The bullish price actions have not only made critics to reconsider their stance on digital currencies but also reignited discussion panels about the future of cryptocurrencies, their worths as assets, and their benefit in a rapidly developing digital world.
Mark Mobius, a legendary veteran investor and co-founder of Mobius Capital Partners, has said today that bitcoin and cryptocurrencies have great potential and they will be alive in the future. This is coming one year after he poured his scorn on the bitcoin market, branding it as “real fraud.”
The 82-year old financial heavyweight highlighted that people desire to make cross border payment with ease and confidence, and this is where cryptocurrencies would shine.
“There’s definitely a desire among people around the world to be able to transfer money easily and confidentially. I believe bitcoin and other currencies of that type are going to be alive and well,” Mobius said during a Bloomberg newswire podcast.
However, the business mogul revealed that he wouldn’t invest in the cryptocurrency at the moment, regardless of his new perspective about bitcoin and other digital currencies.
Whether I would invest in it is not a question. You have incredible volatility and, at the end of the day, you can’t chase one individual group or one organization that will keep track of what is going on.
Mobius cautiously highlighted the need to be careful, based on the fall of Mt. Gox, a leading bitcoin exchange in the early days of bitcoin, which led to the loss of millions of investors money.
Mobius’ new opinion on bitcoin and other notable cryptocurrencies was first observed by Mati Greenspan, a senior market analyst at eToro.
In response to Mobius flip, Greenspan wrote that people who are firmly addicted in the old financial system is unsurprisingly not influenced by the potentials of crypto, but currently, the tide is rapidly changing.
From the perspective of an asset manager, Greenspan indicated the fact that the volatility of cryptocurrencies is one of the primary attractive qualities of the currencies.
Having the idea of asymmetric risk enables assets managers to use this uncorrelated and unique asset class to maximize returns on risk, even in another well-diversified portfolio.
Crowning his statement, Greenspan noted that asset managers around the world would soon diversify with cryptocurrencies.