Rat poison, unproductive resource that “has no value”, so in the past Warren Buffett he defined the cryptocurrencies. The US financier did not mince words to express his contempt for bitcoin and other cryptocurrencies. But does he really believe it? No, apparently.
Buffett and cryptocurrencies
According to the latest data communicated to Securities and Exchange Commission (SEC), Berkshire Hathaway, contrary to Buffett’s constant hostile stance, he instead showed a clear interest in the cryptocurrency universe. The investment from one billion dollars in “Class A” shares carried out, in the fourth quarter of 2021, in NuBank, a digital bank based in Brazil, the largest bank in Latin America for fintech and cryptocurrency exchange.
At the same time Hathaway sold Visa and Mastercard shares $ 1.8 billion and $ 1.3 billion respectively, signaling a reduction in its investments in other traditional financial businesses and institutions.
And this isn’t the first time the Berkshire Hathaway invests in NuBank: it had already done so in the summer of 2021, buying a stake of $ 500 million, a few months before the debut of fintech on the New York Stock Exchange (NYSE).
That NuBank’s prospects are rosy is shown by the fact that in Latin America a large portion of the population shows financial needs that are not adequately met by traditional banks and financial institutions.
“There are so many opportunities in Latin America. The combination of a large population, bad customer experiences, and very high commissions is unmatched. There is no better place in the world in terms of great opportunities for fintech companies to face, ”a Fortune the co-founder of Nubank Cristina Junqueira.
Buffett, who enters and who exits in the wallet of the US financier
The Berkshire’s investment portfolio has a value of 331 billion dollars, is made up of 44 companies, one more company than last quarter. The top 5 holdings, Apple (AAPL), Bank of America (BAC), American Express (AXP), Coca-Cola (KO) and Kraft Heinz (KHC), account for over 79% of the total portfolio.
In the last quarter of 2021 Buffett bought stakes in Activision Blizzard (ATVI), company purchased by Microsoft for $ 95 per share on January 18, Chevron (CVX), Liberty Media – Liberty SiriusXM(LSXMA), RH (RH), Floor & Decor-A (FND).
On the other hand, Teva Pharmaceutical (TEVA) and Sirius XM Holdings (SIRI) were not included in the portfolio, while the holdings in Kroger (KR), Charter Communications (CHTR), Visa (V), Mastercard (MA), Abbvie (ABBV) were reduced , Royalty Pharma (RPRX), Bristol-Myers Squibb (BMY) and Marsh & McClennan (MMC).