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What is Peter Thiel’s net worth?
Peter Thiel is a German-born American entrepreneur, hedge fund supervisor and enterprise capitalist who has a net worth of $7 billion. Peter made his first fortune as a co-founder of PayPal. Several years later he was the primary outdoors investor in an organization that was then referred to as TheFaceBook.com. Thiel gave Mark Zuckerberg – who was by that time on sabbatical from his Sophomore 12 months at Harvard – $500,000 in change for a ten% stake within the nascent social community. The funding made Thiel a fortune. Though he offered the overwhelming majority of his Facebook shares pretty quickly after the corporate’s IPO, he nonetheless sits on the corporate’s Board of Directors. Outside of Facebook he has poured his fortune into dozens of different investments, most notably the corporate Palantir.
Peter Thiel was born in Frankfurt am Main, West Germany on October 11, 1967. The family migrated to Cleveland when Peter was one and finally settled in Foster City, California.
PayPal
In the summer season of 1998 a 23 12 months previous Stanford PhD pupil named Max Levchin attended a lecture being given by Peter. The two struck up a friendship and shortly Peter supplied Max the funds he wanted to launch what turned PayPal. Max’s thought deliberately was to construct a cost system to permit funds to be despatched between Palm electronics gadgets. Peter additionally finally served as the corporate’s Chairman and CEO.
The firm leased an workplace house in downtown Palo Alto. By complete coincidence, a rival digital cost firm referred to as X.com was leasing house on the identical ground. X.com was based by Elon Musk. Unlike PayPal’s plan to facilitate funds between Palm gadgets, X.com was engaged on a system for sending funds over the fledgling World Wide Web.
As competitors and enterprise capital fund spending elevated, PayPal and X.com finally agreed to merge. Thiel left quickly after the merger was finalized and Elon Musk turned CEO of the mixed firm which adopted PayPal as its identify. In September 2000 PayPal’s board ousted Elon as CEO and introduced again Thiel to run the corporate.
PayPal was acquired by eBay for $1.5 billion in 2002. At that time Peter’s 3.7% stake was value $60 million. At that time Elon owned 11.7% and subsequently earned round $175 million.
Clarium Capital Management
After PayPal, Peter used $10 million of his windfall to launch Clarium Capital Management, an funding administration and hedge fund firm.
In 2003 he launched California-headquartered analytical software program firm, Palantir Technologies, the place he sits on the chairman board.
Neilson Barnard/Getty Images
In August 2004, Thiel invested $500,000 to accumulate a ten.2% stake in Facebook. He was the corporate’s first outdoors investor. When Facebook went public in 2012, Thiel offered $638 million value of his fairness. In August 2012, he offered practically all of his remaining stake for $395 million. For what it is value, as of this writing, a ten% stake in Facebook can be value $86 billion. He has additionally made early investments in corporations equivalent to LinkedIn, Yelp, Stripe, Quora, Yammer, simply to call a couple of.
Other Achievements
Thanks to his contributions to know-how, entrepreneurship, and finance, Thiel has earned numerous recognition and awards together with the one by the World Economic Forum, which honored Peter as a Young Global Leader. In addition to the above, he has been an energetic participant in quite a few philanthropic, tutorial, and cultural causes. Primarily a supporter of the Committee to Protect Journalists, Peter helps the Singularity Institute for Artificial Intelligence and the medical charity SENS Foundation, as effectively.
Peter stays energetic at his alma mater, and has taught at Stanford Law School. As for his Thiel Foundation, it offers younger entrepreneurs $100,000 over two years to skip college and pursue their enterprise concepts as an alternative. While he’s encouraging college students to decide on enterprise over college, Peter himself acquired a BA in Philosophy from Stanford University and a JD from Stanford Law School.
$5 Billion Roth IRA
An investigative report by ProPublica published in June 2021 revealed that Peter Thiel’s Roth IRA account is value round $5 billion. How did he pull that off?
Peter purchased his founder fairness shares in PayPal with cash from his Roth IRA. He paid $1,700 for 1.7 million shares at $0.001 per share. When eBay purchased PayPal in 2002 for $1.5 billion, these shares have been value $28.5 million. Thanks to the intricacies of a Roth IRA, the acquire was completely tax free. Over the following twenty years Thiel used that $28.5 million to make a variety of extra investments, INCLUDING the $500,000 test he wrote to Mark Zuckerberg to purchase 10% of Facebook in 2004. As we detailed beforehand, Thiel in the end offered off his complete Facebook stake for round $1 billion all-in. Over the years he has continued to put money into different startups, to the purpose the place the worth of his Roth IRA reached $5 billion by the point ProPublica revealed its investigation. As an apart, had Peter held on to his 10% stake in Facebook, in the present day that funding alone in his tax-free Roth account can be value $80-$90 billion.
All internet worths are calculated utilizing information drawn from public sources. When supplied, we additionally incorporate non-public suggestions and suggestions acquired from the celebrities or their representatives. While we work diligently to make sure that our numbers are as correct as doable, until in any other case indicated they’re solely estimates. We welcome all corrections and suggestions utilizing the button beneath.
