Warren Buffett & "Rat Poison"

[aoluain]

Warren Buffett – CEO Berkshire Hathway

Is considered to be the 4th wealthiest person in the world. He has invested in Coca-Cola in the 80’s,
this is probably their best known investment along with investing in Apple.

He was listed in 2007 in the Times 100 most infleuential people and has donated Billions of dollars to various charities.

He has written numerous books and is known to like telling stories so no doubt he also likes his quotes
to reach far and hit hard and is a very outspoken critic of Bitcoin and Crypto.

After seeing recently some tweets aimed at Buffett and quoting the famous RAT POISON attack by Buffett I decided to
list his other quotes against Bitcoin.

Michael Saylor
@michael_saylor · Jan 6
"Warren Buffett famously called bitcoin “rat poison.” He may well be right. #Bitcoin could be rat poison,
and the rat could be cash." -Bill Miller, CFA

Warren Buffett famously called bitcoin “rat poison.” He may well be right. Bitcoin could be rat poison,
and the rat could be cash.

March 14th 2014 - https://www.cnbc.com/2014/03/14/buffett-blasts-bitcoin-as-mirage-stay-away.html#close

“Stay away from it. It’s a mirage, basically,”

November 6th 2017 - https://www.forbes.com/sites/johnwasik/2017/11/06/why-buffett-sees-bitcoin-bubble/?sh=38f186e462a8

“You can’t value bitcoin because it’s not a value-producing asset...it's a real bubble in that sort of thing.”

"It doesn't make sense. This thing is not regulated. It's not under control. It's not under the supervision
[of] any...United States Federal Reserve or any other central bank. I don't believe in this whole thing at all.
I think it's going to implode."

January 10th 2018 - https://www.cnbc.com/2018/01/10/buffett-says-cyrptocurrencies-will-almost-certainly-end-badly.html

“In terms of cryptocurrencies, generally, I can say with almost certainty that they will come to a bad ending,”

“Why in the world should I take a long or short position in something I don’t know anything about.”

May 1st 2018 - https://www.cnbc.com/2018/05/01/warren-buffett-bitcoin-isnt-an-investment.html

“If you buy something like bitcoin or some cryptocurrency, you don’t have anything that is producing anything,”

“You’re just hoping the next guy pays more. And you only feel you’ll find the next guy to pay more if he thinks
he’s going to find someone that’s going to pay more. You aren’t investing when you do that, you’re speculating.”

“The idea that it has some huge intrinsic value is just a joke in my view,”

May 5th 2018 -  https://www.cnbc.com/2018/05/05/warren-buffett-says-bitcoin-is-probably-rat-poison-squared.html#:~:text=%20Warren%20Buffett%20says%20bitcoin%20is%20%E2%80%98probably%20rat,Quick.%20Buffett%20is%20presiding%20at%20Berkshire...%20More%20

“probably rat poison squared,”

February 25th 2019 - https://www.cnbc.com/2019/02/25/warren-buffett-says-bitcoin-is-a-delusion.html#close

“Bitcoin has no unique value at all,”

“It is a delusion, basically.”

“It attracts charlatans,”

February 24th 2020 - https://markets.businessinsider.com/currencies/news/warren-buffett-blasts-bitcoin-worthless-vows-never-own-crypto-value-2020-2-1028932272

"Cryptocurrencies basically have no value," Buffett said. "They don't produce anything."

"You can't do anything with it except sell it to somebody else," he added. "But then that person's got the problem."

"Bitcoin has been used to move around a fair amount of money illegally,"

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[jacafbiz]

There is no doubt that his investment thesis still work and is still valid till today, the problem with Buffett is that he wants to invest in something he can hold and has huge potential for consumer adoption, this is how he got it write with Coca Cola but the world is changing everything is now digitalize. I just hope those people advising him let him know this

[aoluain]

...or maybe when he relinquishes his CEO title and hands over control
to his successor he along with the next generation might be a bit
warmer towards Bitcoin.

[The Sceptical Chymist]

Ah, leave Warren Buffett alone.  He's entitled to his opinions on bitcoin just as any of us are, and it's not his thing.  It would be hard to argue that Buffett is a stupid man--he's not, but that doesn't mean he can't be wrong on certain things and I think he's wrong about bitcoin (as I'm sure most of us do).

Bitcoin and stocks are two very different asset classes, and Buffett has displayed his genius in the latter category over multiple decades.  He knows about businesses, and bitcoin doesn't represent a business, which is why I think he's not interested in it.  But hey, not everyone is a bitcoiner.  There are plenty of people in the world who don't like crypto; Buffett is just one of those.

[aoluain]

I agree, on researching the OP I actually warmed a little
to him, he has done extremely well for himself and the company.

I dont think ive been harsh on him in the OP, I just wanted to list quotes.
Lets face it, they are entertaining, not at the time they were reported though.

There are lots of characters and critics in and around the crypto space and WB
does seem from time to time to catch a lot of flack. A lot in my twitter feed recently.

[Silberman]

There is no doubt that his investment thesis still work and is still valid till today, the problem with Buffett is that he wants to invest in something he can hold and has huge potential for consumer adoption, this is how he got it write with Coca Cola but the world is changing everything is now digitalize. I just hope those people advising him let him know this

Without a doubt Buffett is one of the best if not the best investors of this era so when he talks people listen so I get why he does not want to invest in bitcoin as he has claimed many times in the past that he does not invest in things he does not understand, but that is the issue, he does not understand how something like bitcoin works and as such in this particular topic at hand he is as ignorant as the average person, as such we must no value the same way the opinions he has about this market than his opinions about stocks and other fields of knowledge in which he is a master.

[Chrystora123]

"this Wallstreet old boy" is unlikely to want to change his mind about Bitcoin.  I'm a little curious why when Bitcoin broke through $40k (latest Bitcoin ATH) he did not make a comment about Bitcoin!!  did he realize that he was thinking wrongly about Bitcoin??  

[ololajulo]

we might need to leave Buffet out of bitcoin, A 90 year old man need to take risk in his area of understanding. To correct the notion that Buffet has written many books' Is not true, he has written many popular annual letter for many years; they are educative, concise and simple. Some of the extract in letters are used in books written in his name. He is also a great teacher as have seen in some of his visits to business schools

[LUCKMCFLY]

Warren Buffet is an investor that I have a lot of respect for, I have read his books and they are honestly very good, his advice is really spectacular, in fact he is merely an investor, because he is a person who is capable of research. the best stock, investing and waiting up to 10 years to see its benefits, knows the stock market very well, what happens is that Bitcoin is against all the laws for him, volatility is an issue that he does not allow in his analyzes, he goes for Safe and backed stocks, it is almost like an old school economist and since Bitcoin is not backed in gold, gemstones or otherwise, it makes said investor look insecure.

Now with the lesson that he is giving Bitcoin, it is obvious that he has to learn something new and that from there he must accept that this economy is possible, sustainable and real.

[Upgrade00]

...something I don’t know anything about.”

This kind of invalidates majority of the statements, if you've not taken out the time to understand a thing or you don't fancy the idea behind it, it's usually best to just ignore. Not everyone is sold on the idea of bitcoin and that's totally fine, as we all have the freedom of choice.

Old habits die hard, and Warren has most likely picked up a number of habits on his rise to success, Bitcoin may just not be a part of that.

[dothebeats]

“Why in the world should I take a long or short position in something I don’t know anything about.”

Exactly. This is the reason why he will never invest in bitcoin. It's because he doesn't fully understand how it works and why it works. Buffett is exhibiting the bias that he has on traditional, regulated assets that he has known for a long time, and is refusing to acknowledge any merits whatsoever that bitcoin and cryptocurrencies has under their belt.

Buffett is beyond 'saving' at this point on his neck-deep involvement on assets that made him filthy rich, and I couldn't blame him about that.

It's okay if he releases such remarks against bitcoin from time to time, as bitcoin slowly proves its point every time the billionaire comments negatively about bitcoin. This way, people will have some sort of 'basis' on whether or night Buffett is right or not.

[tabas]

If he's a die-hard anti-bitcoin, we should leave him whatever he does. Sooner or later, he might turn himself in and say that it's one of the greatest investments or he'll still say the same thing. But whichever he stands for, we wouldn't care about him anymore if he keeps on saying ridiculous negative statements about bitcoin. We will just keep moving forward whether he says good or bad about it. It's been so long that he's been an anti bitcoin yet it still remains intact and very noticeable in growth.

[magneto]

Warren Buffett follows a school of thought that is outdated.

Value investing should only be applied to the concept of cash flow generating businesses. Of course a currency wouldn't have any cash flow per se.

The irony is that Buffett himself actually deviated from his teacher's (Benjamin Graham) initial concepts in a similar way, which was what allowed him to profit off of a lot of companies that weren't necessarily undervalued under the very classical value investing framework.

By his logic, you could call all foreign exchange trading "rat poison" just because it doesn't necessarily generate any cash flow. But with the right models and assumptions we have seen individuals consistently beat the market with FOREX trading. Otherwise, why would IBs and wealth managers hire the brightest minds to trade these products?

[marcbitcoins]

I heard lot of people who are Bitcoin haters before and one of them is the famous JP Morgan who are I considered number 1 detractor of Bitcoin but in the end I was shocked that he became number 1 supporter too because of his huge Bitcoin investments and support. I just can't wait that Mr. Buffet will have the same fate too.

[tabas]

If he's a die-hard anti-bitcoin, we should leave him whatever he does. Sooner or later, he might turn himself in and say that it's one of the greatest investments or he'll still say the same thing. But whichever he stands for, we wouldn't care about him anymore if he keeps on saying ridiculous negative statements about bitcoin. We will just keep moving forward whether he says good or bad about it. It's been so long that he's been an anti bitcoin yet it still remains intact and very noticeable in growth.

These rich people can say whatever they want, but at the end of the day, we are still here surviving. They don't need bitcoin, I understand. But right now, a lot of people are benefitting from this creation. So just ignore their statements. As long as you are happy with your life in crypto, that's all that matters. Many lives have been saved during this pandemic crisis because of bitcoin. Maybe he doesn't understand that. So let him do what he wants. That's his prerogative.

It is Warren Buffett and he's been known to be anti-bitcoin and said a lot of things against it. He won't change his mind or he will but like a chance of 0.001%.
He's a known traditional investor and he likes more those assets that he knew since he has made himself renowned through investments.

[Smartprofit]

Warren Buffett is a very successful investor, but he is also an elderly man. 

He studied the art of investing in the 20th century.  Now is the XXI century. 

All of Warren Buffett's investment models remain relevant.  Therefore, he has no reason to revise them. 

At the same time, a new class of financial assets appeared - cryptocurrencies and their most prominent representative - Bitcoin. 

Bitcoin is an antagonist and alternative to traditional financial instruments.  Therefore, Warren Buffett treats bitcoin badly and has repeatedly criticized the first cryptocurrency. 

In order to be a successful person, it is not necessary to understand how our world works in all its details.  It is enough to know a few basic ways of getting rich.  Buffett knows them. 

Therefore, he is a very successful investor and in this capacity he deserves respect.

[Natsuu]

Warren Buffett is a very successful investor, but he is also an elderly man. 

He studied the art of investing in the 20th century.  Now is the XXI century. 

All of Warren Buffett's investment models remain relevant.  Therefore, he has no reason to revise them. 

At the same time, a new class of financial assets appeared - cryptocurrencies and their most prominent representative - Bitcoin. 

Bitcoin is an antagonist and alternative to traditional financial instruments.  Therefore, Warren Buffett treats bitcoin badly and has repeatedly criticized the first cryptocurrency. 

In order to be a successful person, it is not necessary to understand how our world works in all its details.  It is enough to know a few basic ways of getting rich.  Buffett knows them. 

Therefore, he is a very successful investor and in this capacity he deserves respect.

Nice take.

I also acknowledge his credibility as an incredible investor and a CEO. But bashing something just because you don't understand it is not a thing that should be acknowledged.

His age really matters in how he understands things though its not an excuse for things he've said already, unless he retracted them in the near future.

[davis196]

The opinions of Warren Buffet in regards to Bitcoin are well known for years.
I don't know what's the point of gathering all his FUD statements in one forum thread.OP,you aren't bringing anything new to the table here.Buffet will keep hating on Bitcoin,and we will keep ignoring his hate,or at least use his statements to create pointless forum threads and make fun of him.
The "rat poison" statement by Buffet is old news.His arguments why Bitcoin is trash are completely irrelevant.
Even if the Bitcoin price reaches 1M USD,the haters gonna hate Bitcoin...

[Karartma1]

Warren Buffett is a smart badass otherwise he would have never accomplished what he has done so far with his wealth management firm. Nonetheless, when he talks about bitcoin he's clueless: I don't know if it's because he didn't spend some time researching about it or he simply can't understand it.
I hope he will be well and alive when the value of a single bitcoin will overtake his BRK.A: that would be a great day to watch!
I actually predicted it already here
https://bitcointalk.org/index.php?topic=178336.msg25097916#msg25097916

[aoluain]

I pretty much agree with all the comments, WB is a legend in so far as investing
goes and has definitely left his mark He has been 100% against Bitcoin for years
not just as a 90 year elderly man, I get it that he is not going to change his outlook,
he doesnt need to, he has been successful at what he did and fair play to him.

The opinions of Warren Buffet in regards to Bitcoin are well known for years.

Not to everyone, and prior to my research I wasnt aware of everything he said
about Bitcoin.

I don't know what's the point of gathering all his FUD statements in one forum thread.OP,you aren't bringing anything new to the table here.

A lot of people might have been aware of some of his comments but possibly
not all of the comments, and i'm sure I have missed others also.
While you feel I am not bringing anything new to the table I certainly feel the
comments thus far are shedding some light on the personality of WB and the
respect he commands even by many of the crypto community.

and make fun of him.

I dont see anywhere on this thread anything that is making fun of him, the
statements made by him are fact and I think he knew much more about
Bitcoin than he would like to let us think.