Connect with us

Cryptocurrency

Advisors feel pull of cryptocurrency wave as clients ask questions

Published

on

When the market collapsed in March 2020, financial advisor Ivory Johnson, founder of Delancey Wealth Management, decided it was time to introduce cryptocurrencies to his clients.

“I did it because I saw how active the Federal Reserve is and how much it dilutes the dollar,” which would be incredibly inflationary, Johnson said.

A recent survey by the Financial Planning Association and the Journal of Financial Planning shows that Johnson’s strategy could be part of a growing trend.

As investor interest in cryptocurrencies grows, financial advisors are feeling a new urgency to offer the investments to their clients.

More from your money, your future:

Learn more about how to manage, grow, and protect your money here.

According to the survey, around 49% of advisors said customers have asked about cryptocurrencies in the past six months, up from 17% in 2020.

More of these finance professionals – 26% – plan to ramp up their use of cryptocurrencies and recommend them over the next 12 months.

14% of consultants currently use or recommend these systems. That’s an increase of less than 1% in 2019 and 2020.

“People are realizing now that it won’t go away,” said Tyrone Ross, CEO of Onramp Invest, a provider of cryptoasset management technology to financial advisors. The company worked with the FPA and the Journal of Financial Planning on the survey.

kate_sept2004 | E + | Getty Images

Consultants who fail to adapt could risk being left behind.

“Customers come to advisors and now they know more than the advisors,” said Ross. “The consultants are totally scared because you never want to look stupid in front of your customers.”

While Johnson said most of the advisors he speaks to are still unfamiliar with cryptocurrencies, that could change as new certifications emerge and broker-dealers use technology to deal with these assets.

“Every time something is increasingly adopted, the price goes up exponentially, and we see that with Bitcoin and other cryptocurrencies, and I think this is another bull case,” Johnson said.

How advisors use crypto

Advisors who are now integrating cryptocurrencies typically add a 1% to 2% allocation, Ross said. However, those who are more committed to the strategy can be anywhere from 3% to 5%.

Ross also has his own consulting practice that is 100% focused on cryptocurrencies. That is, no traditional assets like stocks or bonds.

As these new investments emerge, pressure still remains for advisors to incorporate traditional financial planning into talks about crypto. That means figuring out how much customers own and how it matches their risk tolerance, Ross said.

Onramp recently launched a crypto asset integration platform to help registered investment advisors integrate Bitcoin, Ethereum and other investments into portfolios.

Ross said the company was trying to provide the resources he wanted when he started his practice in 2017.

Now the challenge for the company is to meet the demand, Ross said. More than 300 consultants signed up in the first few days of the May 25 announcement.

Onramp is currently raising funds to meet that demand through investors like Eterna Capital, Gemini Frontier Fund, and Ritholtz Wealth Management, who are also using the company’s technology to incorporate cryptocurrencies into customer portfolios.

Where to find out more

According to Ross, the first step for both advisors and investors is to educate themselves before attempting these investments.

Onramp offers consultants who want to learn more about digital assets, a training program with the Onramp Academy brand.

The Bitcoin whitepaper, written by the creator of the cryptocurrency under the presumed pen name Satoshi Nakamoto, is also a great place to start, Ross said.

Other resources Ross recommends include the book “Cryptoassets: The Innovative Investor’s Guide to Bitcoin and Beyond” by Chris Burniske and an educational website hosted by Jameson Lopp.

“Learn about it on,” said Ross.

“When you’ve cleared up about this and you feel like it’s an investment for you … maybe put a little bit in that you spend an evening out with dinner and just leave it alone,” he said.

Cryptocurrency

bitcoin price: Top cryptocurrency prices today: Bitcoin, Polkadot, Ethereum surge up to 16%

Published

on

NEW DELHI: Major cryptocurrencies traded higher on Tuesday after investor confidence was boosted by Tesla CEO Elon Musk’s tweet over the weekend. Led by Bitcoin and Polkadot, all of the top 10 digital tokens saw an increase of up to 16 percent.

After another weekend of wild price swings, the crypto market got its mojo back after Musk pared criticism of its market influence, saying Tesla had sold Bitcoin but may have resumed transactions with it. Investors eagerly await Tesla’s next earnings update – due next month – for any disclosure of changes in its position.

The crypto market rose sharply as Tesla announced purchases in digital Numero Uno tokens, while the virtual currency market collapsed

to use. Tesla’s U-turn on cryptos wasn’t the only trigger, however. Around the same time, the Chinese government took action against institutions dealing with cryptocurrencies.

“Bitcoin is the market leader and the dominant asset. It has managed to keep the crypto community, financial institutions and banks interested in the asset as the volume has held the position and has not decreased much. This is the result of banks, MNCs and, in some cases, even governments seeing the potential of the asset, “ZebPay told Trade Desk.

“A highly anticipated event, the Ethereum Protocol Upgrade Proposal (EIP-1559), which promises us to provide an improved transaction process and streamline the user’s experience by reducing transaction costs and making the determination of fees much easier and simpler Being made less stressful and wasteful is also due very soon, “she added.

“We can see a consolidation in the markets. Trading volumes remained low. This consolidation was well anticipated and could continue for the whole month. The sell-off had very little trading volume, which is a positive sign for the crypto market, ”said Edul Patel. CEO and co-founder of Mudrex.

Crypto shopping cart: Quick Glance (Source: coinmarketcap.com, data as of 9.30 a.m., ACTUAL on June 15, 2021)

  • Bitcoin: $ 40,518.56, up 4.32 percent
  • Ethereum: $ 2,595.23, up 4.82 percent
  • Tether: $ 1.00, up 0.07 percent
  • Binance Coin: $ 373.65, up 4.22 percent
  • Cardano: $ 1.58, up 2.54 percent
  • Dogecoin: $ 0.33, up 1.74 percent
  • XRP: $ 0.89, up 2.16 percent
  • Polkadot: $ 25.26, up 16.785 percent
  • USD coin: $ 1, up 0.04 percent
  • HEX: $ 0.092, up 6.09 percent

Note: price change in the last 24 hours

Tech View of Giottus Cryptocurrency Exchange


Cardano (ADA)


Everyone is talking about Cardano at crypto town and has gained incredible amounts after one of the founders discussed its roadmap through 2025. Cardano will grow into one of the most sophisticated ecosystems in the crypto space in the coming years. This news is very bullish for Cardano and the market has reflected it on its charts.

ETMarkets.com

Cardano recently broke trendline resistance of a falling wedge pattern. It is expected to test the trendline resistance of a huge ascending channel, a short-term bullish pattern. ADA remains bullish and will remain so until it is on the channel. Once broken down, it can hit multiple lows. But when ADA breaks and exceeds $ 2.45, new highs can be formed.

All of these moves remain dependent on the movement of Bitcoin, which broke out of its downtrendline this week and appears to be targeting $ 43,000 as the next resistance.

Main stages

Support: $ 1.25, $ 1.16, $ 0.96

Resistance: $ 1.87, $ 2.0, $ 2.45

Binance Coin (BNB)

Binance Coin (BNB) has risen parabolically since late 2020 and recorded a more than 60 percent correction after the crypto crash in May 2021. It is the native coin of the Binance exchange.

BNB is currently forming a rising wedge that can still grow until the first week of July. It will be interesting to see how BNB performs as it broke a large technical and psychological resistance ($ 350) and is being tested

100 (100 day exponential moving average). Breaking the EMA 200 and the trend line resistance of the rising wedge will be extremely bullish for the NBB.
Giottus_BNB_analysisETMarkets.com

Since the ascending wedge is inherently bearish, we cannot rule out the possibility of a bearish reversal. But it will likely bounce off the first ($ 350) or second ($ 275) big support after collapsing. Failure to bounce back from the second big support, the NBB could fall to the USD 210 level.

Main stages

Support: $ 305, $ 290, $ 275

Resistance: $ 410, $ 430, $ 475

The time is in UTC and the daily time frame is 12:00 PM – 12:00 PM UTC

(The views and recommendations in this section are the analysts’ own views and recommendations and do not reflect those of ETMarkets.com. Please consult your financial advisor prior to entering into any position in any of the above assets.)

Continue Reading

Cryptocurrency

‘Banks should be scared’ of cryptocurrency-based DeFi

Published

on

Billionaire investor Mark Cuban is very optimistic about the future of DeFi or decentralized finance and DAOs or decentralized autonomous organizations.

“There are many financial institutions that should be concerned,” Cuban wrote in a blog post on Sunday. For one thing, “banks should be afraid,” he wrote.

DeFi applications aim to emulate traditional financial systems with cryptocurrency, while DAOs can control and monitor DeFi applications and other projects.

DAOs are similar to traditional companies or organizations, instead control is democratized within DAOs. Instead of having a centralized leader, DAOs have members who vote on decisions and rules, which are then coded into smart contracts on the blockchain.

For example, DeFi loans allow users to lend cryptocurrencies like a traditional bank does with fiat currency and earn interest as a lender. DeFi loan applications like Aave, Compound and Maker are regulated by DAOs.

The structure of these decentralized protocols is one of the things that piqued Kuban’s interest and made him think that DeFi could be a serious competitor to traditional banks.

He uses Aave as an example to explain why. (A Shark Tank star and owner of the NBA’s Dallas Mavericks, Cuba invested in Aave, which he announced during a Reddit “Ask Me Anything” in February.)

“Aave looks like a bank like its competitor Compound. But it’s not. Nowhere around,” said Cuban. “Aave is a fully automated, permissionless platform with no bankers, no buildings, no toasters, no safes, no cash, no money custody, no forms to fill out, no credit ratings.”

“Everything is controlled by smart contracts. It’s fully automated. You don’t have to get approval from anyone and it takes minutes to get a loan.”

This, of course, is part of what makes DeFi so risky. Unlike a traditional bank, there is no regulation or insurance for your money when you use DeFi. Although DeFi loans are collateralized with other crypto assets, borrowers who use DeFi protocols cannot otherwise be held responsible if they cannot effectively repay a loan.

“The old crypto adage ‘don’t put in more than you can afford to lose’ applies twice to DeFi,” reported CoinDesk. “This stuff is overly complex and a lot can go wrong.”

DeFi-related hacks stole $ 156 million between January and April, according to CipherTrace.

Another feature that draws Cubans to DeFi exchanges is the fact that they don’t necessarily have to raise a lot of capital to scale, he says. “Rather than the company’s owners, investors and their creditors raising capital for all transactions that take place, the liquidity providers (LPs) do it for them,” he wrote.

Liquidity providers are users who fund pools that enable DeFi loans or loans, among other things.

For Cuban, this makes automated financial markets like DeFi “so much more capital and operational than comparable traditional companies”.

Cuban acknowledges the risks and admits that with all of this technology there are technical details to be clarified, but still says that “this approach is the future of private banking”.

And despite the risks, DeFi has been particularly buoyant lately. DeFi Pulse currently has more than $ 60 billion locked in DeFi logs, according to DeFi Pulse.

Cuban is a liquidity provider for a decentralized exchange, he wrote in his blog post. He is also invested in a number of companies in the crypto space, including DeFi companies, and has a portfolio of multiple cryptocurrencies, including Bitcoin and Ethereum.

Join Now: Get smarter about your money and career with our weekly newsletter

Do not miss: This is the fintech that Mark Cuban says you should get to know now

Continue Reading

Cryptocurrency

Nvidia CEO Jensen Huang talked about the value of ethereum, advances in crypto mining and the global semiconductor shortage in a recent interview. Here are the 10 best quotes. | Currency News | Financial and Business News

Published

on

Nvidia boss Jensen Huang

  • Nvidia CEO Jensen Huang spoke to a group of journalists at the Computex IT conference.
  • He said Ethereum will be valuable in areas like DeFi because of its scalability and credibility.
  • He also spoke about Nvidia’s role in the future of crypto mining, saying he believes a metaverse is imminent.
  • Check out Insider’s business page for more stories.

Jensen Huang, CEO of chip and graphics card maker Nvidia, recently spoke to a group of journalists at the Computex IT fair about his views on the value of Ethereum, how Nvidia’s products fit into the crypto ecosystem, and why he thinks we are at the There is a threshold to create a metaverse in an interview published by VentureBeat.

Nvidia’s graphics processors are top of the range graphics cards that also have crypto mining capabilities. Huang, a big proponent of artificial intelligence, introduced a lower-resolution graphics card at the conference that was specifically designed for crypto mining. He also addressed the global chip shortage, Nvidia’s role in it and whether he believes the Chinese government will intervene in the development of artificial intelligence.

Here are the ten best quotes from Huang from the interview, which have been slightly edited and condensed for clarity.

  1. “Am I looking forward to the Proof of Stake? The answer is yes … Ethereum has established itself. It now has the opportunity to implement a second generation that will continue the platform approach and all services based on it. It is legitimate. It is Established. There’s a lot of credibility. It works well. Lots of people rely on it for DeFi and other things. This is a great time to prove its worth. ” – about the opportunities that Ethereum offers and the value of the network for blockchain and crypto.
  2. “We purposely reduced the performance of our GPU so that when you want to buy a GPU for gaming you can do so. If you want to buy a GPU for crypto mining you can either buy the CMP version or if you would like to use the GeForce for that, unfortunately the performance will be reduced “- how Nvidia tries to lower the prices of graphics cards and why they developed CMP.
  3. “We’ll just continue to work with our supply chain to keep them informed of the changing world of IT so they are better prepared for future demand. But I believe that the areas we are in, the markets we are in, because we have very specific reasons, will be in great demand for some time “- to deal with the ongoing global shortage of semiconductors.
  4. “It is now clear that Ethereum will be very valuable. There is a future in which these transactions can be processed much faster, and with so many people building on it now, Ethereum will be valuable.” – on the prospects for the Ethereum network due to its scalability.
  5. “I think we’re about to do it. […] There will be many types of metaverse, and video games are one of them. […] We’re going to see this overlay, a metaverse overlay, if you will, into our physical world. “- about when and how a metaverse becomes real.
  6. “You need this blockchain to have fundamental value, and that fundamental value could be mined. Cryptocurrency is here to stay to stay. Ethereum might not be as hot as it is now. It could cool down a bit in a year. But I think crypto mining is here to stay “- on the future of crypto mining and blockchain networks.
  7. “I believe there will be a bigger market, a bigger industry, more designers and creators designing digital things in virtual reality and metaverse than designing things in the physical world. […] The economy in the metaverse, the economy of the omniverse, will be larger than the economy in the physical world. Digital currency, cryptocurrency, could be used in the world of Metaverse “- about his vision for the omniverse that Nvidia is developing.
  8. “I have a feeling that we are welcome in China and will continue to work hard to deserve to be welcomed in China and in every other country.” – Whether the Chinese government will intervene and regulate Nvidia’s work on artificial intelligence.
  9. “One of the most important technologies that we need to develop, for several of them – in the case of the consumer, one of the most important technologies is AR, and it is coming.” – for the development and accessibility of augmented reality.
  10. “This is the biggest market opportunity the IT industry has ever seen. I can understand why it inspires so many competitors. We just have to keep doing our best and act as quickly as possible. ”- on the future of the graphics processing industry and its competition.
Continue Reading
Advertisement

Trending