A recent report by CNN has unveiled that the early adopters of Block.one, such as the prolific Peter Thiel, will be reaping staggering profits from their investments.
A recent report by CNN has unveiled that the early adopters of Block.one, such as the prolific Peter Thiel, will be reaping staggering profits from their investments.
“I would be long bitcoin, and neutral to skeptical of just about everything else at this point with a few possible exceptions... There will be one online equivalent to gold, and the one you’d bet on would be the biggest.” (Peter Thiel)
After its launch almost a year ago, in June 2018, Block.one wasted no time in releasing the software required to run EOS.IO to the open source world.
Block.one’s Competitors Still Suffering From Layoffs
Unfortunately, not many blockchain startups have managed to replicate Block.one’s success. In fact, even long-standing cryptocurrency companies like Coinbase have been struggling to recover from the crypto winter of 2018.
The 6-year-old company, Coinbase, has been forced to close its Chicago office, firing 30 engineers in the process. Even Ethereum Classic has been suffering, with the dev team being forced to resort to donations to keep operations going, as they had run out of funding.
All of this begs the question, what was Block.One doing differently? One thing’s for sure, we’ve got a lot to learn from this year’s most successful cryptocurrency startup.
Peter Thiel Makes Bank...Again
The co-founder of PayPal, as well as Palantir Technologies, Peter Thiel, continues to make excellent investment decisions with Block.one’s EOS coin.
Those like the fortunate Peter Thiel can now cash out their EOS coins at over 66 times what they bought them for.
That isn’t to say there isn’t any controversy surrounding this. Thiel has refused to comment on this. Aland Howard and Louis Bacon, two billionaire hedge fund owners have also declined to talk on this subject.
The only one that has spoken up about this is a prolific investor in Fintech, Christian Angermayer. As an early backer of Block.one he stated in an interview with Bloomberg:
“Block.one is one of the most promising and best-positioned companies in the blockchain industry, and its success story is just beginning.”
Many investors are wondering about what Thiel will do with his investment, and speculators are turning to his book “Zero to One” for clues on his decision.
What Does The Book Tell Us?
Will Peter Thiel take his profits and buy more bitcoin, or make a bet that the Block.one EOS party is far from over?
Zero to One may indeed hold clues as to whether the prolific investor will simply take out his investments, or hedge his bets together with Angermayer.
The book discusses Thiel’s meeting with the then 22-year-old Zuckerberg. At the time, Thiel, as an early investor in Facebook, was discussing whether or not Facebook should be sold for $1 billion to Yahoo.
The rest, as we all know, is history, and today Facebook commands a market cap over 500 times larger than what Yahoo was offering them. The two other companies that have refused similar offers from Yahoo,eBay, and Google, are experiencing similar degrees of success.
Thiel puts forward an argument that investors tend to either wildly overvalue, or undervalue new tech ventures. The difficulty in assigning a value coming from the relative newness of the field, as well as the product not existing at the time.
If we’re seeking an answer to whether Thiel believes Block.one belongs to the first or second camp, we can turn to his interview at the Economic Club of New York 2018:
“I would be long bitcoin, and neutral to skeptical of just about everything else at this point with a few possible exceptions... There will be one online equivalent to gold, and the one you’d bet on would be the biggest.”
While this doesn’t paint a conclusive picture one way or another, Bitcoin traders might be wise to pay attention to any $6.6 million investments.
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