Bill Gates dismisses cryptocurrency, says NFTs Are Based On ‘Greater-Fool’ Theory
Big quote: It’s no secret that Bill Gates is not a fan of cryptocurrencies or NFTs, but just in case his feelings weren’t clear enough, he recently denounced them as an asset class “100% based on greater fool theory”—the idea that people can make money through the purchase of overvalued assets when others are willing to pay a higher price later.
Gates delivered his remarks during a TechCrunch event on climate change in Berkeley, California. “Obviously, expensive digital images of monkeys are going to improve the world immensely,” Gates stated, referring to the popular and expensive Bored Ape Yacht Club NFTs and the many other simian-based images for sale.
Gates echoed the statements of fellow billionaire and crypto/NFT detractor Warren Buffett when he stated that he favors investments that provide concrete results, such as farms and manufacturing enterprises. Buffett, the CEO and Chairman of Berkshire Hathaway, reportedly stated that he would pay $25 billion for a 1% interest in all of America’s farmland, but would not pay $25 billion for all of Bitcoin.
“My general thought would be that if you have less money than Elon, you should probably watch out,” Gates said. Given that BTC has dropped from a peak of about $64,000 last year to just over $20,000 today, it appears that those who invested substantially at the time may be wishing they’d followed his advice.
It’s been stated that crypto-love is a generational thing among billionaires. Elon Musk, 50, is a major enthusiast who frequently tweets about cryptocurrencies like Dogecoin, whereas Bill Gates, 66, is the polar opposite. Buffett, 91, despises it, and his 98-year-old business colleague Charlie Munger, 98, has termed it a “venereal sickness” that should be outlawed.
Last week, Bill Gates made headlines after proposing the creation of a $1 billion per year GERM team to combat the next epidemic. He also chastised the US government’s handling of the pandemic, arguing that if the US had increased its ability to do diagnostics and enforce quarantines, the country’s death rate would have been far lower.