Investors are Comfortable With Bitcoin, Ethereum: Hong Kong Experts
Array

Investors are Comfortable With Bitcoin, Ethereum: Hong Kong Experts

-

- Advertisment -

Experts are starting to see a growth in the number of investors and investment firms that have become comfortable with Bitcoin and Ethereum, despite their recent volatility.

In an interview with CNBC, experts including major Chinese bitcoin exchange BTCC CEO Bobby Lee and Dave Chapman, managing director of Hong Kong-based commodities and digital assets trading house Octagon Strategy, revealed that investors have become resilient toward the volatility of Bitcoin and Ethereum.

Getting into mainstream

Chapman stated:

“We’re now sort of at … a tipping point, where people are now considering bitcoin or ethereum or digital assets as more mainstream. A lot of the people that we service are actually very comfortable with having 1 percent of their net worth into bitcoin or ethereum.”

The vast majority of investors in alternative cryptocurrencies and crypto assets are speculators. Marc Cuban for instance, the billionaire investor and owner of NBA’s Dallas Mavericks, revealed that he has personally invested in Bitcoin and other cryptocurrencies to learn more about their technical intricacies and structures.

Cointelegraph reported that Billionaire hedge fund investor Mike Novogratz has also invested 10 percent of his life savings or net worth into cryptocurrencies.

Why they invest

Still, most investors truly believe that the technology behind cryptocurrencies and public blockchains including Bitcoin and Ethereum will someday render major trillion dollar industries irrelevant. Investors perceive Bitcoin as the alternative financial network to the global banking system and are predicting that bitcoin could replace key financial infrastructure providers in the near future.

Investors in Ethereum believe the decentralized network can create autonomous operations and applications run by smart contracts. Hence, despite the volatility of cryptocurrencies that often result in daily change in value in the range of 5 to 40 percent amidst market corrections, investors are comfortable allocating a portion of their net worth into cryptocurrencies.

Admittedly, Chapman explained that most investors have cashed into cryptocurrencies due to the fear of missing out. The technical intricacies of Bitcoin and other cryptocurrencies are difficult to properly understand, especially since the vast majority of the public has been exposed to centralized banking systems and financial networks for decades.

Future earnings

Still, Chapman expressed his optimism towards the growth of demand in cryptocurrencies and explained that the fear of missing out is converting traditionally skeptical investors.

“[To them], it’s just a natural extension of all their diversification of their portfolio. There’s no other asset class in the world that could’ve given you the historic performance of this sector … the historic performance, which is obviously not representative of future earnings, … does appeal to a lot of people We get a lot of people who are like ‘You know what? I still don’t believe in this experiment — I’m not really a believer, but I’m tired of sitting on the sidelines and missing out,” said Chapman.

Source link

Investors are Comfortable With Bitcoin, Ethereum: Hong Kong Experts
Bitnewsbot.comhttps://bitnewsbot.com
BitNewsBot.com aggregates the latest news around bitcoin, blockchain, cryptocoin, ICO's and FinTech, from all around the internet and publishes them in a single place.

Latest news

Top 7 Porn Sites That Accept Bitcoin/Crypto

Bitcoin and other cryptocurrencies are not that exotic anymore. Ever since the big boom on the crypto...

“Chinachain” aims to connect hundreds of cities across China. Will it work?

If there’s ever a “Chinachain” for business, sanctified and supported by the state, the BSN ( Blockchain...

Top 10 BEST Crypto Trading Books for New Traders (2020)

We may receive a small revenue share if you purchase something from this guide - with...

Crypto Firm That Connects Exchanges and Banks Receives $5m Investment From Wells Fargo

Cryptocurrency startup Elliptic recently held a Series B funding round which was joined by a venture arm...
- Advertisement -

Will New Zealand’s crypto salary project work?

Now in 2020, Bitcoin, and in a broader sense cryptocurrencies in general, have gone through hundreds of...

Is Tron’s decentralized app market really a “Las Vegas on the blockchain?”

The original idea behind creating cryptocurrencies was to offer a much more decentralized and convenient payment platform...

Must read

Top 7 Porn Sites That Accept Bitcoin/Crypto

Bitcoin and other cryptocurrencies are not that...

“Chinachain” aims to connect hundreds of cities across China. Will it work?

If there’s ever a “Chinachain” for business,...
- Advertisement -Investors are Comfortable With Bitcoin, Ethereum: Hong Kong ExpertsInvestors are Comfortable With Bitcoin, Ethereum: Hong Kong Experts

You might also likeRELATED
Recommended to you