Digital assets form a new and distinct asset class that despite considerable volatility is rapidly maturing. Bitcoin, the first and largest cryptoasset, laid the foundation for enormous innovation across decentralized finance (DeFi), the metaverse, and various other crypto sectors.
To analyze this nascent asset class, we apply the lens of traditional finance, or what some in the crypto space call “TradFi.” By combining this framework — informed by decades of experience in equities, bonds, hedge funds, and capital markets — with a deep understanding of token technologies and structures, we hope to identify attractive opportunities.
Jennifer and I walk through three approaches to crypto analysis: sector classification, valuation methodologies, and risk management techniques in an article that was posted to the CFA Institute’s Enterprising Investor blog. Read the full article here.