Markets

Bill Gates Recent Comment on Bitcoin

Bill Gates Recent Comment on Bitcoin

Though virtual currencies are just nothing more than insane investments, according to Gates, like other cryptocurrency skeptics he still believes that blockchain itself as a separate technology can be rather useful.

Berkshire's Vice Chairman Charlie Munger has referred to bitcoin as "total insanity" and has cautioned would-be investors to avoid it "like the plague". He even stated that he would wager on all of the cryptocurrencies slipping over the next five years, although he also said, "I would never short a dime's worth".

"If people react when you criticise their investment, if they get mad, they're gambling..."

Bitcoin's price dropped after Buffett's criticism of the cryptocurrency.

Billionaire and Microsoft founder Bill Gates is very skeptic about the cryptocurrency and says that he would like to bet against Bitcoin if he had such an opportunity.

According to CNBC's Becky Quick, Buffett told her before Berkshire Hathaway's annual meeting on Saturday that bitcoin is "probably rat poison squared". At one time in October 2017, the billionaire said the Bitcoin had entered the bubble territory and that it was going to implode. He also said that bitcoin is a "greater fool theory" kind of investment. For example, Buffett has acknowledged that he regrets not getting in on Amazon years ago.

"As an asset class, you're not producing anything and so you shouldn't". At a time when Bitcoins and other cryptocurrencies have witnessed a gradual decline after last year's high, Buffett suggested that buyers of Bitcoin "thrive on hope" that they will find other people who pay more for it. Bill Gates and Warren Buffett have taken turns criticizing the currency over the past few days - with their negative opinions perhaps part of the reason for the recent downturn in value.

The report added that the plan has "not been finalized and the project could still fall apart", but the mere fact that it is even being considered adds to growing mainstream acceptance of bitcoin as an asset class that has a legitimate objective for investment.

Buffett and Charlie Munger, vice president of Berkshire, consider themselves masters. In 1997, shortly after Jobs' return to Apple, he announced a controversial deal in which Microsoft invested $150 million in Apple, agreed to support Office for Mac, make Microsoft Explorer the default browser on Macs, and settle that lawsuit. So much so that a question about the soundness of investments in digital currencies was also raised during the Berkshire assembly.