Accessibility navigation


Can altcoins act as hedges or safe-havens for Bitcoin?

Li, Y., Lucey, B. and Urquhart, A. ORCID: https://orcid.org/0000-0001-8834-4243 (2022) Can altcoins act as hedges or safe-havens for Bitcoin? Finance Research Letters. ISSN 1544-6131 (In Press)

[img] Text - Accepted Version
· Restricted to Repository staff only
· Available under License Creative Commons Attribution Non-commercial No Derivatives.

198kB

It is advisable to refer to the publisher's version if you intend to cite from this work. See Guidance on citing.

To link to this item DOI: 10.1016/j.frl.2022.103360

Abstract/Summary

Bitcoin remains the most popular cryptocurrency and has attracted significant research attention, especially in the hedging and safe-haven literature. As many investors in bitcoin are concentrated heavily in cryptocurrencies as opposed to other assets, a question arises whether alternative cryp- tocurrencies (altcoins) can used as safe-havens and hedges against Bitcoin? We find that only meme coins offer hedging benefits but a wider range - Defi, meme coins, smart contracts, meta- verse and privacy cryptocurrencies - can all act as safe-havens against bitcoin. We further show that their ability to act as hedges and safe-havens varies depending on whether the market is in a bubble or non-bubble period.

Item Type:Article
Refereed:Yes
Divisions:Henley Business School > ICMA Centre
ID Code:107391
Publisher:Elsevier

University Staff: Request a correction | Centaur Editors: Update this record

Page navigation