Buffett's Bitcoin Warning Proves Misplaced as Crypto Surges

Warren Buffett famously called Bitcoin 'rat poison squared' in 2018, but since then, the digital asset has skyrocketed over 750%. In May of that year, Bitcoin was trading at $9,850 when Buffett shared his views on CNBC. He described it as 'probably rat poison squared,' and his long-time partner Charlie Munger added that he didn't welcome a currency so useful to kidnappers and extortionists.

Buffett also expressed concerns about cryptocurrencies in January 2018, stating that he could almost certainly see a bad ending for them. He even mentioned buying five-year put options on every cryptocurrency if he could but wouldn't short any of them.

Despite these warnings, Bitcoin has continued to rise, hitting an all-time high above $126,000 in October 2025 before correcting sharply. The surge was driven by growing institutional and investor interest, as well as comments from US President Donald Trump backing the cryptocurrency.