Key takeaways:
Warren Buffett’s Berkshire Hathaway earned $250 million from its full exit from crypto-friendly Nubank.
The choice to divest didn’t seem like performance-based—Nu Holdings posted report earnings in 2024 and Q1 2025.
Buffett’s exit aligns with Berkshire’s broader monetary sector pullback and rising money reserve technique.
Warren Buffett, the legendary investor lengthy recognized for his skepticism towards cryptocurrencies, has absolutely exited his place in considered one of Latin America’s most crypto-friendly banks, Nubank, earlier than his departure from Berkshire Hathaway.
Berkshire earns $250 million from crypto investments
A May 15 filing with the US Securities and Alternate Fee (SEC) confirmed that Berkshire has utterly liquidated its positions in Nubank’s guardian agency, Nu Holdings, ending its stake within the digital financial institution altogether.
Berkshire started divesting its 40.2 million Nubank shares in 2024, promoting roughly 20.7 million within the third quarter at a median value of $13.46 per share, in response to information useful resource Stock Circle.
Within the fourth quarter, it offered an extra 46.3 million shares at a median value of $13.22. The ultimate tranche of 40.2 million shares was offered within the first quarter of 2025 at a median value of $11.83.
These transactions culminated in a complete acquire of roughly $250 million from the preliminary funding.
NU doing properly with out Buffett
Buffett’s divestment from Nu Holdings additional follows the latter’s spectacular earnings in current quarters.
In Q1 2025, the agency reported a web earnings of $557.2 million, marking a 47% improve in comparison with the identical quarter within the earlier yr. Adjusted web earnings reached $606.5 million, reflecting a 37% year-over-year progress.
In 2024, Nu Holdings achieved an annual web earnings of $1.972 billion, representing a 91% improve from 2023, indicating that Berkshire’s choice to liquidate NU shares totally was not about its efficiency.
Buffett’s exit aligns slightly with Berkshire’s broader retreat from the monetary sector. In Q1 2025, it additionally offered off Citigroup and minimize its Financial institution of America stake, unloading over $2.1 billion in shares.
These strikes pushed Berkshire’s cash reserves to a report $347.8 billion, with $305.5 billion in short-term US Treasurys.
Nubank has been among the many most energetic digital banks embracing crypto companies in Brazil, providing buying and selling in Bitcoin (BTC), Ether (ETH), XRP (XRP), and different high cryptocurrencies instantly by way of its app.
Associated: Berkshire-backed Nubank adds ADA, NEAR, ATOM to crypto offerings
In 2022, the neobank allocated 1% of its web property to BTC, furthering Buffett’s oblique publicity to Bitcoin regardless of his criticism towards the cryptocurrency, which he as soon as referred to as a “rat poison squared.”
This text doesn’t include funding recommendation or suggestions. Each funding and buying and selling transfer includes threat, and readers ought to conduct their very own analysis when making a call.
