The company Buffett invested in has suspended its own coin
Nubank, one of the world's largest digital banks, has terminated trading in its own cryptocurrency Nucoin. Warren Buffett has a $1.6 billion stake in Nubank, which corresponds to 3 percent of all shares.
Nubank, a fintech company in which billionaire stockbroker Warren Buffett has invested $1.6 billion, has completely suspended trading in its cryptocurrency Nucoin, which it launched in late 2022.
The company said in a statement, "Nucoin trading has been removed from the application. Nucoins can only be used for various benefits and shopping discounts. Our customers will be able to convert their Nucoins into Bitcoin or USDC until December 9, 2024."
Nubank emphasized that it made this decision to protect its users from market volatility.
The cryptocurrency was launched on the Polygon network in late 2022. Although the statement states that the decision was made to protect users, it is said that the real reason may be different. The fact that this sudden policy change was made amidst investigations into the company's financial health and concerns about bad loans has raised suspicions.
Despite all this, Nubank's second-quarter profit more than doubled compared to the previous year. The company reported revenue of $2.8 billion in the last quarter. Net income was $487 million, exceeding analysts' expectations of $418 million. Having surpassed the 100 million customer mark, Nubank is now one of the world's largest digital banks.
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