Stablecoin Providers Own More US Debt Than Warren Buffett’s Berkshire

As of May this year, different stablecoin providers owned approximately $80 billion in short-term U.S. government debt in total.
By Coingape Staff

A JP Morgan report published this month has revealed that stablecoin issuers such as Tether (USDT), Circle, and other stablecoin firms controlled more Treasury bills compared to Warren Buffett’s Berkshire Hathaway. As of May this year, different stablecoin providers owned approximately $80 billion in short-term U.S. government debt in total.

By gaining a considerable share in the United States Treasury market, the Stablecoin issuers have left behind key traditional players recently. At the end of June, Warren Buffet increased his company’s exposure to Treasury bills to $75B from $58.5B at the beginning of this year. Even after this hike, Berkshire’s T-bill investments are less than the leading stablecoin providers.

Stablecoin’s market cap is nearly $151.29B, and a large portion of its support comes from T-bills. 

Advertisement
Advertisement

A look at Warren Buffet’s investing style

Warren Buffet is a renowned investor, business magnate, and the world’s seventh wealthiest person. The billionaire has gained widespread popularity and fame because of his investment strategy called Value investing.

In Value investing, investors invest in shares of those companies whose share price is trading lower than their intrinsic Value. This investment strategy is based on the belief that though the stocks are currently undervalued on account of any favorable or unfavorable news, but their share price will rise in the future.

Value investors invest in stocks of those companies with solid and long-term fundamentals, good business models, attractive P/E ratios, sound balance sheets, and good dividend payment history.

Advertisement
Advertisement

Buffet’s view on Cryptocurrency and Bitcoin

The billionaire investor is known for making cutting remarks on Cryptocurrency as well as Bitcoin.

Buffet sees Bitcoin as an unproductive asset, and he once went to the extent of calling it a “probably rat poison squared.” Recently, the 91-year-old investor grabbed headlines when he said he would not consider buying even all the Bitcoin in the world for $25 because it produces nothing.

It seems that the legendary investor is never going to stop hating Cryptocurrency. 

Advertisement
Coingape Staff
CoinGape comprises an experienced team of native content writers and editors working round the clock to cover news globally and present news as a fact rather than an opinion. CoinGape writers and reporters contributed to this article.
Why trust CoinGape: CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journalists and analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.