Home Bitcoin NewsFinance News The Billionaire Steven Cohen Is Now Investing in Bitcoin but Not in Ripple

The Billionaire Steven Cohen Is Now Investing in Bitcoin but Not in Ripple

Steven Cohen bitcoin

The multi-billionaire investor Steven Cohen is now entering the emerging market. He was now investing into a cryptocurrency hedge fund which favors Ethereum and Bitcoin over Ripple.

The hedge fund of Steven A. Cohen which is Cohen Private Ventures has an estimated net worth of USD 14 billion as of now. The company has invested in Autonomous Partners which was led by Arianna Simpson, an early Bitcoin investor.

Simpson told to Fortune that she has only brought on partners that she thinks can be much value-added beyond their capital.

The swift move comes in spite of the crypto hedge funds being knocked this year. It has the sum of cryptocurrency market cap that contracts from $800 to at least $250 billion.

Released in December 2017 when Bitcoin was bustling, Autonomous Partners invests in blockchain startups and digital assets while allotting a small share of its funds to purchase well-established cryptocurrencies like Ethereum 00 and Bitcoin 00.

The fund is specifically interested in solutions which can speed up the transactions. It’s also made to assist blockchains scale worldwide and to offer greater privacy for users as well.

Irrespective of always searching for what is the next generation, Simpson still considers that money is the most undervalued blockchain application today. She adds though that it is possibly simpler for investors to purchase Bitcoin outright.

Particularly, the investment of Cohen will not be visible to Ripple 00. The fund of Simpson has shunned the third biggest cryptocurrency by market capitalization because of issues over its centralization. That’s because the company Ripple holds the share of the lion of its XRP tokens.

In addition, when the SEC (Securities and Exchange Commissions) indicated that Ethereum and Bitcoin were not securities last month, it left the door open to categorizing less ‘decentralized’ digital assets to become securities in the future.

In any scenario, the probability of Ripple being drawn into even several lawsuits – especially with government regulators – definitely poses a huge risk for hedge funds. It’s because Ripple has experienced endless inspection over its decentralization claims.

According to Kyle Samani, the co-founder of Multicoin, it’s clear to them that Ripple is a security. He also added that if Ripple is categorized a security formally by the Securities and Exchange Commission, all of the crypto exchanges will stop trading Ripple. When that happens, liquidity will be dry up on XRP, and the price will surely fall.

On the other hand, the chief market strategist of Ripple Corry Johnson has repudiated the claims. He said that they are not a security. They do not meet the standards for what a security is according to the history of the court of law.

Brad Garlinghouse, the CEO of Ripple also disapproved with the claims that XRP is a security. He ironically urges Coinbase to list the XRP token. He thinks that their ownership of XRP offers them control. He also added that Saudi Arabia owns tons of oil and that does not offer them control of oil.


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dan saada

Dan hold a master of finance from the ISEG (France) , Dan is also a Fan of cryptocurrencies and mining. Send a tip to: 0x4C6D67705aF449f0C0102D4C7C693ad4A64926e9

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