Topic: Warren Buffett & "Rat Poison" (Read 697 times)

Warren Buffet is 90 years old, and his net wealth stands at $96 billion. On the other hand, Elon Musk is 49 and his net wealth is $151 billion. So who will be your role model? A walking fossil with outdated ideas, or someone who favors new innovations? Warren Buffet hasn't done anything out of the ordinary for the last two decades and he is completely out of touch with the current market conditions. His wealth has increased only because of the general increase in the stock indices.

I guess I get it. Do you know how he decides to buy which stock he wants to invest? Dude checks the sheet and sees how much it should worth, what the stock price should be and if it is under that price he buys, if it is over he doesn't buy. It means he buys companies that he sees future in, coca cola, gilette, geico all companies that would make him a lot of money in the long term because their sheet looked great when he purchased.

This is why it makes sense that he doesn't invest into crypto, it would be weird if he started to invest into crypto these days, because that would be for the first time ever he invests into something that doesn't produce a "profit", that is the thing that he likes, he likes to buy something and make a profit, if this doesn't make a profit then what is the point of it really? Have you heard of him buy gold? I do not think he even invests in gold, how could he understand bitcoin.

right, everyone certainly has their own time, maybe he came to the conventional generation so it's still a little difficult to understand the digitalization era, although I think Buffett certainly has people close to him who are experts in the field of digitization, but the decision is still on the personal buffet. and we can't blame it, maybe later we will too

He's just jealous that others are becoming rich. It took a long time for him to become a billionaire. He spent his entire life working hard, wasting his youth. Now in front of his eyes, he is witnessing youngsters in their 20s and 30s who have become millionaires from their investment in cryptocurrency and these people are enjoying their life (unlike Buffet). And it is natural for these 90 plus people to feel jealous about the younger Bitcoiners. Also, wealth is sometimes measured in a relative sense. If there are a lot of wealthy people, then the importance of wealth goes down. Buffet definitely doesn't want that.

That is most certainly a possibility,  I think the younger generation that will be his successor will have a lighter approach towards btc than Buffet, he is an old timer and believe in investment that have physical appearance or stand, btc is digital and can't be grasp physically, this is something that Buffet find confusing and can't accept,  I really can't blame him though,  not everyone from his generation gets btc and crypto in general but some just decide to go along with this magnificent technology regardless,
Lol, describing btc as a 'Rat Poison'  is so hilarious  

Capitalist don't like fascism or communism though, they have limits in fascist nations and they can flourish in a communist setting. You are right that it is a rat poison but I dont think that the rats that you are talking about are loving this poison slowly with some of them pouring money in.

LOL.. you are right. He is just pissed off and jealous. At this old age, he can't understand how people became rich after just 2-3 years of investment in Bitcoin, when he himself needed several decades of hard work to become one. He is still not ready to admit that there are smarter investors than him. And this is not the first time that he is badmouthing Bitcoin. He has been doing this on a continuous basis for the past many years. We should just ignore this demented old fool rather than giving him more publicity than he deserves.

Buffett is right about bitcoin being rat poison which is why rats like him don't like it. It is indeed poison to statists and authoritarians who think they have a right to the products of everyone else's lives merely because they hold the guns.

It is the age old fight between freedom and collectivism. The fight to decide whether to go up towards liberty or down to the ant heap of socialism, fascism or communism.

Everyone can change, that's what I believe until now. So it is also with Warren Buffett who always says negative things about Bitcoin. I believe it
will take different for everyone to admit that Bitcoin is a great and profitable asset. In my opinion, don't think too much of what Warren Buffett said
about Bitcoin, let him realize himself. Because Warren Buffett's bad words about Bitcoin have been proven, it doesn't stop people buying Bitcoin.
Even this year the demand for Bitcoin is very high and many institutions are buying Bitcoin too. So leave Warren Buffett with his own world.  

You can still try to interpret his words as like " if this is beyond my understanding, then I strongly do not recommend contacting it" And his "I don't understand" is akin in meaning to the words "I don't want to understand". Indeed, what can we say about a 90-year-old person, when people much younger than him in age express such thoughts. Here it is already worth talking about the rejection of bitcoin itself as a concept by such people.

Without a doubt his experiences have shaped who he is and especially his philosophy when it comes to trading and investing and when you take into account the world in which he was born then it is very understandable why he doesn't get the concept of bitcoin, but that is not the problem that we have with him, the problem is that he openly claims that he doesn't understand bitcoin and yet he is bold enough to call it rat poison and the question is how he can say that when he claims he does not understand bitcoin?

The logic of "will it change the way I chew gum" is obviously a metaphor. As in, will this new invention change the world and become the standard, or will it be a unique hobbiest item. Everybody knew that computers were a great thing even on the very very earliest days of it, however people didn't jumped into the ship right away and having a global computer world took some time obviously, if we were smarter we would have created a computer for every single person in a year and given that out and see what type of marvelous achievements everybody would had with them, it would return with a profit instead of a loss with that much cost at hand.

So the reason why we didn't was the fact that everyone assumed it would be a hobbiest item, like someone who is an engineer of sorts would have used it, and nobody else, but we all know that is not true right now. Buffet was talking about the differences there, he picked the wrong side but I get it.

Humans have their own perspective, and that mindset is what makes each human being unique.  Like Warren Buffet, he has a clear background in financial assets, especially in stocks.  He is an investor who is guided by the fundamentals of financial assets.  And that's fine.  Whatever it says at this point about Bitcoin, it will not change whatever the future holds.  For example, in 2011 he said he did not like gold because it was considered an unproductive and lazy investment.  But later in 2020, he bought gold which was said to be a non-productive asset.  Until the movement is considered a signal of the stock market crash.  What's the difference now with Bitcoin, I still believe that in the future Warren will change his mindset towards Bitcoin and become the next Bitcoin triumph.

Honestly at 90 years old, what do you expect from him? Dude was born in 1930, by comparison the world war 2 happened when he was a teenager, at 15 years old, nearly old enough to join it himself as well. Dude grew up in one of the worse periods of humanity, his father was a very rich man with a lot of money to spare, he started his career with 100k from his family to start investing and never had a troubled life ever, dude even drinks coca cola everyday and eats candy and french fries and still managed to live until 90, so we can safely assume he is one of the luckiest people in the world ever in history.

This doesn't discredit the fact that he is probably the greatest investor ever, rarely ever lost money and always had a sustained profit for decades, but when you are that good and everything goes great, why even try to learn about new things like bitcoin when you are 90?

Everything has its risk, if you are having a property which you have attained when the valuation was lower, then the risk is lower but if you are someone who recently purchased the property then there is a chance that the market could go down if there is an economic recession and that is the case with every other investment. Not tried any of the crypto holdings you mentioned, if it can survive the next 5 years then it is great as i highly doubt whether those will last.

In the 90's when Microsoft was getting going and Bill gates started to have some serious money.  and I might get this wrong since I heard the story many years ago.

Bill gates met Mr Buffett at a party of some sort and Mr Gates asked Mr Buffett to invest in Microsoft and Buffett said. " Will it change how I chew gum?" and didn't invest at that time in MS. 

His point was examined by people smarter then me and basically it was he saw the tech as changing fast enough to not understand it or where it was going and thus didn't invest.

He wanted then and still does very stable long term investments.   Bitcoin is anything but stable and while we wish and predict where its going the reality is Its Speculation with a lot of upside and seems to be gaining ground.   If you are interested in the details on the investing style, Phil Town runs a podcast called InvestED where is breaks down how Buffett and Munger function.   BTW Mr Town is worth 15 billion or so.  So I don't think hes full of crap.  He calls it Rule 1 investing.     Amazing simple the rule is :  Don't lose money.    And then goes about telling you how to not lose money.  And while I'm no expert And I'm not worth much I haven't yet lost money.

The speculators and investors seems to be at odds all the time they shouldn't be, they need each other.  Without speculators there would be nothing to invest in, and without investors there wouldn't be money to speculate.

I don’t really like engaging in this kind of arguments with people, when they start up things like this, I just tell them that Bitcoin wasn’t meant for things like this, I refer them back to when Satoshi Nakamoto created Bitcoin and what he had in mind, which was just to create a decentralized money and nothing else, but since it has a price and it fluctuates, people now sees it as a money making means, and there have been stories of those that became millionaires through it, and everyone now wants to be a millionaire through Bitcoin. Let’s not forget the main purpose for transactions, they are now trying to divert everything.

Personally I would not have any kind of problem with Warren Buffett if that was the explanation that he gave for why he did not invest in bitcoin and he leaved it at that, to me it is completely natural that you do not want to invest in something that you don't understand and if you are making already a lot of money in other investments then why bother with bitcoin? However despite not understanding the technology and why something like bitcoin exists he takes the time to criticize it and that's the main problem that I have with him.

That's if the tenants are all decent people. Sometimes they are not. Sometimes they damage your property, refuse to pay the rent and not even go away. My father had one tenant like that and it took 1 full year before he get rid of him.

My point is, he spent his time on this individual. Lost both his time and money. That's not passive income.

Of course sometimes you just get lucky and collect the rents without any trouble but it is getting more rare lately considering the financial situation of most families out there.

And if you have more than 10 tenants it is very likely that there will be at least one nut that's going to drive you crazy. If you keep your passive stance and ignore him, then he will live in your house free of charge. 

There are some people with visions which are limited, and there some people who think its unlimited supply of money that can be earned as well, you have to find the middle. People who always say "bitcoin is dead" or "bitcoin will die" type of things are wrong, there is really nothing that can kill bitcoin and it will always go higher and higher, but people should realize that there could be corrections or crashes in between as well, do not assume it will be a million dollars in a day, that is a bit wrong too.

I do not get why people think it is an "either or" situation, bitcoin doesn't have to die, it doesn't have to be a million dollars neither, it just needs to go high and that's it nothing more. It is going to take a while for bitcoin to reach 100k, or even a million dollars one day, but if you look at close levels you can see 50k is quite possible.