Why Crossgate Capital Considers Bitcoin Is Just The Start
Many New Zealand investors still see Bitcoin as the beginning and end of cryptocurrency investing, but while Bitcoin remains the world’s best-known digital asset, it could be suggested that this narrow focus limits opportunity in an increasingly diverse market.
Crossgate Capital, a New Zealand company that provides access to a professionally managed portfolio of digital assets, says the market has evolved beyond the days when Bitcoin dominated all conversation. Ethereum and a growing range of other projects are now creating new forms of value, and investors may benefit from understanding how these assets work.
Scott Lester, Director at Crossgate Capital, says for many investors, Bitcoin is a critical cornerstone of their digital asset strategy. However, by holding only Bitcoin, these investors risk missing out on the substantial innovation and utility currently being developed throughout the wider blockchain economy.
“Bitcoin is the original and most well know cryptocurrency, but it isn’t the whole story,” says Lester. “Ethereum has built a global network that supports applications, smart contracts, and decentralised finance. Other emerging projects are exploring machine learning, oracles and the tokenisation of real-world assets. Each has a role to play in shaping the future of the sector.”
Bitcoin has the greatest share of global crypto market capitalisation reflecting its dominance and brand strength. Ethereum follows as the second-largest network, underpinning infrastructure that allows developers to build decentralised applications. The remaining share of the market is spread across thousands of other crypto assets, some of which support innovative but still-maturing technologies.
Crossgate Capital believes that understanding utility (how a digital asset is actually used) is important to assessing long-term value.
“The days of viewing crypto purely through a speculative lens are fading,” says Lester. “Investors are becoming more discerning. They want to know what each project does, why it matters, and how it contributes to the broader digital economy.”
Crossgate’s own investment strategy reflects that thinking. The company maintains core positions in foundational assets such as Bitcoin and Ethereum, while also holding a select group of twelve other assets that demonstrate credible use cases.
“Diversification has always been a core principle of sound investing,” Lester says. “In crypto, we consider the same logic applies. Spreading exposure across different assets can help investors benefit from innovation”, Lester added, “Why not invest in crypto like you would invest in other asset classes?”
