Buying Bitcoin Is Not Investing, Claims ‘Oracle Of Omaha’ Warren Buffett

[Crypto_Hot_News]

87-year-old American investor and CEO of Berkshire Hathaway, Warren Buffett, has again scorned investment in cryptocurrencies, claiming that “buying Bitcoin is not investing,” in an  interview with Yahoo Finance in Omaha, Nebraska, today, April 28.

“There’s [sic] two kinds of items that people buy and think they’re investing,” he said. “One really is investing and the other isn’t.” He added:
“If you buy something like a farm, an apartment house, or interest in a business […] [y]ou can do that on a private basis […] and it’s a perfectly satisfactory investment. You look at the investment itself to deliver the return to you. Now, if you buy something like Bitcoin or some cryptocurrency, you don’t really have anything that has produced anything. You’re just hoping the next guy pays more.”
Buffett went on to suggest that such investments are merely a speculative “game” and a “gamble” and that “no one knows exactly what it [Bitcoin] is.”
The so-called ‘Oracle of Omaha’ has repeatedly poured contempt on the crypto industry, claiming with oxymoronic “almost certainty" that cryptocurrencies “will come to a bad end,” in an interview this January, all the while admitting that cryptocurrencies are “something I don't know anything about.”
Buffet has been recycling the lack of intrinsic value argument since 2014, when he first dismissed Bitcoin as "a mirage" on CNBC. Buffett has also wielded the bubble argument against Bitcoin, as well as stating that BTC cannot be valued because “it’s not a value-producing asset.”
The Oracle’s anti-crypto stance is shared by ousted Paypal CEO Bill Harris, who called Bitcoin a “scam” this week, and Buffet’s vice chairman at Berkshire Hathaway, 94-year-old Charlie Munger, who thinks interest in Bitcoin is “simply disgusting”.

Source: https://cointelegraph.com/news/buying-bitcoin-is-not-investing-claims-oracle-of-omaha-warren-buffett

[coinycoiny]

Most teenagers who rely on their parents for pocket money will now disagree with the multi-billionaire and comment underneath.

[BitcoinHodler]

there are different forms of investments. one form is to invest in a business like a farm or a company and make profit from their products and the other form is investing in new technologies with great future that can make you the pioneers or early adopters in that technology. bitcoin is the later and it is a a great investment in that sense because it ha a lot of potential and it is the new technology that is changing the world.

[mk4]

Sometimes I just wonder why famous investing personalities spends so much time in bringing down bitcoin or cryptocurrencies in general... it's almost like they don't want bitcoin to win. Also, isn't investing in a farm or business somewhat a gamble too anyway? You don't even know for sure if it's going to rack you up profits; just like with any kind of investment. Technically, bitcoin and cryptocurrencies in general should be counted as investments too. The difference is just that investing in bitcoin and or cryptocurrencies is just far too riskier.

[stompix]

Also, isn't investing in a farm or business somewhat a gamble too anyway? You don't even know for sure if it's going to rack you up profits; just like with any kind of investment. Technically, bitcoin and cryptocurrencies in general should be counted as investments too. The difference is just that investing in bitcoin and or cryptocurrencies is just far too riskier.

He has a point, don't dismiss everything that is critical of BTCas being false or you're going end up just like the people you criticize.

If you invest in a farm, it's your business, you only rely on the weather and government subsides  . If you fail, then it's mostly your fault, your planning or that the entire market is down.
When it comes to bitcoin...there is nothing much you can do that wait for others to do the same.

But to be more clear, let's fast forward a few decades.
Bitcoin would be the king, 80% of all world transactions would take part in bitcoins, the price won't be volatile anymore, would buying bitcoin still count as an investment? Of course not since the value at that point won't budge by more than 1% a year and it's going to be more a store of value.
I specifically gave this example before you might compare buying bitcoins with buying stocks (which bring dividends) 

And about the other line

You’re just hoping the next guy pays more

This is almost 100% true.

The entire board is full of comments about "big investors" entering crypto. I've been reading the Wall thread for years, every weekend we had at least one guy saying..wait for Monday as cash it's going to hit exchnges.

Don't get me wrong, although I respect the guy for his investor history, I don't like the way he did business and unfortunately he still does and neither his attitude which pisses me off whenever I see a clip with him, but sometimes I can't help to agree with him.
He is wrong on the bubble but on the cash flow and on the greed that now has taken over cryptos, no, he's not.

[DooMAD]

Buffett went on to suggest that such investments are merely a speculative “game” and a “gamble” and that “no one knows exactly what it [Bitcoin] is.”

So just because he doesn't understand what it is, no one can?  Yeah, that's pretty much the level of arrogance I'd expect from him.  Multi-billionaire or not, I'd love to know how much time he claims to have spent researching this "mysterious" crypto stuff before he spouts this nonsense.  I'd argue that investing your time and effort into learning about it is far more important that simply throwing your money at it.  And not just the basics, really get into it.  Then you'll understand what it is.  Wouldn't surprise me if he paid someone, or a small team of someones, to do the research for him and just give him the "highlights".  If you only witness the most superficial activity on the surface, it's understandable all you're going to notice is the rampant speculation.  Bitcoin as a concept has so much depth most have yet to even notice, let alone grasp.

In fairness to the guy, though, he probably doesn't have a great deal of time left in which to learn something.