A Guide to Investing in Cryptocurrency: How to Buy Bitcoin

Others fear its erratic nature.

The founder and CEO of Twin Cities Wealth Strategies Inc., Dana Menard, is optimistic about the performance of the currency but is wary of regulatory issues.

He stated, referring to the U.S. Securities and Exchange Commission, “Without the SEC’s blessing, the tough thing for Bitcoin is the absence of monitoring and Wild-West speculation that has allowed prices to make significant changes in short periods of time.”

In March 2022, President Joe Biden issued an executive order ordering government organisations to concentrate more on cryptocurrencies, but it was vague in terms of future legislation.

The order requests research and policy proposals on a variety of topics, from the development of a digital currency to the fight against illegal money.

Menard also exhorts care when seeking Bitcoin-related advice online. Anyone and everyone can offer counsel because it is unregulated, he claimed. Nobody will always act in your best interests.

Mike Caligiuri, founder and CEO of Caligiuri Financial in New Albany, Ohio, remarked, “To me, it seems like fool’s gold.” The fee-only planner’s main concern is the erratic nature of the exchange rate. This asset class is relatively young and has a limited track record.

The argument that Bitcoin acts as a useful hedge in a portfolio since it is unrelated to the success of the stock, bond, or commodity markets is one that Caligiuri objects to. Investors want a variety of assets in their portfolios, he said, not just ones that are uncorrelated. They seek investments for their portfolios that are both uncorrelated and they are confident will improve in value over time.