Bitcoin spikes after reports Peter Thiel's fund owns 'hundreds of millions of dollars' of the cryptocurrency

  • The price of bitcoin spiked over 10% Tuesday to around $US14,500 a coin after the Wall Street Journal reported Peter Thiel’s Founders Fund had “amassed hundreds of millions of dollars” worth of the cryptocurrency.
  • According to the report, the fund bought “$US15 to 20 million” worth of the digital currency and has told investors that the bet is now worth over five times the principal investment.
  • It’s not clear when the fund purchased the tokens, or if they have sold any, but the firm will likely see hefty profits after bitcoin’s 1,341% rise in 2017.
  • The extremely volatile cryptocurrency is quickly gaining popularity among mainstream investment shops: Two exchanges launched bitcoin futures contracts in December, and Goldman Sachs is reportedly building a cryptocurrency trading desk.

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