Investors, brands and businesses are realizing they cannot afford to ignore the new digital asset space. With a global market cap of roughly $2 trillion, the cryptocurrency industry rivals the world’s most valuable company, Apple Inc. (NASDAQ: AAPL), by market capitalization and has amassed more than 300 million users.
It is safe to say that cryptocurrency is going mainstream:
- In 2021, 5% of all venture capital investment in the U.S. went into crypto.
- 43% of Americans ages between 18 and 29 have traded or used cryptocurrency (Pew Research Center).
- More than 450 global cryptocurrency spot exchanges exist (CoinMarketCap).
- 52% of financial institutions already invest in cryptocurrencies (Fidelity).
However, despite the industry’s rapid growth, critics of the space voice concern. The following discussion will examine the value behind cryptocurrency and discuss the risks and rewards associated with adding cryptocurrency to an investment portfolio.
What is Cryptocurrency?
Cryptocurrency is a type of digital asset that enables individuals to transmit…