Cryptocurrency has quickly become one of the most popular investment tools in the past decade, first gaining attention from retail traders, as seen in 2017, and now receiving attention from institutional investors.
From the field of bedroom encoders to the growing financial sector with a market value of more than $2 trillion, the value of the cryptocurrency field has suddenly soared and continues to attract huge interest from investors.
Although crypto assets have proven to be valuable, volatility remains a primary issue, especially for institutional participants. Of course, any investor can buy some cryptocurrencies and profit from their appreciation. However, investing in established companies involved in encryption and blockchain businesses is another way to diversify and benefit from the overall absorption of everything related to blockchain and encryption.
This allows investors to access investment tools that are less correlated with price fluctuations in the crypto market.
The following are some of the top publicly traded digital asset companies available for retail and institutional investors.
Coinbase’s direct listing on Nasdaq in April this year was a watershed in the entire cryptocurrency market. Coinbase is known as the largest cryptocurrency trading volume on the U.S. cryptocurrency exchange and debuted on Nasdaq. It is a listed company with a valuation of close to 100 billion U.S. dollars. Coinbase chose a direct listing rather than a traditional initial public offering.
Coinbase was founded in 2012 by Fred Ersham and Brian Armstrong, providing crypto trading services to more than 40 million retail users and approximately 7,000 institutions worldwide. Although its main source of income is the transaction fees of its cryptocurrency exchange, Coinbase hopes to go beyond the scope of transactions and provide a debit card that allows consumers to conveniently consume its digital assets. Coinbase also provides cloud-based digital asset custody services, asset lending services and blockchain digital asset data monitoring services.
Microstrategy is a software company with more than 40% of its market capitalization invested in Bitcoin (Bitcoin). In the past year, the company has been increasing its Bitcoin reserves, buying cumulatively more than $5 billion worth of Bitcoin at current prices.
With a name of more than 100,000 BTC, Microstrategy has gone from relative obscurity in the financial world to a cryptocurrency giant and a well-known company on Wall Street. The company’s CEO, Michael Saylor, is a Bitcoin evangelist. He often touts Bitcoin as a revolutionary invention on social media, and he also bluntly actively invests in cryptocurrency for the company. Action defense.
Recently, MicroStrategy sold $1 billion worth of stock to inject earnings to buy more bitcoins.Since the company announced its debut in Bitcoin, Microstrategy’s Stock price surge More than 400%.
Riot Blockchain is a Bitcoin mining and listed company headquartered in the United States. It uses a large number of dedicated machines called application-specific integrated circuits to mine Bitcoin. Recently, the Bitcoin mining company purchased a Bitcoin custody facility called Whinstone US in North America to develop its business more deeply.
In a press release, Jason Les, CEO of Riot Blockchain Mention “With Whinstone’s excellent infrastructure and first-class construction, development and operation organization, Riot is very capable of expanding the scale and scope of its operations.”
According to reports, Whinstone’s energy management strategy will help Riot Blockchain manage its bitcoin mining energy costs to obtain reliable and responsive electricity to further support the bitcoin network.
Riot Blockchain from Bitmain and Host More than 35,000 Antminers, resulting in a computing power capacity of 3.8 EH/s.
Although PayPal stock is not purely a cryptocurrency, the company has opened the door to digital currencies, allowing its customers with personal accounts to buy, sell, and hold multiple cryptocurrencies, including Bitcoin. Even if the company continues to test the concept of allowing encryption on its platform, customers on PayPal can also use encryption for checkout.
Given that digital assets and encryption are the future of finance, PayPal adopts encryption to increase the use of its applications by retail investors and to facilitate more transactions between customers and merchants.
In addition, the CEO of the company already Mention Encrypted many times and added that its encryption function is not a speculative measure, but a developmental measure that can provide customers with more choices when shopping online.
Marathon Digital Holdings
Marathon Digital, a company listed on the Nasdaq, has recently seen a rise in its share price due to its Bitcoin purchases and mining activities.In May of this year, the company Released A letter of intent for cooperating with Compute North to host a Bitcoin mining data center with a capacity of 300 MW.
So far, the company has made tremendous progress, with revenue increasing by 1,444% year-on-year, and more than 70,000 Bitcoin miners have set its hash rate to 10.37 EH/s. Given the growing concerns about Bitcoin mining energy and recent developments, Marathons Digital expects that its operations will achieve up to 70% carbon neutrality.
Marathon Digital’s balance sheet About 18.3% 10% of its total valuation is invested in cash and bitcoin, and it continues to buy more bitcoins and store a larger percentage of the cryptocurrencies it produces. According to reports, Marathon Digital is able to mine more than 50 bitcoins per day, making the company worth more than $5 billion.
Hut 8 Mining
Hut 8 Mining uses a unique method of Bitcoin mining, and its business model is designed with scalability in mind. The company is considered one of Canada’s most promising mining and blockchain infrastructure companies, having mined 264 bitcoins in September alone. average Approximately 9.11 BTC are mined every day.
The company has adopted a long-term strategy of holding bitcoins. As the company progresses towards the goal of holding 5,000 self-mining bitcoins by the end of the year, 100% of the self-mining bitcoins will be custodial. As of September 30, Hut 8 Mining has accumulated 4,724 bitcoins in custody.
EQONEX Group is a digital asset company that provides financial consulting services. The NASDAQ-listed company has since been renamed and added other services such as cryptocurrency exchanges, custody platforms and multi-risk trading services, as well as over-the-counter (OTC) products.
With its listing on NASDAQ in September 2020, EQONEX has become the first crypto-related company listed on NASDAQ. So far, its cryptocurrency exchange has been growing, beat The 24-hour trading volume exceeds 260 million U.S. dollars, and the 30-day trading volume reaches 4.5 billion U.S. dollars.
Although it is not one of the largest cryptocurrency exchanges, EQONEX touts its compliance and the fact that it does not make markets, thus avoiding transaction conflicts with customers.
Growing institutional interest
Investing in stocks of digital asset companies provides a clear advantage that investors are not directly exposed to turbulent market trends that disrupt the rest of the crypto market.
Investing in encryption-related businesses also provides convenience for investors, avoiding the complexity of purchasing and safely storing digital assets, while allowing investors to access the advantages of the encryption and blockchain industry.
Whether it is direct investment or indirect investment, given that more and more digital asset company stocks are publicly traded on stock exchanges such as Nasdaq, it has never been easier for institutional capital to flow into the encrypted and digital asset market.
Due to the use of graphics processing units in mining encryption, even companies such as Nvidia and AMD are increasingly contributing to the encryption and blockchain industries. These are just some of the many listed digital asset companies that investors can consider when it comes to traditional cryptocurrency investment approaches.