FD7 Ventures is selling $750 million in Bitcoin and investing the proceeds in Cardano (ADA) and Polkadot (DOT).
Currently sitting at $1 billion in AUM, the cryptocurrency investment fund headquartered in Dubai claims that the valuation of Cardano and Polkadot in the coming years will be higher than that of BTC. Consequently, the fund has announced plans to dispose of its Bitcoin assets of $750 million and instead increase its exposure to ADA and DOT.
Crypto Fund To Replace DOT and ADA with BTC
FD7 (Fall Down Seven Times) Ventures describes itself as a crypto-focused investment fund that “invests in entrepreneurs who stand up an eighth time” and boasts an AUM of over $1 billion in various crypto assets. Those include the two most common cryptocurrencies, Bitcoin and Ethereum, as well as Cardano, Polkadot, and Cosmos.
However, according to a company press release, by selling off $750 million worth of its Bitcoin exposure over the next month, the fund plans to rebalance its portfolio. FD7 plans to accumulate more of the growing Cardano and Polkadot ventures instead of keeping the BTC.
The company assumes that this rise in altcoin holdings will better serve the needs of FD7 investors in the rising cryptocurrency space who are looking to diversify their portfolios.
Following the announcement, the fund’s Managing Director had some harsh words to say about the main cryptocurrency:
“Aside from the fact that Bitcoin was the first to market and society has given it meaning as a store of value, I think Bitcoin is actually pretty useless.”
The statement eventually announced that the fund had already begun to convert its BTC assets to ADA and DOT.
Charles Hoskinson was ecstatic to hear the news.
The press release described Cardano-Charles Hoskinson and Polkadot-Dr. Gavin Wood’s founders as “two of the brightest minds working in today’s crypto development space” and outlined their crucial role in creating Ethereum years ago.
The fund’s decision to prioritize its investments in ADA and DOT was focused primarily on their credibility.
Hoskinson was swift to respond to the news from his account on Twitter. He welcomed FD7 Ventures to the Cardano ecosystem, as planned, and offered technical assistance if needed.