Why Warren Buffet Will Never Invest in Bitcoin Despite its Rapid Surge

Warren Buffet
Warren Buffet

Billionaire investor Warren Buffett has been very vocal that he doesn’t like Bitcoin (BTC), which currently attracting some billionaires and institutional investors. The cryptocurrency surged from $17,500 on December 11 to an all-time high of $29,500 on 31 December 31,  a 66% increase in 20 days. 

Many Bitcoin investors are bullish that the cryptocurrency will continue to rally. In fact, an increasing number of investors prefer the cryptocurrency over gold as a hedge against inflation. Their belief will not sit well with Buffet, who also dislikes gold.

Warren Buffett called Bitcoin a “rat poison” that will result in a “bad ending”

Buffett, the Chairman and CEO of the multinational conglomerate Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) is worth a striking $87.5 billion. He called Bitcoin “probably a rat poison squared” in an interview with CNBC in 2018, and advised investors to not invest in the cryptocurrency.

“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 said then. “If I could buy a five-year put on every one of the cryptocurrencies, I’d be glad to do it but I would never short a dime’s worth,” Buffett said.