Warren Buffett, the Founder and CEO of Berkshire Hathaway, and a known critic of Bitcoin (BTC) is set to step down from his role with the company. As revealed during the firm’s Annual Meeting, Buffett will step down by the end of this year after about 60 years of leading the company. This update marks a major shift in the company’s history and the future of Bitcoin, the new sensation among some Wall Street firms.
The Warren Buffett Retirement Shocker
The billionaire investor shocked shareholders with the news of his departure on May 3 as reported by Yahoo! Finance. He built Berkshire Hathaway into one of the biggest companies in the US and remained a major voice many listen to.
During the Annual Meeting, he said Greg Abel, the company’s Vice Chairman, is his top pick to succeed him. While he said the update was not known to Abel before now, he said he may still be around to play some minor roles in the company. However, he noted that Abel will have the final say in the firm.
Meanwhile, he commented on the ongoing US-China trade war under the Donald Trump administration. While he failed to pick sides, he noted that the country “should be looking to trade with the rest of the world,” and that trade should not be a weapon.
While the transition process will occur internally, the implications for Bitcoin and crypto remain unknown.
Will Berkshire Hathaway Embrace Bitcoin Post Buffett Era?
Beyond his business acumen in the TradFi world, Buffett gained popularity for his dislike of Bitcoin. While he has a stake in Brazilian crypto finance firm Nu Bank, he has consistently criticized Bitcoin as an asset class.
With many now looking up to Greg Abel’s era, it remains unknown if the company will make a pivot in the long term. What is known, however, is that Greg Abel rose to the top with his hands-on approach to investments, a move different from Warren Buffett’s hands-off style.
Since the company did not divest its stake from Nu Holdings, but increased its stake in the firm, under Abel, the company may build on this. The pro-crypto stance of the U.S. government under President Donald Trump may also help in the company’s likely pivot.
With Senator Cynthia Lummis’s Bitcoin Act Bill, many regulatory bottlenecks limiting Berkshire Hathaway may be cleared up.
Wall Street Firms Making a Pivot Already
As reported by CoinGape earlier this week, Strategy acquired 15,355 BTC for $1.4 billion. While not primarily a crypto firm, the company has continued to raise money to buy Bitcoin.
Other firms, like Tesla and GameStop, are bullish on Bitcoin, creating a precedent for the Warren Buffett-led company to follow suit. Whether this projection will play out remains to be seen.
The post Warren Buffett To Step Down, Will Berkshire Hathaway Finally Embrace Bitcoin? appeared first on CoinGape.
