• Berkshire Hathaway increases stake in Nu Holdings, signaling a shift in strategy.
• Buffett’s past criticism of crypto contrasts with recent investments in digital assets.
• Berkshire’s cautious approach prioritizes stability, focusing on steady returns.

Warren Buffett’s Berkshire Hathaway has expanded its investment in Nu Holdings, a Brazil-based digital bank with a growing foothold in the crypto market. Despite Buffett’s well-known skepticism of crypto assets, this move signals a change in his company’s strategy.

According to U.S. Securities and Exchange Commission, SEC filings, Berkshire Hathaway increased its stake in Nu from 0.1% at the end of 2022 to 0.4% by the third quarter of fiscal 2024, now holding more than 86 million shares valued at approximately $1.2 billion.

However, Berkshire Hathaway’s increased stake in Nu Holdings comes after an early investment of $500 million during Nu’s Series G funding round in 2021, followed by an additional $250 million investment in 2022. Nu has continued to grow its services, including the launch of Nubank Cripto, its cryptocurrency platform.

The platform began by supporting Bitcoin, Ethereum, and Polygon and has since expanded to include Uniswap and Chainlink, giving users various options for sending, receiving, and trading digital assets.

Related: Brazil’s Crypto Soars on 42% Stablecoin Growth And Institutional Influx

Buffett’s Past Words on Crypto Assets

Warren Buffett has long been open about his doubts about crypto assets. In 2018, he told CNBC that he believed digital assets would likely come to a “bad ending,” stating that Berkshire Hathaway would never hold a position in them.

He described Bitcoin as “rat poison squared,” saying that the company had no interest in buying digital assets, even if offered at a discount. Buffett also stated that his company would not “own any, be short any, or have any position” in cryptocurrencies, citing a lack of understanding and interest.

However, Berkshire Hathaway is widely known for its cautious investment strategy, which was seen in its latest moves. As of late 2024, Berkshire’s financial statements disclosed that the company holds more than $325 billion in cash, with most of this sum invested in U.S. Treasury Bills.

This initiative shows the company’s tendency to avoid uncertain investments, especially in volatile market conditions. Berkshire Hathaway’s leadership has repeatedly stated that its long-term success stems from its “boring” approach, favoring stability and steady returns.