With the current world and its economy, the world and its investors are slowly losing faith and grip on traditional investments. This is indeed true basically because most of the traditional investments are becoming less attractive or you can say less attractive because crypto investment popularity and prices have been gaining popularity with great effect. It therefore important look at the differences that exist between traditional investments versus crypto investments.
The underlying facts contributing to the popularity and growth of crypto investments
With traditional investments, there is no anonymity except for those that are slotted for being phased out. On the other hand, the crypto investment has a high level of anonymity. This is what makes its prices to surge each and every time. For example, if we look at the case of bonds, it has a low level of barriers of entry meaning that everyone can enter into such an investment even fraudsters may find their way in. The investment on the bond is also laced with little or no anonymity. This means that a person making such a bond investment is open to the public. This is what makes crypto investment more popular.
Stocks are also traditional investments. They have a medium risk after investment, they have low anonymity after investment. On the other hand, if we compare with the crypto investments, the risks associated with it are high while the anonymity is very high and extra high. This has made it popular since investors will tend to look into those investments that will guarantee them security based on the levels of anonymity even with the fact that such investment could be very risky.
Cryptocurrency investments are more beneficial than traditional investments
From the close look of facts, it is a fact that with cryptocurrency, there is a high degree of transparency. With cryptocurrency investment, the main benefit is that it has a very limited degree of control. This means that there is no the centralized body that will control the directionality of investment. With that, there is a high degree of transparency. The high degree of transparency is what many people/investors want.
On the other hand, crypto investment has both limited and low barrier to entry. While barring fraudsters, the cryptocurrency investments allow anyone to buy and trade on cryptocurrencies. This is what makes it different from the traditional investments involving bonds and stocks.