Warren Buffet avoids cryptocurrencies due to volatility, lack of tangible value, and hype

From Nasdaq.

March 09, 2025 08:48 AM:

Legendary investor Warren Buffett tends to avoid cryptocurrency due to its volatility and hype-driven sentiment. In 2018, he called Bitcoin “rat poison squared” and predicted a bad ending for all cryptocurrencies. Despite this, the crypto market has seen recent gains, with Bitcoin rising 30% since November 2024. Buffett indirectly invested in crypto through Berkshire Hathaway’s stake in a Brazilian banking firm with a crypto platform. However, Buffett remains critical of Bitcoin, stating he wouldn’t pay $25 for all the Bitcoin in the world. Cryptocurrency has gained acceptance for various purposes globally, but it doesn’t align with Buffett’s investment criteria, which focuses on established companies with tangible value and income. Buffett prefers companies with strong financials, talented management, and a loyal customer base, which cryptocurrency lacks.

Read more at Nasdaq: Why Warren Buffet Avoids Cryptocurrencies Despite Their Hype