Cryptocurrencies to end in tears, says investor wizard Warren Buffett

Old man shouts at a bubble he admits he does not understand


Famed investor Warren Buffett has predicted a nasty landing for cryptocurrencies.

"In terms of cryptocurrencies, generally, I can say with almost certainty that they will come to a bad ending," the chairman and CEO of Berkshire Hathaway told CNBC in an interview.

Later in the interview he added: "I think what is going on will definitely come to a bad ending."

Buffett didn't explain the reason for his dire predictions, but has previously expressed concern about cryptocurrencies' lack of intrinsic value.

When Buffett speaks, investors listen because during his time at Berkshire Hathaway the firm has comfortably outperformed the markets and other investment vehicles.

But in the interview Buffett admitted that he is not knowledgeable about cryptocurrencies.

"I get into enough trouble with things I think I know something about, why should I take a long or short position in something I don't know about?" he asked. He then added he's meeting students on Friday and expects they'll ask him about Bitcoin, but "I won't have the answers."

Nor will he ever have an investment in cryptocurrencies. "We don't own any, we are not short any, we will never have a position," he said.

Buffett did, however, joke that announcing Berkshire Hathaway would do something in cryptocurrencies would likely pique investor interest, a reference to incidents like Kodak's rebirth as a cryptocurrency player and the sudden share price surge after the Long Island Iced Tea Corp renamed itself Long Blockchain. ®

Similar topics


Other stories you might like

  • It's one thing to have the world in your hands – what are you going to do with it?

    Google won the patent battle against ART+COM, but we were left with little more than a toy

    Column I used to think technology could change the world. Google's vision is different: it just wants you to sort of play with the world. That's fun, but it's not as powerful as it could be.

    Despite the fact that it often gives me a stomach-churning sense of motion sickness, I've been spending quite a bit of time lately fully immersed in Google Earth VR. Pop down inside a major city centre – Sydney, San Francisco or London – and the intense data-gathering work performed by Google's global fleet of scanning vehicles shows up in eye-popping detail.

    Buildings are rendered photorealistically, using the mathematics of photogrammetry to extrude three-dimensional solids from multiple two-dimensional images. Trees resolve across successive passes from childlike lollipops into complex textured forms. Yet what should feel absolutely real seems exactly the opposite – leaving me cold, as though I've stumbled onto a global-scale miniature train set, built by someone with too much time on their hands. What good is it, really?

    Continue reading
  • Why Cloud First should not have to mean Cloud Everywhere

    HPE urges 'consciously hybrid' strategy for UK public sector

    Sponsored In 2013, the UK government heralded Cloud First, a ground-breaking strategy to drive cloud adoption across the public sector. Eight years on, and much of UK public sector IT still runs on-premises - and all too often - on obsolete technologies.

    Today the government‘s message boils down to “cloud first, if you can” - perhaps in recognition that modernising complex legacy systems is hard. But in the private sector today, enterprises are typically mixing and matching cloud and on-premises infrastructure, according to the best business fit for their needs.

    The UK government should also adopt a “consciously hybrid” approach, according to HPE, The global technology company is calling for the entire IT industry to step up so that the public sector can modernise where needed and keep up with innovation: “We’re calling for a collective IT industry response to the problem,” says Russell MacDonald, HPE strategic advisor to the public sector.

    Continue reading
  • A Raspberry Pi HAT for the Lego Technic fan

    Sneaking in programming under the guise of plastic bricks

    There is good news for the intersection of Lego and Raspberry Pi fans today, as a new HAT (the delightfully named Hardware Attached on Top) will be unveiled for the diminutive computer to control Technic motors and sensors.

    Using a Pi to process sensor readings and manage motors has been a thing since the inception of the computer, and users (including ourselves) have long made use of the General Purpose Input / Output (GPIO) pins that have been a feature of the hardware for all manner of projects.

    However, not all users are entirely happy with breadboards and jumpers. Lego, familiar to many a builder thanks to lines such as its Mindstorms range, recently introduced the Education SPIKE Prime set, aimed at the classroom.

    Continue reading

Biting the hand that feeds IT © 1998–2021