Cypherpunk Holdings Dumps Its Bitcoin and Ether Holdings over the "Crypto Winter"

Canada-based investment firm Cypherpunk Holdings (Cypherpunk) has dumped all of its bitcoin and ether holdings to ride out the current market risks.

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The company sold 205.8209 ether (ETH), the native token of Ethereum, for C$293,000 ($227,000) and 214.7203 bitcoin (BTC) for about C$6.09million ($4.7 million). It accrued a total of C$6.38million ($5 million) in proceeds from the sales, according to an announcement.

The company said it has C$18.16 million ($14.1 million) of cash and stablecoins on hand, adding it also has about C$1.93 million ($1.5 million) allocated to structured products with 30 days redemption notice.

Cypherpunk President and CEO Jeff Gao said the decision to dump all of the firm's bitcoin and ether holdings came on the heels of rising market volatility that has made holding asset tokens increasingly risky for investors.

Both bitcoin and ether have lost more than half their value in the past year, sliding to 52-week lows earlier this month. The company's shares have tumbled 50% this year on the Canadian stock exchange.

"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," said Gao in the statement. 

Gao noted that Cypherpunk will maintain a "long-term bullish outlook" on cryptocurrencies and will look to capitalize on future investment opportunities in the space "as and when they present".