Financial services firm Wells Fargo says cryptocurrencies are viable investments that have entered the “hyper-adoption” phase. “Cryptocurrencies have followed a similar adoption pattern to other advanced new technologies, such as the internet,” the firm’s global investment team detailed.
Crypto in Hyper-Adoption Stage, Says Wells Fargo
The Wells Fargo Investment Institute released a special report this week titled “Understanding Cryptocurrency.” The report attempts to answer whether it is “too early or too late” to invest in cryptocurrencies.
The Wells Fargo team explained:
We believe that cryptocurrencies are viable investments today, even though they are only in the early stages of their investment evolution.
They added: “We recommend professionally managed private placements at this time, as the investment landscape is still maturing.”
The research team continued, “We see cryptocurrencies at the ‘early, but not too early’ investment stage, which is why we have focused on investor education. The big takeaway from our perspective comes from global cryptocurrency adoption rates, which have been accelerating rapidly from a low base. They noted:
Cryptocurrencies have followed a similar adoption pattern to other new advanced technologies, such as the Internet.
Wells Fargo analysts reiterated, “For today’s investor trying to determine whether we are ahead or behind in investing in cryptocurrency, it seems reasonable to consider investing in technology. mid to late 1990s. They added:
At that time, the internet reached a phase of hyper-adoption and never looked back. Cryptocurrencies appear to be at a similar stage today… We hope greater regulatory clarity in 2022 will bring higher quality investment options.
Nonetheless, the company recommended, “Cryptocurrency investment options today, however, are still maturing and we advise patience. For now, we suggest considering only professionally managed private placements.
Wells Fargo began offering crypto investments to its clients in August last year. The company has also filed a bitcoin fund application with the United States Securities and Exchange Commission (SEC).
What do you think of Wells Fargo cryptanalysis? Let us know in the comments section below.
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