Why should I invest in cryptocurrency?

Blockchain: We believe that money and contracts could migrate to open-source protocols (blockchains) that enable and verify digital scarcity and proof-of-ownership. The financial ecosystem will be able to take advantage of the capabilities these technologies allow, potentially leading to more transparency, a more open and inclusive system, and significantly lower function costs.

 

As assets become more fungible, liquid and accessible, many sectors will be impacted and improved; including our own, financial services.

 

Digital Wallets: Digital wallets allow anyone with a connected device to send assets instantly, transforming commercial and financial experiences. Consumers hold the power of a bank branch in their pockets and demand wholesale pricing for many financial transactions, changing their relationships with financial service providers.

 

We believe that this asset class, with a multi trillion-dollar market cap, will be digitized, presenting a monetization opportunity roughly equivalent to that of the Internet. Digital wallets could become the point-of contact for a variety of digital services. Investors have the opportunity (unlike ever before) to invest in the very protocols that power this innovation and disruption.

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Target Market Capitalization of the Cryptocurrency asset class by 2030:

 

$50 Trillion.

 

Current Market Capitalization of the Cryptocurrency asset class (3/1/2022):

 

$1.9 Trillion.

 

Blockchains:

 

Blockchains replace a centralized system with a trustless decentralized system. The first to market, and still the leader of the space, was Bitcoin. While centralized institutions must coordinate the functions of a financial system, Bitcoin operates as a single, decentralized institution. Instead of relying on accountants, regulators, and governments, Bitcoin relies on a global network of peers to enforce rules. Public blockchain infrastructure serves as the backbone for new forms of economic coordination: it minimizes the need to trust centralized institutions. The decentralized, open, and permissionless characteristics of public blockchains lower the cost of coordination, among other advantages.

 

Decades ago, investors viewed the internet as simply a new channel among many others. They decided that the internet would operate alongside channels such as: Radio, TV, and the Newspaper. 30 years later we realized the internet is facilitating all of these channels.

 

Similarly, cryptoassets issued on public blockchains are likely to impact all asset classes. Just as the internet facilitates all channels, public blockchains are likely to turn all assets into transactions on-chain, such as: currencies, securities (equities, debt, real estate), commodities, art (NFTs), and funds (DAOs).

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In our view, blockchains will power 3 major innovations:

 

• Bitcoin will facilitate: fiat currencies and central banking à global decentralized money

• Blockchain (ETH) will facilitate: Traditional Finance (TradFi) àDecentralized Finance (DeFi)

• Blockchain (ETH) will facilitate: Privately owned platforms à User-owned platforms (Web3)

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Bitcoin is attracting institutional buyers. Bitcoin’s institutional holder base appears to be broadening after the launch of more regulated products and adoption by corporations and nation-states.

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