By The Numbers: Bitcoin Received $200 Million Investment From This Financial Giant
February 13 2024 - 1:00PM
NEWSBTC
According to a Reuters report, Founders Fund, the venture capital
(VC) firm founded by billionaire Peter Thiel, is once again betting
big on the flagship cryptocurrency, Bitcoin. The VC firm is
reported to have made significant profits on their last Bitcoin
investment and would be hoping that this next market cycle also
brings immense rewards. Related Reading: Bitcoin Price
Revisits $50K, Why BTC Could Start A Short-Term Correction Founders
Fund Already Made A $200 Million Investment In Bitcoin And Ether
From late summer to early fall last year, Peter Thiel’s Founders
Fund reportedly invested $200 million in the two largest crypto
tokens by market cap, Bitcoin and Ethereum. If so, the VC firm is
likely already sitting on unrealized profits, considering these two
cryptocurrencies were trading lower during that period.
Notably, the BTC price is known to have traded below $30,000
towards the end of summer last year and only rose above that level
sometime in October. Meanwhile, although the average prices of
Founders Fund’s Bitcoin purchases could not be ascertained, BTC has
been trading at its highest level since 2021. Interestingly,
Founders Fund is said to have made about $1.8 billion in returns on
their previous investment in Bitcoin. The Financial Times reported
how the VC firm began investing in the crypto token as far back as
2014 and went to liquidate most of its BTC holdings in March 2022,
just before the crypto winter started in full force. Peter
Thiel’s Optimism On BTC Peter Thiel, the co-founder of PayPal and
one of the earliest investors in Facebook, is known to be a
long-time Bitcoin advocate. He once explained how the flagship
crypto token could provide a safe haven for investors and described
it as a “hedge” against the “world falling apart.” Thiel also
belonged to the school that believed Bitcoin could eventually
replace Gold. When Bitcoin hit its all-time high at the
height of the 2021 bull run, Thiel also admitted that he was
underinvested in the crypto token. He said he should have bought
more BTC rather than hesitating because he thought “everybody
already knew the secret.” Related Reading: Shiba Inu Records 2,500%
Spike In Whale Activity, SHIB Price About To Skyrocket? The
billionaire has also described himself at some point as a
“pro-crypto, pro-Bitcoin maximalist.” His affinity for Bitcoin and
cryptocurrencies generally also stems from his political philosophy
of libertarianism, as he sees these virtual currencies as a “force
for decentralization.” Cover image from Dall-E, chart from
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