Warren Buffett said he doesn’t own a single bitcoin and has no plans of investing in it. “In terms of cryptocurrencies, generally, I can say with almost certainty that they will come to a bad ending. When it happens or how or anything else, I don't know. I get into enough trouble with things I think I know something about. Why in the world should I take a long or short position in something I don't know anything about," the billionaire investor explained.
Buffett has joined a chorus of other prominent investors who have publically doubted the bright future of cryptocurrencies. BlackRock CEO Larry Fink said: "Bitcoin just shows you how much demand for money laundering there is in the world." JPMorgan Chase CEO Jamie Dimon said: "It (bitcoin) is just not a real thing, eventually it will be closed."
The U.S. Securities and Exchange Commission warned Thursday that investors should “exercise caution” with cryptocurrencies like bitcoin, noting state and federal regulators may not be able to recoup any lost investments from illegal actors.
Many promoters of initial coin offerings (ICOs) and other cryptocurrency investments are not following federal and state securities laws, SEC Chairman said in a statement. While regulators are trying to police these quickly growing markets, the SEC urged investors to be vigilant.
This material is intended for informational/educational purposes only and should not be construed as investment advice, a solicitation, or a recommendation to buy or sell any cryptocurrency or investment product. Please contact your financial professional for more information specific to your situation.