Charlie Munger, who is Warren Buffett’s long-time business partner and the Vice Chairman of Berkshire Hathaway, lambasted cryptocurrencies once again and called for it to be banned. “I admire the Chinese for banning it. I think they were right and we have been wrong to allow (crypto trading),” he said. Munger, who has been a longtime crypto critic, compared it to a “venereal disease” and said he considers it “beneath contempt”. This is not the first-time that Munger has spoken critically about crypto.
The billionaire investor was speaking at the annual meeting of the Los-Angeles based newspaper Daily Journal Corp Wednesday. When asked about his view on crypto and if he thinks he has missed an opportunity by not investing, Munger said “I certainly didn’t invest in crypto. I’m proud of the fact that I avoided it. It’s like some venereal disease.. I just regard it as beneath contempt. Some people think it’s modernity, and they welcome a currency that’s so useful in extortions and kidnappings, (so on and so forth)..tax evasion,”.
In the past, Munger has compared cryptocurrencies to gambling. He reiterated the same view Wednesday and said cryptocurrency is run by a bunch of people who want to get rich quick for doing very little for civilization.
Munger compares crypto to gambling
“If I were a benign dictator of the world, I would make it infeasible to make short term gains in securities because we now mix up the legitimate activity (of) capital raising for enterprises that need money to do their capitalistic function, with a gambling casino where people come in and gamble. And those two functions when they’re mixed, as they are in stock market or bitcoin, (they) create a speculative mess and it’s dangerous for the republic,” he said.
Responding to a question on Robinhood chief executive saying that Warren Buffets and Charlie Mungers of the world don’t understand crypto, Munger candidly said that most most old men don’t understand but I think we do understand it. “Most of the people think Warren and Charlie don’t understand it, I think we do understand it and we know its not good for our republic and we know we can’t do anything about it. So we spend our time on matters that we can do something about,” he said.