The Berkshire Hathaway vice-chair compares crypto to the dot-com era and blames crypto projects for selfishness.
As 97-year-old investment veteran Charlie Munger continues scolding cryptocurrencies like Bitcoin (BTC), the crypto community quickly responded to his latest comments.
On Friday, the vice-chairman of Warren Buffett’s Berkshire Hathaway spoke of crypto at Australia’s investor event, the Sohn Hearts & Minds Conference, reiterating his extreme skepticism to the industry, local news agency The Sydney Morning Herald reported.
A known cryptocurrency naysayer, Munger has provided some fresh remarks on the crypto industry, arguing that the current crypto ecosystem is even crazier than the dot-com era overall. “I think the dot com boom was crazier in terms of valuations than even what we have now,” he noted.
Munger also stressed that he supported China’s latest attempt to ban cryptocurrency and crackdown on “some of the exuberances” of capitalism, stating:
“Believe me, the people who are creating cryptocurrencies are not thinking about the customer, they are thinking about themselves […] I want to make my money by selling people things that are good for them, not things that are bad for them.”
Several people in the crypto community have subsequently reacted to Munger’s latest comments on Bitcoin. Many pointed out that the inability to understand new tech like Bitcoin at his age is not a surprise.
“I’m never going to buy a cryptocurrency. I wish they’d never been invented,” Munger added.
Imagine, he is 97 years old.
He was alive when ford invented the Model T (almost).
I guess holding stocks takes ages to make a profit. Leave the poor man alone, he is just shocked we are pumping 1300% weekly.
Different times old man.
— The Crypto Head (@TheCryptoHead) December 3, 2021
Synthetix founder Kain Warwick also emphasized that despite Munger’s willingness to make money by selling good things, Berkshire Hathaway is the largest shareholder of Coca-Cola, which is supposed to be a “significant contributor to many health conditions.”
Charlie munger: I want to make my money by selling people things that are good for them, not things that are bad for them.
Also Charlie Munger: load up on some more of that high fructose corn syrup kiddies! Isn’t it just dandy! https://t.co/xnefgTmLho
— kain.eth ⚔️ (@kaiynne) December 3, 2021
Jamil Hasan, program director of crypto and blockchain podcast series The Crypto Corner, noted that the industry should not be bothered by Munger not investing in crypto: “I’m ok if Charlie Munger doesn’t buy crypto. I’m certain there are some things that Charlie buys that I don’t need.”
Some crypto industry players also emphasized that China attempted to ban Bitcoin multiple times over the past eight years, but it did not prevent the cryptocurrency from surging over 5,000%.
Charlie Munger: I’m glad China banned #Bitcoin
Bitcoin: Up 5585% since China’s first ban in 2013 pic.twitter.com/Pu6MdsBJxZ
— Blockworks (@Blockworks_) December 3, 2021
Related: Institutional managers bought the dip as crypto funds see $154M in weekly inflows
While some investment legends like Munger keep maintaining a hard stance on crypto, other investment giants such as SkyBridge Capital are getting increasingly bullish on Bitcoin. As such, Anthony Scaramucci’s platform for investing in hedge funds grew its exposure to crypto-related assets by nearly 150% in Q3.