Peter Thiel’s venture capital firm Founders Fund has cashed out on its eight-year investment in Bitcoin BTC/USD.
What Happened: This comes a month after Thiel extolled the benefits of Bitcoin at a Miami conference.
The firm had sold off the vast majority of its crypto holdings by March 2022, generating $1.8 billion in the process, according to a source close to the fund, ` The Financial Times.
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According to the report, two-thirds of the firm’s crypto investment was in Bitcoin.
The selloff by Thiel’s Founders Fund proved to be a timely decision, saving the firm from the collapse in Bitcoin’s price later, which pushed its value down to a two-year low of around $15,599.
Thiel reiterated his belief of Bitcoin replacing gold as a financial asset and noted that it was still undervalued considering its potential.
San Francisco-based Founders Fund was one of the earliest investors in Bitcoin, first buying into the cryptocurrency in 2014 when it was trading for less than $1,000.
In another development, Thiel has been identified as one of the prominent shareholders in a bankruptcy court document filed in connection with the collapse of the cryptocurrency exchange FTX.
Price Action: At the time of writing, Bitcoin was trading at $20,808, down 2.27% in the last 24 hours, according to Benzinga Pro data.
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