Charlie Munger, vice chairman of Berkshire Hathaway (NYSE:BRKa) and long-time collaborator with Warren Buffett, has voiced his criticism of Bitcoin and other cryptocurrencies during a Wall Street Journal interview today, Sunday. The billionaire investor, who has a net worth close to $3 billion, compared the rise of Bitcoin to launching a "stink ball" into the traditional financial system. Munger believes that the financial system is crucial in the transition from primitive societies to advanced civilizations, and views Bitcoin as a disruptive factor.
In recent times, Munger's critique of cryptocurrencies has intensified, leading him to call for an outright ban on these digital assets. He dismisses them as "gambling contracts" rather than legitimate investments.
In terms of investment guidance, Munger suggested that average investors would benefit more from investing in index funds rather than attempting to choose individual stocks without any clear advantage. This advice aligns with his long-standing approach to promoting simple and effective investment strategies over complex and risky ones.
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