Jakarta, CNBC Indonesia – Warren Buffett remains a skeptical stance on Bitcoin. Although the popular crypto asset, it has started to gain acceptance from the traditional financial and investment world in recent years.
He conveyed this at the company’s annual general meeting of shareholders in 2022. Buffett said that Bitcoin is not a productive asset and does not produce anything tangible.
Despite the shift in public perception, Buffett says he’s still averse to buying it. “Whether it goes up or down in the next year or five or 10 years, I don’t know. But one thing I’m sure of is that (bitcoin) does nothing,” he was quoted as saying CNBC International.
Instead, Buffett prefers other assets. Here are two assets that the founder of Berkshire Hathaway would buy if the opportunity arose, to quote Money Wisequoted Tuesday (14/2/2023).
Agricultural land
Buffett is not known as an agricultural investor. But he sees value in an asset class that is so important to the sector.
It is agricultural land. The reason is that if you buy agricultural land, this will then have “tangible assets” that produce food.
“If you said, for 1% interest on all farmland in the United States (US), pay our group US$25 billion, I would write you a check this afternoon,” Buffett said.
When a number of world countries were hit by high inflation, the prices of agricultural commodities including corn and soybeans soared to new highs. So agricultural land assets can be one of the interesting things.
Apartment
Apartment buildings are another asset that Buffett doesn’t mind getting at the right price. This is at least related to conditions in the US.
Whether the economy is booming or in recession, people need a place to live. With real estate prices rising to unaffordable levels in many parts of the country, renting has become the only option for many.
(sef/sef)
