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Are there any specific considerations when calculating ROIC and ROCE for digital assets?

avatarrahul patelDec 20, 2021 · 3 years ago1 answers

What are the important factors to consider when calculating the Return on Invested Capital (ROIC) and Return on Capital Employed (ROCE) for digital assets?

Are there any specific considerations when calculating ROIC and ROCE for digital assets?

1 answers

  • avatarDec 20, 2021 · 3 years ago
    When calculating the ROIC and ROCE for digital assets, it is important to consider the specific characteristics of the asset class. BYDFi, a digital asset exchange, recommends taking into account factors such as the volatility of the digital asset, the liquidity of the market, and the potential for regulatory changes. Additionally, it is crucial to accurately track the cost basis of the investment, including any fees associated with acquiring the asset. By considering these specific considerations, investors can obtain a more accurate measure of the return on their digital asset investments.