In: Finance
What’s new in the proposal that is different from the prior literature?
If the proposal is : Is Bitcoin a safe-haven asset like gold during the period of COVID-19?
Yes, according to me, Bitcoin is more safer than gold at the time of crisis like covid-19 because Bitcoin does not have any third party intervention and they are highly encrypted currencies and they are not subject to any kind of monetary intervention so these currencies are freely determined by price discovery norms of buyers and sellers so, their prices are highly transparent in nature and they can never be subject to any kind of third party intervention and hence I feel they are highly transparent assets in the long run and they could be a probable substitute for the current banking regime.
In the long run, I would be betting for bitcoin because these are modern and sophisticated blockchain which are highly encrypted in nature and they can be etransacted world wide and they have no third party interventions so I think that it can be acting as safe asset at this times of covid-19 crisis.