Bitcoin Soars Above $15,000 After WSJ Reports Peter Thiel Makes "Monster Bet"

Update (1420ET) - Well that escalated quickly. Bitcoin just broke above $15,000, up $1200 since Thiel headlines hit..

 

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Bitcoin prices are soaring (following a disappointing start to the year) after reports that billionaire tech investor Peter Thiel has BTFD in recent months and amassed a massive position in the cryptocurrency.

 

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The Wall Street Journal reports that Founders Fund, the venture-capital firm co-founded by Peter Thiel, has amassed hundreds of millions of dollars of the volatile cryptocurrency, people familiar with the matter said.

The bet has been spread across several of the firm’s most recent funds, the people said, including one that began investing in mid-2017 and made bitcoin one of its first investments.

Mr. Thiel made the decision to buy up bitcoin together with Founders’ other investment partners, a person familiar with the matter said.

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The bitcoin bet is quickly showing promise. Founders bought around $15 to $20 million in bitcoin, and it has told investors the firm’s haul is now worth hundreds of millions of dollars after the digital currency’s ripping rise in the past year.

It isn’t clear if Founders has sold any of its holdings yet. The bet hasn’t been previously reported.

Bitcoin surges over $600 on the news, breaking back above $14,000...

 

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Founders began buying in for its investors before the recent volatility, the people familiar with the matter said.

Notably, Mr. Thiel, who is an outspoken libertarian, co-founded digital payments service PayPal, perhaps adding further to his credibility with regard the cryptocurrency purchase.

Comments

Antifaschistische HillaryOdor Tue, 01/02/2018 - 14:38 Permalink

The Billionaire Boy Club can do the same thing to bitcoin that they do to AAPL stock (in a round about way).   Soak up all the inventory, and never sell...and watch the price go to the moon.   Then they all get to play a game of chicken selecting who gets to sell first.  with AAPL it's the Hedge Funds, Sovereigns, Pensions, etc.  that ramp the price, and all get to mark their Balance Sheets up in the ramp.  Disadvantage to crypto's is that there's no buyback strategy that can help them out.

In reply to by HillaryOdor

Exponere Mendaces troubadourcapital Tue, 01/02/2018 - 16:22 Permalink

That $9,500 and $8,000 price level forecast is from chartists getting antsy about a head-and-shoulders pattern that frankly looks pretty sloppy, so I don't think that's going to apply.

In any event, this is just the beginning - there are other big hitters out there ready to step in.

2018 is going to be fucking great.

Even that shitcoin Ripple kicked BCash to the curb, LOL. Roger Ver is probably still having hissy fits about that one.

In reply to by troubadourcapital

pigpen troubadourcapital Tue, 01/02/2018 - 20:56 Permalink

TC, Thiel is contrarian. He funded brave browser which has crypto element and wants to redefine advertising and attention and how stakeholders get paid.

He who controls the browser controls the money.

Brave blocks advertising malware and tracking by DEFAULT on any device and operating system.

2018 is year citizens take down goobook monopolies and digital advertising model.

Cheers,

Pigpen

In reply to by troubadourcapital

Ignatius Tue, 01/02/2018 - 13:49 Permalink

"Bitcoin prices are soaring (following a disappointing start to the year)..."

It's the first full business day of 2018, for God's sake!!

We're being taught to think of tighter and tighter time frames.

No shortage of stupid writers.

LetThemEatRand Son of Captain Nemo Tue, 01/02/2018 - 14:00 Permalink

Why should RT jetison Keiser?  He's made some of the best calls of the decade, including pushing BTC before just about anyone had heard of it (literally years and years ago).  I only wish I had listened to him about that instead of silver.  Further, he will bring on a guy like Pento who asks tough questions and allow the viewer to make up his own mind.  Most importantly, Keiser is one of the most spot on political pundits out there IMO, does things like ambush Eric Holder at the airport, calls out the central banks like no one's business, etc.  You don't have to agree with everything he says to know he's one of the good guys.

In reply to by Son of Captain Nemo

Son of Captain Nemo LetThemEatRand Tue, 01/02/2018 - 14:23 Permalink

Why didn't Max simply share dialogue on the question Mike Pento raised on "Marvin Goodfriend"?...

I'll say it again...

Max Keiser, Larry King and Bart Chilton are the price RT News has to pay for doing business in what is left of the American Dream for "American viewers"!

But the controlled opposition really doesn't matter.  And the Russian Federation is more then delighted to oblige the Looney Tune shenanigans because they are the last rail of sound banking with hard assets at their back that the American Central Bank and Brussels no longer has!!!

In reply to by LetThemEatRand

adr Tue, 01/02/2018 - 14:00 Permalink

Theil likes the sound of sucking up other people's money.

Whales control the price of Bitcoin and Theil just made a couple hundred million manipulating a crypto. Too bad you can't move around millions like he can.

Thebighouse Tue, 01/02/2018 - 14:02 Permalink

I love the prices paid for algo numbers.   

People really have too much money.  Thanks Ben and whatever her name is.   Too bad pelosi and schummer took us ten more trillion in debt.....so these jukes could by the rights to a number.   

Now if the number were "pi" or "e" then I could find some value in it.