The future of digital currencies: Highlights from our ETF Speaker Series on cryptocurrencies

April 30, 2021 - 2 minutes 30 seconds
An investor holds a physical bitcoin token while staring at financial graphs on his computer monitors.
In the latest edition of our ETF Speaker Series, "Investing in Digital Currencies," we brought together industry leaders and experts to discuss a variety of topics related to cryptocurrencies.

"Our ETF Speaker Series on digital currencies was one of the best attended calls we've ever hosted," says Andres Rincon, Director and Head of ETF Sales & Strategy. "Investors are hungry to learn about digital currencies and how the ETF ecosystem may safeguard their investments."

The panel included David Abner, Global Head of Business Development at Gemini, Paul Cappelli, a Portfolio Manager at Galaxy Digital Capital Management LP, and Brian Mosoff, Chief Executive Officer at Ether Capital.

Here are some highlights from the panel discussion:

The cryptocurrency ecosystem

Bitcoin and Ether have brought digital currencies to mainstream audiences around the world. These cryptocurrencies have also brought a variety of new terms and products to the financial ecosystem, from tokens and tangible hardware wallets to more traditional products like digital currency ETFs. Amongst many uses, digital currencies are often seen as a popular store of value and hedge against inflation given the limited number of coins available and the decentralized nature of the distribution networks.

Given the nascency of the space, as cryptocurrencies continue to grow in popularity and market capitalization, there are naturally concerns surrounding this new financial ecosystem. Issues of accessibility, hacking and data security have been raised, as well as questions surrounding how jurisdictional rules and regulations can be applied to a decentralized marketplace.

The evolution of cryptocurrencies

Digital currencies were not widely adopted when first introduced. At first, the applications of the coins and their blockchains were mostly accessed by tech-savvy investors with limited options. As more companies adopt blockchain technology, access to digital investment options are becoming easier, less technically complex and more attractive to investors.

Recognizing the growth potential of the technology, regulators are also beginning to work with tech companies to develop protocols that don't stop or stifle digital currency usage. Instead, regulators are looking for ways to ensure that anyone who wants to use the assets can do so in an appropriate way.

This evolution demonstrates just how different this new asset class is from traditional currencies.

The safety and security of digital currency ETFs

Digital currency ETFs holds investor assets with highly regulated, insured, and audited institutional custodians that use complex safety measures to safeguard client assets. This higher level of scrutiny offsets some of the risks inherent in investing in digital currencies seen through other vehicles.

As the industry evolves so will the ETFs, but currently they represent one of the safest ways to get exposure to digital currencies.

Headshot of Andres Rincon

Director and Head of ETF Sales & Strategy, TD Securities

Headshot of Andres Rincon

Director and Head of ETF Sales & Strategy, TD Securities

Headshot of Andres Rincon

Director and Head of ETF Sales & Strategy, TD Securities

back to top