Crazy Money! Beware Bitcoin

It’s Crazy Money Day!

Warren Buffett and Charlie Munger openly denigrated cryptocurrencies at this year’s annual  Berkshire Hathaway shareholder meeting. Buffett said he wouldn’t pay $25 for all the bitcoin in the world. Munger added, “In my life, I try and avoid things that are stupid, evil and make me look bad in comparison to someone else. Bitcoin does all three.” Munger is a billionaire investor. He expects bitcoin to eventually be worth zero. He called it evil because it undermines the integrity and stability of the American financial system. He thinks it makes the US look foolish, especially since China’s ruling party has banned it.

Unfortunately, bitcoin scammers are making a lot of people look foolish. One victim was a retired nurse. She lost $43,000 and her part-time job when some scammers took over her work computer. She fell for a fake ad that appeared as a computer pop up. She didn’t recognize the common phishing scheme that threatens to lock you out of your desktop and warns that your finances have been hacked. It says the only way to save your money is to move it into a new location. Unfortunately, she lost her savings and got fired for giving hackers access to her work computer. Since Bitcoin ATM transactions are irreversible, it’s possible she’ll never recover the loss. Woe to those who profit from unjust gain! Now you should never send dollars or crypto to a third party or someone you don’t know. If you listen to Warren Buffett and Charlie Munger, you’ll be very skeptical of  Bitcoin!

Now if you’ve been blessed with My MoneyLife, I invite you to discover the Crown Stewardship Podcasts. They focus on helping you find freedom in your finances and career. You can subscribe on Spotify and iTunes. pr listen at Crown.org.