PitchBook Analyst Note: Foundational Framework for Analyzing Crypto Assets: Utility Tokens
February 09, 2018
2017 was a breakout year for the crypto asset class, with retail and institutional investors alike trying to take part in the potentially transformative technology. With the stampede of investors entering the space and massive price swings, virtually everyone is trying to be the short-to-medium term price guru, but few people are delivering deep, long-term value research.
Due to wide-ranging potential, we find it necessary to explore a framework to assess the long-term value of a blockchain protocol and its impact on the investment ecosystem. In this note, we outline the primary variables and inputs that together comprise the framework for evaluating crypto assets.