The war of word seems to be escalating between crypto enthusiasts and crypto skeptics. This war is actually happening among billionaires.
The opening act was of the Warren Buffett and Bill Gates who attended a public program together last week. They both took aim at the ongoing crypto rush and considered them dangerous. Buffett claimed it has no value and Gates went as far as calling them murderous.
The response was sure to come. Looks like the opening shots has been fired from the sides of the crypto enthusiasts.
Venture capitalist Fred Wilson critiqued the Buffett position and asserted that the billionaire doesn’t have a very keen understanding of the working principle of the cryptocurrencies.
Wilson explained that the value of the cryptocurrencies is going to accrue to the token, not to the business or the cash flow of the network.
“When someone like Warren Buffett looks at it, he thinks where the cash flow is? That’s in the token, it’s not cash flow”, Wilson said while attending the consensus conference in New York.
He chided the metaphor of rat poison that Gates used in his analogy to cryptocurrencies. He further said that he believed they have not fully grasped what’s going on here.
“If all they are thinking about it as some new asset class, of course, they will arrive at that conclusion”, he explained.
On his own involvement in the crypto market, he was quite open. Wilson openly accepted that he has made some speculative bets but asserted it’s all going to work out. He also accepted that some tokens value seems inflated.
On the government’s future approach, he claimed that they will try to constrain the market and try to rationalize its boom. They might even succeed, he quipped. “But what we call ICO now is the 0.5 version of New Capital markets”, he said.
Disclaimer: Koinalert’s content is only for information purpose in nature and should not be considered as investment advice. Do your own market research before investing in any cryptocurrencies. The author or publication does not hold any responsibility for your personal financial loss.