Redefining Asset Class: Is Bitcoin a Hedge, a Diversifier, or a Safe Haven Asset?
Miller, (Fon) Chaniya
MetadataShow full item record
Cryptocurrencies and crypto assets have tremendously gained traction in adoption and mentions over the past decade. Supposedly a disruptive force to traditional finance, cryptocurrency is considered an entirely different asset class. To look at how cryptocurrency, namely Bitcoin, compares against other traditional assets, this study aims to answer the question whether Bitcoin is a hedge, a diversifier, or a safe haven asset against traditional assets such as stocks, bonds, and gold. An ordinary least squares regression model is used to study this relationship. The results found that there is no evidence that Bitcoin is a hedge for stocks, bonds, and gold, suggesting that Bitcoin is a diversifier for these three assets. The results also found that there is no evidence that Bitcoin is a safe haven asset for stocks and gold but some evidence that it is one for gold. Given these broad observations, the limitations of using an ordinary least squares on a time series renders these results inconclusive and further research is recommended to ascertain these findings.
Showing items related by title, author, creator and subject.
"The Power of Proprietary Assets" : Valuing Companies in High and Low Proprietary Asset Industries Crouch, Amanda (2017)The goal of corporate finance is to maximize shareholder value, qualified by corporate social responsibility. But what exactly is value? How does a company make value? How does a company manage value? How does a company ...
Crouch, Amanda (Kalamazoo, Mich. : Kalamazoo College, 2017)This study aims to ascertain if proprietary assets substantially impact a company’s value and create a sustainable competitive advantage by looking at five industries based on varying levels of proprietary assets. These ...
Meeting the Challenges of Institutional Repositories: How Campuses Select and Prioritize Digital Asset Management Projects Nowicki, Stacy, 1973-; Spalti, Michael (2008-10-03)Presentation for Special Topics for Instructional Technologists, October 3, 2008, via Multipoint Interactive Video (MIV). Stacy Nowicki (Library Director, Kalamazoo College) and Michael Spalti (Head of Library Systems at ...