Amid the coronavirus pandemic, crypto and digital assets are quickly proving to be an alternative investment option for Millenials.
And for good reasons.
The stock and the commodities market are bleeding because of the effects of lock-down. Lock-downs in parts of the United States and Europe have disrupted the supply chain, impeding the free flow of goods, which is negative for commerce.
Coronavirus Is Highly Contagious, Lock-downs Damaging To the Global Economy
COVID-19, which is a very contagious zoonotic virus, has already claimed lives in the United States and across the globe. To prevent further spreads, harsh preventive measures—already impacting the global economy negatively, have been implemented.
But it is during these times of lock-down, and curfews that trading of crypto has increased. As it is, cryptocurrency trading can be done an all-year-round with no breaks because of the absence of intermediation allowing traders to move value or effect transactions via a robust infrastructure, out of reach from the government.
Lockdowns combined with central banks’ intervention has been a boon for traders. Cryptocurrencies are immune to censorship and other forms of third-party involvement. Trading is automated, and transactions secured by cryptography.
Specifically, Bitcoin, the most valuable coin, which trades without circuit breakers has remained resilient after bottoming up from March 2020 lows.
Then, BTC plunged to $3,800 but is now trading at around $6,650.
However, the free-falling of Bitcoin didn’t faze investors as some say it as an opportunity to double down on their crypto investment.
Spike in Crypto Trading Activity
Talking to CoinDesk, the CEO of Crypto.com, previously Monaco, Kris Marszalek, said month-to-month usage of the platform has been on the rise since September 2019, with the number of downloads spiking in February when lockdowns were announced.
He cites the store of value…