Let’s talk about Charles Munger. I think everybody knows who he is.
He is a modern day robber baron, the right hand man of Warren Buffett, robber baron extraordinaire.
Charles Munger of course is also a Harvard graduate. You’d be disappointed in me if I didn’t bring that up.
Let’s see what Charles Munger has to say about cryptocurrency. And here it is from the Sydney Morning Herald:
“I’m never going to buy a cryptocurrency. I wish they’d never been invented,” he said.
I have no doubt about that. Of course he’s never going to buy one. At least not overtly. He’s part of the machine, and the machine is opposed to cryptocurrency because cryptocurrency is a threat to the machine’s money printing enrichment scheme that makes people like Charles Munger fabulously wealthy.
“I think the Chinese made the correct decision, which is to simply ban them. My country – English-speaking civilisation – has made the wrong decision,” he said.
Let’s be fair: Time will tell, and no one can predict the future.
That aside, China can ban them because they are a more authoritarian regime – at least that’s what we’ve been led to believe.
Banning cryptocurrency in the United States may not be politically acceptable because so many people in the United States have so much money tied up in it. Banning cryptocurrency would cause a huge devaluation in the cryptocurrency market, and the owners of that cryptocurrency do vote.
In that respect the genie is most definitely out of the bottle.
Additionally, banning cryptocurrency in the United States may be functionally impossible given the worldwide access of the web and people’s propensity to protect their wealth.
“I just can’t stand participating in these insane booms, one way or the other. It seems to be working; everybody wants to pile in, and I have a different attitude.
Who is he kidding? Munger and his buddy Buffett made a fortune off the recent fifteen year stock market boom that was caused by the insane printing of money. He didn’t have any problem with that insane boom.
“I want to make my money by selling people things that are good for them, not things that are bad for them,” he said.
Either he doesn’t understand cryptocurrency, or he does and he’s being disingenuous.
Cryptocurrency, if done correctly, with proper controls, will be one of the best things to ever happen to regular people. That’s why it was invented. Nobody except for the elites and their corporate parasites sits around and says: “Hey, let’s be novel, let’s invent something bad that nobody needs.”
No, cryptocurrency was invented by rebels because our governments and their crony capitalist friends, who have hijacked the government, began printing money in order to enrich themselves.
If we have a net societal value of $100, and Charles Munger and Warren Buffett own $50, and the rest of us own the other $50, then we each own equal shares of society. If Buffett and Munger than rig the system, as they have, and print up another $100 in society and give all of it to themselves, then they will own $150 and we will own $50. Our share will decrease.
Cryptocurrency was invented to prevent that dilution of our share of society.
“Believe me, the people who are creating cryptocurrencies are not thinking about the customer, they are thinking about themselves.”
Well, here he may be on more certain ground. It’s true, you can find a con man in any field. And there is no doubt in my mind, that certain cryptocurrencies are scams. But who is creating the scams, otherwise known as shit coins?
What I see on a daily basis are people like Elon Musk and Mark Cuban touting their favorite coins such as Dogecoin and Shiba Inu.
Both of these guys are part of the machine. So who’s behind the scamming in cryptocurrency?
Is it just possible that the machine is creating and promoting the shit coins in order to create uncertainty and instability in the cryptocurrency markets?
I think so.
In fact, I think that the detractors of cryptocurrency are the selfish ones. They are the ones who are preventing us from living productive, inflation-free lives.
Now it just may be that Mr. Munger, having gotten up in years, may honestly not understand what cryptocurrency is really about.
It is possible that you can’t teach an old dog new tricks, but I will try.
I don’t think you need a degree from MIT in order to understand what cryptocurrency is about. In fact, it probably helps to not attend MIT, or Harvard.
They ladle out the stupid juice pretty freely up there in Cambridge.
Cryptocurrency is a ledger, nothing more. It’s a giant QuickBooks accounting program spread out over the world that keeps track of everybody’s transactions forever.
It’s nothing to be afraid of. You and I agree to exchange our cash for units of cryptocurrency. Those transactions are registered on the ledger. As long as the rulers of the ledger don’t inflate the units or the exchanges don’t blow the cash on a bender in Vegas, what’s the problem?
That this ledger is spread out and is “fact checked” on a constant basis is a good thing. This creates reliability and prevents a few people from corrupting the system.
It also allows for easy access without the need of a broker-middleman.
This ledger will be able to record any type of transaction that we desire to create. It can be used for finance; it can be used for healthcare records; it can be used for art and memorabilia. It has no limitations.
You know what, it can even be used for the stock market to allow point-to-point sale of stock without the need of a broker. Wouldn’t that be a hoot?
No wonder Charles Munger is against cryptocurrency. Can you imagine an IPO that doesn’t involve Wall Street? No longer would the elites possess the ability to hand out free shares to their loser friends.
Currently, cryptocurrency is in a growth and “what are we about” phase. It’s growing. It hasn’t reached adolescence and adulthood yet. In many respects it’s a solution in search of a problem. Not all cryptocurrencies have found their identity.
And it will come to pass that different cryptocurrencies will move into different niches. Some will be used as a store of value; some will be used for healthcare records; some will be used for art; some will be used for day-to-day transactions.
It’s a bold, new, exciting world, if we choose to go there, if people like Charles Munger will not stop us.
Well, of course they will. That’s why Charles Munger is speaking out.
Sincerely,
Archer Crosley
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