Bill Gates Warns "If You Have Less Money Than Musk, Don't Invest in Bitcoin"

Bill Gates, founder of Microsoft (MS). Photo by Asia Economy

[Asia Economy Reporter Hana Na] Microsoft founder Bill Gates warned not to invest in Bitcoin unless you have as much wealth as Tesla CEO Elon Musk.

On the 25th (local time), appearing on Bloomberg TV, Gates said, "People are being swept up in the Bitcoin craze," and added, "In my opinion, if you have less money than Musk, you should be cautious about investing in Bitcoin."

He continued, "Musk has enormous wealth and is a person with a lot of knowledge and experience. He does not worry about Bitcoin's wild fluctuations."

He said, "I am not worried about Tesla, which has purchased a large amount of Bitcoin, but the situation is different for individual investors," and pointed out, "The anonymity of Bitcoin is also one of the negative factors."

U.S. Treasury Secretary Janet Yellen has also raised concerns and cautioned against Bitcoin. On the 22nd, she said, "Bitcoin is a highly speculative asset and cannot be used as a means of payment," adding, "People need to understand that Bitcoin is extremely volatile. I am worried about the potential losses investors may face."

Warren Buffett, chairman of Berkshire Hathaway, while acknowledging the importance of Bitcoin's blockchain technology, has strongly criticized it, saying, "Cryptocurrencies have no value and produce nothing," and "Cryptocurrencies are just gambling machines."

Meanwhile, earlier this month, Tesla announced that it plans to accept Bitcoin as a payment method, which also helped drive a sharp rise in Bitcoin's price.

Other companies are also accepting Bitcoin as a payment method. Online payment company PayPal announced last year that it would start Bitcoin trading and payment services in the second half of the year. Additionally, credit card companies Mastercard and Visa have also decided to introduce Bitcoin payments.