The cryptocurrency landscape is vast. There are well over 10,000 types of cryptocurrencies. For investors who are looking for direct exposure to this space, are there indirect opportunities that might minimize a few of the threat? In this episode, Mark Riepe is signed up with by Inga Rachwald, a senior portfolio strategist for Schwab Possession Management. They talk about the development of different crypto and blockchain technologies, various use cases for specific cryptocurrencies, and monetary instruments available to financiers searching for indirect exposure.
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Fiat curency is a government-issued currency that is not backed by a commodity such as gold.
Digital currencies, such as Bitcoin, are extremely volatile and not backed by any central bank or government. Digital currencies do not have a lot of the policies and customer protections that legal-tender currencies and managed securities have. Due to the high level of threat, investors must view Bitcoin as a simply speculative instrument.
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