Aside from MicroStrategy raising $ 650 million for Bitcoin this past week, one of the biggest news on financial Twitter was the Airbnb IPO. After months and even years of anticipation, the global peer-to-peer rental service went public on the stock market. While this came in the midst of a pandemic when the company’s profits were slipping, the markets are offering it higher anyway.
Airbnb, ABNB’s stock reached a $ 100 billion valuation just after it started trading. Further, the shares are now trading at $ 139, despite the IPO closing at $ 68 per share.
This means that it outperforms Bitcoin to an extent. Airbnb’s IPO is the latest in a series of major IPOs over the past year that have shocked the market.
Barry Silbert, CEO of Digital Currency Group, has pointed out that Bitcoin could be the ultimate beneficiary of these IPOs. This is why he believes it.
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Bitcoin Could Get a Boost of Airbnb Profit
The chief executive of the leading crypto-asset conglomerate and early Bitcoin adopter, Silbert, posted on Twitter that profits from these IPOs could make their way to Bitcoin:
“I have a strong suspicion that a good chunk of recent IPO surprises are going to find their way into BTC. A bunch of tech investors and employees coming in for a lot of cash. Where will they put it? ”
Like Silbert he explains, many of these investors and even Airbnb employees themselves are technology investors, and are naturally more commendable to Bitcoin than Wall Street.
Case in point: Brian Armstrong, one of Airbnb’s first employees, is Coinbase’s chief executive.
Bitcoin could gain a boost as profits of hundreds of millions and even billions of dollars on this IPO can be allocated to BTC over time.
I have a sneaking suspicion that a good chunk of the recent IPO cascades are going to find their way into bitcoin. A bunch of tech investors and employees coming in for a lot of cash. Where will they put it?
– Barry Silbert (@BarrySilbert) December 12, 2020
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An essential part of any portfolio
This potential capital migration comes as the market begins to consider Bitcoin as an integral part of any portfolio.
For example, MassMutual recently bought $ 100 million worth of BTC as it seeks better returns in a world where many bonds yield nothing or even yield negative values.
Further, there are a growing number of Wall Street banks who believe that Bitcoin could be considered a viable repository of alternative value to gold.
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Featured Image from Shutterstock Price tags: xbtusd, btcusd, btcusdt Charts from TradingView.com IPO Windfalls from Airbnb Could Boost Bitcoin: DCG CEO
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