Research and Empirical Analysis of Optimal Virtual Currency Investment Portfolio Based on Markowitz Investment Model

Virtual currency assets are an important component of the international investment market. This study applies the Markowitz theory model to the data of the four main virtual currency assets in the market, Bitcoin, Tether, Ethereum, and BNB, in the past year. The Markowitz theory model is used to qua...

Full description

Saved in:
Bibliographic Details
Main Author: Li Tianyu
Format: Article
Language:English
Published: EDP Sciences 2024-01-01
Series:SHS Web of Conferences
Online Access:https://www.shs-conferences.org/articles/shsconf/pdf/2024/28/shsconf_dsm2024_02005.pdf
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:Virtual currency assets are an important component of the international investment market. This study applies the Markowitz theory model to the data of the four main virtual currency assets in the market, Bitcoin, Tether, Ethereum, and BNB, in the past year. The Markowitz theory model is used to quantitatively analyze these four virtual currency assets and obtain the short-term data distribution of the investment portfolio when considering investing in these four virtual currency assets at the same time. In the short term, this study recommends investors who are concerned about returns to short Tether, Ethereum, and BNB virtual currencies and invest in Bitcoin and BNB virtual currencies. It is recommended that investors who are concerned about both returns and risks to short Tether, Ethereum, and BNB virtual currencies and invest in Bitcoin or BNB virtual currencies. Risk assets. This study only focuses on short-term data from the past year and provides recommendations. With the development of virtual currencies, market conditions may vary.
ISSN:2261-2424