{"id":26458,"date":"2024-05-19T23:56:00","date_gmt":"2024-05-19T15:56:00","guid":{"rendered":"https:\/\/www.granitefirm.com\/blog\/us\/?p=26458"},"modified":"2025-02-11T09:14:10","modified_gmt":"2025-02-11T01:14:10","slug":"nubank-advantages","status":"publish","type":"post","link":"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/","title":{"rendered":"What company is Nubank owned by Buffett? How it makes money and its advantages?"},"content":{"rendered":"\n<p>I mentioned <a href=\"https:\/\/en.wikipedia.org\/wiki\/Nubank\" target=\"_blank\" rel=\"noreferrer noopener\">Nubank<\/a> (ticker: NU), a company invested by Warrent Buffett, in sections 1-3 of my book &#8220;<a href=\"https:\/\/www.books.com.tw\/products\/0010935641\" target=\"_blank\" rel=\"noreferrer noopener\">The Rules of 10 Baggers<\/a>&#8220;.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_86 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #ffffff;color:#ffffff\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #ffffff;color:#ffffff\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Company_Profile\" >Company Profile<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Founding_of_Nubank\" >Founding of Nubank<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Officially_established\" >Officially established<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Growth_story\" >Growth story<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#LaTAMs_largest_fintech_unicorn\" >LaTAM\u2019s largest fintech unicorn<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Initial_public_offering\" >Initial public offering<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Nubanks_Main_business\" >Nubank&#8217;s Main business<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Digital_account\" >Digital account<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Add-on_services\" >Add-on services<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Credit_card\" >Credit card<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Virtual_credit_card\" >Virtual credit card<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Cryptocurrency\" >Cryptocurrency<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#The_key_to_success\" >The key to success<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Almost_no_cost_to_acquire_customers\" >Almost no cost to acquire customers<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Virtual_credit_card-2\" >Virtual credit card<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Subverting_Brazils_beaucracy_banking_industry\" >Subverting Brazil\u2019s beaucracy banking industry<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-17\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Operating_status\" >Operating status<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-18\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Early_operations\" >Early operations<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-19\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Recent_operating_conditions\" >Recent operating conditions<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-20\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#How_efficient_is_the_operation\" >How efficient is the operation?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-21\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Start_making_profit\" >Start making profit<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-22\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Expansion_of_operating_business\" >Expansion of operating business<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-23\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Expanded_to_other_LatAm_countries\" >Expanded to other LatAm countries<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-24\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Customer_scale\" >Customer scale<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-25\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#What_drives_the_business\" >What drives the business<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-26\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Famous_investors\" >Famous investors<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-27\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Private_equity_or_venture_capital\" >Private equity or venture capital<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-28\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Buffetts_Berkshires\" >Buffett&#8217;s Berkshires<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-29\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Tencent\" >Tencent<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-30\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Competitors\" >Competitors<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-31\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Brazils_top_five_banks\" >Brazil\u2019s top five banks<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-32\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Large_fintech\" >Large fintech<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-33\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Smaller_new_fintech\" >Smaller new fintech<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-34\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Capital_market_performance\" >Capital market performance<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-35\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Share_price_performance\" >Share price performance<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-36\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Valuation\" >Valuation<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-37\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#The_companys_three_major_goals\" >The company&#8217;s three major goals<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-38\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Loan_doubled\" >Loan doubled<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-39\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Take_on_large_traditional_banks\" >Take on large traditional banks<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-40\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Expanding_operations_in_Brazil_Mexico_and_Colombia\" >Expanding operations in Brazil, Mexico and Colombia<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-41\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Challenges_and_risks\" >Challenges and risks<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-42\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Has_the_potential_to_become_Block_or_PayPal\" >Has the potential to become Block or PayPal<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-43\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Challenges\" >Challenges<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-44\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Unstable_Latin_America\" >Unstable Latin America<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-45\" href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/#Related_articles\" >Related articles<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Company_Profile\"><\/span>Company Profile<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Founding_of_Nubank\"><\/span>Founding of Nubank<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>The story of <a href=\"https:\/\/en.wikipedia.org\/wiki\/Nubank\" target=\"_blank\" rel=\"noreferrer noopener\">Nubank (ticker: NU) <\/a>begins with a bad bank account opening experience. Its founder is Colombian David V\u00e9lez, a former Sequoia Capital partner. In 2011, Veres went to Brazil for inspection and planned to launch Sequoia\u2019s investment business in Latin America. During this period, he spent six months opening an account in Brazil, which made him see the opportunity. When Sequoia Capital shut down its Brazilian business, he stayed on to found Nubank.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Officially_established\"><\/span>Officially established<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Nubank was founded in 2013 and is headquartered in Sao Paulo, Brazil. The co-founders are Veres, Cristina Zingaretti Junqueira and Adam Wible.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Growth_story\"><\/span>Growth story<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>The company launched its first credit card service that can be processed online in 2014, taking the lead in launching a credit card with the newly established Nubank. This credit card has no annual fee, and the entire process can be controlled using the mobile app. The monthly interest rate ranges from 2.75% to 14%. Soon, Nubank&#8217;s credit cards successfully opened up the market among potential financial customers not covered by banks. Thanks to word-of-mouth, Nubank has distributed its purple credit card to most parts of Brazil at almost no cost to acquire customers.<\/p>\n\n\n\n<p>By 2017, Nubank\u2019s credit card business entered the profitable stage. In May of the same year, the company obtained a Brazilian banking license and can provide other services such as savings accounts (naturally all digital accounts) and checks. Today, Nubank has extended its reach to markets such as Colombia, Mexico, and Argentina, and its business scope has also expanded to savings, loans, insurance, etc.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"LaTAMs_largest_fintech_unicorn\"><\/span>LaTAM\u2019s largest fintech unicorn<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>It took 8 years for 40-year-old Veres to build Nubank into the largest financial technology unicorn in Latin America. Later, it swept across the country, and by 2021, it had nearly 50 million users, making it the king of cards.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Initial_public_offering\"><\/span>Initial public offering<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>On December 9, 2021, Nubank successfully listed on the New York Stock Exchange for its initial public offering, with a market value of US$47.6 billion.<\/p>\n\n\n\n<p>The company also plans to make approximately $32.2 million in Brazilian depositary receipts (BDRs) available to employees and institutional investors, while also using some of them for customer loyalty programs. BDR will be listed and traded on the Brazilian stock exchange, with a share value of one-sixth of the Class A shares.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Nubanks_Main_business\"><\/span>Nubank&#8217;s Main business <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Digital_account\"><\/span>Digital account<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>In addition to providing international credit cards with no annual fee, Nubank also provides free digital account NuConta and points reward program Nubank Reward, etc. All services are managed based on one application.<\/p>\n\n\n\n<p>Nubank has more than 48 million customers in Brazil, Colombia and Mexico; the company said it added an average of 2.1 million new customers per month in the third quarter of 2021. The company&#8217;s revenue in the first nine months of 2021 reached approximately US$1.1 billion, nearly double the same period last year, but its loss also expanded 53.9% to US$99.1 million.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Add-on_services\"><\/span>Add-on services<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>It has diversified its products and now also includes services such as investments, personal loans, instant payments, life insurance and international transfers.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Credit_card\"><\/span>Credit card<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Because it is not subject to license restrictions, the threshold for issuing credit cards is not high. Therefore, Nubank began to issue credit cards in 2014, which is a purple MasterCard (ticker: MA) brand credit card. Compared with traditional banks, Nubank&#8217;s credit cards have a simplified application process, no annual fees, monthly interest rates ranging from 2.75% to 14%, and the entire process can be controlled using a mobile phone.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Virtual_credit_card\"><\/span>Virtual credit card<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>In 2014, Nubank launched the Mastercard virtual credit card into the market. Credit card applications at most financial institutions in Brazil are not only extremely complicated to apply for, but also have annual interest rates of up to 400%. Nubank&#8217;s virtual credit card simplifies the credit card application process and provides fast and transparent banking mobile services, such as transfers, consumption inquiries, bill payments, etc., and the annual interest rate is only 145%. This number may seem high, but Brazilian bank credit card annual interest rates can exceed 600%.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Cryptocurrency\"><\/span>Cryptocurrency<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Nubank is friendly to cryptocurrencies, allowing cryptocurrencies to be traded on the platform and even issuing its own native token in March 2023.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"The_key_to_success\"><\/span>The key to success<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Almost_no_cost_to_acquire_customers\"><\/span>Almost no cost to acquire customers<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>A large part of Nubank&#8217;s success depends on the success of its credit card business. According to the company&#8217;s prospectus at the time, 80%-90% of Nubank&#8217;s annual users come through word-of-mouth and free recommendations, which has also contributed to the rapid growth of Nubank&#8217;s customers.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Virtual_credit_card-2\"><\/span>Virtual credit card<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>The cheap and convenient service of virtual credit card was quickly favored by users, and Nubank gained rapid expansion of its user base with low user acquisition costs. The prospectus shows that as of the first three quarters of 2021, the company&#8217;s CAC is US$5.0 per customer, of which paid marketing accounts for about 20%, which makes the company&#8217;s CAC one of the lowest among global consumer financial technology companies.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Subverting_Brazils_beaucracy_banking_industry\"><\/span>Subverting Brazil\u2019s beaucracy banking industry<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Nubank&#8217;s great success is not only due to the fact that the epidemic has changed the payment methods of Brazilian people, but also related to Brazil&#8217;s special financial structure. Historically, Brazil&#8217;s banking industry has been highly concentrated, with five banks controlling 85% of the Brazilian market. Brazil&#8217;s banking industry has long been one of the most profitable banking industries in the world. Because of this, the cost for ordinary customers to obtain financial services is too high, coupled with the serious lack of penetration and other characteristics, giving many start-up financial companies opportunities.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Operating_status\"><\/span>Operating status<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Early_operations\"><\/span>Early operations<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Nubank&#8217;s revenue in 2018, 2019 and 2020 was US$319 million, US$612 million and US$737 million respectively, with continued growth; Nubank&#8217;s losses in these three years were US$28.6 million, US$92.5 million and US$1.715 respectively. One hundred million U.S. dollars.<\/p>\n\n\n\n<p>In 2020, Nubank&#8217;s gross profit was US$326.9 million, an increase of 31.9% from US$247.9 million in 2019. In the first nine months of 2021, Nubank&#8217;s gross profit was US$506 million, an increase of 101.9% from US$250.6 million in the same period last year.<\/p>\n\n\n\n<p>Although losses are also slowing down, they have not achieved profitability for a long time. In the first nine months of 2021, Nubank lost US$99.1 million, an increase of 49.2% from US$66.4 million in the same period of 2020. In addition, the loss of other local financial institutions in Brazil Due to the competitive situation, Nubank faces considerable pressure on profitability.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Recent_operating_conditions\"><\/span>Recent operating conditions<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Revenue has grown at a compound annual growth rate (CAGR) of 82% over the past two years, with net profit increasing from $58 million last year to $361 million this year.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_efficient_is_the_operation\"><\/span>How efficient is the operation?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Service costs, a measure of how much a company spends to serve the average user, have been steady at $0.90 since last year, while deposit costs are relatively low at 80% of interbank interest rates.<\/p>\n\n\n\n<p>In the fourth quarter of 2023, net interest income increased by 85% year-on-year, and the net interest margin was 18.3%, close to historical highs.<\/p>\n\n\n\n<p>Gross profit will increase by 87% compared with 2022, and gross profit margin will expand to 47.5%. That drove net income higher, to $361 million in the fourth quarter from $58 million a year earlier.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Start_making_profit\"><\/span>Start making profit<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>However, the company has made some gains in operations. In the year ending June 2023, the company&#8217;s number of customers increased by 28% to 84 million, and revenue increased by 61% to approximately US$1.9 billion. , and turned losses into profits, improving from a net loss of US$30 million to a net profit of US$225 million.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Expansion_of_operating_business\"><\/span>Expansion of operating business<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Expanded_to_other_LatAm_countries\"><\/span>Expanded to other LatAm countries<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>It currently has locations in Brazil, Mexico and Colombia. In less than two years since launching operations in Mexico in early 2020, Nubank has become the largest credit card issuer in the country. As of September 30, 2021, Nubank had 760,000 customers, which is significantly higher than Mexico&#8217;s existing banks. This catfish, which once rocked the Brazilian banking market, is expected to upend traditional markets in Latin America.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Customer_scale\"><\/span>Customer scale<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>From 2018 to 2020, the number of Nubank customers was 6 million, 20.1 million and 33.3 million respectively, representing year-on-year increases of 98%, 232% and 66% respectively. As of March 2021, the total number of Nubank customers has risen to 48.1 million, a year-on-year increase of 62%; in terms of monthly active users, Nubank&#8217;s data in the past three years were 5.1 million, 12.1 million and 21.8 million respectively, with year-on-year growth rates of 84% and 61. % and 66%.<\/p>\n\n\n\n<p>As of September 30, 2021, Nubank had 48.1 million users, accounting for approximately 28% of Brazil&#8217;s population aged 15 and over. Among them, about 73% are monthly active users. In Brazil, Mexico and Colombia, Nubank adds an average of more than 2 million net customers every month. On average, Nubank recovers its customer acquisition costs in less than 12 months.<\/p>\n\n\n\n<p>In 2023, the company added 19 million new accounts, bringing the number of accounts to nearly 94 million at the end of the year, including 53% of Brazil&#8217;s adult population, using Nubank&#8217;s digital bank account services.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_drives_the_business\"><\/span>What drives the business<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>One of its key drivers of growth is cross-selling new products to existing customers, thereby increasing average revenue per active customer (ARPAC). As digital trading grows in Brazil, the majority of transactions will flow through Nubank&#8217;s channels, driven by new customers and more transactions through its products.<\/p>\n\n\n\n<p>But it\u2019s not just new customers that bring in higher revenue. Nubank has expanded to offer a wide range of financial products beyond bank accounts, such as credit cards and investment instruments, and it also sells and cross-sells new products. User engagement is high at 83%. This results in an increase in average revenue per active customer, which continues to grow year over year as overall revenue grows.<\/p>\n\n\n\n<p>Nubank has shifted from primarily addressing the pain points of lower socioeconomic groups to targeting wealthier segments of the population, with payment volumes on its Ultravioleta credit card targeting high-income earners more than doubling year-over-year in the fourth quarter of 2023.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Famous_investors\"><\/span>Famous investors<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Private_equity_or_venture_capital\"><\/span>Private equity or venture capital<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Before going public, Nubank received capital injections from well-known private equity funds or venture capital investment institutions such as Sequoia Capital, Redpoint Ventures, DST, Tiger Global Management, and GIC.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Buffetts_Berkshires\"><\/span>Buffett&#8217;s Berkshires<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>In June 2021, Buffett&#8217;s Berkshire Hathaway invested US$500 million in Nubank.<\/p>\n\n\n\n<p>Berkshire Hathaway (ticker: BRK.A and BRK.B) initially invested US$500 million in Nubank in June 2021, and then invested US$250 million in the bank when the company went public in December of that year. about. As of June 2023, Berkshire holds about 107 million shares of the company, with a shareholding ratio of about 2%.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Tencent\"><\/span>Tencent<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>In October 2018, Tencent (ticker: TCEHY) invested US$180 million in Nubank, becoming one of the shareholders of this unicorn and bringing help to Nubank in areas such as payments, consumer loans, engineering and machine learning. , which is Tencent\u2019s first investment in Latin America\u2019s largest economy.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Competitors\"><\/span>Competitors<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Brazils_top_five_banks\"><\/span>Brazil\u2019s top five banks<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Brazil\u2019s banking system is one of the most bureaucratic in the world, with the following five largest banks in the country monopolizing 80% of the local financial services market share:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>It\u00e1u Unibanco (ticker: ITUB)<\/li>\n\n\n\n<li>Banco Santander (ticker: SAN)<\/li>\n\n\n\n<li>Banco Bradesco (ticker: BBD)<\/li>\n\n\n\n<li>Banco do Brasil (ticker: BDORY)<\/li>\n\n\n\n<li>Caixa Econmica<\/li>\n<\/ul>\n\n\n\n<p>In addition, banks that were previously overtaken by Nubank also have an example. As early as 2019, It\u00e1u Unibanco one of the five largest banks in Brazil, launched the QR code payment platform Iti, whose functions are close to those of domestic users. There is no need to be a bank customer and the threshold is also low. If It\u00e1u Unibanco is willing to take the risk of subverting its own cash cow and bear Iti&#8217;s high operating expenses for a long time, it will have a great opportunity to challenge the virtual credit card hegemony established by Nubank.<\/p>\n\n\n\n<p>As of October 2021, more than 110 million Brazilians are using the instant payment platform Pix launched by the Banco Central do Brasil (the Bank of Brazil is its agent), which is also an electronic wallet type.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Large_fintech\"><\/span>Large fintech<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>In recent years, the rapid development of the following Brazilian financial technologies has also challenged the interests of these traditional financial giants to some extent:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>StoneCo (US: STNE) is a Brazilian payment fintech player.<\/li>\n\n\n\n<li>PagSeguro (US: PAGE): Brazil\u2019s payment fintech player.<\/li>\n\n\n\n<li>Cielo SA (ticker: CIOXY): Cielo is Brazil&#8217;s largest credit and debit card operator. Founded in 1995, it is a partnership between Visa (ticker: V) and Bradesco, Banco do Brasil, Banco Real (now Banco Santander) and a joint venture with the now-defunct Banco Nacional bank.<\/li>\n\n\n\n<li>MercadoPago (ticker: MELI), for details, please see my other previous post &#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2022\/01\/02\/mercadolibre-introduction\/\" target=\"_blank\" rel=\"noreferrer noopener\">Latin America&#8217;s e-commerce dominant MercadoLibre<\/a>&#8220;<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Smaller_new_fintech\"><\/span>Smaller new fintech<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>In addition, a new batch of financial technology companies are emerging. For example, in the Mexican market, new players such as AIbo, Fondeadora, V exi, and Stori Card have emerged. Among them, AIbo has adopted a sinking strategy with a lower threshold than Nubank, claiming that people with no credit history can also enjoy financial services.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Capital_market_performance\"><\/span>Capital market performance<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Share_price_performance\"><\/span>Share price performance<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>In the year ending in June 2023, the company&#8217;s number of customers increased by 28%, revenue increased by 61% annually, and it turned a profit and started making money. Therefore, the company&#8217;s stock price rose by 104.67% in the year of 2023.<\/p>\n\n\n\n<p>And the performance over the past year has been impressive, rising more than 150%. However, since the company&#8217;s stock price has been falling since the IPO, as of May 2024, the stock price has only returned to the price when the company was originally listed in 2021.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Valuation\"><\/span>Valuation<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>As of May 2024, the market value is US$109.14 billion, and the price-to-earnings ratio is 44.81.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"The_companys_three_major_goals\"><\/span>The company&#8217;s three major goals<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Loan_doubled\"><\/span>Loan doubled<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Personal loans will be doubled in 2023 to achieve the first goal. As it attracts more deposits, this paves the way for full expansion of the business, increasing net interest income and loan products, and building long-term relationships with these customers.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Take_on_large_traditional_banks\"><\/span>Take on large traditional banks<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>As for the second goal, Nubank initially aims to replace large traditional banks in traditionally underbanked areas. Its low-fee products appeal to the masses, but it has also attracted the attention of a broader market looking for easy-to-use digital financial services, and the company is expanding its reach to more affluent people. In the fourth quarter of 2023, Ultraviolet credit card transaction volume for this audience more than doubled year over year.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Expanding_operations_in_Brazil_Mexico_and_Colombia\"><\/span>Expanding operations in Brazil, Mexico and Colombia<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Nu identified three goals heading into 2023: expand lending operations in Brazil, increase participation in Brazil\u2019s high-end market and increase local currency deposits in Mexico and Colombia.<\/p>\n\n\n\n<p>To achieve its third goal, last May it opened a new service for deposit accounts in Mexico, where deposits doubled to more than $1 billion within two months, faster than it achieved that goal in Brazil. three times. The product received regulatory approval in Colombia only last December and was launched in January.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Challenges_and_risks\"><\/span>Challenges and risks<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Has_the_potential_to_become_Block_or_PayPal\"><\/span>Has the potential to become Block or PayPal<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>If Nubank meets all conditions, the company continues to operate smoothly, and the overall environment in Latin America improves, perhaps Nubank &#8220;has a chance (but it may not happen)&#8221; to become Latin America&#8217;s version of Block (formerly known as Square, ticker: XYZ) Or the potential of PayPal (ticker: PYPL ).<\/p>\n\n\n\n<p>Regarding Block and PayPal, the two largest financial technology companies in the world, please see my previous posts:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2021\/09\/12\/you-should-know-the-company-square\/\">You should know the company Square (rebraned to Block)<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2021\/08\/16\/why-acquired-afterpay\/\" target=\"_blank\" rel=\"noreferrer noopener\">Is Afterpay Worth Block (Square) $29 Billion M&amp;A?<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2021\/09\/16\/the-most-popular-news-credit-method-bnpl\/\">The most popular news credit method BNPL<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2025\/02\/10\/how-sezzle-makes-money\/\">How Sezzle makes money?<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2023\/11\/01\/paypals-crisis\/\" target=\"_blank\" rel=\"noreferrer noopener\">PayPal\u2019s current crisis and appeal<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2021\/11\/22\/paypal-plummeted-40\/\" target=\"_blank\" rel=\"noreferrer noopener\">Why PayPal plummeted sharply by 42% from its peak?<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2021\/07\/16\/paypal-buy-bitcoin\/\" target=\"_blank\" rel=\"noreferrer noopener\">PayPal buy bitcoin is it not a good idea<\/a>&#8220;<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Challenges\"><\/span>Challenges<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>In terms of the number of users it currently has, Nubank has quickly emerged as the world&#8217;s largest digital bank. However, with the rapid expansion of its business, problems such as financial losses, network security, and intensified competition between traditional banks and new companies need to be solved. How to ensure the future? Sustained profitability is also the focus of Nubank&#8217;s thinking.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Unstable_Latin_America\"><\/span>Unstable Latin America<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Latin America does offer a lot of opportunities, but the region is known for its unstable societies, staggering inflation, alarmingly high unemployment rates, and scary exchange rates. Each of these factors is a major negative factor for business operations, and investors must not be cautious.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"217\" height=\"120\" src=\"https:\/\/www.granitefirm.com\/blog\/us\/wp-content\/uploads\/sites\/2\/2024\/05\/Nubank-Custom.jpg\" alt=\"Nubank \" class=\"wp-image-26459\"\/><figcaption class=\"wp-element-caption\">credit: wiki<\/figcaption><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Related_articles\"><\/span>Related articles<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/05\/19\/nubank-advantages\/\" target=\"_blank\" rel=\"noreferrer noopener\">What company is Nubank owned by Buffett? How it makes money and its advantages?<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2022\/09\/03\/snowflake-its-value\/\" target=\"_blank\" rel=\"noreferrer noopener\">What company is Snowflake owned by Buffett? Where is its value?<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2022\/12\/23\/snowflakes-competitiveness\/\">Deep dive on Snowflake&#8217;s competitiveness<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2022\/06\/17\/wells-fargo\/\">Wells Fargo, a major holding once praised by Buffett and Munger<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2022\/01\/02\/mercadolibre-introduction\/\" target=\"_blank\" rel=\"noreferrer noopener\">Latin America&#8217;s e-commerce dominant MercadoLibre<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/09\/12\/mercadolibre-keeps-delivery\/\" target=\"_blank\" rel=\"noreferrer noopener\">MercadoLibre that Amazon cannot beat. Why it keeps delivery?<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2021\/09\/12\/you-should-know-the-company-square\/\">You should know the company Square (rebraned to Block)<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/03\/02\/bitcoin-etf-spot\/\" target=\"_blank\" rel=\"noreferrer noopener\">Bitcoin ETF spot trading approval has far-reaching impact<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/03\/12\/enlightenment-of-bitcoin\/\" target=\"_blank\" rel=\"noreferrer noopener\">Enlightenment of Bitcoin reaching new heights<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2024\/01\/04\/cryptocurrency-etfs\/\" target=\"_blank\" rel=\"noreferrer noopener\">Cryptocurrency ETFs drive surge in related companies<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2023\/12\/28\/coinbase-and-binance\/\" target=\"_blank\" rel=\"noreferrer noopener\">How do Coinbase and Binance make money? Advantages comparison<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2023\/03\/28\/react-to-short\/\">How to react when holdings are shorted by famous institutions?<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2021\/12\/01\/what-is-metaverse\/\" target=\"_blank\" rel=\"noreferrer noopener\">What is the metaverse? any related companies? Are there any related companies?<\/a> &#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2022\/07\/10\/what-is-a-nft\/\" target=\"_blank\" rel=\"noreferrer noopener\">What is a non-fungible token (NFT)? Any related stocks?<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2022\/06\/20\/what-is-web5\/\" target=\"_blank\" rel=\"noreferrer noopener\">What is Web 5?<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2022\/02\/20\/what-is-web3\/\">What is Web3? What are the related companies?<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2021\/06\/22\/introducing-jack-dorsey\/\">Introducting Jack Dorsey, the low-key Silicon Valley leader<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2021\/07\/06\/jack-dorsey-bitcoin\/\" target=\"_blank\" rel=\"noreferrer noopener\">Incredible Bitcoin fanatical supporter, Jack Dorsey<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2021\/08\/16\/why-acquired-afterpay\/\" target=\"_blank\" rel=\"noreferrer noopener\">Is Afterpay Worth Block (Square) $29 Billion M&amp;A?<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2021\/09\/16\/the-most-popular-news-credit-method-bnpl\/\">The most popular news credit method BNPL<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2023\/11\/01\/paypals-crisis\/\" target=\"_blank\" rel=\"noreferrer noopener\">PayPal\u2019s current crisis and appeal<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2021\/11\/22\/paypal-plummeted-40\/\" target=\"_blank\" rel=\"noreferrer noopener\">Why PayPal plummeted sharply by 42% from its peak?<\/a>&#8220;<\/li>\n\n\n\n<li>&#8220;<a href=\"https:\/\/www.granitefirm.com\/blog\/us\/2021\/07\/16\/paypal-buy-bitcoin\/\" target=\"_blank\" rel=\"noreferrer noopener\">PayPal buy bitcoin is it not a good idea<\/a>&#8220;<\/li>\n<\/ul>\n\n\n\n<p><em><strong>Disclaimer<\/strong><\/em><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><em>The content of this site is the author\u2019s personal opinions and is for reference only. I am not responsible for the correctness, opinions, and immediacy of the content and information of the article. Readers must make their own judgments.<\/em><\/li>\n\n\n\n<li><em>I shall not be liable for any damages or other legal liabilities for the direct or indirect losses caused by the readers&#8217; direct or indirect reliance on and reference to the information on this site, or all the responsibilities arising therefrom, as a result of any investment behavior.<\/em><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>If Nubank meets all conditions, the company continues to operate smoothly, and the overall environment in Latin America improves, perhaps Nubank &#8220;has a chance (but it may not happen)&#8221; to become Latin America&#8217;s version of Block (formerly known as Square, ticker: XYZ) Or the potential of PayPal (ticker: PYPL ).<\/p>\n","protected":false},"author":1,"featured_media":26459,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[126,1088,106,108,87,80,83,11],"tags":[1264,1267,48,49,1265,1266,160,658,864,1263,4,1268,1113,232,140,1419],"class_list":["post-26458","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-fintech","category-brazil-stock-market","category-consumer-banking","category-credit-card","category-cryptocurrency","category-portfolio-management","category-startup","category-buffett","tag-bbd","tag-bdory","tag-brk-a","tag-brk-b","tag-cioxy","tag-itub","tag-ma","tag-meli","tag-nu","tag-page","tag-pypl","tag-san","tag-stne","tag-tcehy","tag-v","tag-xyz"],"_links":{"self":[{"href":"https:\/\/www.granitefirm.com\/blog\/us\/wp-json\/wp\/v2\/posts\/26458","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.granitefirm.com\/blog\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.granitefirm.com\/blog\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.granitefirm.com\/blog\/us\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.granitefirm.com\/blog\/us\/wp-json\/wp\/v2\/comments?post=26458"}],"version-history":[{"count":33,"href":"https:\/\/www.granitefirm.com\/blog\/us\/wp-json\/wp\/v2\/posts\/26458\/revisions"}],"predecessor-version":[{"id":34133,"href":"https:\/\/www.granitefirm.com\/blog\/us\/wp-json\/wp\/v2\/posts\/26458\/revisions\/34133"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.granitefirm.com\/blog\/us\/wp-json\/wp\/v2\/media\/26459"}],"wp:attachment":[{"href":"https:\/\/www.granitefirm.com\/blog\/us\/wp-json\/wp\/v2\/media?parent=26458"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.granitefirm.com\/blog\/us\/wp-json\/wp\/v2\/categories?post=26458"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.granitefirm.com\/blog\/us\/wp-json\/wp\/v2\/tags?post=26458"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}