Collection: Charlie Munger - #203 'Crypto Is Like Venereal Disease'
[Transcript]
BECKY QUICK 00:00
I'll ask this one from Carl Muscatello who says, "Crypto is a $2 trillion asset class. Are you willing to admit you missed something?"
CHARLIE MUNGER 00:08
Well, I certainly didn’t invest in crypto. (Laughter)
I’m proud of the fact I’ve avoided it. It’s like, you know, some venereal disease or something. I just regarded it as beneath contempt.
Some people think it’s modernity, and they welcome a currency that’s so useful in extortions, and kidnappings, and so on and so on, tax evasion... And, of course, the envy – everybody has to create their own new currency.
And I think that’s crazy, too. So I’m not having it. I wish it had been banned immediately. I admire the Chinese for banning it. I think they were right and we’ve been wrong to allow it.
BECKY QUICK 01:05
This comes from (inaudible) who asks, "Mr. Munger, you’ve been warning of the evils of cryptocurrencies in the past. How do you feel about the Federal Reserve preparing to launch a central bank digital currency? Do you think that this will be beneficial or harmful to the strength and resilience of our markets?"
CHARLIE MUNGER 01:21
No, no, the Federal Reserve could have a currency if they want one. That would be just a – we’ve got a digital currency already. It’s called a bank account. The banks are all integrated with the Federal Reserve system. We already have a digital currency.
(Source: https://youtu.be/8RxLj9OVqLo)
[YAPSS Takeaway]
If you ever feel something is wrong about an investment, just don't invest. Always invest in assets that you personally feel comfortable holding.
