The Blockchain, Crypto-currency and investing in it to make money has been a revolution in the recent times. But as more and more early stage investors are getting hooked into it(thanks to the sky-rocketing of Bitcoin and Ether), it becomes imperative that the different rating agencies start evaluating the various digital currencies like they do for other stocks, MF’s, Insurance companies, bonds, etc.
Recently Weiss Rating took the first step of evaluating the different currencies on the basis of some parameters and came up with a report. (Screenshots attached for the results) This is a welcome step especially because most of the investors in this space are either novices or just beginners. Secondly there is so much volatility that the market can just wipe off your entire investment in hours if not minutes. So, these reports become all the more important as its assumed that a lot of thought, research, analysis must have gone into it and can be our “Go-To” guide before investing.
Weiss Ratings has assessed the different currencies on the basis of the following parameters: Risk, Reward, Technology and Fundamentals. Hence, even if a particular currency has a strong technical foundation, but it needs to address a practical and sustainable use case to succeed. When as an individual, we do research, we are not able to correlate all these different aspects of a particular currency. Hence the role of the rating agencies to showcase the exact picture to the general public becomes very important.
Weiss Ratings which began in 1971 is an independent rating agency of US evaluating more than 55,000 institutions and investments. Unlike the major rating agencies like Moody’s, Standard & Poor’s etc, Weiss ratings are relatively low-profiled. So, thought will let everyone know and my humble suggestion to use their report (like any another tool) to make an informed decision.
Happy Investing!!
