Warren Buffet Is Pretty Certain That Cryptocurrencies Will End Badly

Discussion in 'HardForum Tech News' started by Megalith, Jan 14, 2018.

  1. Megalith

    Megalith 24-bit/48kHz Staff Member

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    One of the most successful investors in the world has doubled down on his skepticism toward cryptocurrencies: Warren Buffet seems convinced that bitcoin and other crypto “will come to a bad ending." While his comments have already been thoroughly criticized, Buffet is probably just being cautious and not investing because he doesn’t know enough about it.

    Buffett said he would not take a short position on bitcoin futures. "We don't own any, we're not short any, we'll never have a position in them," he said. "I get into enough trouble with things I think I know something about," he added. "Why in the world should I take a long or short position in something I don't know anything about."
     
  2. M76

    M76 [H]ardForum Junkie

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    Never thought the day would come.
     
  3. DeathFromBelow

    DeathFromBelow [H]ardness Supreme

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    He's always been big on actually understanding your investments. He gave similar advice before and after the .com bubble.
     
  4. Master_shake_

    Master_shake_ [H]ardForum Junkie

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    what is the worst that would happen if the bottom fell out of the crypto market?
     
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  5. PhaseNoise

    PhaseNoise 2[H]4U

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    We can buy midrange GPUs for gaming again!
     
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  6. oblox

    oblox Gawd

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    I know nothing about something so I am going to comment on it... cool.

    Someone quick, phone up the Kardashians for thoughts on how to handle the USA/NK situation.
     
  7. Semantics

    Semantics 2[H]4U

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    A market that is fueled not by purchasing like real currencies but rather speculation meaning it's closer to just flat out gambling.
     
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  8. Tiberian

    Tiberian DILLIGAFuck

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    Of course they'll end badly, all of them have long since (yes, even for the new ones) been perverted from their original ideas as a new form of currency that provides anonymity and security into being nothing more than a commodity that fucking stupid people are putting excessive value upon.

    I really wonder what "Satoshi Nakimoto" does or would (assuming he/she/it is still alive) think about the situation. Yes I suppose some people are doing well speculating on value and exploiting that stupidity of people, and yes I'll admit that I regret losing the 3 bitcoin I had from mining long long ago but, that's how it goes nowadays and that's basically that.

    Buffet is a very rare individual and he's had a proven track record of success so, he's probably the one individual in any financially related fields that people should actually listen to but, alas, stupidity will overtake the masses as usual and cause a lot of damage before those idiots realize it.
     
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  9. Twisted Kidney

    Twisted Kidney 2[H]4U

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    Suddenly there are American Dollars, American Dollarinos, American Dollarydoos, America Buckeehoosits, American Spendybits, American Monetyboneties, American Coinieboingers, American Paperpoopers, American Pennypointers, American Murkabucks, American Moneybunnies and a thousand other currencies in the USA.

    Now the market is driven by fools as they jump from one currency to the next, speculating for a better return. The result is crash after crash after crash. The problem is not the e-coins themselves but the endless, pointless proliferation of new coins. The whole purpose has been lost, now it's all lottery tickets fuelled by big dreams.

    Fortunately the tech is still excellent, it's worth keeping. Even if all of the Johnny-come-latelies are wiped out.
     
  10. Riptide_NVN

    Riptide_NVN [H]ard|Gawd

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    A lot of them seem to be just flat pump and dump scam/shit coins. You can still make money off them if you play your "coins" right. Some of them have actual feature sets and offer something different or improved. Lots of shades of gray with these coins as far as that goes.
     
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  11. Tiberian

    Tiberian DILLIGAFuck

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    SOMUCHWIN.jpg
     
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  12. SixFootDuo

    SixFootDuo [H]ardness Supreme

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    I have a 1080 ti system on craigslist in Kansas City ... just got an offer for $3,000. Might take it. Probably won't.
     
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  13. WhoBeDaPlaya

    WhoBeDaPlaya 2[H]4U

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    We'd get a glut of $200 1070s. Oh noes! :p
     
  14. craigdt

    craigdt [H]ard|Gawd

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    At this point, I'm making more money mining than what I would have with the rental house I almost bought.

    Much much lower initial investment and less risk. And less work.
     
  15. Delicieuxz

    Delicieuxz Gawd

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    What coins are you into mining?
     
  16. NickJames

    NickJames [H]ardness Supreme

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    That's the worst analogy I have ever seen. You're literally comparing apples to staplers.
     
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  17. craigdt

    craigdt [H]ard|Gawd

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    NiceHash. So- bitcoin I guess. Just a 1080ti and 1060 3GB at this point.
    Easy money!
    Averaging about $12.50 a day
     
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  18. oblox

    oblox Gawd

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    Put anyone in a position with followers and have them state anything, even if they are ignorant, and people will mistakenly follow. Buffet is widely followed in the financial world... Try to follow the bouncing ball bro.
     
  19. TheHig

    TheHig Gawd

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    Legit question here. I defiantly do not know a whole lot about the specifics of mining or investing in Crypto. So if you are making 12 bucks a day in Crypto, how often do you actually get the 12 bucks a day back out? A lot of people mining say that they are making this or that per day/ month but if the bottom falls out then you spent a ton on electricity etc over months and you actually didn't make anything. That is the gamble I suppose. I would need to take the money out monthly or weekly even to feel like I was making SAFE money. And I realize that "holding" is better as value goes up but like I said when it comes crashing down you are just holding the bag. The big virtual empty bag.
     
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  20. RealBeast

    RealBeast Gawd

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    12.50 a day, I assume that you already deducted electricity cost and are amortizing the hardware cost over ? days, months, years?

    Sorry I have a lot more hardware than that and have done run the numbers, waste of my time unless I move to a Chinese location next to a hydroelectric source or perhaps Iceland for a little geothermal.
     
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  21. techie81

    techie81 [H]ard for [H]ardware

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    Most people do not understand how crypto works or what it is, Buffet is no exception.
     
  22. Exercate

    Exercate Limp Gawd

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    I didn't know whether to hit the LIKE button, or the REPORT button on that remark!!! :)
     
  23. Azphira

    Azphira [H]ard|Gawd

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    Apples and staplers are both able to be red.
     
  24. OEM

    OEM [H]ard as it Gets

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    The difference is he said he doesn't know anything about it. He probably said this to get people to stop asking him about it. They want to hear what he has to say about them, since, you know, he's really good at investing.
     
  25. Krenum

    Krenum [H]ardForum Junkie

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    I hope he's right.
     
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  26. Retronym

    Retronym Something big is coming.

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    People would whine.
     
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  27. craigdt

    craigdt [H]ard|Gawd

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    Every 3 days or so I transfer about $35 to my PayPal account, so in any crash event, I'm not really hurt.

    But that adds up to about $350/month and about $25 in electricity.

    Its not generating as much heat as I was expecting. It's in one of those Roswill 4u server cases, so that my cats don't ruin an open air rig.

    Like I said, this is off a 1060 3GB in my daily use desktop and a 1080ti I bought just for this reason.
    If the market crashes, I'll have a sick gaming machine.

    If not, I'll add another card in a few months and increase my revenue.

    Its really a win/win for me, and I think anybody with a 9 or 10 series Nvidia card in their desktop should be doing this. It's really easy with NiceHash and Coinbase.
     
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  28. NickJames

    NickJames [H]ardness Supreme

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    That has nothing to do with a super model with absolutely no experience in politics questioned for political advice being compared to a financial investment genius who's explaining his rationale on an electronic currency market.
     
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  29. mynamehere

    mynamehere [H]ard|Gawd

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    I sure hope so. Once the bubble bursts I'll be able to afford a decent GPU for a badly needed system build.
     
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  30. gsilver

    gsilver Gawd

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    Kinda tempted to sell my 1070 and hold out until the next generation comes out... I can get by with just integrated video + consoles... right?

    Though, of course, there's no guarantee that the next generation of cards will be any easier to get a hold of.
     
  31. Budzman

    Budzman [H]ard|Gawd

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    Ya no shit.

    Just hoping someone buys my 1080ti for 2k.

    It's up on ebay!
     
  32. infinity9

    infinity9 Limp Gawd

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    Buffet is correct on this one. Crypto is getting split into too many versions with everyone joining in. Also when the "black friday" hit a currency it will never recover.
     
  33. collegeboy69us

    collegeboy69us [H]ardness Supreme

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    even if he is right and the bottom falls out and everything goes to zero. I still paid off my 2017 Volt for free, and got 22 GPUs mid to high and GPUs for free from the mining profits. The great thing about being prepared for all scenarios is that I win no matter what happens :)
     
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  34. ManofGod

    ManofGod [H]ardForum Junkie

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    Buffet is also the person that thinks higher taxes is a good thing, except his own, of course. :rolleyes:
     
  35. Reimu

    Reimu [H]ard|Gawd

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    Believe it or not, he does want higher taxes on even his own revenue, but he's giving his money away at the same time.
     
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  36. Krenum

    Krenum [H]ardForum Junkie

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    You should thank Trump for all your winning as of late :cool:

    [​IMG]
     
  37. collegeboy69us

    collegeboy69us [H]ardness Supreme

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    Just like it never recovered after hitting huge highs of $1000 in 2013, then losing 80% of it's value in the coming months, doing nothing for a few years, then breaking out again in 2017?

    People that think in absolutes like that are great at missing opportunities. There will be dark times again at some point I'm sure, BTC as a technology is pretty old by today's standard in terms of it's speed/cost, there are far better crypto solutions out there these days. In addition I actually agree that there are too many shitcoins out there these days that don't actually really do anything, doesn't mean the whole world will forever be dark for cryptos.

    It's still the wild west out there in crypto world - there are smart ways to make money and at the same time insulate yourself, just like there are lots of stupid get rich quick types out there who are dumb enough to re-finance their house and go all in while the market is on a high.
     
  38. atarione

    atarione [H]ard|Gawd

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    if the market collapses people will no longer have to wait for their "bank" to steal their coins and run off or for haxors to steal them and also then run off... it will save a great amount of time...
     
  39. collegeboy69us

    collegeboy69us [H]ardness Supreme

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    While I don't get into politics or give a rats ass what either side says or does, I do have to say that did make me laugh. Mostly what I thank is myself for my very early positions in XRP and XVG, those have been my big money makers :)
     
  40. RogueTadhg

    RogueTadhg [H]ard|Gawd

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    As an investor, I don't really follow Buffet's way of trading. His thinking isn't wrong. From his standpoint and following what he knows, it is a bad investment. The way he invests is by doing research, history, earnings, etc. He's a technical trader.

    As far as saying that it will "end badly" everything will end "badly" when given enough time in the universe to allow it to happen. What I think he should say is you need to approach crypto currencies with caution and do a lot of research about them. For many, this won't be a get rich scheme and realize that you don't really make any profit until you cash your earnings. A lot of people I see go into mining to drop out once they hit ROI and get their money back - which will take a lot of months. You've got to have luck or a lot of capital to make a lot of money in it.


    Now there's a lot of talk about nVidia dropping production of the 10 series to make way for Volta. Miners will soon be dropping their 10 series like a brick wall on the economy if the 11 series is better.