Charlie Munger doubles down on crypto FUD, “I’m not happy with my nation” for providing “crypto shit”

Charlie Munger has made it no secret that he’s no fan of crypto.

The Berkshire Hathaway Vice Chairman mentioned throughout a Every day Journal annual shareholder assembly on Feb. 15, that he was ashamed the US authorities has thus far taken such a lenient strategy at regulating it, preferring an all-out ban as a substitute.

Munger mentioned those that imagine in crypto are “idiots,” including that he sees no inherent worth within the asset whereas including that conventional currencies, however, have helped man evolve “from a profitable ape to a [successful] human.”

“It [crypto] isn’t even barely silly, it’s massively silly, and naturally it’s very harmful; the governments had been completely improper to allow it. And naturally, I’m not happy with my nation for permitting this crap — nicely, I name it crypto shit. It’s nugatory, it’s loopy, it’s not good, it’ll do nothing however hurt, and it’s delinquent to permit it.”

Munder added that he doesn’t see any rational argument for why a cryptocurrency should exist. “I don’t suppose there’s a rational argument in opposition to my place,” Munger mentioned.

On the presence of presidency in cash, Munger mentioned that currencies and international locations go hand in hand.

“You oughta be capable of state many points: how huge ought to the social security web be? That’s a spot the place affordable minds can disagree, and it’s best to be capable of state the case on the opposite aspect about it in addition to the case you imagine in,” Munger mentioned.

“However whenever you’re coping with one thing as terrible as crypto shit, it’s simply unspeakable,” he added. “I’m ashamed of my nation that so many individuals imagine in this sort of crap and the federal government permits it to exist.”

His feedback echo quite a few different statements he has given through the years, together with calling crypto a “venereal illness” and Bitcoin as “most likely rat poison squared.”

Feedback which have solely intensified after the collapse of FTX, as soon as one of many world’s largest crypto exchanges.

Along with investor Warren Buffet, the 2 Berkshire Hathaway leaders have expressed their utter discontent over crypto a number of instances. Their firm focuses on a various vary of holdings that embrace investments in sectors like insurance coverage, retail, power, finance, transportation, and manufacturing, and others. Between Munger and Buffet, the 2 have honed a extremely profitable funding thesis predicated on figuring out distressed firms with long-term development potential. Berkshire Hathaway has a present market capitalization of over $500 billion.

As of Feb 16., the overall market capitalization of cryptocurrencies was roughly $1.07 trillion, down from the height of over $2.7 trillion seen in November 2021.

Nevertheless, in 2023, Bitcoin and Ethereum have skilled a big rebound, together with different cryptos, rising by roughly 40% and 35%, respectively, year-to-date.