Bitcoin Will Likely Remain ‘Rat Poison’ for Berkshire Hathaway Even Without Warren Buffett
Author: Helen Brown | Edited by: Stephen Alpher Updated: May 6, 2025, 1:33 PM Published: May 5, 2025, 7:02 PM
Warren Buffett, the billionaire investor who helped transform Berkshire Hathaway into a global investment powerhouse, will step down as CEO at the end of the year, but his negative stance on Bitcoin (BTC) will likely remain with the company.
Buffett, who will remain chairman, has described Bitcoin as “rat poison squared” and a “gaming token,” indicating his strong ideological opposition to digital assets. His legacy on the issue continues to influence his successor, Greg Abel, who now leads day-to-day management.
For investors hoping for a change in Berkshire’s stance on cryptocurrencies, the chances of that happening look slim.
“I would be very surprised if there was any significant change in Berkshire’s approach to Bitcoin,” said Meyer Shields, managing director of KBW. “In essence, I think there is a huge disconnect between the Buffett/Munger approach to tech stocks (which they have admitted to being a misunderstanding) and their clear aversion to cryptocurrencies.”
Currently the chairman and CEO of Berkshire Hathaway Energy and vice chairman of Berkshire’s non-insurance operations, future CEO Abel is unlikely to make any drastic moves that would mark a break with the long-held views of Buffett and the recently departed Charlie Munger, Shields added. “I would expect Greg Abel to initially avoid any action that might be perceived as a significant departure from the principles of Buffett and Munger, even if he doesn’t actually agree with them.”
During the shareholder meeting, Buffett appeared flexible about diversifying into other currencies if the U.S. economy weakens, saying that “there could be events […] in the United States that […] make us want to hold more of other currencies.” However, given Buffett’s ongoing criticism of cryptocurrencies, it’s unlikely that this will include Bitcoin.
Still, the succession was handled with style. “This is another brilliant example of Berkshire managing a big situation,” said MacRae Sykes, a portfolio manager at GAMCO Investors. He praised Buffett’s decision to keep the information under wraps until the shareholder meeting, allowing him to “answer questions and enjoy the interaction with shareholders without the pressure of succession.”
Sykes sees Buffett’s continued presence on the board as a stabilizing force: “Shareholders should welcome this transparent transition, but also be confident that W
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