During last year's market crash, Peter Thiel's Founders Fund lost its Bitcoin assets after eight years.
He also called Warren Buffett a "sociopathic grandfather" for supporting the main cryptocurrency.
years, Peter Thiel's Founders Fund sold off its holdings during the market slump of last year.
According to reports, Peter Thiel's Founder Fund, which makes investments in "revolutionary innovations that alter the world," sold the majority of its Bitcoin holdings by March 2022 as the market decline persisted in 2017. Just before the market crashed last year, the venture capital firm, which was co-founded by the billionaire himself, canceled almost all of its long-term cryptocurrency holdings. The company earned returns of roughly $1.8 billion as a result.
Beginning in 2014, the San Francisco-based company made its first bitcoin investment. Since then, it has made sizable cryptocurrency investments. The most recent reports indicate that about two-thirds of the total investment was spent on Bitcoin. The fund sold the vast majority of the cryptocurrencies that made up its entire holdings at the end of March 2022.
This strategic action was made before the algorithmic stablecoin TerraUSD (UST) crashed in May, heralding the start of the chaos in the cryptocurrency market. Since May of last year, a crisis has gripped the market for digital assets, leading to the demise of a number of well-known cryptocurrency companies, including Terraform Labs, Celsius, Voyager, Three Arrows Capital, BlockFi, and FTX.
Less than a month after it was revealed that his fund had sold off the majority of its cryptocurrency assets, Thiel delivered a speech endorsing Bitcoin. The rise in the price of Bitcoin (BTC) was cited as evidence that "the end of the fiat money" was approaching and that "central banks are bankrupt," according to him. He also voiced his opposition to individuals who supported the leading cryptocurrency, calling Omaha-born billionaire Warren Buffett a "sociopathic grandfather."
In addition to bitcoin investments, Founders Fund sold off a number of other holdings. The fund was able to repay its investors almost $13 billion as a consequence of eight additional significant exits that took place between 2020 and 2022, including companies like Airbnb and Palantir. The information received indicates that the fund currently has no major exposure to cryptocurrency markets.
