As an independent U.S. rating agency, Weiss Ratings, has published a report to explain it’s decision to score Bitcoin C+. The decision of the company was criticised by so many cryptocurrency experts and opinion leaders. As an answer, Weiss Ratings prepared an 14 page report explaining key factors and data behind the rating, C+.
Why didn’t Bitcoin get an A at Weiss Ratings?
Weiss Ratings founder Martin D. Weiss, PhD, said, “an A rated crypto would be one that rarely crashes, and right now, there’s no such thing. But we do understand where developers are coming from. They tell us they don’t care about market fluctuations. They feel our ratings should reflect strictly the quality of their work and its relative success in the real world.”
He explains the Weiss model as a combine of a number of sub-models, such as:
- Rish and Reward
He also talked about the price volatility and it’s effect on the grade. Weiss said: “Our model accurately reflects an inconvenient truth about the market’s extreme swings. But our ratings are continually updated. If prices stabilize or speed enhancements are rolled out successfully, an upgrade is possible.”