Ex-Governor of California Arnold Schwarzenegger has validated that he does not invest in bitcoin or any other cryptocurrencies. He says that he is “like Warren Buffett” in that he does not spend on things he does not understand. The CEO of Berkshire Hathaway thinks bitcoin is “rat toxin squared.”
Arnold Schwarzenegger Not Investing in Bitcoin or any Other Cryptocurrencies
“Terminator” star Arnold Schwarzenegger discussed bitcoin during an interview with the New York Times published Thursday. Concerning bitcoin, the former California governor said:
No, I don’t invest in them. I am like Warren Buffett. I don’t invest in things I don’t understand.
The Berkshire Hathaway CEO has extended been a bitcoin analyst. He called it “rat toxin squared” back in 2018 after his business partner Charlie Munger compared the cryptocurrency to “rat poison” and “turds.”
Buffett is well known for operating within his “circle of competence,” meaning he does not invest in anything he does not understand.
Schwarzenegger has turned to Buffett, sometimes known as the Oracle of Omaha, for advice several times over the years. When he campaigned for California governor in 2003, Buffett became his senior financial and economic advisor. Schwarzenegger won the special recall election and was in office until 2011.
The Hollywood star earlier described Buffett as “the greatest investor ever, my coach, and my idol,” adding that “Warren has a common-sense path to business issues and unmatched honesty. That’s the equal way I want to approach orders. Warren always tells it the way it is.” Buffett was also one of Schwarzenegger’s advisors when he hosted “The New Celebrity Apprentice” in 2016.
Early this month, Buffett and Munger talked about bitcoin at Berkshire Hathaway’s year-end stockholder meeting. While Buffett avoided discussing the cryptocurrency instantly because he did not want to upset investors who long bitcoin, Munger bluntly said, “I hate the bitcoin success.” He added, “The whole damn development is disgusting and contrary to the interest of civilization.”
Do you think Schwarzenegger should follow Buffett’s strategy and stay away from bitcoin? Let us know in the comments section below.