Michael Sonnenfeldt, Chairman of Tiger21, a global network of ultra-wealthy investors, has disclosed that the firm holds approximately $6 billion in cryptocurrency.
Tiger21's Cryptocurrency Investment
Michael Sonnenfeldt stated in an interview with CNBC that Tiger21 members remain bullish on Bitcoin. According to him, about 1% to 3% of the $200 billion in assets is invested in digital currencies. He also mentioned that some individuals in the firm are 'all in' on the asset class.
Bitcoin Compared to Gold
Sonnenfeldt compared Bitcoin to gold, highlighting its increasing acceptance as a store of value. He explained that both assets are perceived as storehouses of value not subject to government fiat, with gold favored by traditionalists and Bitcoin appealing to modern audiences.
Market Impact and Government Policy
National policy also influences the growing popularity of Bitcoin. President Donald Trump, upon returning to the White House, expressed support for crypto projects and suggested the possibility of creating a strategic Bitcoin reserve. However, the imposition of tariffs on U.S. trading partners led to market instability, resulting in a $400 billion drop in cryptocurrency market cap.
Tiger21's investment is indicative of a broader trend of institutional investors increasing their allocations to digital assets, boosted by changes in the U.S. regulatory environment under Trump's administration.
