Legendary investor Warren Buffett, the CEO of Berkshire Hathaway, is well-known for his long-standing skepticism towards the world's largest cryptocurrency, Bitcoin (BTC). This morning, during an appearance on SquawkCNBC, Buffett addressed his opinion on the digital currency and once again labeled it as a "gambling token" with no intrinsic value. This negative stance of Buffett on Bitcoin has been consistent over the years, as he had previously referred to the cryptocurrency as "rat poison squared" and warned investors against investing their money into the digital asset.

Despite the growing reception of cryptocurrencies in the mainstream financial sector, Buffett has not wavered in his opinion on Bitcoin. Last year, Buffett’s associate, business partner and right-hand consumer mogul Charlie Munger predicted that the flagship cryptocurrency was likely to crash to zero.

Buffett’s opinions on Bitcoin are often reason enough for the cryptocurrency’s volatility. Many global investors often look to the Oracle of Omaha’s statements on Bitcoin and other safe-haven investments to gauge their investment decisions. As such, Buffett’s position on Bitcoin has been extremely influential in the world of cryptocurrency and blockchain.

Although Buffett maintains his true opinion on Bitcoin, he has hinted towards investing in Bitcoin mining companies in the future. In an interview with Yahoo Finance, Buffett was asked explicitly about investing in Bitcoin mining companies and he answered “It’s not impossible. It’s not something I would do right now.” Whether Buffett decides to stick to his guns remains to be seen.

What Buffett’s statements point to is not whether Bitcoin is a viable investment, but that only those with deeper knowledge of the cryptocurrency and how to analyze the markets should invest in the volatile digital asset. This position is similarly matched by other esteemed Wall Street figures and investors. For those who don’t have the same knowledge, it pays to heed Buffett’s advice to “stay away from it.”



Other News from Today