Crypto Is So 2021 - 3 Alternative Investments Dominating This Year

Cryptocurrencies became all the rage in 2021, with Bitcoin prices surging more than 60%. The crypto market added approximately $1.5 trillion in value last year, according to CoinGecko. However, these high-risk assets crashed earlier this year as the extreme market volatility caused investors to go back to safe haven instruments.

The crypto market crash, also known as “crypto winter,” has caused many decentralized tokens as well as stablecoins (decentralized cryptocurrencies pegged to the US Dollar) to become defunct. The cryptocurrency market has lost more than $2 trillion in value since November last year.

The Era of Great Volatility: Should You Bet on a Crypto Revival?

The various macroeconomic headwinds have taken a toll on equities, with major indexes currently in the red, after a brief recovery in July. The CBOE Volatility Index, which measures the market volatility, has risen by a whopping 24.79% over the past five days alone. Given the wildly fluctuating market trends over the past several months, we are in an era of great volatility.

Moreover, with major central banks aiming to get inflation under control, the rising interest rates will most likely prevent cryptocurrencies from recovering.

Popular Alternative Investment Options

Startup Crowdfunding

Investing in disruptive start-ups can multiply your wealth immensely. While people typically shy away from these investment ideas due to the risk, betting on the right start-up can make you a millionaire. However, vetting the products and services provided by such companies and industry growth prospects is crucial before investing.

Mass production building system start-up Boxabl is one of the most innovative start-ups today. The company has already raised more than $79 million through multiple crowdfunding campaigns.

Check out: Top Startup Crowdfunding Campaigns To Invest In

Fractional Real Estate

Real estate is one of the most coveted alternative investment options, primarily because land prices tend to appreciate over time. While purchasing land and houses outright might not be fiscally feasible, investing in fractional real estate through REITs or start-ups like Jeff Bezos-backed Arrived Homes can be profitable. Especially as the demand for short-term rentals skyrockets, investing in fractional real estate can generate substantial returns. 

Browse fractional real estate investment options with Benzinga’s Real Estate Offering Screener.

Wine

Luxury wine never goes out of fashion, particularly as the number of high-net-worth individuals across the globe keeps rising. Many Bordeaux and Chablis bottles have delivered better returns than the S&P 500 over the past year. With only 5% of the total wine produced globally being investment grade, the Vint wine investment platform is one of the easiest ways through which you can invest in fine wine.

Related: This Platform Is Pouring Up Returns: Vint Pays Out 21.7% IRR Distribution To Investors In Its Champagne Collection

Related News Highlights in Alternative Investments

• Farmland investment platform AcreTrader is launching a new offering today for a 620-acre rice and soybean farm in Arkansas with a minimum investment of $16,175.

• Funding is now live for the Baypoint Apartments offering on the RealtyMogul platform. The investment has an18.4% target IRR with a minimum investment of $35,000

Find out more on Benzinga Alternative Investments

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