IMF warns: Bitcoin-US merger could jeopardize financial security

The International Monetary Fund (IMF) said on Tuesday that Bitcoin and major U.S. commodities have changed more since the coronavirus outbreak, and a closer relationship means financial security is more volatile. hmoo.

“Our analysis shows that crypto assets are not subject to financial impact,” the IMF said in a blog post. Long-term assets such as quality loans.

This relationship shows that the world's most profitable cryptocurrencies have acted as riskier assets, according to the article.

From 2017 to 2019, before the emergence of the novel coronavirus, the correlation coefficient of bitcoin and univariate volatility in US stocks was only 0.01. However, the International Monetary Fund (IMF) said that "the index rises to 0.36 in 2020-2021", adding that "these assets increase when they move together and decrease when they fall."

Bitcoin had a market cap of $ 812 billion on Tuesday. The IMF said the unchanged value of numerical gains could partly explain the stagnation of the S&P 500 and about a tenth of the unchanged yield of the S&P 500 if contagion occurs.

“As a result, the decline in the value of Bitcoin exposes investors to aversion risk and leads to a downturn in the stock market. Backpropagation (S&P 500 for Bitcoin) is average over large, with a commercial feel particular for another company. "

Before the spread, Bitcoin, Ethereum, and other crypto assets had little to do with major trading assets. But after the revelation, global banks created unprecedented financial backing to reduce the impact of the crisis, investor risk aversion further, and both cryptocurrencies and US stocks rose.