How a Small Crypto Allocation Can Diversify Portfolios and Improve Risk-Adjusted Returns
Crypto markets have shown explosive growth, far outpacing traditional asset classes in terms of returns. For example, bitcoin has delivered an annualized return of 230% over the past decade, compared to the S&P 500’s annualized return of around 11%. Ether, another dominant cryptocurrency, has also offered triple-digit annual growth rates in its early years. Even with their volatility, these digital assets provide investors with the potential for significantly higher returns, particularly during periods of market expansion.