Benzinga - by Shanthi Rexaline, Benzinga Editor.
Berkshire Hathaway, Inc.’s (NYSE:BRK) (NYSE:BRK) fourth-quarter earnings report released Saturday showed that the Warren Buffett-led company’s cash swelled to over $167 billion. One Bitcoin (CRYPTO: BTC) bull, that same day, expressed hope that the investment guru would consider investing some of the firm’s surplus cash in the apex crypto.
What Happened: On Twitter, formerly X, Anthony Scaramucci asked, “Wouldn’t [it] be ironic if he [Buffett] winds up buying #bitcoin as a hedge for his cash?” The former investment banker acknowledged that the late Charlie Munger, who served as Buffett’s trusted lieutenant until he passed away last November, hated cryptocurrency.
Scaramucci also noted that Buffett never bought Microsoft shares despite playing bridge with Bill Gates every month and that he now owned Apple.
“Never say never, said Scaramucci, apparently reflecting his wishful thinking.
I know Charlie Munger hated crypto. Warren Buffett never bought Microsoft even though he played bridge with Bill Gates every month. And now he owns Apple. Wouldn't be be ironic if he winds up buying #bitcoin as a hedge for his cash ? Never say never.— Anthony Scaramucci (@Scaramucci) February 24, 2024
Why It’s Important: In 2013, Munger called Bitcoin “rat poison” in 2013. Five years later, when he was asked to revisit his view on the crypto, which had significantly increased in value by then, he said it was an “expensive rat poison.” His aversion to Bitcoin was primarily due to its volatility and a lack of regulatory framework.
Buffett himself did not hold any better view about the crypto. In an April 2023 CNBC interview, the investment guru called Bitcoin a “gambling token” and dismissed it as something that doesn’t have any intrinsic value. He, however lamented the fact that it hasn’t stopped “people from wanting to play the roulette wheel.”
Buffett advocates for the value investment strategy, which involves purchasing securities that are trading below their intrinsic value.
Reacting to Scaramucci’s post on X, followers commented that Buffett might never buy the crypto as he would never admit that he was wrong. Another said, “Warren Buffett's legacy would be cemented as the GOAT if he buys #Bitcoin.”
Bitcoin has rallied strongly in 2023, ending the year as one of the best-performing assets, and the momentum has carried over into 2024. On Feb. 12, the crypto broke above the $50,000 mark for the first time in over two years.
At last check, Bitcoin traded up 0.06% at $51,465.60, according to Benzinga Pro data.
Read Next: ‘The Architect’ Of Berkshire Hathaway: Read Warren Buffett’s Emotional Annual Letter About Late Charlie Munger’s Passing
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