Brave New Coin, a blockchain and cryptographic assets research company, today announced the launch of the General Taxonomy for Cryptographic Assets, a classification standard capturing the breadth, depth, and evolution of distributed ledger technology-based assets across industry sectors.
The General Taxonomy is a critical step in the maturation of cryptographic assets as an investment class and is intended as a tool for investors, regulators, asset managers, and developers to better inform their decision making.
“The advent of blockchain technology is enabling mass collaboration across world markets, generating millions of transactions and interactions daily,” head of research Rafael Delfin said. “For this rapidly-evolving industry to be effectively evaluated and interpreted, a consistent and comprehensive global classification is critical.”
The General Taxonomy provides a platform where users can access a collated pool of data for individual assets, helping to streamline the process of evaluating cryptocurrency assets. The data includes naming conventions and a hierarchical asset classification system of more than 60 quantitative and qualitative metrics.
“The Taxonomy will better inform investment decisions and deliver a much-needed global standard for the analysis of cryptographic assets,” Mr. Delfin added.
By providing an objective and reliable overview of the crypto asset market, the General Taxonomy will help to make the evaluation of the relative strengths and weaknesses of different distributed protocols easier for all sector stakeholders. In addition, users will be able to analyze sector and industry contributions to crypto asset portfolio performance and compare industry-sector exposures versus peers or benchmarks.
“Brave New Coin’s Taxonomy further supports joint efforts to grow and enhance the crypto investment experience through in-depth, data-driven analysis,” Global Advisors Bitcoin Investment Fund PLC director Daniel Masters said.
The General Taxonomy also aims to offer increased transparency in order to enhance the reputability of the industry overall.
“As the cryptocurrency market capitalization continues towards the trillion dollar mark, the need for a global standard to evaluate the value, utility, and comparative worth of tokens and digital assets has shifted from desirable to essential,” Mr. Delfin said. “The General Taxonomy provides this standard, delivering a one-stop-shop for investors, regulators and consumers alike to classify cryptographic assets.
“I am confident that Brave New Coin’s General Taxonomy is the solution the industry needs to understand, anticipate, and effectively respond to the changing demands of this rapidly evolving market.”