Dubai-based cryptocurrency fund FD7 Ventures will sell $ 750 million worth of BTC next month and use these funds to buy cryptocurrencies from the Cardano (ADA) and Polkadot (DOT) projects.
FD7 Ventures has over $ 1 billion in assets, and a significant portion of these assets are in bitcoins. But now the FD7 Ventures management believes that bitcoin has already become “useless”, having completed its task. Today bitcoin fell to $ 44,100, so the news of the sale of bitcoins by FD7 Ventures may put additional pressure on the BTC rate.
This year, the venture capital fund is considering new cryptocurrencies, believing that the altcoins ADA and DOT have great potential and are better suited for novice investors. The Cardano and Polkadot blockchains are networks that enable fast transactions, simplified smart contract deployment, and increased scalability for new developers.
Bitcoin became the first cryptocurrency on the market, so society sees it as a store of value. However, FD7 Ventures managing director Prakash Chand said that beyond this fact, bitcoin no longer has a trump card, and in fact has no value. Chand is convinced that Ethereum, Cardano, and Polkadot will become much more valuable than Bitcoin in the coming years. The Cardano and Polkadot projects laid the foundation for the “new Internet” and Web3 – a new generation of startups that run on peer-to-peer systems without relying on intermediaries.
Calvin Koch, head of the Spartan Black cryptocurrency fund, has high hopes for Polkadot. According to Koch’s forecast, this blockchain will soon enter the top three. Additionally, a few months ago, Polkadot announced a partnership with Chainlink to develop the Decentralized Finance (DeFi) industry.