Bitcoin billionaire Palihapitiya will use earnings from the sale to fund other “future-shaping technologies” for his venture firm.
Billionaire Chamath Palihapitiya has sold 15% of his position in the crypto and stock trading platform and finance company SoFi.
The company went public earlier this year through a merger with a blank-check company led by Palihapitiya, and was valued originally at $8.65 billion and now has a market cap of $17.04 billion.
Palihapitiya, a Bitcoin billionaire and former senior executive at Facebook, confirmed his move to sell SoFi stock via a tweet on Nov. 19.
1/ Many of us are trying to make sense of what’s happening in the markets these days. Here are some observations and moves we’ve recently made to continue our work: pic.twitter.com/Z4yA7sS3N6— Chamath Palihapitiya (@chamath) November 18, 2021
In his announcement, he stated “Equity markets, crypto markets, art valuations, SaaS multiples — almost everything seems to be at all-time highs,” as he went on to explain some of the moves his investment firm Social Capital has made.
Palihapitiya said that he sold 15% of his shares of SoFi “to fund other investments in technologies that will shape our future,” mentioning California-based battery materials innovator Mitra Chem.
SoFi share prices fell nearly 2% following the announcement.
SoFi is a modern finance platform that consists of five sections: capital lending, investment management, business development and consulting, career development, and personal finance education.
Palihapitiya also noted that he intends to increase Social Capital’s investment in medicare provider Clover Health, but he did not state by how much.
Social Capital’s portfolio consists of 74 companies and Palihapitiya himself enjoys a net worth of about $1.1 billion, technically making him a Bitcoin billionaire as he has long seen Bitcoin as a sound investment.
More recently, Palihapitiya has begun to back projects on other platforms like Solana.