Warren Buffet: "Stay away from Bitcoin"

[el_Tico]

"Buffett also said he would steer clear of bitcoin. Buffett said the cryptocurrency is an effective payment system, but “so is a check.” The idea that bitcoin has some “intrinsic value is just a joke.”

http://blogs.marketwatch.com/thetell/2014/03/14/warren-buffett-dont-dump-stocks-on-china-or-ukraine-and-stay-away-from-bitcoin/?mod=sfmw

Well... It's too late for some of us to stay away now.

Remember, this is the same guy that said to avoid investing in internet companies.

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[IrishFutbol]

This is harsher than his internet company diss.  That was more along the lines of "I personally wouldn't invest in a business I couldn't understand".

He also made his internet comment right before the tech crash in the late 1990s...

[RodeoX]

Whenever I want tech advice, I always ask a senior citizen. 

[amspir]

"Buffett also said he would steer clear of bitcoin. Buffett said the cryptocurrency is an effective payment system, but “so is a check.” The idea that bitcoin has some “intrinsic value is just a joke.”

If you could argue back, you could point out the intrinsic value of the us dollar is a joke as well, but it seems to work as method to store value and is the backbone of the US and much of the world's economy.

I really think there's no such thing as bad press for bitcoin.  As long as people keep talking about it, people will eventually adopt it as time goes on -- when they realized it is still around and working as intended after all those years.

[roslinpl]

"Buffett also said he would steer clear of bitcoin. Buffett said the cryptocurrency is an effective payment system, but “so is a check.” The idea that bitcoin has some “intrinsic value is just a joke.”

http://blogs.marketwatch.com/thetell/2014/03/14/warren-buffett-dont-dump-stocks-on-china-or-ukraine-and-stay-away-from-bitcoin/?mod=sfmw

Well... It's too late for some of us to stay away now.

Remember, this is the same guy that said to avoid investing in internet companies.

Indeed - This Buffet is an idiot.
Do not worry about him...

"Remember, this is the same guy that said to avoid investing in internet companies."
Warren Buffet is a caveman
(no offence to Mr.Caveman)

[adamstgBit]

Dear Mr Buffet,

you should read this:

bitcoin is:
1. Scarce
2. Durable
3. Portable
4. Divisible
5. Impossible to counterfeit
6. Fungible ( any 1 BTC has the same value as any other )
7. Easy to keep safe ( contrary to popular belief, it easy to print out a paper wallet...)
8. Shiny ( yes the digital bits that make up a bitcoin are VERY shiny)
9. all of the above. + very shiny

Fiat is:
1. Definitely not  Scarce, ( mage inflation in the money supply is monumental )
2. Not Durable
3. NOT Portable... compare it to bitcoin, ( try sending 1 million dollars across the globe, try sending 10 cents. then try again but with bitcoin AHhhhh you starting to get it now eh )
5.  Impossible to counterfeit LMAO
6. Fungible... ya maybe...
7. Easy to keep safe? ya all it requires is huge banks, and even then....  the only reason it works is the fact the government has no problem printing (out of thin air ITS MAGIC!) as much money as they need to be solvent any time they need it, you do know what a bailout is right?
8. Shiny? Its has cocaine all over it so no... not shiny
the only thing that fiat  has going for it is that its widely accepted, for now!

the markets need not care about your lack of understanding.

[IrishFutbol]

"Buffett also said he would steer clear of bitcoin. Buffett said the cryptocurrency is an effective payment system, but “so is a check.” The idea that bitcoin has some “intrinsic value is just a joke.”

If you could argue back, you could point out the intrinsic value of the us dollar is a joke as well, but it seems to work as method to store value and is the backbone of the US and much of the world's economy.

I really think there's no such thing as bad press for bitcoin.  As long as people keep talking about it, people will eventually adopt it as time goes on -- when they realized it is still around and working as intended after all those years.

All intrinsic value is real and all intrinsic value is a joke.  However some items have more intrinsic value than others.  It's pretty much a spectrum.  On the one end are US Dollars and Gold.  At the other end are Beanie Babies and Tulips.  Where BitCoin will end up?  Who knows.  But he's not wrong at all to say this.  Buffet likes safe investments that he knows he can add value to.  He looks for companies that he can either turn around with new management, or companies that are currently being undervalued by the market.  BitCoin is not that.  BitCoin could become the currency of the future.  It could also die as fast as MySpace did.

[IrishFutbol]

"Buffett also said he would steer clear of bitcoin. Buffett said the cryptocurrency is an effective payment system, but “so is a check.” The idea that bitcoin has some “intrinsic value is just a joke.”

http://blogs.marketwatch.com/thetell/2014/03/14/warren-buffett-dont-dump-stocks-on-china-or-ukraine-and-stay-away-from-bitcoin/?mod=sfmw

Well... It's too late for some of us to stay away now.

Remember, this is the same guy that said to avoid investing in internet companies.

Indeed - This Buffet is an idiot.
Do not worry about him...

"Remember, this is the same guy that said to avoid investing in internet companies."
Warren Buffet is a caveman
(no offence to Mr.Caveman)

Do you not know who Buffet is?  He may be wrong, but he's far from an idiot when it comes to investing.

[IrishFutbol]

Dear Mr Buffet,

you should read this:

bitcoin is:
1. Scarce
2. Durable
3. Portable
4. Divisible
5. Impossible to counterfeit
6. Fungible ( any 1 BTC has the same value as any other )
7. Easy to keep safe ( contrary to popular belief, it easy to print out a paper wallet...)
8. Shiny ( yes the digital bits that make up a bitcoin are VERY shiny)
9. all of the above. + very shiny

Fiat is:
1. Definitely not  Scarce, ( mage inflation in the money supply is monumental )
2. Not Durable
3. NOT Portable... compare it to bitcoin, ( try sending 1 million dollars across the globe, try sending 10 cents. then try again but with bitcoin AHhhhh you starting to get it now eh )
5.  Impossible to counterfeit LMAO
6. Fungible... ya maybe...
7. Easy to keep safe? ya all it requires is huge banks, and even then....  the only reason it works is the fact the government has no problem printing (out of thin air ITS MAGIC!) as much money as they need to be solvent any time they need it, you do know what a bailout is right?
8. Shiny? Its has cocaine all over it so no... not shiny
the only thing that fiat  has going for it is that its widely accepted, for now!

the markets need not care about your lack of understanding.

The ironic thing is, the whole "lack of understanding" comment was exactly the same thing that that people made fun of Buffet for right before the tech crash.  Buffet said the companies were being overvalued because the cash flow didn't support the valuation.  People laughed at him for not understanding new financial metrics like "value per page views".

Then most of those people promptly went broke.

[drrussellshane]

Whenever I want tech advice, I always ask a senior citizen. 

  there's a point there...

[Pentax]

meh.  Warren is a pretty smart guy to say the least, and a lot of people listen to him.

on the flip side, cryptocurrency is clearly an innovation that is labeled as such by a lot of people that understand tech at a much higher level than Warren does.

Bill Gates, The CEO of Paypal, the Director of Ideas for Google, the people at Chase that tried to patent a similar system.  That list is long and growing and populated by tech minds and payment systems people.  There's something here in terms of an innovation, no question about that.  On that level, I don't give a shit if someone thinks it's a great store of value or not or whether it actually is or not.  It will grow based on that innovative driver and, just like all things, as people get used to the idea.  

When he talks I listen, as he has kicked ass for decades, although I think he's wrong on this one...

[roslinpl]

Do you not know who Buffet is?  He may be wrong, but he's far from an idiot when it comes to investing.

Yes I know who he is..


And He was born in 1930.

Ok - I am sorry he is not an idiot.
He just do not like IT technologies (EDITED : perhaps he did like IBM:P)

[criptix]

anyone remembers this sentence from warren buffet:

"stay away from gold"


meanwhile - warren buffet buys tons of gold


 

[DooMAD]

Dinosaurs are extinct for a reason.   

[hyunsookmom]

So far everyone has revealed themselves to be ignorant. Warren Buffet is not some aging idiot who doesn't know exactly what he is doing.


But you're also wrong that he thinks its a bad investment. Warren Buffet is probably the most undeserving of a good reputation in the whole of the world I can think of. He is 100% a crony capitalist masquerading as some kind of lovable old long term value investor like Mr Monopoly.


Warren Buffet was bailed out in 2009 or he would now he collecting unemployment benefit and for that he is paying back the global elite and US government be it ridiculous advice about how he wants to pay more tax when he pays himself a pittance so to avoid it or making high profile criticisms of Gold and now Bitcoin. His last big deal was he invested billions in the railways just before his buddy Obama decided not to allow keystone pipeline therefore needing loads of trains, cue gas explosions in small town America, trust me he really is that much of an asshole.

He is, was and will die a crony capitalist, his criticism of Bitcoin which is a threat to the global elite is just part of his role.

[IrishFutbol]

Do you not know who Buffet is?  He may be wrong, but he's far from an idiot when it comes to investing.

Yes I know who he is..


And He was born in 1930.

Ok - I am sorry he is not an idiot.
He just do not like IT technologies

http://www.c[Suspicious link removed]m/id/22130601

His 4th largest investment is a $12.5B holding in IBM.

[dissident]

silly people personally attacking Buffet because he criticized bitcoin.. everyone is entitled to their opinion. Fact is, since there are now hundreds of altcoins I've pretty much stopped caring about cryptos. They are not scarce in the fact that anyone can create another one at any time and the only thing that makes one worth 'more' than another is people's willingness to give it value.

[Gabi]

the tech crash

Yes, tech crashed so hard that today no one invest in anything internet related anymore. It is not like i am typing this on an internet forum after all.

[JackH]

A dinosaur is warning against the meteor impact that will wipe him out? Sure old man, sure we will listen to you.

[hyunsookmom]

Dinosaurs are extinct for a reason.   

The irony and depth of wisdom of your description of one of the richest men on the planet as you type from your cheap PC in your parents basement is duly noted.