Breaking Down Bitcoin
- Since we continue to get questions about bitcoin and cryptocurrencies, we thought it would be a good time to provide an update on this timely and often contentious subject.
- Bitcoin is the largest cryptocurrency – or digital currency – worth approximately $131 billion in aggregate.
- This week’s Thought for the Week is intended to provide useful background and insight so you can be better prepared to address questions from investors who are curious about bitcoin and other digital currencies.
(As a reminder, Global Financial instituted a firm-wide policy prohibiting the use of bitcoin and other cryptocurrencies in January. While the Investment Committee has no official opinion on the merit of cryptocurrency, because cryptocurrencies are not classified as a security by the SEC, RIAs and IARs are restricted from recommending and/or investing clients into bitcoin or any other non-security, even if requested by the client.)