Rumours are swirling in the cryptosphere that Qatar’s sovereign wealth fund is gearing up to invest half a trillion dollars in bitcoin (BTC). The investment move is likely motivated by the potential for massive profits and the growing acceptance of Bitcoin as a mainstream asset class.
The unconfirmed news comes in the wake of Bitcoin crossing the $42,000 mark on Monday as optimism around a possible Bitcoin spot exchange-traded fund (ETF) approval in the U.S. continued to increase.
Qatar Wealth Fund Eyeing $500B Investment In BTC?
According to bitcoin maximalist Max Keiser, Qatar’s sovereign wealth fund (QSWF), responsible for managing the nation’s vast oil and gas-generated wealth, is looking to splurge as much as $500 billion on the benchmark cryptocurrency, bitcoin.
To put things into perspective, this investment will outshine the disclosed Bitcoin position of Michael Saylor-founded MicroStrategy by a shocking 671 times. MicroStrategy is currently the largest corporate holder of Bitcoin, holding 174,530 BTC after its November purchase.
Keiser notably believes QSWF’s gargantuan investment will send the price of bitcoin to $100,000 highs.
I have 1 word for you $100,000 #Bitcoin God Candle fans . . .
The rumors are getting very loud on this.
Qatar’s Sovereign Wealth Fund’s foray into the Bitcoin industry would represent a momentous milestone in the institutional adoption of crypto assets.
Commenting on the rumor, bitcoin advocate Luke Broyles highlighted the crucial factor of Bitcoin supply and demand. Broyles pointed at the $76 billion worth of BTC remaining on crypto exchanges. He then emphasizes the fundamental principle of Bitcoin’s immovable supply, indicating that any massive investment would inevitably propel prices higher.
In Broyles’ opinion, the Qatar news is merely a rumor and he would “be shocked if remotely true”. Other crypto pundits agreed with him, noting that the Qatar sovereign wealth fund currently has $475 billion and is unlikely to put 100% into BTC.