By Mark Keenan, Managing Director, Global Commodities Strategist and Head of Research for Asia Pacific, Société Générale Corporate & Investment Bank (Singapore) and Member of the GCARD’s Editorial Advisory Board; Michael Haigh, Ph.D., Managing Director and Global Head of Commodities Research, Société Générale (U.S.); David Schenck, Commodities Analyst, Société Générale (U.K.); and Klaus Baader, Global Chief Economist, Société Générale (U.K.)
This educational paper is divided into three parts. The first part briefly describes the nascent cryptocurrency market, focusing on the bitcoin system. The second part examines bitcoin’s price behavior from a quantitative perspective, highlighting the low correlation of bitcoin and other cryptocurrencies to other traditional asset classes. The final section provides a complete overview, including definitions and explanations of all the processes and mechanics behind bitcoin and the blockchain.