Bitcoin Supporter Palihapitiya Doubles Down in Viral Tweet: No Bailouts, Let Hedge Funds ‘Get Wiped Out’


This post is curated by Keith Teare. It was written by Daily Hodl Staff. The original is [linked here]

With over seven million views, 45,000 likes, 16,000 retweets and counting, a viral clip on Twitter shows Chamath Palihapitiya, founder and CEO of venture capital firm Social Capital, denouncing bailouts for billionaires and hedge funds.

The former Facebook executive and Bitcoin investor, who has a net worth of roughly $1 billion and has referred to the leading cryptocurrency as ‘schmuck insurance‘, argues that the US government should support individual Americans directly by giving them larger payments instead of funneling massive emergency funds and stimulus packages to rescue the wealthy.

In a new interview on CNBC’s Fast Money Halftime Report, Palihapitiya, who is also the chairman of Virgin Galactic, says ordinary Americans are the ones being wiped out by the current economic crisis caused by the coronavirus pandemic. But it’s the wealthy CEOs and corporate board members who are on the receiving end of billions in government aid.

“On Main Street today, people are getting wiped out. Right now, rich CEOs are not, boards that have horrible governance are not. People are.”

“When you look at what it means, this is a lie that’s been purported by Wall Street. When a company fails, it does not fire their employees. It goes through a packaged bankruptcy. If anything, what happens is the people who have the pensions inside those companies, the employees of these companies, end up owning more of the company.

The people that get wiped out are the speculators that own the unsecured tranches of debt or the folks that own the equity.

And by the way, those are the rules of the game. That’s right. Because these are the people that purport to be the most sophisticated investors in the world. They deserve to get wiped out.”

Amidst the Fed’s efforts to pump a whopping $2.3 trillion into the economy via loans to embattled companies, Palihapitiya says the primary beneficiaries will include hedge funds that will not entirely feel the full ripple effect of the crisis.

“We’re talking about a hedge fund that serves a bunch of billionaire family offices. Who cares? Let them get wiped out. Who cares? They don’t get the summer in the Hamptons? Who cares?”

Palihapitiya also underscored the soaring number of unemployment claims in the US this week, adding another 6 million to reach an estimated total of nearly 17 million people who filed for benefits since the start of the pandemic-induced economic fallout. They join workers all around the world who have lost their jobs as more than 80% of the global workforce copes with adjustments due to business closures, according to the International Labor Organization.

Palihapitiya argues that it makes sense to let airlines fail since they’re underperforming. He adds,

“What we’ve done is disproportionately prop up poor performing CEOs and boards, and you have to wash these people out.”

The venture capitalist said in a previous interview with CNBC host Scott Wapner that the government needs to get it right this time and stop the bailouts.

“You can’t just bail folks out financially for being financially greedy. It’s unfair. And what we did in 2008 was incomplete. All we did was ship risk off balance sheet…This time around you have to pin these guys down.”

Check Latest News Headlines


Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Featured Image: Shutterstock/ianmitchinson

The post Bitcoin Supporter Palihapitiya Doubles Down in Viral Tweet: No Bailouts, Let Hedge Funds ‘Get Wiped Out’ appeared first on The Daily Hodl.

Big Money Bets on Bitcoin (BTC) and Blockchain As $200,000,000 Crypto Venture Fund Reportedly Takes Off


This post is curated by Keith Teare. It was written by Daily Hodl Staff. The original is [linked here]

Blockchain innovators are drawing in rounds of venture capitalists who are betting big on cryptocurrencies and the rise of digital assets. Ratcheting up support for crypto-based startups, a flurry of high-profile investments from big players, such as Polychain Capital, Pantera and Peter Thiel are establishing the sector as a hot target.

While blockchain remains the most coveted skillset on the planet, developers worldwide are focusing on building sophisticated infrastructure and onramps that will give users an easy way to adopt digital assets such as Bitcoin, Ethereum, XRP, Bitcoin Cash, Litecoin and stablecoins, as well as introduce people to emerging platforms that use digital tokens for customer loyalty points and rewards.

Enter Polychain Capital. According to an investor slide deck, the crypto investment firm is gearing up for its second crypto venture capital fund, reports CoinDesk.

The company plans to raise $200 million through minimum investments of $1 million to launch a fund for crypto startups – with 40% of investments supporting existing blockchain tech and 60% targeting new solutions.

Polychain Capital counts among its co-investors a solid list of Silicon Valley and New York venture capitalists. Last year it joined Twitter CEO Jack Dorsey in a Series B round for AngelList spinoff and token sale manager CoinList, raising $10 million. Polychain’s portfolio includes companies that have completed investment rounds with participation from Union Square Ventures, Andreessen Horowitz and Sequoia Capital.

Polychain, which invested in Coinbase through its first fund, opened its second fund at the start of this year Continue reading Big Money Bets on Bitcoin (BTC) and Blockchain As $200,000,000 Crypto Venture Fund Reportedly Takes Off

Bitcoin (BTC) Platform Bakkt Reveals Plan to Disrupt $1,200,000,000,000 Digital Asset Industry With New Payments App


This post is curated by Keith Teare. It was written by Daily Hodl Staff. The original is [linked here]

Intercontinental Exchange (ICE), the parent company of the New York Stock Exchange and Bitcoin platform Bakkt, says it plans to disrupt the digital assets industry by bringing BTC and crypto payments to the mainstream.

ICE says it’s set to acquire Bridge2 Solutions, a platform that drives loyalty and engagement between brands and consumers. Bakkt will utilize Bridge2 to accelerate the development of a consumer payments app that converts and processes crypto payments around the world.

So far, Bakkt has focused on building trust and stability in the cryptocurrency trading market by launching its Bitcoin and futures contracts for institutional investors. Now, the company says its partnership with Bridge2 Solutions will allow it to transform the $1.2 trillion digital asset industry as Bridge2 Solutions powers loyalty programs for seven out of the top 10 financial institutions and over 4,500 loyalty, incentive and employee perk programs for businesses across a wide array of industries.

Bakkt plans to wrap loyalty points, cryptocurrencies, gift cards, in-game digital assets and other forms of virtual rewards into one seamless user interface. According to Bakkt chief executive Mike Blandina,

“With the launch of the Bakkt app, we will, for the first time, offer consumers a robust platform to consolidate and use all of their digital assets, from crypto to loyalty points to in-game tokens, in one user-friendly wallet.

Combining Bridge2 Solutions’ embedded relationships with banks and merchants and their innovative Loyalty Pay solution will enable us to launch new products that further drive loyalty and empower Continue reading Bitcoin (BTC) Platform Bakkt Reveals Plan to Disrupt $1,200,000,000,000 Digital Asset Industry With New Payments App

Bitcoin (BTC) Platform Bakkt Reveals Plan to Disrupt $1,200,000,000,000 Digital Asset Industry With New Payments App


This post is curated by Keith Teare. It was written by Daily Hodl Staff. The original is [linked here]

Intercontinental Exchange (ICE), the parent company of the New York Stock Exchange and Bitcoin platform Bakkt, says it plans to disrupt the digital assets industry by bringing BTC and crypto payments to the mainstream.

ICE says it’s set to acquire Bridge2 Solutions, a platform that drives loyalty and engagement between brands and consumers. Bakkt will utilize Bridge2 to accelerate the development of a consumer payments app that converts and processes crypto payments around the world.

So far, Bakkt has focused on building trust and stability in the cryptocurrency trading market by launching its Bitcoin and futures contracts for institutional investors. Now, the company says its partnership with Bridge2 Solutions will allow it to transform the $1.2 trillion digital asset industry as Bridge2 Solutions powers loyalty programs for seven out of the top 10 financial institutions and over 4,500 loyalty, incentive and employee perk programs for businesses across a wide array of industries.

Bakkt plans to wrap loyalty points, cryptocurrencies, gift cards, in-game digital assets and other forms of virtual rewards into one seamless user interface. According to Bakkt chief executive Mike Blandina,

“With the launch of the Bakkt app, we will, for the first time, offer consumers a robust platform to consolidate and use all of their digital assets, from crypto to loyalty points to in-game tokens, in one user-friendly wallet.

Combining Bridge2 Solutions’ embedded relationships with banks and merchants and their innovative Loyalty Pay solution will enable us to launch new products that further drive loyalty and empower Continue reading Bitcoin (BTC) Platform Bakkt Reveals Plan to Disrupt $1,200,000,000,000 Digital Asset Industry With New Payments App

President Xi’s Blockchain Strategy Unfolds As China Exim Bank Executes Cross-border Payment Using New Tech


This post is curated by Keith Teare. It was written by Daily Hodl Staff. The original is [linked here]

 

The Export-Import Bank of China (China Exim Bank) has completed its first exchange payment using a blockchain platform, marking another milestone in the country’s efforts to “seize the opportunity” of the emerging technology.

In October of 2019, President Xi Jinping announced that China would embrace blockchain across all industries in a mission to become the world leader in its deployment. Calling the technology “an important breakthrough,” Xi has mandated the country’s business leaders to use it to enhance processes related to finance, the improvement of mass transit and the alleviation of poverty.

In the latest implementation, the Xiamen branch of China Exim Bank used the state-owned cross-border financial blockchain platform to facilitate a foreign exchange payment to Xiamen Shipbuilding Industry Co., reports Sina Finance, making it the first policy bank in the country to handle such a transaction.

Traditionally, businesses must file a request with the tax

Continue reading President Xi’s Blockchain Strategy Unfolds As China Exim Bank Executes Cross-border Payment Using New Tech