Why Buffett's Bitcoin Critique Misses the Mark: A Deeper Look at Kiyosaki's Counter-Argument

Robert Kiyosaki recently challenged Warren Buffett’s long-standing skepticism about Bitcoin, and his reasoning deserves serious consideration—especially as Berkshire Hathaway enters a new era under Greg Abel’s leadership.

The Traditional Market Illusion

Buffett has long positioned Bitcoin as “speculation” rather than “investment,” but Kiyosaki points out a fundamental flaw in this logic: traditional assets are far less stable than they appear. Consider the evidence:

• Stock markets: Subject to severe drawdowns and liquidity crises
• Real estate cycles: Can reverse dramatically within months
• U.S. Treasuries: Vulnerable to shifts in foreign capital flows

Most telling? Berkshire Hathaway itself has spent 12 consecutive quarters offloading stocks—the longest selling streak in company history. Meanwhile, the conglomerate has accumulated Treasury bills totaling roughly 5.6% of the entire U.S. market. Recent portfolio moves (adding Alphabet, dropping D.R. Horton) show that even the world’s most celebrated investor constantly adjusts positions, suggesting no asset class is truly “safe.”

Scarcity vs. Monetary Policy

Kiyosaki’s second argument centers on supply dynamics. The critical difference:

• Fiat currencies & equities: Central banks and corporations can expand supply indefinitely through monetary policy or new share issuance
• Bitcoin & precious metals: Supply is mathematically fixed (21 million BTC cap) and cannot be inflated by policy decisions

This makes Bitcoin functionally similar to gold and silver—assets whose value derives from absolute scarcity rather than institutional discretion.

The Real Debate

Kiyosaki frames this not as “right vs. wrong” but as different risk philosophies. Buffett’s approach: trust institutional stability. Kiyosaki’s approach: own assets that no government or corporation can arbitrarily create more of.

Given that traditional financial institutions are showing signs of portfolio rotation and monetary uncertainty remains elevated, Kiyosaki’s thesis has merit worth considering.