Warren Buffet & Bill Gates Not Happy with Digital Currencies

At this time, it is well-known that statements made by influential people can have an impact on cryptocurrency prices. Such an event only happened recently, as both Warren Buffet and Bill Gates, two of the richest people in the world, made bearish statements against Bitcoin.

With this in mind, Warren Buffet has always been against bitcoin, as he has made numerous statements regarding the currency in the past. For instance, Buffet referred to it as ‘rat poison squared’, and mentioned that people investing in the digital currency are bound to lose a large amount of money. Not only this, but he also talked about how he will never invest in digital currencies, and how he does not understand the financial asset.

Following the statement, bitcoin’s rally towards $10,000 was abruptly stopped, as the coin’s price began falling once again, down to the $9,000 threshold. However, many digital currency experts do not agree with Buffet’s statements, saying that he has little to no experience with digital currencies or the technology behind them, hence the reason for his dismissal of cryptocurrency market.

Apart from Warren Buffet, Bill Gates, who has held the position of the world’s richest person for years on end, mentioned that: ‘I would short it if there was an easy way to do it’, as part of an interview. In the past, Gates also expressed numerous concerns regarding how digital currencies can be used as a method of payment for illegal transactions, and how cryptos have already ‘caused deaths in a fairly direct way’. Well, when analysed from a critical standpoint, this statement cannot be backed up by facts, given the fact that all liquid currencies have been used for illegal transactions, either as cash, or online payments via various methods.

However, Gates does believe in the future of blockchain technology, and only things that ‘ICOs and Bitcoin are not producing anything, it’s kind of a pure greater-fool-theory type investment’.  Theoretically, ICOs produce two things: start-ups with innovating ideas, and profits for investors, despite the risks involved.