When it Comes to Crypto-Assets, Asking the Right Questions is More Important than Finding Answers

One of my mentors in artificial intelligence(AI) always says that with modern machine learning technologies you can find almost any answer but the hard thing is to ask the right questions. That principle certainly applies to crypto-assets. As a new financial asset class, crypto-tokens are, more often than not, evaluated using traditional metrics based on price and volume but we can do so much more. In a data-rich universe where blockchains and exchange data generates billions of data points, we can certainly find all sorts of fascinating patterns and factors that explain behaviors in crypto-assets. The hard thing is to know what to look for.

How would you describe Ethereum? Based on the price? As a blockchain? Based on the decentralized applications(DApps) built on top of it? Understanding the behavior of crypto-assets starts by asking the right questions. A lot of our questions about crypto-assets are targeted to determine relationships with price movements (what else 😉 ) but the analysis could go so far beyond that. Very often, non-obvious correlations provide the greatest insights.

A Lesson from Planes and War

During World War II, the Pentagon assembled a team of the country’s most renown mathematicians in…