Berkshire Vice President Calls Bitcoin 'Stupidest Investment'

According to CryptoPotato, Berkshire Hathaway Vice President Charlie Munger recently called Bitcoin the 'stupidest investment I ever saw' during a keynote address at Zoom's 2023 Zoomtopia Conference. Munger went on to say that most cryptocurrencies are not only unprofitable, but he believes investors will eventually lose all their money, stating, 'Don't get me started on Bitcoins. Most of those investments are going to zero.'While Munger is correct that many cryptocurrencies will likely go to zero, this has historically been true for most new crypto projects. In fact, 80% of new altcoins fail within a year, a failure rate similar to that of new restaurants or businesses in any industry. However, this does not mean the entire industry is worthless or stupid, but rather highlights the difficulty of making a new business profitable and the challenge of picking winners.As for Bitcoin, it is not the stupidest investment Munger has ever seen. In 2019, Berkshire Hathaway lost $4.5 billion in a single day on its 2015 investment in Kraft Heinz. While Munger may have been using hyperbole, there have been worse investments. The question remains, if Berkshire is willing to invest in a high-flying stock like 2015 Kraft Heinz, what makes the price volatility of a borderless, deflationary, digital currency secured by a peer-to-peer network so stupid?