Crypto is not a stable investment option for retail investors. It can be quite volatile and risky, which makes it less appealing when compared to traditional stocks or bonds that offer more stability in return on your money. At least that’s what Hammond thinks.
Lord Hammond is a well-known politician in Great Britain. He served as Chancellor of the Exchequer during Tony Blair’s governments. Hammond’s experience in the cryptocurrency market was a valuable addition to Copper. He joined the firm at an exciting time as it continued its rapid expansion into new markets and industries, building on its past successes while always looking ahead with innovation.
Hammond has a wealth of experience in foreign and defense policy. He was previously the Foreign Secretary, Defense Secretary as well as Chancellor for Exchequer- these roles give him insight into many aspects of international relations.
In a recent conversation with The Mail, Hammond said, “It’s almost certainly not suitable for retail investors as a mainstream investment category. I know plenty of people who have a small exposure to crypto-assets but it is money they’ve written off. It’s gambling money. I think people should be extremely cautious. Many regard them as closer to gaming than serious investing.”
Hammonds sentiments come barely 10 days after the central bank of the United Kingdom, and the Bank of England had warned of the same. Digital assets are risky for UK’s financial stability. Risky? Why is that a bad thing you ask? According to BOE, Digital Assets have become more popular because they offer the potential of higher returns than traditional stocks and bonds.
Just when you thought it was safe to go back into the market, the UK inflation rate beats expectations by a mile! The Bank of England has issued an advisory warning about crypto assets and their potential role in funding illegal activities like money laundering.
This isn’t surprising considering how quickly they’ve been popping up across social media sites as well-of course this would be happening during our steady rise towards 3%.
It is no surprise that the head of Britain’s banking system, Governor Andrew Bailey has criticized Bitcoin and other crypto assets in the past due to their volatility. He even went as far claiming they were a bubble waiting to burst!
The Cambridge Student Union is a place where students from all backgrounds come together to discuss current events, and one such event featured remarks by El Salvador’s Finance Minister about his country’s initiative with Bitcoin as legal tender. Bailey expressed concerns that using crypto assets could create daunting financial complexities for emerging economies like theirs.
Despite the shades thrown at them, digital currencies are getting popular among retail and institutional investors. This new trend has created an opportunity for investment companies that want to get into the game early without having any overhead costs or risk associated with storing currency on their behalf, which can be expensive given how quickly technology changes nowadays.
In 2021, cryptocurrency investments have boomed. Leading digital assets like Bitcoin and Ethereum have attracted significant funding from both private investors as well as institutional backers such at hedge funds seeking long-term returns on their investment strategies with strong potential for appreciation in value over time; or traders who want to trade “off the cuff” without having custody of any coins but still make money off market movement nonetheless because they don’t need a whole lot before being able start cashing out again (which can happen quickly).
The recent rise in value for Bitcoin and Ethereum has made them more valuable than ever before. The two coins now account for nearly 60% of all cryptocurrency market cap, which makes them a hefty investment option if your goal is to get rich quick!