Buying Bitcoin “Is Not Investing” Says Billionaire Investor Warren Buffett

Francisco Memoria
  • Billionaire investor Warren Buffett claims buying bitcoin isn't investing.
  • According to him, buying cryptocurrencies is speculating, as people just want others to buy at a higher price later on.

Berkshire Hathaway CEO and billionaire investor Warren Buffet has recently stated he believes buying cryptocurrencies like bitcoin “is not investing,” and laid out his thoughts on the crypto market during an interview with Yahoo Finance in Omaha.

According to the investor, there are two kinds of items people buy when they think they’re investing. He explained that “one really is investing, and the other isn’t.” Bitcoin, per Buffett, isn’t.

The CEO then compared investing in cryptocurrencies to other investments. He said:

“If you buy something like a farm, an apartment house, or an interest in a business… You can do that on a private basis… And it’s a perfectly satisfactory investment. You look at the investment itself to deliver the return to you. Now, if you buy something like bitcoin or some cryptocurrency, you don’t really have anything that has produced anything. You’re just hoping the next guy pays more.”

Warren Buffett

Buffet continued, adding that buying bitcoin and other cryptocurrencies isn’t investing, but speculating. Although he claimed there’s nothing wrong with speculating, he implied cryptocurrency users just buy so someone else buys at a higher price later on, which to him is a “kind of game.”

Per his words, if regulators stopped people from trading farms, apartments, or even equities, investors would still do fine. If the same happened to “some bitcoin which nobody knows exactly what it is,” people wouldn’t want to buy.

Notably, the billionaire has earlier this year poured contempt on the cryptocurrency industry, stating that he can say “almost with certainty” that cryptocurrencies would come to a bad ending.

During an interview on CNBC’s “Squawk Box,” Buffett was asked if he had considered opening a futures position to short the market. He revealed he wouldn’t do it, as he gets into enough trouble with things he knows something about, so asked “why in the world” should he take a short position in something he “knows nothing about.”

Nevertheless, he maintained cryptocurrencies would come to a bad ending, and added Berkshire Hathaway doesn’t own or short any cryptocurrencies, and “will never have a position in them.”

NFL Players Seem to Be Starting to Get Interested in Bitcoin

Siamak Masnavi

30-year-old Russell Okung is an American football offensive tackle for the Los Angeles Chargers, a member club of the Conference West division of the National Football League (NFL). On May 14, he came the first NFL player to say that he would like his salary to be paid in Bitcoin (BTC). And since then, some other NFL players have revealed their interest in Bitcoin


It all started with the following tweet from Russell on May 14:

As you can imagine, this tweet sent Crypto Twittter wild with excitement, with so far 1.2K Retweets and 6.2K Likes.

A few minutes later, Russell sent out the following tweet:

The most interesting reply to this second tweet came from 28-year-old Matt Barkley, a quarterback for the NFL team Buffalo Bills:

But perhaps an even more surprising tweet from Matt was this one:

These tweets prompted Anthony Polpliano (aka "Pomp"), a Founding Partner at Morgan Creek Digital Assets, to compliment both players for their awareness of and their interest in Bitcoin:

When Russell asked the community what was their favorite exchange for trading, the community recommended various exchanges (including Binance, Bittrex, and Gemini), but perhaps the best reply came from John Carvalho, the Chief Commercial Officer (CCO) at Bitrefill, who gave Russell this advice:

Later that day, when someone asked Russell how his teammates feel about the idea of being paid in Bitcoin, Russell said that he was "talking to them about it right now."

Since then, here is what Russell has been up to:

  • bought the book "The Bitcoin Standard" (by Saifedean Ammous);
  • started listening to podcasts by Laura Shin, Anthony Pompliano (aka "Pomp"), and Marty Bent;
  • said that he is long Bitcoin and that Bitcoin "has changed the way" he looks at the world; and
  • started reading about BTC forks.

On Saturday (May 25), Russell revealed that two other NFL players are asking him about Bitcoin:

What makes Russell's interest in Bitcoin especially interesting and important is that he is not just any NFL player -- he is the Vice President of the NFL Player's Association (NFLPA).

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