Global Cryptocurrencies & Digital Assets

Could crypto-based digital assets form an entirely new asset class?

Key takeaways

  • At $2.1tn, the digital asset ecosystem aggregate market value is now larger than the gross domestic product (GDP) of Italy or Canada.1
  • It’s estimated that 14% (21.2mn) of U.S. adults own digital assets and an additional 13% (19.3mn) plan to buy digital assets in 2021.
  • In the near future, you may use blockchain technology to unlock your phone; buy a stock, house or fraction of a Ferrari; receive a dividend; borrow, loan or save money; or even pay for gas or pizza.

With a $2tn+ market value and 200mn+ users, the digital asset universe is too large to ignore. We believe crypto-based digital assets could form an entirely new asset class. Bitcoin is important with a market value of ~$900bn, but the digital asset ecosystem is so much more: tokens that act like operating systems, decentralized applications (DApps) without middlemen, stablecoins pegged to fiat currencies, central bank digital currencies (CBDCs) to replace national currencies, and non-fungible tokens (NFTs) enabling connections between creators and fans.

 

Venture Capital digital asset/blockchain investments were $17bn+ in 1H/2021, dwarfing last year's $5.5bn. This creates a new generation of companies for digital assets trading, offerings and new applications across industries, including finance, supply chain, gaming and social media.

 

Watch Candace Browning discuss our views on Digital Assets with Bloomberg TV or read the Digital Assets report

"This isn't just Bitcoin anymore. This is digital assets and it's creating a whole ecosystem of new companies and new opportunities and new applications."

Data Source:

1All ytd data as of the end of August 2021 unless noted otherwise. $2.1tn market value from CoinMarketCap.com