Berkshire Hathaway, the company led by CEO Warren Buffett, has invested $500 million in a pro-bitcoin digital bank. Nubank says it will offer bitcoin investment following its acquisition of brokerage firm Easynvest which offers the trading of Brazilâ€™s first bitcoin exchange-traded fund (ETF).
Berkshire Hathaway Invests in Pro-Bitcoin Digital Bank
Warren Buffettâ€™s Berkshire Hathaway Inc. has invested $500 million in the parent company of Nubank, a Brazil-based bitcoin-friendly digital bank, the South American company announced Tuesday. This is part of the bankâ€™s Series G funding round which began in January. The bank said it also raised $250 from other investors.
Founded in 2013, Nubank says it has 40 million customers, making it the largest digital bank in the world in terms of the number of clients. With the new investments, Nubank has become â€œthe most valuable digital bank in the world and one of the largest financial institutions in Latin America,â€ the announcement details. Reuters noted that the new investments give Nubank a $30 billion valuation, which is only slightly less than Banco Santander Brasil SA, Brazilâ€™s no. 3 bank. The publication previously reported that the bank is planning a U.S. stock market listing as soon as this year.
The pro-bitcoin Nubank has repeatedly said it will be offering bitcoin investment to customers following the acquisition of Easynvest, a brokerage firm that offers a bitcoin exchange-traded fund (ETF). Nubank received authorization from Brazilâ€™s central bank to purchase Easynvest in May. Last week, the bank rebranded Easynvest to Easynvest by Nubank.
The bitcoin ETF offered by Easynvest is QBTC11 by QR Asset Management. It was the first bitcoin ETF approved by the Securities and Exchange Commission of Brazil (CVM). It is listed on the B3 stock exchange, one of the largest stock exchanges in Latin America and the second oldest in Brazil.
Nubank said Tuesday that it plans to use the money raised to fund its international expansion to Mexico and Colombia, launch new products and services, and hire more employees.
What do you think about Warren Buffettâ€™s Berkshire Hathaway investing in a bitcoin-friendly bank? Let us know in the comments section below.
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.