Traditional finance is slowly opening its arms to cryptocurrencies and two prominent investors on the Wall Street have entered the world of digital currencies and blockchain.
George Soros, who called cryptocurrencies a bubble in January, is planning to trade the same, Bloomberg News reported. Elsewhere, the Rockefeller family’s venture capital arm, Venrock, revealed investments in a blockchain network for video applications, and in a crypto fund.
The Soros Fund Management head of macro investment Adam Fisher has recently received internal approval from Soros’ $26 billion family office to trade cryptocurrencies, the report said. However, Fisher has not made any trade yet.
In a speech at the World Economic Forum in Davos in January, Soros had said the price of Bitcoin was being propped up by dictators who use these to “build a nest egg abroad.”
He said crypotcurrencies were just speculation and could not be equal to a fiat currency as they lack the stability in value. However, Soros was positive on the blockchain technology that underlies Bitcoin and said it is used by his Open Society Foundation to help migrants.
Meanwhile, Venrock partner David Pakman said in a blog post that the firm has invested in the decentralized network of video applications called the PROPS Project and a strategic relationship with an advisory-focused cryptofund, CoinFund. “At Venrock we are enlivened by the possibilities here,” Pakman wrote.
“We remain focused on decentralized protocols, services and apps and foresee a future internet with fewer gatekeepers, where users have more control, and where users participate more fairly in both the governance of these networks and the economic value creation that ensues,” he added.
by Jyotsna V