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Bitcoin and cryptocurrency prices erupted this week, adding $ 500 billion to the combined value of the crypto market within days.
The price of bitcoin has gained around $ 10,000 over the past week, with bitcoin hitting $ 56,000, a level not seen since bitcoin’s huge sell-off in May.
Now, the investment firm founded by legendary hedge fund manager George Soros has revealed that it holds bitcoin, with its CEO and CIO calling bitcoin “less interesting than the use cases of [decentralized finance (DeFi)]. “
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Soros Fund Management, the investment firm founded by billionaire George Soros, confirmed this … [+]
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“We own a few coins, not a lot,” said Dawn Fitzpatrick, CEO of Soros Fund Management. Bloomberg this week. “The parts themselves are less interesting than the DeFi use cases and things like that.”
The popularity of DeFi, the idea that traditional financial services can be recreated using crypto technology, has grown this year, helping to drive up the price of Ethereum and other similar cryptocurrencies.
“I’m not sure bitcoin is only considered here as a hedge against inflation,” Fitzpatrick added. “I think he crossed the chasm to generalize.”
In March, Fitzpatrick said bitcoin was at an “inflection point” after the price of bitcoin hit unprecedented highs. “Something like bitcoin could have remained a marginal asset without the fact that we increased the money supply in the United States by 25%,” she said.
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The price of bitcoin has jumped 25% this week, reaching highs not seen in six months.
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However, inflation is still a major driver of interest in bitcoin, according to analysts at JPMorgan who wrote in a note that the latest bitcoin price hike is at least in part due to institutional investors looking for money. ” a hedge against inflation.
“The reappearance of inflation concerns among investors has renewed interest in using bitcoin as a hedge against inflation,” the analysts wrote, adding that investors see bitcoin as “a better hedge against inflation. inflation than gold “.
This week, the Wall Street Bank of America giant
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