Bitcoin is the best performing asset of the past ten years, by at least a factor of 10, according to Compound Capital Advisors CEO and founder Charlie Bilello.
He believes the asset's performance has set it apart from all others and it seems that any residual skepticism around the Satoshi Nakomoto-created cryptocurrency has not impeded its success.
Bilello used comprehensive data from Ycharts to compile his research. The findings were taken seriously, with crypto data company Messari’s researcher Roberto Talamas also looking into Bitcoin's performance and arguing that the asset has produced an annualized return worth 230% on average, or ten times higher than any second-ranked asset class.
In comparative terms, the US NASDAQ 100 Index comes in second, after Bitcoin, with an annualized return of 20%. Third is US Large Caps where the annual return is around 14%. The US Small Cap stocks have yielded around 12.9% annually for the past ten years, the research showed. Stocks are overtaking the gold market, with the precious metal generating a mere 1.5% return since 2011.
Interestingly, Bitcoin has been able to replace – to an extent – gold as the preferred vessel for storing value. Some skepticism remains, of course, but Bitcoin's most recent rally pushed the currency's price beyond the $60,000.
Despite Bitcoin's severe volatility, the cryptocurrency has actually only posted two years of annualized loss, making it one of the best investments currently on the market.
With soaring interest from institutional investors and payment processors enabling crypto support, includig big companies such as Google, Apple and PayPal, the future of Bitcoin seems bright.