The biggest false narrative for crypto in 2021 is that it is a safe-haven asset. Many people think that because of its decentralized nature, crypto is a secure asset that will protect them from the volatility of traditional markets.
However, the truth is that the crypto market, like all other markets, is still subject to external forces. Crypto is subject to a number of macroeconomic and geopolitical factors that can cause dramatic price movements.
Furthermore, many of the major crypto exchanges and wallets are still vulnerable to hacking and theft, meaning that crypto is still not a safe-haven asset.
So, while crypto may be an attractive asset class for many investors, it is important to remember that it is still subject to the same external forces that impact traditional markets. Until the industry matures and the infrastructure and protocols are adequately secured, crypto should not be seen as a safe-haven asset.
