Billionaire Mike Novogratz says he has 10% of his money in Bitcoin and Ether

[Mometaskers]

Well I suppose if it's just 10% of his liquidity than he can probably afford to lose it. He got the leverage to take risks like this that would probably financially break most of us.

We can't blame people like him for investing in bitcoins and other cryptos. The price increase definitely caught the attention of the rich. Granted there are risks but these are hardened investors and they probably went through all the data first before making the decision.

If Buffet looked at investing in bitcoin and altcoins, the market cap would boom around 10% instantly.

the reason people like that are richer than the rest of us is that they don't telegraph their moves. and if they actually make moves, we don't hear about it until years afterwards. i think we might be surprised who has a bitcoin stash.

True, we'd probably only know about it when they write it into a book, which of course we need to buy to be a bit more like them, LOL.

[d.kevin29]

This could help BTC's price in a positive way: people could be starting to trust Bitcoin more and more.

But I'm pretty sure this is just one of the many big investors that put their money in cryptocurrencies. Just look at the big pump and dump schemes. Deposit $100k and buy a small coin - you'd drive the price to +10000% in minutes. If you have the money you need to pump it .. you can, at any time.

Regarding dumps, imagine now the same guy selling his $100k coins, now probably worth +$300k.... It would be impossible for the price to remain unchanged. Most investors hide their key investments... Maybe this guy wants to drive the price higher for him to profit off it. Look at an important person's speech live while also having the live Gold price next to it. One word can change the price from negative to positive and vice-versa. You might have not thought about it, but... Yes, every single word matters.

Pumps come along with dumps , that is the rule number one in crypto.

If you think you can attract people because of the constant pumps be sure that you're also discouraging people who lose their money during dumps.

And again you think that people will trust a currency that fluctuates because of government or investors speeches instead of real world demand?
This is how fiat works , are we trying to replicate everything that is wrong with it?

It's not about what we're trying to do. Look at Litecoin, and you'll see how Charlie Lee's words were understood in the wrong way and that crashed the price. It is the reality and we cannot stop this, unfortunately. Governments will NEVER stop trying to make Bitcoin the least decentralized currency it has ever been..

Investors have been here since the price grew up that fast in 2013. Bitcoin's price is fluctuating right now both because of the real demand and because of investors speculating the price. Check the Bitcoin rich list. Do you think the first 5-10 peopld are just day 1 investors? I do not think so. Maybe one or two of them, but not all. If someone sold $150.000.000 in BTC, the price would fall for a while. Again, you cannot stop this. It's about trading, and where you find trading... You find whales caring just about their profits.

[Yuuto]

This could help BTC's price in a positive way: people could be starting to trust Bitcoin more and more.

But I'm pretty sure this is just one of the many big investors that put their money in cryptocurrencies. Just look at the big pump and dump schemes. Deposit $100k and buy a small coin - you'd drive the price to +10000% in minutes. If you have the money you need to pump it .. you can, at any time.

Regarding dumps, imagine now the same guy selling his $100k coins, now probably worth +$300k.... It would be impossible for the price to remain unchanged. Most investors hide their key investments... Maybe this guy wants to drive the price higher for him to profit off it. Look at an important person's speech live while also having the live Gold price next to it. One word can change the price from negative to positive and vice-versa. You might have not thought about it, but... Yes, every single word matters.

Pumps come along with dumps , that is the rule number one in crypto.

If you think you can attract people because of the constant pumps be sure that you're also discouraging people who lose their money during dumps.

And again you think that people will trust a currency that fluctuates because of government or investors speeches instead of real world demand?
This is how fiat works , are we trying to replicate everything that is wrong with it?

It's not about what we're trying to do. Look at Litecoin, and you'll see how Charlie Lee's words were understood in the wrong way and that crashed the price. It is the reality and we cannot stop this, unfortunately. Governments will NEVER stop trying to make Bitcoin the least decentralized currency it has ever been..

Investors have been here since the price grew up that fast in 2013. Bitcoin's price is fluctuating right now both because of the real demand and because of investors speculating the price. Check the Bitcoin rich list. Do you think the first 5-10 peopld are just day 1 investors? I do not think so. Maybe one or two of them, but not all. If someone sold $150.000.000 in BTC, the price would fall for a while. Again, you cannot stop this. It's about trading, and where you find trading... You find whales caring just about their profits.

Exactly, Im glad to see someone that looks at this from the correct perspective, not everyone who has insanely big balance on bitcoin wallet necessary has to be a early adopter, or the investor that has started to convert funds to bitcoins very early.

In fact, at the very beginning of cryptocurrency world, there was no real world demand on this kind of asset, most of the people interested abut that subject were simply enthusiasts, or people doing it for fun or because of the curiosity.
Only after such a big boom over the internet, we could have seen increase of the real demand, people were actually looking for ways to get the bitcoin but not through mining.
That has obviously created exchanges, markets and places where we can convert BTC to fiat, and reversed.

[MirkoIta]

Billionaire investor Mike Novogratz is betting big on digital currencies like Bitcoin and Ether.

"Ten percent of my net worth is in this space," Novogratz said at a forum held at the Harvard Business School Club of New York Wednesday. He declined to say exactly how wealthy he is, but he's a former hedge fund manager at Fortress Investment Group and a Goldman Sachs partner who made the Forbes billionaire list in 2008.
It's the "best investment of my life," Novogratz said.

Bitcoin was worth under $500 a year ago. Today the digital currency trades at over $1,200. Back in 2013, Novogratz predicted Bitcoin's value would soar. He remembers people laughing at him at the time.

Since then, Bitcoin's price has been on a wild run. It surged to nearly $1,000 in late 2013 and then fell to under $250 in 2015. It started to fly again last year, around the time of the Brexit vote. It surpassed $1,000 in January of this year again and has kept climbing.
Now Novogratz is saying Bitcoin will go to $2,000.

But he also warned the Harvard Business School Club crowd that there will "likely be a bubble" in digital currencies. The best way to handle it, he argues, is the old Wall Street trick of diversification. Put a little money in a lot of different plays in digital currency.

For example, Novogratz was also an early investor in Ether. It's another digital currency that has quickly emerged as the No. 2 rival to Bitcoin. Novogratz says he bought Ether when it was trading for about $1. Today it's worth over $48.

Novogratz met Vitalik Buterin, the young Russian brainchild behind Ether at a dinner party at a prominent CEO's home. He recalls that Buterin, then 21, showed up late, which struck him as shocking -- and a bit ballsy. He figured it was worth paying attention to Buterin.

Ether is a currency with a "smart contract" function that gives users additional security and abilities to transfer information in addition to monetary value.
We're witnessing the "3rd inning" of this digital asset revolution, Novogratz predicts. He's not exactly sure how it will play out, but he plans to continue investing in digital currencies and Blockchain, the revolutionary technology behind the scenes that makes Bitcoin work.

Blockchain is literally a digital ledger to record and track transactions. What makes it so technologically advanced is that multiple companies or parties can access the Blockchain and see the history of what happened to an asset.

Novogratz has emerged as one of the biggest Wall Street cheerleaders of Blockchain, but his bets haven't always gone so well. He exited Fortress in 2015 after the company shut down his Marco Fund for poor performance. It lost around 20% in its final year after his investments in emerging markets, especially Brazil, tanked.

"We have had an extremely challenging two years, and I do not believe the current environment is conducive to achieving our best results," Novogratz said at the time.

http://money.cnn.com/2017/04/20/investing/mike-novogratz-bets-big-on-bitcoin-ether-blockchain/index.html

That's one confirmed billionaire betting big on crypto.

I wonder how many others there are who aren't publicly invested yet have a lot riding on btc.

What I would like to know more from the billionaire Mike Novogratz would be how much of his richies came from buying bitcoins and altcoins low. Since he says cryptos was the best investment of his life I suppose he is not dumping 10% of his net worth at these bitcoins prices.

[DoublerHunter]

This is a big news for bitcoin for getting a big investor to this industry and this is also a good example for people out there who are keep doubting bitcoin because of the possible bad things that can happen. Bitcoin is one of the youngest stocks in the market but it is very  volatile and the price is almost been tripled since last year and that is why most of the business minded people are keep coming to bitcoin and leaving their doubts and fears behind them.

[d.kevin29]

This could help BTC's price in a positive way: people could be starting to trust Bitcoin more and more.

But I'm pretty sure this is just one of the many big investors that put their money in cryptocurrencies. Just look at the big pump and dump schemes. Deposit $100k and buy a small coin - you'd drive the price to +10000% in minutes. If you have the money you need to pump it .. you can, at any time.

Regarding dumps, imagine now the same guy selling his $100k coins, now probably worth +$300k.... It would be impossible for the price to remain unchanged. Most investors hide their key investments... Maybe this guy wants to drive the price higher for him to profit off it. Look at an important person's speech live while also having the live Gold price next to it. One word can change the price from negative to positive and vice-versa. You might have not thought about it, but... Yes, every single word matters.

Pumps come along with dumps , that is the rule number one in crypto.

If you think you can attract people because of the constant pumps be sure that you're also discouraging people who lose their money during dumps.

And again you think that people will trust a currency that fluctuates because of government or investors speeches instead of real world demand?
This is how fiat works , are we trying to replicate everything that is wrong with it?

It's not about what we're trying to do. Look at Litecoin, and you'll see how Charlie Lee's words were understood in the wrong way and that crashed the price. It is the reality and we cannot stop this, unfortunately. Governments will NEVER stop trying to make Bitcoin the least decentralized currency it has ever been..

Investors have been here since the price grew up that fast in 2013. Bitcoin's price is fluctuating right now both because of the real demand and because of investors speculating the price. Check the Bitcoin rich list. Do you think the first 5-10 peopld are just day 1 investors? I do not think so. Maybe one or two of them, but not all. If someone sold $150.000.000 in BTC, the price would fall for a while. Again, you cannot stop this. It's about trading, and where you find trading... You find whales caring just about their profits.

Exactly, Im glad to see someone that looks at this from the correct perspective, not everyone who has insanely big balance on bitcoin wallet necessary has to be a early adopter, or the investor that has started to convert funds to bitcoins very early.

In fact, at the very beginning of cryptocurrency world, there was no real world demand on this kind of asset, most of the people interested abut that subject were simply enthusiasts, or people doing it for fun or because of the curiosity.
Only after such a big boom over the internet, we could have seen increase of the real demand, people were actually looking for ways to get the bitcoin but not through mining.
That has obviously created exchanges, markets and places where we can convert BTC to fiat, and reversed.

Most early adopters sold their BTC as soon as it reached a price of $10, $100 or $1000 (2013). You buy a Litecoin now for $14. If tomorrow it goes to $140, you'd sell it before the price crashes. You have to be extremely lucky not to do so and wait until it gets to $1400.

Except this, most people sold their BTC as soon as the price crashed in 2013 from $1300 to $500 (if I'm correct - I don't remember what the price was exactly), because of the fear it'd fall back to the 2010-2011 level. This was even me, because I bought in 2013's winter when it reached the ATH and sold a few months later. I sold it by buying a game which was worth $60. I paid $60 at the time, but now the transaction shows I actually paid $200 because of the BTC price difference. The fact that these kinds of rich BTC people are constantly sending AND receiving transactions worth MILLIONS shows us how these guys are either traders or millionaires/billionaires playing with the money.

[bryant.coleman]

Personally, I dislike Michael Novogratz due to his links to the Democrat party. Also, I am not impressed by his past investments (during the 2008-12 period, he lost almost 80% of his net wealth, thanks to his disastrous investment in the Fortress group). But as they say, any type of publicity is going to be good for Bitcoin. While I dislike Novogratz personally, I fully support his investments in the cryptocurrency. I hope that he will be able to make up for the past losses from these investments.

[MirkoIta]

This could help BTC's price in a positive way: people could be starting to trust Bitcoin more and more.

But I'm pretty sure this is just one of the many big investors that put their money in cryptocurrencies. Just look at the big pump and dump schemes. Deposit $100k and buy a small coin - you'd drive the price to +10000% in minutes. If you have the money you need to pump it .. you can, at any time.

Regarding dumps, imagine now the same guy selling his $100k coins, now probably worth +$300k.... It would be impossible for the price to remain unchanged. Most investors hide their key investments... Maybe this guy wants to drive the price higher for him to profit off it. Look at an important person's speech live while also having the live Gold price next to it. One word can change the price from negative to positive and vice-versa. You might have not thought about it, but... Yes, every single word matters.

Pumps come along with dumps , that is the rule number one in crypto.

If you think you can attract people because of the constant pumps be sure that you're also discouraging people who lose their money during dumps.

And again you think that people will trust a currency that fluctuates because of government or investors speeches instead of real world demand?
This is how fiat works , are we trying to replicate everything that is wrong with it?

It's not about what we're trying to do. Look at Litecoin, and you'll see how Charlie Lee's words were understood in the wrong way and that crashed the price. It is the reality and we cannot stop this, unfortunately. Governments will NEVER stop trying to make Bitcoin the least decentralized currency it has ever been..

Investors have been here since the price grew up that fast in 2013. Bitcoin's price is fluctuating right now both because of the real demand and because of investors speculating the price. Check the Bitcoin rich list. Do you think the first 5-10 peopld are just day 1 investors? I do not think so. Maybe one or two of them, but not all. If someone sold $150.000.000 in BTC, the price would fall for a while. Again, you cannot stop this. It's about trading, and where you find trading... You find whales caring just about their profits.

Exactly, Im glad to see someone that looks at this from the correct perspective, not everyone who has insanely big balance on bitcoin wallet necessary has to be a early adopter, or the investor that has started to convert funds to bitcoins very early.

In fact, at the very beginning of cryptocurrency world, there was no real world demand on this kind of asset, most of the people interested abut that subject were simply enthusiasts, or people doing it for fun or because of the curiosity.
Only after such a big boom over the internet, we could have seen increase of the real demand, people were actually looking for ways to get the bitcoin but not through mining.
That has obviously created exchanges, markets and places where we can convert BTC to fiat, and reversed.

Most early adopters sold their BTC as soon as it reached a price of $10, $100 or $1000 (2013). You buy a Litecoin now for $14. If tomorrow it goes to $140, you'd sell it before the price crashes. You have to be extremely lucky not to do so and wait until it gets to $1400.

Except this, most people sold their BTC as soon as the price crashed in 2013 from $1300 to $500 (if I'm correct - I don't remember what the price was exactly), because of the fear it'd fall back to the 2010-2011 level. This was even me, because I bought in 2013's winter when it reached the ATH and sold a few months later. I sold it by buying a game which was worth $60. I paid $60 at the time, but now the transaction shows I actually paid $200 because of the BTC price difference. The fact that these kinds of rich BTC people are constantly sending AND receiving transactions worth MILLIONS shows us how these guys are either traders or millionaires/billionaires playing with the money.

The price crashed down to 250 or so USD after going to 1000. I think a lot of early adopters that sold all or part of their bitcoins around 1000$ the first time rebought even more between 250-400$ still keeping a lot of profits made in the first run.

[SaShiRaJaVu]

Pumps come along with dumps , that is the rule number one in crypto.
If you think you can attract people because of the constant pumps be sure that you're also discouraging people who lose their money during dumps.
And again you think that people will trust a currency that fluctuates because of government or investors speeches instead of real world demand?
This is how fiat works , are we trying to replicate everything that is wrong with it?

With every bull run there will be a correction and it is the case with every trade,be it in stock market or in the crypto world, it is part and parcel of the economy and people who have experience in trading understand these traits and big investors are not fool not to understand these simple things. Bitcoin being a global currency many things influence the price of bitcoin and a simple news could trigger the price but as long as the concept is strong if will rise higher.

[tiggytomb]

Not surprised that himself and probably a lot of wealthy people are looking at digital currencies, sounds like he made a killing on ETH.

[d.kevin29]

This could help BTC's price in a positive way: people could be starting to trust Bitcoin more and more.

But I'm pretty sure this is just one of the many big investors that put their money in cryptocurrencies. Just look at the big pump and dump schemes. Deposit $100k and buy a small coin - you'd drive the price to +10000% in minutes. If you have the money you need to pump it .. you can, at any time.

Regarding dumps, imagine now the same guy selling his $100k coins, now probably worth +$300k.... It would be impossible for the price to remain unchanged. Most investors hide their key investments... Maybe this guy wants to drive the price higher for him to profit off it. Look at an important person's speech live while also having the live Gold price next to it. One word can change the price from negative to positive and vice-versa. You might have not thought about it, but... Yes, every single word matters.

Pumps come along with dumps , that is the rule number one in crypto.

If you think you can attract people because of the constant pumps be sure that you're also discouraging people who lose their money during dumps.

And again you think that people will trust a currency that fluctuates because of government or investors speeches instead of real world demand?
This is how fiat works , are we trying to replicate everything that is wrong with it?

It's not about what we're trying to do. Look at Litecoin, and you'll see how Charlie Lee's words were understood in the wrong way and that crashed the price. It is the reality and we cannot stop this, unfortunately. Governments will NEVER stop trying to make Bitcoin the least decentralized currency it has ever been..

Investors have been here since the price grew up that fast in 2013. Bitcoin's price is fluctuating right now both because of the real demand and because of investors speculating the price. Check the Bitcoin rich list. Do you think the first 5-10 peopld are just day 1 investors? I do not think so. Maybe one or two of them, but not all. If someone sold $150.000.000 in BTC, the price would fall for a while. Again, you cannot stop this. It's about trading, and where you find trading... You find whales caring just about their profits.

Exactly, Im glad to see someone that looks at this from the correct perspective, not everyone who has insanely big balance on bitcoin wallet necessary has to be a early adopter, or the investor that has started to convert funds to bitcoins very early.

In fact, at the very beginning of cryptocurrency world, there was no real world demand on this kind of asset, most of the people interested abut that subject were simply enthusiasts, or people doing it for fun or because of the curiosity.
Only after such a big boom over the internet, we could have seen increase of the real demand, people were actually looking for ways to get the bitcoin but not through mining.
That has obviously created exchanges, markets and places where we can convert BTC to fiat, and reversed.

Most early adopters sold their BTC as soon as it reached a price of $10, $100 or $1000 (2013). You buy a Litecoin now for $14. If tomorrow it goes to $140, you'd sell it before the price crashes. You have to be extremely lucky not to do so and wait until it gets to $1400.

Except this, most people sold their BTC as soon as the price crashed in 2013 from $1300 to $500 (if I'm correct - I don't remember what the price was exactly), because of the fear it'd fall back to the 2010-2011 level. This was even me, because I bought in 2013's winter when it reached the ATH and sold a few months later. I sold it by buying a game which was worth $60. I paid $60 at the time, but now the transaction shows I actually paid $200 because of the BTC price difference. The fact that these kinds of rich BTC people are constantly sending AND receiving transactions worth MILLIONS shows us how these guys are either traders or millionaires/billionaires playing with the money.

The price crashed down to 250 or so USD after going to 1000. I think a lot of early adopters that sold all or part of their bitcoins around 1000$ the first time rebought even more between 250-400$ still keeping a lot of profits made in the first run.

When so many people sell in such a huge quantity, you never know whether there will be anyone buying that much again soon. So after they sold that much, it took 3 years for the price to get back up to what it was then. So when the price falls that much, people sell in panic. You're one of the lucky investors that bought BEFORE it reached $1000. I remember the same panic I had in 2015 when the price reached $270. Now I totally regret selling everything I had, and this thing will probably not occur again too soon.

[Jammalan the Prophet]

This is a big news for bitcoin for getting a big investor to this industry and this is also a good example for people out there who are keep doubting bitcoin because of the possible bad things that can happen. Bitcoin is one of the youngest stocks in the market but it is very  volatile and the price is almost been tripled since last year and that is why most of the business minded people are keep coming to bitcoin and leaving their doubts and fears behind them.

So many words....
So little content...
So little message...

Words of an infidel.

You would have helped us a lot more by posting a wikipedia link.
Seriously.

And further more:

Bitcoin is not stocks!!!!!!
Maybe the stock market has changed in the last year but I really doubt it wall street has become cryptostreet.

[ivanpoldark]

I was confused about Mike's words about Bitcoin "likely be a bubble". When about do you think that bubble with bitcoin could happen?

[countryfree]

10%? And how much has he invested to reach that?
I invested about 3% of my fortune in BTC, a while ago. Now my BTC represent about 20% of my fortune.

[randomdude]

A = Mike Novogratz's net worth at $1B+

$1B+ X .10 = $100M+

B = Current market cap of ALL altcoins = $29.5M+

A > B by a magnitude of? (you do the math)

Q.E.D.

According to coinmarketcap.com, the market cap on Ethereum alone is $4.5B. At the time of writing this, there are 10 altcoins (including bitcoin) with $100M+ market cap each.

[BillyBobZorton]

Bitcoin alone has a 20+ billion marketcap, I don't see why this couldn't be real, I think he is not frauding, im sure a lot of rich people are taking big positions on bitcoin. Not so sure about putting so much money on ethereum tho. If I was a billionaire I would put 10% on BTC alone.

[xuan87]

I am sure there are a lot of millionaires is investing in bitcoin, because bitcoin really generate profit for them, only by keep them and sell in the right time they can earn a lot, the rising price is very fast, I am sure the millionaire sees bitcoin as a very valuable asset, if all millionaire is investing in bitcoin then we can rest assured that bitcoin will have a great price in the future

[Clement Kaliyar]

This is a big news for bitcoin for getting a big investor to this industry and this is also a good example for people out there who are keep doubting bitcoin because of the possible bad things that can happen. Bitcoin is one of the youngest stocks in the market but it is very  volatile and the price is almost been tripled since last year and that is why most of the business minded people are keep coming to bitcoin and leaving their doubts and fears behind them.

I am not sure people will be doubting bitcoin and its technology now.The days of high volatile is gone and now a days we see a stable growth and i guess it is simply because there are more people in the bitcoin system than before and it is hard for the kind of manipulations they did in the past.The price of bitcoin has tripled within the past one year and this is the best investment for a long time.

[7788bitcoin]

A = Mike Novogratz's net worth at $1B+

$1B+ X .10 = $100M+

B = Current market cap of ALL altcoins = $29.5M+

A > B by a magnitude of? (you do the math)

Q.E.D.

According to coinmarketcap.com, the market cap on Ethereum alone is $4.5B. At the time of writing this, there are 10 altcoins (including bitcoin) with $100M+ market cap each.

My math - let me know if it is wrong:

Today's values:
Bitcoin market cap = $20.3B
Ether market cap = $4.5B

Information from Wikipedia: "By 2012, after the decline of Fortress' stock price, his net worth had shrunk to $500 million".
Mike Novogratz's net worth at $0.5B, therefore 10% will be $50M.

Assuming that he really put 80% in BTC (@$1200) and 20% in ETH ($50), he is holding about 33k BTC and 200k ETH.

Does this make sense?

[btccashacc]

If i am not wrong their are so many rich peoples who have invested in Bitcoin and other altcoins seeing their potential but due to government issues they cannot disclose it openly.

In this comment it is also given a hint that which ever investment this rich guy has done have gone in loss so it may also be that as he has entered in the bitcoin and ETH market so we can see some selling pressure and down grade of the price of both coins

I'm really scared if these people have invested on bitcoin or another coin like etherum, we all know that with their money they can dump or pump those coins anytime they want, it's gonna make a deep gap if they "the richest people" sell their coins or the good thing is the price would be sky rocket if they pumped those coins, like someone assuming above about Mike's assets, holding 33k bitcoins and 200K etherums well all i can say they have ultimate control over those coins.