banker cheerleads his way to cryptocurrency riches

HONG KONG/NEW YORK/LONDON Seventeen months ago, a former Wall Street investment banker who specialized in distressed assets took to Twitter to announce he had bought a cryptocurrency for 50 cents per coin. “At $0.50, risk/return felt right,” tweeted Barry Silbert, founder and chief executive of a private New York based company called Digital Currency Group, moncler saldi or DCG.

piumini moncler saldi It has turned out to be a great bet. piumini moncler saldi

piumini moncler Silbert continues to be a big backer. In April, a DCG subsidiarylaunched a private investment fund that tracks ethereum classic’s price and donates part of its fees to developing the technology behind the currency. He still posts bullish comments about the digital coin on social media, including a “pro tip” last month advising an investor to moncler bambino saldi “close out” his short position before moncler bambino outlet an “Ethereum moncler saldi outlet Classic Summit” organized by DCG was held in Hong Kong. piumini moncler

moncler outlet serravalle On Dec. 12, Silbert tweeted that three cryptocurrency funds the DCG subsidiary offersnow had more than $3 billion of assets under management up from $164 million at the moncler outlet serravalle start of the year. moncler outlet serravalle

moncler outlet online shop Silbert’s cheerleading for ethereum classic and other digital coins he or his company own has led some critics on Twitter to nickname him “Barry Shillbert.” Silbert declined to comment on that barb. moncler outlet online shop

The story of Silbert and his role in ethereum classic’s rise illustrates the current hype over cryptocurrencies strings of computer code that aren’t backed by governments, face little regulation and have become magnets for speculators.

Social media platforms are now piumini moncler uomo filled moncler outlet trebaseleghe with predictions by cryptocurrency enthusiasts about the price of bitcoin and other digital coins, many of which have soared in value this year. regulators. Although the digital coins are not considered securities, Silbert is chief piumini moncler executive of Grayscale, a DCG subsidiary that offers an ethereum classic investment fund whose shares are securities, according to Grayscale’s website. The attorneys said his postings on price and the “pro tip” he gave to one investor could raise red flags with regulators who enforce federal securities and commodities laws and rules moncler uomo that prohibit pricemanipulation. Securities and Exchange Commission declined to comment on Silbert.

In an interview with Reuters last month, Silbert said he was “highly, highly sensitive” to the rules that govern moncler saldi uomo financial markets and that he and his company are “subject to anti fraud provisions and insider trading and all those types of things.”

“I would never make a recommendation,” he said. “I’ve never given price predictions.”

moncler donna Silbert later told Reuters that DCG, its subsidiaries and employees “take pride in our strict compliance policies and adherence to all applicable regulations, including company wide rules and restrictions concerning the trading moncler outlet online uomo of digital assets.” moncler donna

moncler saldi uomo Regulators are grappling with how to deal with a new category of investment that this year has spurred billions of dollars worth of daily trades and seized Wall Street’s imagination. This month, moncler outlet two major derivatives exchanges began offering bitcoin futures contracts. But the mania for cryptocurrencies is outpacing regulators’ ability to keep up. moncler saldi uomo


piumini moncler outlet Outside cryptocurrency circles, the boyish looking Silbert, 41, is hardly a household name. He aims to change that. He told Reuters he moncler outlet online shop aspires to build DCG into a publicly traded conglomerate like Berkshire Hathaway Inc, run by legendary investor Warren Buffett. piumini moncler outlet

moncler saldi After beginning his financial career at moncler donna an investment bank, Silbert set up a marketplace for difficult to trade assets called SecondMarket, which hesold to a subsidiary of Nasdaq in 2015 for an undisclosed sum. He launched DCG that same year, devoting it to bitcoin and its underlying technology known as blockchain a shared public database maintained by a network of computers. The company is backed by large corporations, including MasterCard, Western Union and Bain Capital Ventures. moncler saldi

Silbert was an early buyer of bitcoin. He said he made his first purchase in 2012, and bought about $175,000 worth, paying about $11 for each digital coin. He said he was initially a skeptic but came to believe it could provide a better way to transmit funds around the world.

moncler bambino outlet Barry Silbert, CEO of Digital Currency Group moncler bambino outlet

outlet moncler “I started buying bitcoin, you know, at probably around seven bucks and my average price of bitcoin was $11. So when it went from 11 to 13, I thought I was a genius. When it fell to 8, I thought I was not,” he said. “But so far, so good.” At one point this week, a single bitcoin was trading for more than $19,600. outlet moncler

moncler uomo Silbert said he contributed most of his bitcoin holdings to DCG, which still holds “a significant amount” of his original digital coins. He said DCG now has investments in more than 100 companies in 30 countries, including 20 cryptocurrency piumini moncler scontatissimi trading exchanges. Besides the asset management business Grayscale, DCG’s subsidiaries include a cryptocurrency broker dealer and CoinDesk, a leading cryptocurrency news website that reports on the industry and holds conferences. moncler uomo

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moncler bambino saldi Silbert decided to invest in ethereum classic, he said, in part because he believed it was undervalued. (For the origins of ethereumclassic, see “The blockchain that wouldn’t die” below). moncler bambino saldi

On July outlet moncler 25, 2016, he announced on Twitter that he had bought the virtual currency. He has been enthusing about it ever since.

moncler saldi outlet Reuters reviewed more than 200 of Silbert’s tweets and retweets about the virtual coin in the past 17 months that were captured by ExportTweet, a Twitter analytics service. moncler saldi outlet

piumini moncler uomo On the same day Silbert announced on Twitter that piumini moncler saldi he had bought ethereum classic, he made a piumini moncler outlet prediction: there was a “25% chance” ethereum classic’s value would increase fivefold “in next six months.” piumini moncler uomo

moncler outlet online uomo In April, Silbert’s involvement with ethereum classic expanded into the more tangible world of securities. That month, his company launched moncler bambino saldi the Ethereum Classic Investment Trust, which Silbert told Reuters was seeded by $10 million from him, DCG and a DCG board member. moncler outlet online uomo

Grayscale’s website says the fund’s “shares are the first securities solely invested in and deriving value from the price of” ethereum classic. It says the private investment vehicle isn’t registered with the SEC, in accordance with a regulatory exemption. The SEC has allowed the sale of such offerings, which are still subject to federalsecurities laws.

moncler outlet trebaseleghe Grayscale manages three such funds, each investing in a different cryptocurrency: ethereum classic, bitcoin and Zcash. The funds offer an alternative for investors seeking to gain exposure to digital currencies without actually holding them. moncler outlet trebaseleghe

piumini moncler scontatissimi The Ethereum Classic Investment Trust is open only to so called “accredited investors” with more than $200,000 of annual income or a net worth that exceeds $1 million. Earlier this week, Grayscale’s website said its shares had soared more than 800 percent in value since its inception. The fund’s holdings this month surpassed $140 million at one point. Silbert declined to say how much ethereum classic he personally owns piumini moncler scontatissimi.