Charlie Munger wishes cryptos had never been invented, says China made correct decision to ban them
Billionaire investor Charlie Munger Friday criticised cryptocurrencies again. "I wish they had never been invented," he reportedly said at a Sohn conference in Sydney.
Munger said, "I admire the Chinese, I think they made the correct decision, which was to simply ban them," according to a CNBC report that quoted the Australian Financial Review.
During Berkshire Hathaway's annual shareholders meeting in May, the company's 97-year old vice-chairman, had said he hated the bitcoin success and believed 'the whole damn development is disgusting and contrary to the interests of civilization'.
But Munger is not alone in his disdain for cryptocurrency. His long-time partner and business magnate, Warren Buffett, has also echoed his long-time friend's opinions about bitcoin on several occasions.
"Cryptocurrencies basically have no value and they don't produce anything. They don't reproduce, they can't mail you a check, they can't do anything," Buffett said per a Business Insider report. "In terms of value: zero, " Buffett added.
Buffett has also reportedly referred to bitcoin as "rat poison squared" in meetings with investors.
Many others in the finance world are wary of cryptocurrencies and what they can bring to society. Michael Burry, the hedge-fund manager made famous by the Oscar-nominated movie 'The Big Short', has been complaining that no one is paying attention to crypto's leverage. He has said that bitcoin is on the precipice of collapse.
JPMorgan's Jamie Dimon has also often expressed his skepticism towards bitcoin. He had slammed the digital currency as "worthless," questioning if the supply of the legacy coin can in fact be capped at 21 million, per a Business Insider report from October. He had also earlier said he would not care even if bitcoin's price soars tenfold.
Institutional Investor Hall of Famer Richard Bernstein also sounded an alarm on bitcoin last week, warning it’s a bubble. Crypto fever is shifting investors away from market groups positioned to clock the biggest gains, particularly oil, he noted, per a CNBC report.
However, there are also a few influential billionaires who are proponents of cryptos. Elon Musk, the idiosyncratic CEO of SpaceX, has always been a big proponent of cryptocurrencies. His tweets have often directly impacted the price of particular crypto coins. Recently, he again endorsed Dogecoin by tweeting "dooooge" as a response to a coindesk story on Twitter.
Mark Cuban, the billionaire owner of the Dallas Mavericks NBA team, is optimistic about the future of DeFi. He is a big supporter of ethereum. Last month Cuban referred to himself as an "Ethereum Maxi" on the next with nova podcast. Cuban believes in the utility of ethereum and how the blockchain uses smart contracts to power blockchain-based projects.
(Edited by : Aditi Gautam)
First Published: IST