Keep an eye out for these 5 crypto-adjacent stocks

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You can ride the crypto wave without buying cryptocurrency

Cryptocurrencies are regaining popularity as a growing number of businesses and financial institutions embrace Bitcoin (BTC), making exposure to digital currency easier than ever. But Wall Street’s best kept secret is this; you don’t even have to buy, own, or sell cryptocurrency to participate. Many companies listed on the NYSE and NASDAQ offer cryptocurrency services or invest in cryptocurrencies themselves.

Here is our list of the top five adjacent crypto stocks traders should keep on their radar.

1. Coinbase Global Inc (NASDAQ: COIN)

Coinbase is a San Francisco-based company that provides cryptocurrency buying and selling support services around the world. COIN is a well-known platform where cryptocurrency traders can buy, sell, store, and transfer digital currency assets. Coinbase provides services for businesses and individuals to access digital currencies in over 30 different countries around the world.

COIN currently offers three main cryptocurrency services, including Ethereum, Bitcoin, and Litecoin. In the near future, Coinbase also hopes to include other cryptocurrencies on its platform.

From a user’s perspective, there are a few drawbacks to using Coinbase. While there is no charge for depositing funds on the COIN platform, there is a charge when purchasing cryptocurrency on the platform and the fee schedule is different depending on country of residence. Additionally, users may have to pay virtual currency transfer fees and exchange rates. Right now, Coinbase’s fees seem to be a bit higher than other cryptocurrency exchanges.

COIN revealed on September 9 that the United States Securities and Exchange Commission (SEC) had given a notice from Wells to the company, intending to sue its product, Coinbase Lend. The interest-generating product was slated for release in the coming weeks and would allow users to earn an annual percentage return of 4% in exchange for lending their crypto holdings. In response, Coinbase announced that they are delaying the launch of Lend until at least October.

2. Marathon Digital Holdings (NASDAQ: MARA)

Marathon Digital Holdings is another crypto-adjacent stock and operates as a digital asset company. Marathon Digital Holdings is operated in North America and operates cryptocurrencies with the aim of helping users create digital income. MARA aims to develop a formidable platform for Bitcoin miners where miners can access Bitcoin without much difficulty.

MARA provides the computing power necessary to mine Bitcoin. Marathon Digital Holdings provides a platform for everyone to mine BTC by working together in a pool. When users mine Bitcoin with other miners, the pay days are usually higher.

The volatility of Marathon Digital Holdings stock is due to the volatility of the Bitcoin value. Bitcoin price volatility has a direct impact on the safety of investing in MARA. Marathon Digital Holdings stock has seen an overall decline of 13% over the past year.

The main risk factor associated with investing in shares of Marathon Digital Holdings is that the digital asset company has no set record of strong and consistent revenue growth.

3. Riot Blockchain Inc (NASDAQ: RIOT)

Riot Blockchain is a United States-based digital company. RIOT provides its services in America for Bitcoin mining. Riot Blockchain is linked to the Bitcoin blockchain, and the company promotes bitcoin mining at a high level.

RIOT recently showed that it deploys a chopping power of 1.6 EH / s and manages around 51 MW of energy. An increase in the hash rate is expected to 2.51 EH / s, consuming almost 79.5 MW of power.

RIOT systems operate on the same mechanism for solving complex mathematical computational problems that Bitcoin requires. As any equation is solved on a computer, hashes are generated. The miner who accurately guesses the hash gets the reward of a good guess by using modern RIOT hardware to mine bitcoin.

The downside for RIOT users is that the rate for newly minted coins is half of what previously minted coins received, so the reward is now half for new miners.

4. Bit Digital Inc (NASDAQ: BTBT)

Bit Digital is a New York-based Bitcoin mining company, and BTBT is one of the highest rated bitcoin mining companies on the market today. If you are new to Bitcoin mining, Bit Digital is a great option to start. Bit Digital’s inventory is affordable and easy to access. The action is less tied to the price volatility of Bitcoin, offering a more secure investment in the cryptocurrency realm. The criticisms leveled at the company are due to the large amount of energy required to mine Bitcoin.

BTBT has already moved much faster than other adjacent crypto stocks, but this can be addressed by applying proper money management principles when investing.

5. PayPal Holdings Inc. (NASDAQ: PYPL) and MasterCard Inc (NYSE: MA).

PYPL and MA now offer consumers access to cryptocurrencies and provide associated crypto services.

MasterCard has launched a partnership with blockchain technology. MA has also launched a program for crypto users. In order to facilitate these programs, MasterCard has launched a new cryptocurrency credit card that gives easy access to cryptocurrencies for cardholders.

PayPal has also announced that it will provide cryptocurrency money transfer services. PayPal accounts can now facilitate the buying and selling of cryptocurrency directly on the PayPal platform. News broke recently that PayPal would be acquiring Paidy – a Japanese buy now pay later (BNPL) company – in a $ 2.7 billion deal, mostly in cash.

Disclaimer There are a number of known and unknown risks associated with buying cryptocurrencies, including volatile fluctuations in market prices, market manipulation, and cybersecurity risks. Cryptocurrency markets and exchanges are not regulated with the same customer controls or protections available in investing in stocks, options, futures, or currencies. There is no guarantee that a person who accepts cryptocurrency as a form of payment today will continue to do so in the future. Several federal agencies have also published advisory documents regarding the risks of virtual currency. For more information, see the CFPB Consumer Advisory, CFTC Customer Advisory, SEC Investor Alert, and FINRA Investor Alert.

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