Charlie Munger, Vice Chair of Warren Buffett’s Berkshire Hathaway, has once again made a scathing criticism of cryptocurrencies. The billionaire investor, while taking part in the Berkshire Hathaway Annual Shareholders Meeting that was telecast live on Saturday, responded to queries from investors along with his colleague Buffett.
Even though Buffett acknowledged that he would deliberately dodge queries comparing cryptos to “worthless artificial gold,” Munger responded in a straightforward fashion by stating that the one who asked the question was only “waving the red flag at the bull” in asking him.
Munger said “Of course I hate the Bitcoin success, and I don’t welcome a currency that’s so useful to kidnappers and extortionists and so forth. Nor do I like just shuffling out a few extra billions and billions and billions of dollars to somebody who just invented a new financial product out of thin air.”
Buffett accepted the fact that there could be “hundreds of thousands of” bitcoin investors watching the event, while only two will look at the option of opening a short position in the coin. Interestingly, he refrained from speaking ill of Bitcoin or cryptocurrencies in general. Nevertheless, the Oracle of Omaha had earlier stated that “cryptocurrencies basically have no value.” Buffett had also stated he will never invest in Bitcoin.
The 97-year old Munger, whose networth is more than $2 billion, is also a well-known cynic of Bitcoin (BTC). He had mentioned that Bitcoin is “too volatile to serve well as a medium of exchange.” While presiding an annual meeting hosted by the Daily Journal in 2018, the billionaire investor called cryptocurrencies “totally asinine.”
