5 blockchain stocks to watch for  

Highlights 

• Blockchain is the underlying technology behind bitcoin and many other cryptocurrencies.
• Other applications of blockchain include Digital IDs, Real estate transfers, Copyright protection etc.
• With its growing usage, it has become a profitable investment option.

Blockchain investors have experienced a roller coaster ride in the past few years. The interest in digital currencies is resurging after its prices slumped in 2018. Blockchain is quite a familiar concept in today’s world as it is known as the technology behind Bitcoin and many other cryptocurrencies. Nevertheless, there are a lot of investors who don't have a clear understanding of what blockchain is and what are the best ways of investing in this new and exciting tech trend.

Blockchain technology has been incorporated in the operations of a wide range of publicly traded companies. These companies either offer services related to blockchain to their customers or are directly a part of the crypto industry. Some of the companies use products and services related to blockchain to accompany an already prevailing well-to-do business., while others solely focus on blockchain innovation and cryptocurrencies.

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As the crypto market is dramatically growing, many companies are expanding their operations by getting into cryptocurrency services. The most recent example is PayPal launching its crypto services in the UK this week, since it launched in the U.S. last year. But what exactly is blockchain? Here’s a brief:

What is blockchain?

Also known as distributed ledger technology, blockchain is used to maintain decentralized records. An unchangeable public ledger is created using the technology, to which all the users have access, instead of storing the information only on the internal servers of a bank. The anonymous use of the blockchain ledgers helps in protecting the privacy of the users, and restricts retroactive modification of data.

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A noteworthy point to keep in mind is that blockchain is different from cryptocurrency. Cryptocurrencies are powered by blockchain as the underlying technology, but the technology has several other applications that have nothing to do with digital currencies. These include digital IDs, real estate transfers, copyright protection, rewards and loyalty programmes, digital voting, medical records, and wills.

The real-world implementation of blockchain technology has started quite recently. It goes hand-in-hand with similar technologies like AI and cloud computing and is on the way to become a major part of finance, technology, and many other industries in the coming years. Keeping profitability in mind, it’s a smart idea to invest in blockchain technology now.

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5 UK blockchain stocks to watch

Argo Blockchain PLC (LON:ARB)

Founded in 2017, Argo Blockchain PLC is a global data centre business which offers an efficient and powerful platform for cryptocurrency mining operations. It aims to support the world’s top blockchain networks and focuses on running a green and efficient mining infrastructure. Its headquarters are situated in London. With a market capitalisation of £502.49 million, it is listed on the London Stock Exchange since 2018. Its one-year return has been recorded as 1,811.22%.

Online Blockchain Plc (LON:OBC)

Founded in 1996, Online Blockchain PLC is a leading blockchain research and development company in the UK. The company aims at leading and advanced innovations in the cryptocurrency and decentralised ecosystems. It incubates cryptocurrency startups, develops technical innovation in the blockchain space, and continuously sets new standards for decentralisation. With a market capitalisation of £6.73 million, it is listed on the London Stock Exchange since 1996. Its one-year return has been recorded as 128.60%.

Quantum Blockchain Technologies Plc (LON: QBT)

Founded in 1999, Quantum Blockchain Technologies PLC has started a vigorous R&D and investments programme in the dynamic world of Blockchain Technology, which covers areas like cryptocurrencies mining and other advanced blockchain applications. It picks out the most innovative starups in the sector to develop exciting synergies. With a market capitalisation of £12.34 million, it is listed on the London Stock Exchange since 2000. Its one year return has been recorded as 313.74%.

Riot Blockchain Inc (LON: OKXO)

Founded in 2000, Riot Blockchain Inc. is a Bitcoin mining company, which supports the Bitcoin blockchain via quickly expanding large-scale mining in the United States. The focus of the company is to expand its operations by raising its bitcoin mining hash rate as well as its infrastructure capacity. Its headquarters are in Colorado, US. With a significantly huge market capitalisation of US $3.43 billion, the company is listed on the London Stock Exchange as well as on the Nasdaq (NASDAQ:RIOT).

Invesco (LON:BCHN)

Founded in 1935, Invesco is originally a US-based independent investment management company that operates internationally. Over the time, it has grown to become one of the largest and best regarded investment managers in the UK. Invesco and Elwood Asset Management have launched Invesco Elwood Global Blockchain UCITS ETF on the London Stock Exchange. Invesco employs around 8,000 investment professionals across 25 countries worldwide and helps its clients in achieving their financial goals. It has more than US $40 billion of Asset Under Management in its ETFs, which include some of the lowest cost products in Europe for gaining exposure to equity, fixed income and commodity markets. It has recorded its one-year return as 66.44%.

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