Warren Buffett\'s Crypto Bet: Is Nubank Failing Against Bitcoin? Here\'s How
As legendary investor Warren Buffett prepares to step down as CEO of Berkshire Hathaway Inc. (NYSE:BRK) (NYSE:BRK) by the end of 2025, questions are swirling about his investment strategies, particularly his exposure to cryptocurrency through Nubank. Did Warren Buffett make a bad bet against Bitcoin?
For over a decade, Warren Buffett has dismissed Bitcoin with colorful analogies, calling it “rat poison squared” and asserting it “doesn’t produce anything”. He\'s consistently voiced his concern over its volatility, and over the years, has repeated this sentiment. He is not a crypto enthusiast.
However, Berkshire Hathaway indirectly holds exposure to crypto through its investment in Nubank, a crypto-friendly Brazilian digital bank. Although Buffett’s bet is down since January of this year, during the past 12 months, his Nubank investment has seen some volatility. But is this enough to consider it a "failing" bet, especially when compared to Bitcoin\'s performance?
Buffett\'s Nubank Investment vs. Bitcoin: A Comparison
While Buffett has personally remained skeptical of Bitcoin, his Berkshire Hathaway portfolio, managed by his team, has indirectly entered the crypto space through Nubank. Prior to Buffett\'s exit, Berkshire Hathaway has divested of its holdings in a crypto-friendly bank. The question remains: is Nubank\'s performance justifying Buffett\'s skepticism, or is Bitcoin proving its resilience as a store of value?
Is Buffett Hinting at Bitcoin\'s Potential?
Is Buffett Hinting at Bitcoin? Though he didn’t name Bitcoin directly, Buffett’s warnings align closely with why many people support it. Bitcoin’s fixed supply and decentralized nature are often cited as reasons to hold it, especially during times of economic uncertainty. Buffett’s decision to sit on a record hoard signals that, in his view, equity valuations remain unappetizing; for Bitcoin advocates, it is further proof that fiat liquidity is best redeployed into Bitcoin.
The 13F Filing and Its Implications
A 13F filing released on Thursday reveals how his team manages his investments. This filing offers insights into Berkshire Hathaway\'s overall strategy and provides clues about potential shifts in investment philosophy, especially concerning assets like Nubank in relation to the growing adoption of cryptocurrencies like Bitcoin.