Understanding digital bubbles amidst the COVID-19 pandemic: Evidence from DeFi and NFTs
<p dir="ltr">This paper investigates digital financial bubbles amidst the COVID-19 pandemic. Using a sample of 9 DeFi tokens, 3 NFTs, Bitcoin, and Ethereum, we detect several bubbles overlapping the examined cryptoassets. We also uncover DeFi and NFT-specific bubbles in Summer 2020 s...
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2022
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| _version_ | 1864513553288921088 |
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| author | Youcef Maouchi (17150986) |
| author2 | Lanouar Charfeddine (10705000) Ghassen El Montasser (17150989) |
| author2_role | author author |
| author_facet | Youcef Maouchi (17150986) Lanouar Charfeddine (10705000) Ghassen El Montasser (17150989) |
| author_role | author |
| dc.creator.none.fl_str_mv | Youcef Maouchi (17150986) Lanouar Charfeddine (10705000) Ghassen El Montasser (17150989) |
| dc.date.none.fl_str_mv | 2022-06-01T00:00:00Z |
| dc.identifier.none.fl_str_mv | 10.1016/j.frl.2021.102584 |
| dc.relation.none.fl_str_mv | https://figshare.com/articles/journal_contribution/Understanding_digital_bubbles_amidst_the_COVID-19_pandemic_Evidence_from_DeFi_and_NFTs/24314254 |
| dc.rights.none.fl_str_mv | CC BY 4.0 info:eu-repo/semantics/openAccess |
| dc.subject.none.fl_str_mv | Commerce, management, tourism and services Banking, finance and investment Information and computing sciences Distributed computing and systems software COVID-19 DeFi NFTs Total Value Locked Digital bubbles Real-time detection |
| dc.title.none.fl_str_mv | Understanding digital bubbles amidst the COVID-19 pandemic: Evidence from DeFi and NFTs |
| dc.type.none.fl_str_mv | Text Journal contribution info:eu-repo/semantics/publishedVersion text contribution to journal |
| description | <p dir="ltr">This paper investigates digital financial bubbles amidst the COVID-19 pandemic. Using a sample of 9 DeFi tokens, 3 NFTs, Bitcoin, and Ethereum, we detect several bubbles overlapping the examined cryptoassets. We also uncover DeFi and NFT-specific bubbles in Summer 2020 suggesting distinct driving factors for this class of assets. We document that DeFi and NFTs bubbles are less recurrent but have higher magnitudes than cryptocurrencies’ bubbles. We also find that COVID-19 and trading volume exacerbate bubble occurrences, while Total Value Locked (TVL) is negatively associated with cryptoassets’ bubbles. Our results suggest that TVL can be used as a tool for market monitoring.</p><h2>Other Information</h2><p dir="ltr">Published in: Finance Research Letters<br>License: <a href="http://creativecommons.org/licenses/by/4.0/" target="_blank">http://creativecommons.org/licenses/by/4.0/</a><br>See article on publisher's website: <a href="https://dx.doi.org/10.1016/j.frl.2021.102584" target="_blank">https://dx.doi.org/10.1016/j.frl.2021.102584</a></p> |
| eu_rights_str_mv | openAccess |
| id | Manara2_b0e8655ca243e7d19c178ef2aa655433 |
| identifier_str_mv | 10.1016/j.frl.2021.102584 |
| network_acronym_str | Manara2 |
| network_name_str | Manara2 |
| oai_identifier_str | oai:figshare.com:article/24314254 |
| publishDate | 2022 |
| repository.mail.fl_str_mv | |
| repository.name.fl_str_mv | |
| repository_id_str | |
| rights_invalid_str_mv | CC BY 4.0 |
| spelling | Understanding digital bubbles amidst the COVID-19 pandemic: Evidence from DeFi and NFTsYoucef Maouchi (17150986)Lanouar Charfeddine (10705000)Ghassen El Montasser (17150989)Commerce, management, tourism and servicesBanking, finance and investmentInformation and computing sciencesDistributed computing and systems softwareCOVID-19DeFiNFTsTotal Value LockedDigital bubblesReal-time detection<p dir="ltr">This paper investigates digital financial bubbles amidst the COVID-19 pandemic. Using a sample of 9 DeFi tokens, 3 NFTs, Bitcoin, and Ethereum, we detect several bubbles overlapping the examined cryptoassets. We also uncover DeFi and NFT-specific bubbles in Summer 2020 suggesting distinct driving factors for this class of assets. We document that DeFi and NFTs bubbles are less recurrent but have higher magnitudes than cryptocurrencies’ bubbles. We also find that COVID-19 and trading volume exacerbate bubble occurrences, while Total Value Locked (TVL) is negatively associated with cryptoassets’ bubbles. Our results suggest that TVL can be used as a tool for market monitoring.</p><h2>Other Information</h2><p dir="ltr">Published in: Finance Research Letters<br>License: <a href="http://creativecommons.org/licenses/by/4.0/" target="_blank">http://creativecommons.org/licenses/by/4.0/</a><br>See article on publisher's website: <a href="https://dx.doi.org/10.1016/j.frl.2021.102584" target="_blank">https://dx.doi.org/10.1016/j.frl.2021.102584</a></p>2022-06-01T00:00:00ZTextJournal contributioninfo:eu-repo/semantics/publishedVersiontextcontribution to journal10.1016/j.frl.2021.102584https://figshare.com/articles/journal_contribution/Understanding_digital_bubbles_amidst_the_COVID-19_pandemic_Evidence_from_DeFi_and_NFTs/24314254CC BY 4.0info:eu-repo/semantics/openAccessoai:figshare.com:article/243142542022-06-01T00:00:00Z |
| spellingShingle | Understanding digital bubbles amidst the COVID-19 pandemic: Evidence from DeFi and NFTs Youcef Maouchi (17150986) Commerce, management, tourism and services Banking, finance and investment Information and computing sciences Distributed computing and systems software COVID-19 DeFi NFTs Total Value Locked Digital bubbles Real-time detection |
| status_str | publishedVersion |
| title | Understanding digital bubbles amidst the COVID-19 pandemic: Evidence from DeFi and NFTs |
| title_full | Understanding digital bubbles amidst the COVID-19 pandemic: Evidence from DeFi and NFTs |
| title_fullStr | Understanding digital bubbles amidst the COVID-19 pandemic: Evidence from DeFi and NFTs |
| title_full_unstemmed | Understanding digital bubbles amidst the COVID-19 pandemic: Evidence from DeFi and NFTs |
| title_short | Understanding digital bubbles amidst the COVID-19 pandemic: Evidence from DeFi and NFTs |
| title_sort | Understanding digital bubbles amidst the COVID-19 pandemic: Evidence from DeFi and NFTs |
| topic | Commerce, management, tourism and services Banking, finance and investment Information and computing sciences Distributed computing and systems software COVID-19 DeFi NFTs Total Value Locked Digital bubbles Real-time detection |