Speaking to the Annual Shareholders meeting of Berkshire Hathaway, Munger said that someone had created Bitcoin out of thin air. He also criticized BTC’s extreme volatility and the lack of regulation. The leading cryptocurrency bitcoin gained nearly 5% in the last 24 hours. At the time of writing, Bitcoin is trading above $58,000 with a more than $1.1 trillion market cap. Bitcoin has witnessed a massive winning rally this year as its price reached above $64,000 for the first time.
“I hate the bitcoin success.”
“I hate the Bitcoin success. I don’t welcome a currency that’s so useful to kidnappers and extortionists and so forth, nor do I like just shuffling out of your extra billions of billions of dollars to somebody who just invented a new financial product out of thin air,” Munger said during Berkshire Hathaway’s Q&A session. Commenting about the status of Bitcoin as a substitute for Gold, Munger said that he never bought Gold or BTC. “I think I should say modestly that the whole development is disgusting and contrary to the interests of civilization,” he added.
Warren Buffet and many others have also criticized bitcoin.
Berkshire Hathaway’s vice chairman comments are similar to Warren Buffett’s views about Bitcoin and other digital currencies. In 2018, Buffett called BTC ‘worthless’ and ‘rat poison.’ Several economists and billionaires have criticized Bitcoin for its volatility and lack of use as a currency in the past. As reported earlier, the well-known Real Time talk show host Bill Maher ran a segment on his show thrashing cryptocurrencies. He called bitcoin an environment destroying the Ponzi scheme. Despite this constant criticism, bitcoin has managed to perform quite well as the price of the leading cryptocurrency continues to stay above $58,000.