Journal of Investment Management, Forthcoming
49 Pages Posted: 15 Feb 2018
Date Written: January 31, 2018
With the recent surge in crypto-activity, a natural question arises as to what exactly a “cryptocurrency” is and how to value and assess these digital assets. In this paper, we provide an overview of the history and technology underlying cryptocurrencies. We also present information on the volume, size, and volatility of this emerging asset class, which we compare to major fiat currencies and commodities. Finally, we provide a framework for valuing crypto-assets, discuss the still-evolving regulatory environment for this asset class, and discuss the mechanics of investing in cryptocurrencies.
Keywords: cryptocurrency; coins; digital assets; bitcoin; ethereum; fintech
JEL Classification: E42; G10, G11, G12
Suggested Citation: Suggested Citation