Get 20M+ Full-Text Papers For Less Than $1.50/day. Start a 14-Day Trial for You or Your Team.

Learn More →

Are non‐fungible token coins a good hedge against the stock market volatility?

Are non‐fungible token coins a good hedge against the stock market volatility? We test the hedge property of non‐fungible token (NFT) coins against equity market fluctuations and compare it with the hedge property of Bitcoin. We employ daily the returns of Bitcoin; three NFT coins, namely Theta, Enjin Coin and Decentraland, and three equity market indices: S&P 500, NASDAQ and CAC 40, ranging from 18 January 2018 to 12 January 2021. We estimate the hedge effectiveness of the three NFT coins and Bitcoin against stock market fluctuations. Our results suggest that NFT coins are a better hedge against equity market fluctuations than Bitcoin. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Australian Economic Papers Wiley

Are non‐fungible token coins a good hedge against the stock market volatility?

Loading next page...
 
/lp/wiley/are-non-fungible-token-coins-a-good-hedge-against-the-stock-market-xczymkgezU

References (23)

Publisher
Wiley
Copyright
© 2023 John Wiley & Sons Australia, Ltd.
ISSN
0004-900X
eISSN
1467-8454
DOI
10.1111/1467-8454.12312
Publisher site
See Article on Publisher Site

Abstract

We test the hedge property of non‐fungible token (NFT) coins against equity market fluctuations and compare it with the hedge property of Bitcoin. We employ daily the returns of Bitcoin; three NFT coins, namely Theta, Enjin Coin and Decentraland, and three equity market indices: S&P 500, NASDAQ and CAC 40, ranging from 18 January 2018 to 12 January 2021. We estimate the hedge effectiveness of the three NFT coins and Bitcoin against stock market fluctuations. Our results suggest that NFT coins are a better hedge against equity market fluctuations than Bitcoin.

Journal

Australian Economic PapersWiley

Published: Dec 1, 2023

Keywords: bitcoin; COVID‐19; hedge; NFT coins

There are no references for this article.