December 13, 2017
There are currently between 2.9 million and 5.8 million unique users actively using a cryptocurrency wallet, according to a study performed by the Cambridge Centre for Alternative Finance. Despite the accelerating scale of adoption and hype, Deutsche Bank deems cryptocurrencies as risky investments in its recent report, while extending its circle of trust to the underlying technology – blockchain.
We rank cryptocurrencies as a risky investment because recent price increases are in part based on speculation. Volatility is very high and reached 80%; the whole sector is generally unregulated.
A benefit only arises because of their use as a medium of exchange for transactions. On one hand, their value rises as their use as a medium of exchange becomes more popular; on the other hand, cryptocurrencies are supported by their issue limitation c ...