Why Warren Buffet is Right About Crypto After All

In May 2018, billionaire investor Warren Buffet said that he would never invest in crypto and called it “rat poison”. At the time, Bitcoin was trading at around $40,000 and many people in the crypto community were shocked by his comments. However, in retrospect, it’s clear that Buffet was right about crypto — and here’s why.

1. The performance of legitimate companies in the space has been abysmal.
   Let’s take a look at Coinbase, which went public earlier this year at a valuation of $86 billion. Since then, its stock has fallen by over 90%. And Coinbase isn’t alone; the entire crypto industry is down from its peak in 2021.
2. Financial fraud or malfeasance is prevalent throughout the industry.
   There are countless examples of financial fraud in the crypto industry. One of the most prominent is Bitconnect, which turned out to be a Ponzi scheme that defrauded investors out of billions of dollars. More recently, there was the case of QuadrigaCX, which lost $190 million when its CEO died unexpectedly and no one could access the company’s cryptocurrency wallets. The latest debacle with FTX where the CEO overseeing the bankruptcy stated “Never in my career have I seen such a complete failure of corporate controls and such a complete absence of…