9 crypto stocks for 2024: Bitcoin, Coinbase, and more

Cryptocurrencies are not traded on Wall Street like stocks. Still, several publicly traded companies have deep ties to the world of cryptocurrencies and other digital assets.

Cryptocurrency stocks are shares of companies that operate cryptocurrency exchanges, invest in cryptocurrencies themselves, or manufacture computer equipment used to mine Bitcoin and other cryptocurrencies.There is also cryptocurrency They are a different investment than stocks. Even if you want to own crypto stocks, it's often not possible. BitcoinFor example, is not a public company and therefore does not offer stock for purchase. However, you can purchase Bitcoin, which is a type of cryptocurrency.

All individual stocks carry risks, and crypto stocks can also be vulnerable to potential declines in volatile crypto markets. However, for investors who are comfortable with stocks and want exposure to digital assets, crypto stocks may be worth considering.

Many stocks have some connection to cryptocurrencies. Here are some of the most popular ones traded on US exchanges.

coinbase (Ticker: COIN) operates one of the largest crypto exchanges in the United States and became the first pure crypto trading platform to list on Wall Street in April 2021. Coinbase makes money by letting people buy and sell various digital assets on its platform.

MicroStrategy (ticker: MSTR) is the analytics software company that built up vast reserves of Bitcoin, the first and most valuable cryptocurrency. As of September 24, 2023, MicroStrategy owned 158,245 Bitcoin.^[0]

NVIDIA (ticker: NVDA) made a name for itself as a maker of graphics cards used in computer games. But in recent years, the company has expanded the use of its technology to crypto mining. The process involves specialized equipment as part of the energy-intensive and potentially lucrative bookkeeping process that helps some cryptocurrencies operate without a central monetary authority. Use it to solve complex mathematical problems.

Marathon (ticker: MARA) is another company heavily involved in Bitcoin, offering investors a way to gain exposure to the asset without purchasing Bitcoin directly. Marathon directly mines Bitcoin and invests cash in digital assets. As of September 30, 2023, Marathon owned 13,726 Bitcoins.^[0]

Block (ticker: SQ) is a financial services and payment processing company formerly known as Square. The company has several businesses related to blockchain technology and Bitcoin, including its popular Cash App product that allows users to invest in stocks and Bitcoin. As of November 1, 2013, Block owned approximately $300 million worth of Bitcoin.

Riot Blockchain (ticker: RIOT) is another company focused on Bitcoin mining. The company says its facility in Rockdale, Texas, is the largest such operation in North America. The company announced that mining resulted in a Bitcoin balance of 7,327 coins by the end of the third quarter of 2023, with a value of $255 million.

Advanced Micro Devices (ticker: AMD) makes computing equipment, including gaming processing units, also known as GPUs. GPUs are often used in cryptocurrency mining. The company said demand for these products is increasing as interest in cryptocurrencies grows.

PayPal (ticker: PYPL) is a well-known technology company that has long focused on digital payments, a key area of ​​cryptocurrency development. PayPal has added crypto payment and investment tools to its PayPal and Venmo apps in recent years.

CME (ticker: CME) is a financial services company whose activities include clearinghouse services and derivatives exchanges. Products covered by these services include cryptocurrencies such as Bitcoin and Ethereum.

If you're thinking of investing in crypto stocks, you may be wondering, “What's the difference between buying stocks and buying cryptocurrencies?”

stock Represents an individual's ownership in a company. Stocks purchased on public exchanges, such as the New York Stock Exchange, are issued by companies that go through an extensive regulatory process in order to sell shares of their businesses to the public. Additionally, these companies must issue comprehensive financial statements to help you evaluate whether to invest.

cryptocurrency A digital file that is protected by encryption technology, making it difficult to copy or modify without the owner's permission. Cryptocurrencies are not sold on stock markets, but on crypto exchanges that decide which assets are listed. Additionally, certain cryptocurrencies provide users with some governance rights over the underlying networks in which they operate. However, the issuance of cryptocurrencies is more of a technical effort than a regulatory one, and the amount of financial data made available to the public varies.

Here are some points to consider when deciding whether to buy crypto stocks.

• Stocks as an investment class have a much longer history than cryptocurrencies. If you are used to valuing stocks based on a company's financial performance, stocks may be more familiar to you.

• The regulatory requirements for public companies are more stringent than those for issuers of virtual currencies. This helps encourage companies to return the right amount of value to investors.

• While some traditional brokerages sell cryptocurrencies, many do not. As a result, it may be easier to use your retirement account to buy crypto stocks than cryptocurrencies.

Investing in individual stocks involves higher risk than investing in funds.funds etc. Exchange Traded Fund (ETF) It's a basket of stocks that you can buy all at once. There are well-diversified funds that cover a wide range of economies. S&P500 Index Fundthere are also more focused funds. Crypto ETF. In January 2024, the U.S. Securities and Exchange Commission granted initial approval. Spot Bitcoin ETF.