Though title is a little “bait”, this article appoints blockchain technology like a great promise. But, in words of hedge fund Two Sigma cofounder, cryptocurrencies in their current state don’t hold so much value as some people consider nowadays. Read it now.
The cofounder of hedge fund giant Two Sigma is no fan of cryptocurrencies – although he does see guarantee in its underlying technologies, blockchain.
“I guess I’m just a little skeptical that [cryptocurrencies] are going to hold value the way that individuals count on that they are going to,” David Siegel, co-chairman of Two Sigma, a hedge fund with $52 billion beneath management, mentioned in the Bloomberg Invest conference Tuesday.
Nevertheless, he was cautious to clarify that the technology behind digital currencies, an details database known as blockchain that is certainly mentioned to become secure and immutable, has promise. “I feel the blockchain is actually a genuinely wonderful technology…the blockchain is truly going to possess genuine applications.”
When asked if he preferred any certain cryptocurrency, he answered, “They’re all about equal in my thoughts.” Then he dropped his palm toward the floor, signaling the amount of prestige the asset held in his mind. “You know.”
The comments come from a billionaire with one foot in Wall Street and the other in technologies. Two Sigma is known for its approach of trading according to algorithms and artificial intelligence. And unlike a lot of other hedge funds, the firm’s staff is chock complete of Ph.Ds. Siegel himself holds a PhD in personal computer science from the Massachusetts Institute of Technologies.
Along with the approach has paid off for Siegel. Siegel has regularly been featured among the leading hedge fund earners on an annual basis.
Investing in cryptocurrencies has created others wealthy. Over the last 12 months, the value of all cryptocurrency, like Bitcoin, has swelled to roughly $350 billion. Although that is a far cry from its $816 billion peak in January, the value is still roughly 3 times its $101 billion value a year earlier.