6 blockchain stocks on radar for a future-ready portfolio

Highlights

  • Coinbase is a popular crypto exchange, which offers major cryptocurrencies such as Bitcoin, Ethereum, and Cardano, and it also offers its users more than 50 altcoins
  • Earlier this year, Square, Inc. announced that it plans to develop bitcoin mining hardware as the company witnessed a surge in cryptocurrencies.
  • It’s been a phenomenal two years for NVDA investors with a 152.66% year-to-date performance, coupled with 2020's great run where NVDA stock notched a 121.2% gain

While cryptocurrency has had a positive year, many investors have shied away from the crypto market due to its extreme volatility as well as its lack of regulation.

Luckily, there is a way to add crypto to your portfolio without exposing yourself to the risks of the crypto market.

These are called blockchain stocks and include companies that invest in the crypto space whist featuring on a traditional financial exchange. Here are six of the prominent ones.

Coinbase Global Inc. (NASDAQ: COIN) 

Coinbase Global, Inc. went public in April 2021, valued at US$85.8 billion. The company is a popular crypto exchange, which offers major cryptocurrencies such as Bitcoin, Ethereum, and Cardano, and it also offers its users more than 50 altcoins.

The stock gained 21.66 per cent in the past three months. Recently, Coinbase announced its move into the non-fungible token (NFT) space to make the mining purchase easier.

Square Inc. (NYSE:SQ) 

Square, Inc. is a financial services and digital payments company founded by Jack Dorsey, who also serves as the company’s CEO.

The Company has two reportable segments: Seller, a managed payment service and Cash App, which includes peer-to-peer payments, Cash Card transactions, bitcoin and stock investing.

Earlier this year, Square, Inc. announced that it plans to develop bitcoin mining hardware as the company witnessed a surge in cryptocurrencies.

Riot Blockchain Inc. (NASDAQ:RIOT) 

Riot Blockchain Inc. is a US bitcoin mining company that has increased its bitcoin production considerably this year.

The company also reported solid results in Q2, with GAAP EPS beating the market estimates by US$0.19, at US$0.22. This makes Riot Blockchain Inc. is one of the top cryptocurrency stocks to look at.

Nvidia Corp. (NASDAQ: NVDA)

Nvidia develops high-end graphics cards and processing chips for personal computers, servers and supercomputers.

With the recent emergence of the Metaverse, thanks to Meta CEO Mark Zuckerberg’s recent Facebook Metaverse announcement, Nvidia is regarded by few as the only company that can participate meaningfully in powering the Metaverse.

Nvidia has been focusing on the metaverse for years and even launched its own omniverse beta testing in late 2020.

Furthermore, Nvidia produces chips designed especially for crypto mining.

It’s been a phenomenal two years for NVDA investors with a 152.66% year-to-date performance, coupled with 2020's great run where NVDA stock notched a 121.2% gain.

Robinhood Markets (NASDAQ: HOOD) 

Robinhood Markets is a popular discount brokerage app that allows users to purchase cryptocurrencies as well as stocks, options, and rare metals.

The platform’s crypto trading revenue now makes up a significant portion of its overall sales. Users can buy and sell Bitcoin, Ethereum, and Dogecoin commission-free on the platform 24/7.

Robinhood Markets holds a competitive advantage over other exchanges as it combines its commission-free model with scaling the number of cryptocurrencies on the platform.

CME Group (NASDAQ:CME) 

CME Group operates the world’s largest financial derivatives exchange, which allows investors to trade futures and options.

As well as cryptocurrencies, CME Group's exchange trades a wide range of assets, including agricultural and mining products, energy and stocks.

In 2020, CME Group developed a market for options on Bitcoin futures. As of February 2021, Ethereum’s native crypto, Ether (ETH) also has futures available on the exchange.

6 blockchain stocks on radar for a future ready portfolio

The Bottom Line

As the crypto market struggles with regulatory issues as well as continuing volatility, investors can be happy that there is a safer option out there that offers an entry point into this emerging market.

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