But Buffett's point is that each unit of investment he pursues has the potential to produce incrementally more value. You're saying the aggregate technology underlying bitcoin has value - which it does. But you don't get twice the tech value by doubling your amount of coin owned. Conversely, if you double your farm holdings, you have double the ability to produce food.
Also, Buffett's quote here isn't some significantly new perspective. Hasn't this been the primary argument against bitcoin since the beginning?
I get it, its not an investment that Buffett typically makes. And he really shouldn't as it goes against his wise principal of not investing in things he doesn't fully understand. If you see his historical investments, they were generally boring high cashflow industries.
> But you don't get twice the tech value by doubling your amount of coin owned.
I think holding bitcoin is more of an investment in the underlying technology. If it is useful, presumably the demand will rise for it. It's like owning a stock that has most of its value in its intellectual property. For instance, Disney has a P/E (price earnings ratio) of 38, significantly higher than the typical firm. This is due to Disney's intellectual property. Disney will be able to produce and profit from Marvel movies for years along with their extensive catalog. When an investor buys Disney stock, a big chunk of what they're paying for is the technology (in this case intellectual property)
Also, Buffett's quote here isn't some significantly new perspective. Hasn't this been the primary argument against bitcoin since the beginning?