Warren Buffett Likens Bitcoin to Gambling and Chain Letters in Recent Interview

Financial tycoon Warren Buffett, one of the most successful investors in history, discussed bitcoin in an interview on CNBC’s Squawk Box on April 12. As in previous interviews, the business tycoon likened bitcoin to the gambling schemes and chain letters he received as a child.

Buffett offered two opinions on Bitcoin and warned against making a living “trying to bet against the house”

It is well known that Warren Buffett does not like bitcoin, and he once said that he would not buy all the bitcoin (BTC)in the world for $25. Buffett is also known to have said that bitcoin “would be rat poison squared,” and in an April 12 interview on CNBC’s Squawk Box, he reiterated his distaste for this leading cryptocurrency

, he summarized Bitcoin as a “gambling token” and claimed that there was a “gambling explosion” in the world.

The Oracle of Omaha told the CNBC broadcaster that he likes to bet on football games because it “makes it more interesting.” However, he also warned that he “wouldn’t try to make a living betting against the house.” Buffett suggested that the stimulus package may have increased the willingness to gamble. The investor said, “Millions of people got their checks and their money, and they knew they had roulette in the comfort of their own homes.” When asked specifically about the major crypto assetBitcoin (BTC),

Buffett said

Bitcoin is a gambling token and has no intrinsic value. But that doesn’t stop some people from wanting to play roulette.

In his gambling rhetoric, Buffett also makes a comparison to chain letters. A chain letter is snail mail, in layman’s terms, a message in which the recipient promises to forward the message to a certain number of people and receive some benefit in return. Buffett explained on CNBC, “I never liked chain letters as a kid. I thought, ‘Why on earth would I send a chain letter when I could start my own?'”

Berkshire Hathaway’s chairman and CEO clearly does not like bitcoin, but he is known for his aptitude for investing. Berkshire Hathaway owns several well-known companies, including Geico, Fruit of the Loom, Duracell, BNSF Railway, See’s Candies, Clayton Homes, Pampered Chef, and Dairy Queen. According to the latest datafrom companiesmarketcap.com, Berkshire Hathaway (BRK-B) is listed as the eighth largest market cap in the world in terms of assets. Bitcoin (BTC), on the other hand, is listed as the 10th largest market capitalization in the world, according to the same site.

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