► Business Email: [email protected] OKEx Blog: https://medium.com/okex-blog/sharpe-ratio-and-crypto-10a1c083c63b What is the Sharpe Ratio? The Sharpe ratio indicates how well an investment performs in comparison to the rate of return on a risk-free investment, such as US treasury bonds. It is a method developed the economist William Sharpe. It can be used to calculate the risk to reward ratio for various cryptocurrencies. As of August 15th, 2019, out of the major OKEx-listed coins and tokens, IOST and BSV both have a 30-day Sharpe ratio that is above 1.0. The figure above shows that IOST’s 30-day Sharpe ratio stands at 2.52, however, the 90-day ratio is negative, which could indicate IOST has a higher risk compared to other assets, but at the same time, it provided a higher return. The daily chart of IOST/USDT (below) suggested that the pair seems initially stabilized after the selloff in mid-July. BSV and BTC both have relatively good Sharpe ratios. BSV’s 30-day Sharpe ratio stood at 1.59, and 90-day at 2.65. Meanwhile, BTC’s ratios were just behind, its 30 and 90-day Sharpe ratios were at 0.53 and 1.87 respectively. If we compared the 90-day performances of BSV, BTC with XRP, which XRP has a negative Sharpe ratio, and it looks like we have a clear winner. Bitcoin SV. In other news, the REAL Satoshi Nakamoto is supposedly revealing himself today. I'm super skeptical. Are you? DISCLAIMER: Only invest what you can comfortably afford to live without, and consult a qualified financial advisor if you’re serious about investing. The content of these videos is meant to be informative and entertaining and should not be construed as financial advice, a guarantee of returns, or an official endorsement of any company, party, platform, agent, etc. unless otherwise explicitly noted. #Bitcoin #Blockchain #crypto