One of the very first moves of United States President-Elect Donald Trump was to form a transition team which he called his “Moving Group”. One of those appointed was PayPal co-founder, technology expert and financial whiz Peter Thiel. What are the implications of this appointment for the financial technology industry specifically advocates of the Blockchain platform and Bitcoin technology?
Peter Thiel’s Response
In an interview with the New York Times following the elections, Peter Thiel said candidly that he will help President Trump in any way he can. The President made the announcement that the billionaire technologist Thiel will be part of the Presidential Transition Team Executive Committee together with three of Trump’s children. He also chose former US House of Representatives Speaker Newt Gingrich, former New York City Mayor Rudy Giuliani, and New Jersey Governor Chris Christie. President Trump will formally assume the presidency on January 20, 2017.
Thiel became fascinated with Bitcoin in 2004 through a seed interest in BitPay. PayPal combined resources with BitPay, Go Coin and Coin Base to give power to Bitcoin installments on the payment facility of his own PayPal. Thiel was an exceptional voice at the Silicon Valley supporting Trump openly during the campaign period.
As a broad-minded individual for the most part of his adult life, Peter Thiel joined the Republican Party, spoke during the Republican National Convention and donated $1.25 million to Trump’s climb to the presidency. He maintained that he was not a politician just like Donald Trump when pressed by fellow technologists about his choice to support the Republican candidate.
PayPal was in favor of coming up with a new currency. It failed at the outset and opted to launch a unique payment system. Thiel said during last year’s Buttonwood Summit that Bitcoin succeeded as this new currency without an effective payment structure. Bitcoin is difficult to use which is its biggest challenge.
The present cost of Bitcoin shifted to $893.11 with an exchange volume of almost $14.4 billion. Thiel was very vocal in saying the need for a sturdy framework in modern monetary standards such as Bitcoin. It is obvious his inclusion in the “Moving Group” will affect said industry positively along with the President’s position on technology-related platforms which include crypto-currencies.
PayPal users (only those in the United States) are now able to sell Bitcoin and receive funds directly in their PayPal accounts. Coin Base management said this is the start of an international agreement that will eventually affect around 200 million PayPal users globally. Mass acceptance of the Bitcoin currency depends entirely on its payment and service infrastructure that bolster all transactions. Integrating PayPal is an essential step in the objective of PayPal to make Bitcoin deals very accessible through debit cards or Internet payments.
As the prices of Bitcoin rise and fall uncontrollably, a downturn seems imminent which has even more become notable compared to its recent bull-run. The Bitcoin community continues to put in infrastructure and come up with new deals for a more stable future. Prices and charts are adjusted on a daily basis. Yet, this is seems to be a good time to look at the true value of Bitcoin.
Peter Thiel’s Experience
Peter Thiel has transformed from a successful businessman to venture investor. He was the first professional investor of FaceBook which gave Mark Zuckerberg and his colleagues $500, 000 in exchange for over 10 percent of shares in the company. Thiel is still a board member of FaceBook although he sold majority of his stakes in the number one social media networking website after FB’s IPO in May of 2012. Thiel is also owner of different venture companies such as The Founders Fund and data mining software firm, Palantir which is backed by the US Central Intelligence Agency (CIA).
Last May, Forbes Magazine disclosed that Thiel secretly funded famous wrestler Hulk Hogan who failed a lawsuit against Gawker, an online media company. Gawker.com allegedly published a sex tape of the wrestler and his wife. The court decided in favor of Hogan with a $140 million judgment that led to the insolvency of Gawker.
Peter Thiel has voiced out his wish for the US Government to concentrate less on gender and sexuality issues. This can make the bureaucracy more efficient in finishing infrastructure programs. Unidentified sources stated the technology and business magnate is not closing the door on the probability that he will eventually serve the Trump administration. His distracting nature may be a boost to giving Trump advice regarding technology concerns in the US.