- A digital asset firm has been approached to buy up a quarter of all bitcoin in existence by a wealthy client
- According to their founder, such a purchase would drive up the price of bitcoin
- There is also not enough BTC in circulation to make such a purchase
Institutional investment in cryptocurrency has been on the increase and many interesting trends have started taking place with one being the accumulation of large amounts of cryptocurrency, either by individuals firms or even entire nations. An interesting example of this was the accumulation of large amounts of bitcoin by North Korea which was reported earlier this year and now it seems private individuals are also getting in on the action.
It was reported by Forbes on May 30, 2019, that Dadiani syndicate, which is a digital currency investment firm, has been approached by a wealthy client who intends to buy a large amount of bitcoin. The bitcoin in question would represent 25 percent of the total bitcoin supply available in the world.
Stacking Up Bitcoin
The Dadiani Syndicate previously made headlines for putting up a prominent Andy Warhol painting called ‘14 small electric chairs’ up for sale and requesting payment in bitcoin and other cryptos. Now they have been approached by a wealthy client who wants to buy off a significant amount of bitcoin and have said that many large enterprises are also interested in crypto.
“One of our clients approached us and said they were interested in acquiring 25% of all bitcoin currently available. There are a number of entities who want to dominate the market,” said Eleesa Dadiani, the firm’s founder.
According to Dadiani, buying such a large chunk of the current bitcoin supply in the world which is 17.7 million BTC would not be possible without a significant impact on the market price itself. She also explained that a buyer making such a purchase is going to push up the market price of bitcoin which would make the purchase even more expensive. Beyond this, there are a large number of hodlers who are not going to be willing to let go of their bitcoin for any amount of money and in total, the number of bitcoins in circulation less than 5 million BTC altogether.
While bitcoin has been more prominent in the last few years and it makes sense that an investor would be willing to purchase a lot of it, the market is still at a phase where, as Dadiani pointed out, tokens are not that readily available to be bought in such a large number and the market price is still fragile to an extent. So far, the identity of the mystery buyer has not been revealed and no details are known about this individual or individuals.