Warren Buffett on Bitcoin

Warren Buffett has consistently maintained a strongly negative stance on Bitcoin and cryptocurrencies in general, primarily because they are non-productive assets that do not generate intrinsic value through use or output. He famously described Bitcoin as “probably rat poison squared” in 2018 and reiterated his position by stating he would not accept all the Bitcoin in the world, even if offered for just $25, because it would have to be sold back to someone without producing anything in return. This perspective is rooted in his core investment philosophy, which prioritizes owning assets that generate tangible economic output, such as businesses, real estate, or farmland, contrasting sharply with digital assets that he views as reliant purely on speculation or the hope of a greater fool buying at a higher price.

This skepticism extends to digital assets being treated as currency or an inflation hedge, which he contrasts with government-backed fiat currency he was holding up as an example of a universally accepted medium of exchange. While some reports suggest his holding company, Berkshire Hathaway, has made indirect investments in firms with crypto platforms, Buffett himself has not wavered in his direct criticism of the asset class. His long-time collaborator also shared his disdain, adding to the unified opposition from the Berkshire Hathaway leadership against what they consider a departure from sound, value-based investing principles.