R .IP Charlie Munger, vice chairman of Berkshire Hathaway and a leading figure in the investment industry, passed away on November 28, 2023, at the age of 99, just shy of his 100th birthday in 2024 January 1) is only one month away.
Charlie Monger was born in Omaha, USA, in 1924. He grew up in a legal family. He completed his law degree at Harvard Law School and worked as a real estate lawyer before becoming Warren Buffett's right-hand man. . Starting in the 1960s, the two worked together to build Berkshire Hathaway into a US$782.96 billion investment giant, ranking ninth in the world by market value .
However, in the emerging field of cryptocurrency, Monger has always been opposed and even harshly criticized . Monger’s death means we won’t be able to see whether he will change his views on cryptocurrencies. The following content will review and summarize Monger’s fierce criticism of the cryptocurrency field.
Monger’s Criticism and Skepticism of Cryptocurrency
Cryptocurrency is a house-wins gamble!
In February this year, Monger pointed out in the original article published in the "Wall Street Journal" that the attributes of cryptocurrency are not currencies, commodities or securities as people think, but "gambling contracts" where the banker has all the advantages, and said that China's strict encryption A ban is the right choice.
Further reading: Charlie Monger: Cryptocurrency “is rampant capitalism”! MicroStrategy CEO: He doesn’t have time to study Bitcoin
Cryptocurrency is an STD, syphilis!
In February of this year, Monger called Bitcoin "the stupidest investment" and predicted that most cryptocurrencies will eventually return to zero. In February 2022, "Forbes" reported that he compared cryptocurrencies to "venereal diseases" and expressed his disdain at all; adding that he believed that people adopted cryptocurrencies because of its role in illegal activities such as extortion, kidnapping, and tax evasion. Very useful in activities.
Cryptocurrency helps crime!
In May 2021, Monger expressed his distaste for the success of Bitcoin, believing that it was too beneficial to kidnappers and scammers and caused damage to civilized society.
Extended reading: Buffett Shareholders Meeting | Charlie Monger: The development of Bitcoin is “disgusting” and goes against the interests of civilized society
Bitcoin is a poison gas bomb!
Earlier this month, Monger believed that cryptocurrency was a destructive and unproductive invention that had caused serious interference to the traditional financial system, likening Bitcoin to a "poison bomb" thrown at the traditional financial system. As early as the end of 2021, he expressed his hope that cryptocurrency would never be invented.
Bitcoin is destroying the financial system!
At the same time, he also stated that he valued the role of traditional currencies (such as shells and gold coins) in the development of civilization, but pointed out that Bitcoin, as an "artificial" currency, destroyed the long-term effective financial system.
Bitcoin cannot replace fiat currency!
In 2021, Monger argued that Bitcoin was unsuitable as a medium of exchange for the world due to its high volatility.
Bitcoin is artificial gold!
In 2021, Monger regarded Bitcoin as an "artificial" alternative to gold, but since he does not invest in gold himself, he will not buy Bitcoin. In addition, he also described Bitcoin as "something you can't eat."
Extended reading: Buffett’s old partner | Charlie Monger: Bitcoin “cannot become” the world’s medium of exchange; but it is indeed an artificial gold substitute
To sum up, Charlie Monger has a strongly critical and conservative attitude towards cryptocurrencies. He views cryptocurrencies more like gambling contracts and links them to illegal activities. Monger is disgusted by the success of Bitcoin and believes it is harmful to society. He maintains that due to high volatility, Bitcoin is unsuitable as a medium of exchange and will not be an effective substitute for gold. These views reflect his suspicion of emerging financial technologies and his insistence on traditional financial values.
