Buffett: ‘Stay away’ from bitcoin

BY Sam Lane  March 14, 2014 at 4:05 PM EDT
Bitcoins

Warren Buffett recommends staying away from bitcoin. Photo by Flickr user antanacoins

Billionaire businessman Warren Buffett harshly criticized the virtual currency bitcoin Friday during an interview with CNBC’s “Squawk Box.”

“Stay away from it. It’s a mirage, basically,” the Berkshire Hathaway CEO said. “It’s a method of transmitting money…The idea that it has some huge intrinsic value is just a joke in my view.”

Buffett’s comments come just weeks after Mt. Gox, one of the world’s largest bitcoin exchanges, went offline and subsequently filed for bankruptcy. Mt. Gox CEO Mark Karpeles said he wasn’t able to account for 850,000 bitcoins — a value of about $425 million.

You can watch Buffett’s appearance on CNBC below: