Warren Buffett says cryptocurrencies have no value and he will never own them
Legendary investor Warren Buffett reiterates his criticism of Bitcoin in a CNBC interview, calling it 'rat poison squared.'
On February 24, 2020, Warren Buffett says cryptocurrencies have no value and he will never own them. Legendary investor Warren Buffett reiterates his criticism of Bitcoin in a CNBC interview, calling it 'rat poison squared.'
Buffett's case against Bitcoin rested on several arguments: he considered it a non-productive asset that generated no cash flows, dividends, or earnings, making it pure speculation dependent on finding a greater fool willing to pay more. He compared Bitcoin unfavorably to productive assets like businesses or farmland that generated value over time.
Buffett also expressed skepticism about Bitcoin's utility, arguing that the U.S. dollar already functioned perfectly well as money and that Bitcoin didn't solve any real problem for most people. The Bitcoin community's response to Buffett's criticism was mixed. Some dismissed him as an aging investor who didn't understand technology and was anchored to outdated frameworks that couldn't evaluate novel monetary assets.