Topic: Warren Buffett & "Rat Poison" - page 4. (Read 697 times)

Warren Buffett follows a school of thought that is outdated.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?

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.

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.

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.

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.

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

"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??  

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.

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.

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.

...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.

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

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.




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,"