Likening bitcoin demand to the tulip mania in 17th century Holland, Buffett, the chairman and chief executive of Berkshire Hathaway, said the mystique behind the cryptocurrency has driven a surge in its price.
Gates has made many comments about Bitcoin in the recent past.
Following the collective comments, Bitcoin's value dropped almost 6 percent on Sunday and then another 2 percent today, to just over $9,300. "People like to speculate, they like to gamble", he added. Besides the speculative nature of ICOs, Gates also appears to be on board with the criticism of Bitcoin as dependent on the "Greater Fool" theory. This is not the first time Bill Gates was against Bitcoin.
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Just one day after Berkshire Hathaway chairman and CEO Warren Buffett trashed bitcoin at the legendary firm's annual shareholders meeting in Omaha, Nebraska, vice chairman Charlie Munger unleashed a memorable rant of his own.
It's certainly possible, then that Warren Buffett and Bill Gates may be wrong on Bitcoin price - and we've seen already that the currencies can explode in value.
"The fact that it's clever computer science doesn't mean it should be widely used", Berkshire's Charlie Munger says of bitcoin. He even stated that he would wager on all of the cryptocurrencies slipping over the next five years, although he also said, "I would never short a dime's worth".
"I regard the whole thing as a combination of dementia and immorality". So Buffett says anyone buying bitcoin is betting that someone else will pay more for it later. He went on to advise investors to invest in the stock market rather than gambling with Bitcoins or any other cryptocurrency. Though virtual currencies are just nothing more than insane investments, according to Gates, like other cryptocurrency skeptics he still believes that blockchain itself as a separate technology can be rather useful.