While regulators recommend that investors and advisors “go beyond the headlines and hype” to understand cryptocurrencies, Frederick Pye, President and CEO of 3iQ, thinks investors should take the long view on cryptocurrency investments. “People have to keep their eye on the long-term potential of bitcoin as a global store of wealth.”
Canadian investment fund managers such as 3iQ are working with regulators to find ways to give advisors and their clients access to cryptocurrencies. The 3iQ Global Cryptoasset Fund aims to invest directly in three leading cryptocurrencies: bitcoin, ether and litecoin. The fund will not invest in cryptocurrency futures contracts.
Pye gives a comparison of cryptocurrencies to more familiar commodities, such as gold, silver and copper. Bitcoin is often referred to as gold due to its high value. Pye equates litecoin to silver as its faster technology may make it a better payment method. Ethereum, unlike bitcoin’s blockchain, allows third parties to create and maintain their own coins. Its coin, ether, is linked to the growth potential of blockchain technology, similarly to how the price of copper can indicate economic growth.
Read the full article by Fiona Collie here Investment Executive