Founders Fund, the venture capital firm founded by billionaire Peter Thiel, has invested $100 million in Bitcoin, sources exclusively told Reuters. The company allocated $200 million to buy Bitcoin and another cryptocurrency, split equally between the two. This maneuver also highlights the return of institutional investors to Bitcoin.
Founders Fund, an early institutional investor in Bitcoin, initially bought Bitcoin in 2014 but liquidated its holdings before the 2022 crash, earning nearly $1.8 billion. The company resumed its investments in Bitcoin last summer, strategically acquiring Bitcoin and another cryptocurrency when the price was below $30,000.
Thiel, who is known for his libertarian views and co-founded PayPal and Palantir, has publicly endorsed bitcoin, praising its qualities as a store of value and a hedge against central bank policies. With over $12 billion in assets under management, Founders Fund continues to expand its investment portfolio, with a renewed focus on cryptocurrency projects.
This recovery comes after a difficult period for the Bitcoin market in 2022, which was marked by the collapse of major players such as cryptocurrency exchange FTX. Although the price of Bitcoin has fallen to nearly $15,000, its lowest level since 2020, the Bitcoin market has seen a gradual recovery, with Bitcoin recently reaching $50,000 for the first time in over two years, albeit still below its peak. $69,000 in November 2021.
