This paper aims to provide an outline of the dynamic landscape of cryptocurrencies and central bank digital currencies (CBDC) so as to comment about the role and prospect of both in the future. We highlight the main drivers of the ongoing digital currency wave from a socio-economic as well as historical perspective. From an investment standpoint, we evaluate the merits of placing a cryptocurrency within a diversified portfolio and analyse other factors to be taken into account when it comes to asset allocation considerations. We also explore environmental, social, and governance (ESG) implications of the introduction of such digital currencies. Finally, we comment on the current status of national CBDC projects and what it would mean for the digital currency universe when the official CBDC roll-outs begin in a few years.