If he invested using this logic he wouldn't be the richest person in the world. This is one of the gambling fallacies of "Oh man, if I hadn't folded I'd have w

If he invested using this logic he wouldn't be the richest person in the world. This is one of the gambling fallacies of "Oh man, if I hadn't folded I'd have won it on the river! I should remember that next time I get dealt 6,9 off-suit". And yes, it's gambling because there isn't any metric to assess the value of the asset beyond some arbitrary price. Investments in other instruments can be measured by looking at balance sheets and cash-flow and other performance metrics of the entities that are receiving the investment (how is my investment being used to produce ROI?). Not so with crypto, all the data is basically about a computer network and it doesn't produce an actual product in the real world... because it's not a real currency and it's not a real investment vehicle. They're just casino chips that play one game - buy low, sell high. The big mistake people are making here is thinking that Buffett/Munger and real financial investors are gamblers like everyone else and they're not, they are old-school and who invest in actual real world products that serve a real-world purpose that they believe will produce a measurable return with a measurable risk. In 2009 all the talk was about changing the world and making transactions seamless and the world was going to be buying coffees with crypto and houses/cars with crypto and we'd start the digital utopia. Based on that investor deck, they passed, and they were absolutely right looking at how it has turned out. Just because this startup pivoted into a global slot machine with an energy cost the size of Ecuador and lots of people have hit it big doesn't mean it's a real world product, serving a real world purpose. When the bubble bursts and lots of everyday people lose their shirts, the backlash is going to set back any actual plans of a crypto-topia decades if not more and probably send a shock-wave through the venture capital market (and beyond) putting many in Silicon Valley (and elsewhere) out of job (with many into bankruptcy). They are predicting that too since this same article mentions that they believe venture capital is a bubble as well. If I were heavily invested in crypto I would take this news as a (yet another) sign and would move out of crypto and into whatever safe vehicles will be robust to a venture capital / crypto collapse. And if I were a Silicon Valley employee anywhere near blockchain, I would be diversifying my skill-set and updating my resume.