Connect with us

Crypto

Ripple’s CTO sells 40,000 Ethereum for $1 per token

David Schwarts recently admitted that he has sold a large number of cryptocurrencies in the past, including Bitcoin, Ethereum and XRP, because he wanted to avoid the risk of exposure. Laszlo Hanyecz, a developer involved in Bitcoin’s source code, reported the payment in 2010 of two pizzas for 10,000 Bitcoins. By keeping these tokens, he would now have a capital of nearly $115 million.

Published

on

To reduce his risk exposure, Ripple’s Chief Technology Officer acknowledged that in the past, he has sold a large number of cryptocurrencies, Ethereum, Bitcoin, and XRP, at a very low price at the time. David Schwartz could have made a significant profit.

When to sell your tokens to maximize your profits? Every investor in cryptocurrency asks this question. However, for a variety of reasons, the timing is not necessarily optimal.

David Schwartz, Ripple’s Chief Technology Officer, knows something about that. On Twitter, the CTO admitted to having given away a large number of tokens. The sale, which took place several years ago, was at a lower financial cost than if the sale had taken place today.

Read more about the subject and find why Ripple’s CTO sold a large number of cryptocurrencies with the best online news aggregator, Born2Invest. Our companion app, available for free for both Android and iOS devices, brings the latest business news in the world so you don’t miss anything. 

Risk aversion as a trigger for the sale

The expert declared indeed to have sold 40.000 Ethereum at just $1 per token. He thus cashed in $40,000. At the current ETH rate, Schwartz would have pocketed between $13 and $15 million.

Ripple’s CTO also said that he sold other cryptocurrencies, in particular Bitcoin for $750 and XRP for $0.01 and that he sold the token for $1.00. Why such a sale when these assets could be considered a reserve of value?

David Schwartz justified it by a certain risk aversion and therefore by his desire to reduce his risk exposure.

SEE ALSO  Google Calendar gets a new look and more features

“(…) I am a risk-averse person with people who depend on me financially and emotionally. Fate has made me put a lot of eggs in one basket,” he explained.

10,000 Bitcoins in 2010 to buy pizzas

“My job, my reputation, Ripple action, XRP, etc.”. I like this basket. But the risk is very high in the whole crypto domain. I’m just too rational to pretend otherwise and suggest to others to do the same,” continued the executive.

Being a big name in the world of cryptocurrency does not make you immune to risk. And as Decrypt pointed out, Ripple’s CTO is not the only specialist to have sold off assets at what is considered an unfavorable price.

Laszlo Hanyecz, a developer involved in Bitcoin’s source code, reported the payment in 2010 of two pizzas for 10,000 Bitcoins. By keeping these tokens, he would now have a capital of nearly $115 million.

Bitcoin price has rebounded from the $10,500 support and is now tackling major resistance at $11,500, weekly dimension

Numerous bullish technical pre-signals have been given since the October 8th session, but the $11,500 remains the frontier of a possible new Bull Run.

All of the technical analyzes written on Cryptonaute during the month of September consisted of describing a chartist trading range for the price of Bitcoin between the support at $10,000 and the resistance at $11,500. The corrective September on the US and European equity markets kept BTC in this neutral market sequence, it is quite logical that the new bullish start in equities for the past 15 days has produced a positive effect on crypto assets.

SEE ALSO  Blockchain is driving transparency in real estate

__

(Featured image by FiledIMAGE via envatoelements)

DISCLAIMER: This article was written by a third party contributor and does not reflect the opinion of Born2Invest, its management, staff or its associates. Please review our disclaimer for more information.

This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.

First published in CRYPTONAUTE, a third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.

Although we made reasonable efforts to provide accurate translations, some parts may be incorrect. Born2Invest assumes no responsibility for errors, omissions or ambiguities in the translations provided on this website. Any person or entity relying on translated content does so at their own risk. Born2Invest is not responsible for losses caused by such reliance on the accuracy or reliability of translated information. If you wish to report an error or inaccuracy in the translation, we encourage you to contact us.

Andrew Ross is a features writer whose stories are centered on emerging economies and fast-growing companies. His articles often look at trade policies and practices, geopolitics, mining and commodities, as well as the exciting world of technology. He also covers industries that have piqued the interest of the stock market, such as cryptocurrency and cannabis. He is a certified gadget enthusiast.