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South Korean experts: "bitcoin does not fit the concept of a protective asset»

South Korean experts: “bitcoin does not fit the concept of a protective asset»

The South Korean publication the Scoop gathered the opinion of several local experts about bitcoin. Experts believe that the first cryptocurrency does not fit the concept of a protective asset.

The South Korean publication the Scoop gathered the opinion of several local experts about bitcoin. Experts believe that the first cryptocurrency does not fit the concept of a “protective asset”.

In an article published by the Scoop, Professor Hong Ki-Hoon (Hong Ki-hoon) from Hongik University, said that it is not necessary to call cryptocurrencies and bitcoin protective assets. At the very least, it is not worth comparing cryptocurrencies with such recognized protective assets as gold, the us dollar, or even US government bonds.

At the same time, Hong Ki-hung does not deny the fact that against the background of the global economic crisis, cryptocurrencies are becoming a means of accumulating wealth.

“In order to act as a protective asset, you need to meet two criteria. First, the asset’s volatility should be low. Second, when market volatility increases, the value of such an asset should also increase. It is obvious that cryptocurrencies do not fit these standards,” he said.

Recall that, as reported at the end of may, the South Korean authorities may introduce a tax on profits from transactions with cryptocurrencies.