the bubble burst, leading to a market crash that is still going on.
The market, nevertheless, has come back to its senses. Most of the blockchain projects are now falling behind funding goals, eventually dying before even launching. Regulators have accelerated their crackdown against unlicensed blockchain companies, ensuring that only risk-compliant startups make to the front door of potential investors.
Related Reading: ConsenSys CEO is Planning Company Restructure Following Bear Market
Institutional Adoption
While methods like crowdfunding are falling behind, bigger corporates and venture capitalists are pinpointing the best blockchain startups and fueling their development in their incubation labs.
In September, Walmart announced that it would utilize IBM’s blockchain solution to manage its supply chain. Maersk also launched its Tradelens blockchain solution in partnership with the IBM, bringing 93 shipping companies under one digital ledger network.
Venture Capitalists, on the other hand, have invested over $1 billion in blockchain startups this year, marking a 280% surge than in 2017. Independent projects like IOTA have entered strategic partnerships with big firms like Microsoft, PwC, Deutsche Telekom and others to integrate their Tangle blockchain solution into their infrastructures.
The list is too big to count – and it overall validates that blockchain as a technology is staying for dinner.
The crypto market crash comes as a reminder of how unregulated the market was compared to the present. As companies accumulated mainstream digital currencies like Bitcoin and Ethereum in exchange of worthless tokens, they also gained the power to dump them in the market at the first sign of trouble. It is the same reason why even the good crypto assets fell sharply.
The market is now maturing. Investors are smarter. And regulators are more active than ever. As blockchain adoption gains momentum across industries and its users, it would automatically describe the true worth of cryptocurrencies, whether it is $100 or $100 million.
Warren Buffett does not like blockchain – just saying.
Featured image from Shutterstock.
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