Buffett is "completely overwhelmed" on Bitcoin: Chamath Palihapitiya

The President of Virgin Galactic, Chamath Palihapitiya, stated that Warren Buffett was "completely overwhelmed" regarding Bitcoin. The 43-year-old venture capitalist estimates that everyone should invest 1% of their capital in the first cryptocurrency on the market.

Earlier this week, the CEO and founder of Berkshire Hathaway, Warren Buffett, declared that the crypto-currencies "Had no value" and that he "would never acquire it".

Yesterday during an interview with CNBC, Chamath Palihapitiya, a Sri Lankan venture capitalist who made his fortune through early investments in companies like Playdom (bought by Disney) or Slack, returned to the words of the legendary 89-year-old investor.

He is wrong and is completely overwhelmed on the subject, "he said, adding that he respected his point of view.

Omaha’s Oracle, who recently dined with the creator of Tron (TRX), has been extremely reluctant to invest in cryptocurrencies for several years. In the past, he notably compared Bitcoin to "rat death" or "a game" rather than a real investment.

If Buffett is anti-crypto, however, he is interested in their underlying technology. According to him, the blockchain has a lot of potential but its success does not depend on the success of cryptocurrencies.

Everyone should have 1% of their assets in bitcoins. I think it’s a reasonable strategy to think that 1% of your net worth should be in something completely uncorrelated to the rest of the world, ”added Palihapitiya.

The President of Virgin Galactic, a firm owned by the Virgin group which wishes to offer space flights, and also founder of Social Capital concluded by saying that investing in Bitcoin "for fear of coronavirus Was a "silly strategy".