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Warren Buffett: Bitcoin Is Pure FOMO

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Re: Warren Buffett: Bitcoin Is Pure FOMO

#51

Post by nwah1 »

jopsen wrote: post #31
Kinnard wrote: post #6

Does Warren Buffett understand digital signatures?

The technology is not important to the value.

Understanding the technology isn't, necessarily. You just need to understand the value proposition, transaction fees, etc.

One can look at the balance sheets for TransferWise, and without understanding a single thing about HTTP, web services, SWIFT, or any other detail one can quickly get a sense that it is a viable business whose revenues exceed its costs, and whose prices are competitive.

Same is true here. Warren Buffet is famously skilled at precisely this sort of thing. Unfortunately for Bitcoin, he doesn't see the value.

Re: Warren Buffett: Bitcoin Is Pure FOMO

#52

Post by adamnemecek »

ec109685 wrote: post #46
juanmirocks wrote: post #27

Sending small to large quantities of wealth worldwide quasi instantly and with small fees does have a tremendous value. Ask families of immigrants. Buffet hasn’t even invested in digital tech stocks. IMO, even after all the huge respect he deserves, he doesn’t get this technology. Other than that, I don’t doubt that many current “investors” are only FOMO movers

What makes it so that Bitcoin will be the medium to send that wealth and not another coin if Bitcoin’s value is too volatile? Given you can have an infinite number of crypto currencies, should one necessarily dominate indefinitely?

The whole transaction can happen in a matter of hours tho. Bitcoin isn't that volatile. And you have to realize that is a means where there was previously none. Like it's not like the people doing this might have that many options.

That being said, I've also heard of western companies using Bitcoin to transfer money cause it's cheaper than via bank.

Re: Warren Buffett: Bitcoin Is Pure FOMO

#53

Post by oblio »

KasianFranks wrote: post #45

He's said in the past about technology and software that "I just don't understand it" then he gives advice to people telling them not to invest. Classic Buffett and if you think about that it makes no sense. He also famously missed out on the appreciation of technology sector from about the mid 90's onward. I wonder what he thought of Netscape giving away their product freely while also being one of the greatest IPOs…

1. He seems to be doing just fine.

2. Netscape, really? That was your best example of a thriving tech business? You're making his point for him :))

Re: Warren Buffett: Bitcoin Is Pure FOMO

#54

Post by rugffgbv »

juanmirocks wrote: post #27

Sending small to large quantities of wealth worldwide quasi instantly and with small fees does have a tremendous value. Ask families of immigrants. Buffet hasn’t even invested in digital tech stocks. IMO, even after all the huge respect he deserves, he doesn’t get this technology. Other than that, I don’t doubt that many current “investors” are only FOMO movers

>Sending small to large quantities of wealth worldwide quasi instantly and with small fees

Bitcoin Core cannot do that, Bitcoin Cash can.

https://np.reddit.com/r/BitcoinMarkets/comments/6rxw7k/infor... https://www.reddit.com/r/CryptoCurrency/comments/7cwfm5/some... https://twitter.com/gavinandresen/status/929377620000681984 https://twitter.com/VitalikButerin/status/930276246671450112

Re: Warren Buffett: Bitcoin Is Pure FOMO

#55

Post by pluma »

juanmirocks wrote: post #27

Sending small to large quantities of wealth worldwide quasi instantly and with small fees does have a tremendous value. Ask families of immigrants. Buffet hasn’t even invested in digital tech stocks. IMO, even after all the huge respect he deserves, he doesn’t get this technology. Other than that, I don’t doubt that many current “investors” are only FOMO movers

> Sending small to large quantities of wealth worldwide quasi instantly and with small fees does have a tremendous value.

Last I checked Bitcoin transactions are frequently prohibitively expensive for microtransactions if the transaction clears at all. OTOH I can send someone in my own country money from my bank account and expect it to arrive within a business day (or less).

Right now it doesn't look like BTC is a good medium for transferring money. It's immutable and publicly verifiable and maybe that's good for some kinds of transactions but I guess most people would raise privacy concerns over that (yes, you can get around that but you basically have to apply money laundering techniques).

Re: Warren Buffett: Bitcoin Is Pure FOMO

#56

Post by adamnemecek »

Cacti wrote: post #19
brndnmtthws wrote: post #13

It's interesting to note that most of the people who are pro-Bitcoin were born after 1980 or so. Could it be that Mr Buffett just doesn't get it?

Your argument is that one of the most successful investors in the history of mankind is physically incapable of understanding Bitcoin investment (or anything, for that matter) just because he's old?

He has a different worldview. He's made his money on old way of investing. Some of it applies, some doesn't. He would not be the first successful person to be wildly wrong about a new thing.

Re: Warren Buffett: Bitcoin Is Pure FOMO

#57

Post by oneeyedpigeon »

aphextron wrote: post #22

As someone completerly uninvested in this whole mania, I still see Bitcoin as something with an inherent value. The real problem right now is that nobody knows what that inherent value really is. Even if the price were to crash 100x tomorrow, Bitcoin would still have some value because of the energy expenditure involved with Proof of Work. Of course people that are "investing" in it now are simply gambling. But Bitco…

Energy expenditure alone cannot guarantee value. I can think of plenty of ways I could expend huge amounts of energy that wouldn't create value.

Re: Warren Buffett: Bitcoin Is Pure FOMO

#58

Post by PakG1 »

juanmirocks wrote: post #27

Sending small to large quantities of wealth worldwide quasi instantly and with small fees does have a tremendous value. Ask families of immigrants. Buffet hasn’t even invested in digital tech stocks. IMO, even after all the huge respect he deserves, he doesn’t get this technology. Other than that, I don’t doubt that many current “investors” are only FOMO movers

It's only very recently that he's started investing in tech stocks at all. And he's never on the leading edge. He's always been very clear about this. He doesn't want to invest in things that are bleeding edge and that he doesn't understand, and he's proud to say it.

Re: Warren Buffett: Bitcoin Is Pure FOMO

#59

Post by 0xFFC »

nugi wrote: post #15
down wrote: post #9

Bitcoin saves lives in Venezuela, you people need to get your head from your asses, first world is not the only world.

And bitcoin also pays for murders, launders money, etc. I feel, just as cash, it is quite ethics agnostic. Not knocking cryptocoin, just don't pretend it is a singular force for good. It is representation of capitol, albeit in a unique way.

>And bitcoin also pays for murders, launders money, etc.

From scientific perspective this is not true. Bitcoin is way more open and traceable than good old dollars.

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