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After 80% Surge in a Month, Ethereum’s Rally Is at Risk: Here’s Why

IPO Windfalls from Airbnb Could Boost Bitcoin: DCG CEO

Aside from MicroStrategy elevating $650 million for Bitcoin this previous week, one of many greatest information on monetary Twitter was the Airbnb IPO. After months and even years of anticipation, the worldwide peer-to-peer rental service went public on the inventory market. While this got here in the midst of a pandemic when the agency’s earnings are slipping, the markets bid it increased anyway.

Airbnb’s inventory, ABNB reached a $100 billion valuation simply after it started buying and selling. Further, the shares now commerce for $139, regardless of the IPO closing at $68 per share.

This implies that it’s outperforming Bitcoin to some extent. Airbnb’s IPO is the newest in a sequence of enormous IPOs over the previous 12 months which have wowed the market.

Barry Silbert, CEO of Digital Currency Group, has postulated that Bitcoin could also be an final beneficiary of those IPOs. Here’s why he thinks so.

Related Reading: Here’s Why Ethereum’s DeFi Market May Be Near A Bottom

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Bitcoin Could Get Boost from Airbnb Profits

The chief government of the main crypto-asset conglomerate and an early Bitcoin adopter, Silbert, postulated on Twitter that earnings from these IPOs might make their strategy to Bitcoin:

“I’ve a sneaking suspicion {that a} good chunk of the current IPO windfalls are going to seek out their method into BTC. Bunch of tech traders and staff coming into lots of money. Where will they put it?”

As Silbert explains, many of those traders and even the Airbnb staff themselves are expertise traders, and are naturally extra acclimated to Bitcoin than Wall Street.

Case in level: Brian Armstrong, one in every of Airbnb’s first staff, is the chief government of Coinbase.

Bitcoin might achieve a lift because the lots of of hundreds of thousands and even billions of {dollars} value of revenue made on this IPO could also be allotted to BTC over time.

I’ve a sneaking suspicion {that a} good chunk of the current IPO windfalls are going to seek out their method into bitcoin. Bunch of tech traders and staff coming into lots of money. Where will they put it?

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— Barry Silbert (@BarrySilbert) December 12, 2020

Related Reading: Tyler Winklevoss: A “Tsunami” of Capital Is Coming For Bitcoin

Crucial Part of Any Portfolio

This potential capital migration comes because the market has begun to view Bitcoin as a necessary a part of any portfolio.

For occasion, MassMutual just lately bought $100 million value of BTC because it seeks higher returns in a world the place many bonds yield nothing or yield even adverse values.

Further, there may be an rising variety of Wall Street banks that suppose Bitcoin could also be seen as a viable retailer of worth various to gold.

Related Reading: 3 Bitcoin On-Chain Trends Show a Macro Bull Market Is Brewing
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IPO Windfalls from Airbnb Could Boost Bitcoin: DCG CEO

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