One issue which keeps seasoned stock traders from taking the leap into the blockchain space is a lack of investment avenues on Wall Street. Indeed, with a crypto market capitalization above $1 trillion, blockchain is a lucrative industry. But, many investors don’t want to do all of the work required to make and manage investments in this space. Luckily for them, though, blockchain companies are beginning to gravitate toward the traditional market. W3BCloud is one of the newest to make the jump, preparing to go public through Social Leverage Acquisition (NYSE:SLAC).
For the most part, crypto doesn’t have a presence on the Nasdaq Exchange or the New York Stock Exchange. Most investments come through buying cryptocurrencies, rather than stocks. This is problematic for a number of reasons, including a lack of regulations and complicated investment processes.
In the last year, the amount of options investors have on the traditional market has grown, but not by much. Coinbase (NASDAQ:COIN) made history last summer by becoming the first publicly traded crypto exchange stock on the market. Otherwise, stock traders are relegated to buying only crypto mining stocks — an industry running the risk of falling out of relevancy as Ethereum (ETH-USD) transitions to proof-of-stake and the Bitcoin (BTC-USD) supply nears its maximum.
W3BCloud Joins Group of Blockchain-Relevant Stocks
Soon, a new option for these investors could be on the horizon. Web 3.0 player W3BCloud stands to be the newest blockchain-adjacent stock for investors reluctant to fully jump into crypto trading. With the help of special purpose acquisition company (SPAC) Social Leverage Acquisition, W3BCloud will be landing on the NYSE soon.
W3BCloud is a blockchain infrastructure company looking to support a variety of blockchain applications. Specifically, it provides decentralized storage, metaverse and Web 3.0 applications and blockchain gaming services. One of the most appealing aspects of W3BCloud is its pedigree; the company is a joint venture between semiconductor company Advanced Micro Devices (NASDAQ:AMD) and blockchain software outfit ConsenSys.
The company is one of the larger providers of blockchain computing services, bringing in $40 million in sales last year. W3BCloud provides its services to some of the largest blockchain projects in the world, including Ethereum, Solana (SOL-USD) and Filecoin (FIL-USD).
With its varied offerings and strong associations with top companies in the blockchain and computing spaces, W3BCloud has done well to attract lots of capital. At its most recent fundraise, the company was able to bring in over $20 million in capital. Now, it has announced plans to go public on the New York Stock Exchange through a SPAC merger with Social Leverage. The deal values the company at $1.25 billion, with W3BCloud set to receive $345 million from Social Leverage.
The merger is expected to close in Q4 of 2022, according to the company’s press release. SLAC stock is not moving much at all on the news, remaining just south of $10.
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On the date of publication, Brenden Rearick did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.