Bitcoin: IMF Sees Risk in Higher Correlation With Stocks

Many advocates of bitcoin and different cryptocurrencies have stated they’ll function hedges towards declines in different monetary belongings, similar to shares, lowering danger for buyers.

The International Monetary Fund questions that evaluation.

Amid the growth of digital currencies, their “correlation with conventional holdings like shares has elevated considerably, which limits their perceived danger diversification advantages and raises the chance of contagion throughout monetary markets,” International Monetary Fund officials wrote on the group’s weblog, citing new IMF analysis.

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