In our journey through the dynamic crypto ecosystem, we meet various digital asset community players and financial professionals. One such expert in the field is Sarah Morton, who lends her perspective on investing in crypto and digital assets. New to the editor’s chair of CoinDesk’s newsletter, Morton’s knowledge of blockchain technology and digital money is not accidental but well-forged with over six years of dedication to the crypto sector.
Her take on digital assets finds allies in leading figures of the financial world. In a recent comment, BlackRock’s CEO suggested that Bitcoin might revolutionize finance. Noteworthy is that current and future generations show a keen interest in digital assets and their financial advisors are on the hunt for insights into this emerging asset class.
The crypto landscape is far from simple, though. Coverage from the past couple of months revealed that over half of Fortune 100 companies have begun dabbling in crypto, blockchain, and Web3 projects, as reported in a recent Coinbase study. Such developments lead to broader queries such as the impact advancements will have on digital asset trends and how advisors must adapt to the swiftly changing facets of the field.
However, rather than perceiving these challenges as stumbling blocks, Morton identifies them as opportunities for advisors to cater to their clients’ needs in the digital-asset terrain. The newsletter she curates promises to provide guidance and answers to frequently asked and imminent questions from clients.
Indeed, for those anticipating questions about digital asset investing, Morton offers a glimpse into the most asked ones. On the question of security, she avers that it falls upon the investor to ensure the robustness of their assets by holding them in their own wallet or entrusting them to a reputable, solvent custodian.
Concerning the actual value that digital assets hold, the opposing views are many. Cryptocurrencies like Bitcoin were initially hailed as hedges against banks, the government, and inflation. On the other hand, Ether is primarily used for application management on the Ethereum network, and the worth of other tokens stems from their respective cash flows.
Risks undertaken when investing in digital assets vary and can include custodial risk and volatility. These risks may pose an allocation issue in client portfolios, especially those requiring liquidity.
As we forge our path through the crypto landscape, understanding these complexities will be paramount. To conclude, embracing digital assets comes with its fair share of challenges and opportunities. Nevertheless, robust discourse and apt guidance can help navigate these waters to meet the demands of an ever-evolving investor pool.
Source: Coindesk
