Berkshire Hathaway Steps Up Bet on Brazilian Digital Bank That Supports Cryptocurrencies

• Increase in share: from 0,1% to 0,4%
• More than 86 million Nubank shares
• Nubank Cripto integrates services for several cryptocurrencies

Warren Buffett's Berkshire Hathaway has significantly increased its stake in Nubank, a Brazilian financial institution known for offering cryptocurrency-related services. Recent filings with the U.S. Securities and Exchange Commission (SEC) show that the stake rose 0,1% in the fourth quarter quarter from 2022 to 0,4% in the third quarter of 2024, resulting in more than 86 million shares valued at around US$1,2 billion.

Nubank stands out for being Bitcoin-friendly, as it maintains the Nubank Cripto platform, which allows you to buy, sell and convert cryptocurrencies, including Bitcoin, Ethereum, Polygon and even exchange capabilities with Uniswap and Chainlink. In addition, the institution recently integrated payments via Bitcoin Lightning, expanding the reach of its solutions to its more than 100 million customers in Latin America.

In 2018, Buffett had already expressed his disbelief in cryptocurrencies by stating: “As far as cryptocurrencies are concerned, I can say with near certainty that they will have a bad ending. We don’t own any, we’re not short any, and we will never have a position in any.” Still, Berkshire Hathaway invested US$500 million in Nubank in 2021, followed by another US$250 million, strengthening its presence in the digital financial sector.

The executive also caused controversy when he said at a shareholders’ meeting that “If you told me you owned all the bitcoins in the world and offered them to me for $25, I wouldn’t accept it… I wouldn’t do anything.” Before that, he even called Bitcoin “probably double rat poison.” Despite these statements, the results indicate that Buffett’s group has been taking advantage of Nubank’s positive performance, whose annual appreciation is estimated at approximately 34%.

Nu Holdings, the bank’s parent company, has announced plans to expand its operations into other markets, including the United States, in anticipation of a favorable environment for cryptocurrencies. According to CEO David Velez, management is evaluating possibilities for future global growth.

With Berkshire Hathaway’s growing position, many are observing that the conglomerate’s stance on blockchain technology and cryptocurrencies may be undergoing adjustments. For now, the institution appears to be following a cautious strategy in its investments, but it does not fail to take advantage of opportunities in companies that bet on financial innovation.