Warren Buffett Exits Bitcoin-Exposed Nubank, Sending Mixed Signals to Wall Street

Warren Buffett's Bitcoin stance hardened further in Q1 2025 after his firm, Berkshire Hathaway, fully exited its position in crypto-exposed fintech Nubank.

Key Insights:

* Q1 2025 saw the complete exit of Berkshire Hathaway from its position in crypto-exposed fintech Nubank, further cementing Warren Buffett's aversion to Bitcoin.

* The move comes as Bitcoin consolidates below its all-time high, and institutional flows into digital assets are heating up.

* Buffett's decision might send a signal to other risk-averse investors in traditional finance.

Berkshire Hathaway began buying shares of Nu Holdings (NYSE:NU) during Q4 2021 at an average price of $9.82 per share, ultimately acquiring 107 million shares.

The investment firm gradually trimmed its position in the company. By the end of Q3 2024, Berkshire had sold 20.7 million shares for about $13.46 per share and still held the remaining 70.3 million shares.

During the first quarter of 2025, Berkshire sold 40.2 million stocks of Nubank at an average price of $11.83.

The total shares sold during this period add up to the reported figure of 107 million over the course of gradually reducing the position from Q4 2021 to Q1 2025, confirming Buffett’s opposition to crypto.

The average prices they received for the selling shares varied between quarters but were lower during the final sale compared to the earlier transactions.

Buffett has famously called Bitcoin "rat poison" and disparaged its value, contrasting it with his preference for investing in value stocks like Coca-Cola and Apple.

Despite having no direct investments in Bitcoin, Berkshire's holding in Nubank offered indirect exposure to the cryptocurrency.

Nubank, a Brazilian fintech, provides services that include Bitcoin trading to its customers. However, Buffett's public statements and recent actions have signaled that any association with Bitcoin is something he prefers to avoid.

This move also comes as Bitcoin is testing the lower boundary of a crucial price level that could determine the continuation of the bull market from 2021.

As the price of Bitcoin hovers around $104,000–$106,000, market watchers are keeping an eye on a potential breakout to a new all-time high if the cryptocurrency manages to sustain itself above the Fib level.

Moreover, Buffett's decision to divest from Nubank might send a message to other conservative investors in traditional finance who are accustomed to low-risk, legacy strategies.

Some analysts believe that this move could influence how large banks and funds assess partnerships with crypto-friendly platforms in the future.

Since Nubank began offering Bitcoin to its customers and spoke about several blockchain-related products, the company's approach started to diverge from what Buffett typically invests in.

Leaving might suggest that Nubank is choosing to focus more on its original fintech services and openness to digital money, which wouldn't align with Buffett's values.

After sticking to his time-tested investment ideas for many years, Buffett may have ultimately decided that Nubank's plans were too different from what he stands for.

However, others suggest a more practical reason for the high prices and early exit.

At the moment, the crypto market seems to be poised for a breakout due to an increased flow of ETF investments and demand from large companies, leading to a shift in the market.

Still, there have been increases in the ownership of Bitcoin from Businesses, Funds and ETFs, Governments and others throughout the year 2025.

It appears that Buffett is leaving early to avoid becoming involved in a possible bubble and the risks that come with it, something which his history shows he did many years ago with the dot-com bubble.

Whatever the reason for this latest act, Buffett's persistent skepticism towards crypto could influence how traditional investors perceive banks and fintechs engaged with blockchain technology.