Bill Gates Says NFTs Are Based on 'Greater Fool Theory' The tech billionaire shared his opinions at a climate conference hosted by TechCrunch.

By Madeline Garfinkle

NFTs and crypto don't get Bill Gates's approval.

The tech billionaire dismissed digital assets — particularly NFTs — as "100% based on greater fool theory" while speaking at a climate conference hosted by TechCrunch on Tuesday. In essence: the assets will only go up in price so long as enough investors are willing to pay more for them, making the assets void of any real value when investors aren't present.

Gates went on to jokingly slam the once-prized Bored Ape NFT collection, saying, "Obviously, expensive digital images of monkeys are going to improve the world immensely."

While his vocal disapproval of crypto comes during a particularly low point in the market, Gates has previously criticized the nature of digital assets — even when they were thriving.

In early 2021, Gates voiced hesitation about regular investors shelling out fortunes for Bitcoin. "I do think people get bought into these manias who may not have as much money to spare," said Gates in a 2021 interview. "My general thought would be that if you have less money than Elon [Musk], you should probably watch out."

Related: Bitcoin's Crypto Crash Prompted This Firm to Pause Withdrawals. Here's Why

At the time, Bitcoin was soaring and would soon reach its peak of $64,000 later that year — before steadily declining and dipping to over half of its value since the start of 2022, trading at a base near $20,000.

When it comes to investing, the Microsoft co-founder still believes in the value of putting money towards assets with tangibility, "like a farm where they have output, or like a company where they make products," further reiterating his disbelief in the inherent value of digital assets.

Related: The 5-Hour Rule Used by Bill Gates, Jack Ma and Elon Musk

As cryptocurrencies continue to fall, Bitcoin was trading at a new low of $20,166 on Wednesday, according to Coinbase data — meaning the currency has fallen about 70% in value since its peak just last year.

Madeline Garfinkle

Entrepreneur Staff

News Writer

Madeline Garfinkle is a News Writer at Entrepreneur.com. She is a graduate from Syracuse University, and received an MFA from Columbia University. 

Editor's Pick

Related Topics

Living

The Coolest Way to Commute Is Less Expensive Than Ever

Gift yourself a better commute with $1,500 off this eBike.

Business Ideas

55 Small Business Ideas to Start in 2023

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2023.

Marketing

Don't Just Babble on LinkedIn — You Need to Carve Out Your Own Niche. Here's Why.

To ultimately unlock the full potential of your LinkedIn experience, you need to establish yourself as a thought leader in a specific niche. This is why (and how).

Living

How to Start a 'Million Dollar' Morning Routine

Restructure your morning with a few simple steps that may help to amplify your energy.

Side Hustle

Anyone Can Start a Passive Income Side Hustle For Easy Money — But Only If You Know These 5 Essential Tips First.

The rise of digital automation technology has made starting a passive income side hustle easier and more accessible than ever before.