Will Berkshire Hathaway Change Its Mind on Bitcoin With Buffett Out?
The Berkshire Hathaway board of directors announced that Warren Buffett will step down as the company's CEO effective January 1, 2026, and that Greg Abel, the company's vice chairman, will take over. Analysts interviewed by CoinDesk believe that the change in leadership will not change Berkshire Hathaway's negative stance on cryptocurrency, RBC Crypto reports.
Industry insiders believe that Abel will follow Buffett's views and not allow significant changes to the company's policies. Buffett, who will remain chairman of Berkshire Hathaway, has argued for years that cryptocurrencies in general and Bitcoin in particular have no value.
Warren Buffett acquired a controlling stake in Berkshire Hathaway more than 60 years ago. Over the years, he has built the company into a holding company with more than 60 subsidiaries, including insurance company Geico, railroad network BNSF, Berkshire Hathaway Energy, sneaker maker Brooks, and cafe chain Dairy Queen. Buffett himself is ranked sixth on the Bloomberg Billionaires Index, with a net worth of $160 billion.
Back in 2017, Buffett advised “staying away from Bitcoin.” The billionaire claimed that the first cryptocurrency has no real value, its value is growing due to people who are afraid of missing out on the opportunity to make money on digital money. Later, he called Bitcoin “rat poison squared,” also noting that investor demand is the only factor that determines the value of the cryptocurrency, which is why it is a convenient tool in the hands of charlatans.
Heisenberg Capital founder Max Keiser and Morgan Creek Didital co-founder and partner Jason Williams previously expressed confidence that Buffett would be interested in cryptocurrency. Keiser said in 2020 that Buffett would panic-buy Bitcoin when its rate reached $50,000. However, the head of Berkshire Hathaway has not changed his negative attitude towards Bitcoin.
Experts believe that the company will continue to adhere to this position under its new leader. Abel is unlikely to make sudden moves that could signal a break with the long-held views of Buffett and his recently deceased ally Charlie Munger, according to KBW Managing Director Meyer Shields.
“I would be very surprised if Berkshire's stance on Bitcoin changed significantly. I expect Greg Abel to initially avoid any actions that might appear to be a significant departure from the values of Buffett and Munger, even if he disagrees with them.”
Munger has previously called Bitcoin “disgusting.” He compared the cryptocurrency to fake gold, but was also known for never buying real gold.
Shields noted that during a meeting with shareholders, Buffett expressed a willingness to diversify his portfolio by buying currencies from other countries if the U.S. economy continues to weaken. However, given Buffett’s continued criticism of cryptocurrencies, it is unlikely that he will invest in Bitcoin, the expert says.
Buffett's continued presence on the board will be a “stabilizing” factor for investors, said MacRae Sykes, a portfolio manager at GAMCO Investors. He added that “shareholders should welcome this transparent transition, but also have confidence that Warren is not going anywhere.”
Interestingly, Buffett himself did become the owner of cryptocurrency in 2020. The billionaire received 1 bitcoin as a gift from Tron founder Justin Sun at a charity dinner.
Источник: cryptocurrency.tech
