Chinese billionaire Duan Yongping, often called the “Warren Buffett of China,” has made a rare move in the world of cryptocurrencies. Through his investment firm H&H International Investment, he acquired 200,000 shares of Circle, the stablecoin issuer. The transaction was valued at approximately 19 million US dollars.
This decision has attracted market attention for several reasons. Duan Yongping is known for his conservative and deeply thoughtful approach to investing. He has long expressed skepticism toward cryptocurrencies and their volatile nature. Nevertheless, he has made an exception for Circle.
Why Circle
Circle’s business model proved attractive to the sophisticated investor. The company issues the USDC stablecoin, which is backed by reserves of liquid assets. Circle generates its primary income not from speculative trading but from interest income on these reserves. This structure creates a predictable cash flow, a critical factor in Duan’s investment philosophy.
The Principle of Understandable Assets
For Duan Yongping, this investment is his only one in the crypto industry. His strategy has always been built on a simple rule to invest only in understandable assets with clear fundamentals and predictable returns. Circle, with its transparent reserve system and regulatory oversight, fits this approach.
Changes in the Billionaire’s Portfolio
Alongside his purchase of Circle shares, Duan Yongping carried out a major rebalancing of his 20 billion dollar portfolio. He reduced his stakes in two tech giants, Apple and TSMC. At the same time, he began investing in Tesla.
These actions show that even the most cautious investors can reconsider their views. Duan’s bet on Circle signals growing recognition of stablecoins as an institutional asset class. His example may influence other large investors who have so far avoided the crypto market.