In terms of the crypto market, there are signs that we may have nearly hit the bottom. Cypherpunk Holdings (CSE: HODL) might be one of those signs, indicating yesterday that it has sold off its crypto assets, despite its ticker symbol being an acronym popularly used in the crypto space as a reference to “hold on for dear life,” which refers to refusing to sell crypto assets.
The firm revealed yesterday that it had sold its Ethereum holdings of 205.8209 ETH for proceeds of C$293,000. Bitcoin holdings of 214.7203 meanwhile were liquidated for proceeds of C$6.1 million. Cypherpunk initially began selling its bitcoin and Ethereum holdings in May when market conditions significantly turned, beginning with the sale of 100 bitcoin and 322 Ethereum.
The company as a result presently holds no Ethereum, and zero bitcoin – which is quite the statement for a firm that bills itself as having been established to invest in currencies, companies, technologies and protocols.
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“Recently, Cypherpunk liquidated all of its treasury holdings in BTC and ETH for cash and withdrew back to custody. We continue to see systemic risks propagating throughout the crypto ecosystem and, in our assessment of the risk reward and opportunity costs involved in holding asset tokens, we believe that the most prudent approach is to sit on the sidelines as we wait for the volatility and illiquidity contagion to come to its logical conclusion. On the balance of probabilities, we see weaker price action opening the way to lower levels to come as reports of the number of chains imposing ‘temporary’ suspension on withdrawals increases,” commented CEO Jeff Gao.
The firms cash balance as a result currently sits at $18.2 million. Cypherpunk has indicated it will remain in cash until a change in market conditions occurs.
Cypherpunk Holdings last traded at $0.09 on the CSE.
Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
