ABSTRACT
The global adoption of cryptocurrency has soared during the COVID-19 pandemic across low-, middle-, and high-income countries. From private investors and public companies to underbanked individuals, everyone has realized the benefits of digital currencies. The market of virtual assets has grown exponentially by more than 2,300% since 2019 and 881% in the last year alone. During this period, Bitcoin has evolved from a small niche internet community into a well-known asset for investors and private firms nationwide. A number of US-based finance companies like JP Morgan Chase & Co. and Tudor Investment Corporation have cited inflation as one of the reasons for holding Bitcoin in their balance sheets. Many consider it to be an asset that remains liquid while also generating a return. Some of the business companies support Bitcoin for its ability to give economic empowerment to individuals. Our study aims to understand how the evolution of the crypto market is paving the way for technological innovation in global business organizations. As there are various kinds of crypto assets, people should study their structure and price movements before investing in them. The paper is divided into two parts. Part A aims to capture the basic structure and knowledge of cryptocurrency. We have also used some statistical analyses using the Stata software to examine the interrelationships among different crypto assets, where it has been found that the closing prices of crypto assets have long-running relationships. The investors should study the price movements of different crypto assets and make decisions wisely while choosing which crypto currency to invested in. Investing only in crypto currencies may be risky as they are subject to interrelated price volatility and shocks. Part B aims to study how global business firms have started entering this peer-to-peer financial system and adopting Bitcoin as their payment option, especially during the COVID-19 pandemic. The study revealed that various business firms around the globe have already moved into a more digital world while the pandemic has accelerated the process of the integration of cryptocurrencies, especially Bitcoin, into their balance sheets.
