We've noted that Warren Buffett (Warren Buffett news) has long been a critic of the misuse of financial derivatives (derivatives news), calling them "financial weapons of mass destruction," a term that has stuck for years. TheStreet.com notes he has referred to derivatives in equally disparaging terms on other occasions. Perhaps his most damning statement came in 2008: "Derivatives are dangerous," he said. He went on to compare them to something akin to a venereal disease.

The public language doesn't get much stronger from the sage of Omaha. But now, somewhat surprisingly, he's emerged as an ardent foe of derivatives reform. TheStreet.com says he's against requirements for central clearing "in an open market" and for higher capital to be posted by trading parties to cover related losses.

Berkshire Hathaway has been lucky on its derivatives, earnings lots of profits. And of course Buffett invested $5 billion in Goldman Sachs (NYSE: GS), which is in hot water over its credit derivative practices. TheStreet.com is harsh in its rebuke: "Buffett's self-serving actions and blatant hypocrisy are disappointing. It tarnishes his reputation as a sagacious philanthropist--albeit a capitalist one--who supports sensible measures for ordinary investors." 

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