Peter Thiel has been a long-time Bitcoin backer. However his fund closing nearly all its crypto positions shortly earlier than the market went downhill didn’t sit effectively with many.
In accordance with Fortune’s newest report, Thiel’s VC agency – Founders Fund – cashed out all of its bets on cryptocurrencies and made $1.8 billion in revenue whereas doing so.
- The San Francisco-based fund purchased Bitcoin over eight years in the past when the flagship crypto was buying and selling below $1,000. Over the following few years, it elevated its holdings considerably.
- Talking on the Bitcoin 2022 convention in Miami in April, Thiel continued to champion Bitcoin and known as for its elevated adoption. He even went on to say, “we’re on the finish of the fiat recreation regime,” whereas highlighting that Bitcoin was nonetheless undervalued however has the potential to switch Gold.
- Backing Bitcoin, Theil additionally mentioned that he expects the crypto’s worth to extend 100-fold from its then buying and selling worth of $44,000.
- Nevertheless, the billionaire enterprise capitalist made no revelation about Founders Fund cashing out the earlier month.
- It’s value noting that the fund’s determination to dump its tokens was timed completely as a result of Bitcoin would then see a large plunge, even briefly falling beneath $16k later that yr.
- Presently, the fund doesn’t have any vital publicity to crypto, as per FT’s sources.
- Moreover, the PayPal co-founder had mentioned that he felt “underinvested” in Bitcoin simply months earlier than Founders Fund cashed out of its bets on digital property.