Michigan Ross Professor Named ‘Professor of the Week’, Work on Cryptocurrency and Bitcoin Highlighted
Congratulations to Michigan Ross Professor Uday Rajan — he’s the latest top business school professor to get the star treatment from Poets&Quants in its “Professor of the Week” series. Poets&Quants highlighted Rajan’s prolific work researching the market impacts of bitcoin and other cryptocurrencies.
Rajan, who is working on publishing what P&Q calls the ‘most thorough’ studies of the cryptocurrency landscape, serves as the chair of the Michigan Ross Finance and Real Estate departments and his research focuses on “informational frictions” and their effects on markets.
For his recent research, Rajan and his fellow researchers from the Haas School of Business at UC Berkeley tracked the price movements of Bitcoin and more than 200 other cryptocurrencies from 2013 to 2017.
The working paper, called “Cryptocurrencies: Stylized Facts on a New Investible Instrument”, examines the volatility of cryptocurrencies like bitcoin, comparing their market performance to that of the Dow Jones Industrial Average. The authors also examined several years worth of initial coin offerings (the crypto version of an IPO) and took a deep dive into the long-term outcomes and sustainability of first-day returns on each.