Blockchain technology is the kind of disruptive force many investors look for. This cryptographic technology underpins all the major cryptocurrencies and associated tokens. Beyond digital asset trading, various real-world applications and utility are provided by a wide range of cryptos out there.
However, there are also publicly-traded companies involved in this space. Thus, for investors looking for exposure to this sector, without having to resort to centralized or decentralized exchanges for trading, here are three options to consider. For investors seeking crypto exposure, these companies provide said exposure with greater liquidity and ease of trading.
Let’s dive in.
Coinbase (COIN)
In the world of blockchain companies, Coinbase (NASDAQ:COIN) is among the leaders most correlate closely within this space.
The leading crypto exchange in the U.S., Coinbase has carved out quite a niche for itself. In attempting to work with regulators in recent years, Coinbase has stood as a bastion of good will, in a sector that’s included some shady characters.
That said, a recent lawsuit from the Securities and Exchange Commission (SEC) has changed many investors’ view of this stock. The SEC claims that Coinbase has played a key role in the sale of unregistered securities. And while the company has been looking to comply from the start, that hasn’t stopped regulators from slamming the hammer down.
We don’t yet know how this ordeal will play out. But for investors who ultimately believe that cryptocurrencies will reach the other side, Coinbase remains a key player worth considering on dips moving forward. Indeed, the recent move in COIN stock is evidence of the amount of a momentum play this crypto company is.
Nvidia (NVDA)
Nvidia (NASDAQ:NVDA) is a top choice for investors looking to gain exposure to the artificial intelligence revolution. That much is clear, given the stock’s rise into the stratosphere, and fresh all-time highs above a $1 trillion valuation.
However, Nvidia is also a company that investors monitor for exposure to other key growth sectors. Whether it’s the metaverse, gaming, or blockchain technology, Nvidia’s chips are the behind-the-scenes heroes that makes all this computing brilliance happen.
Nvidia’s high-performance GPUs are among the best in the industry. Thus, many of the top players continue to use their chips and upgrade on a frequent basis.
Bullish expectations around future demand in key growth sectors have led Nvidia shares to rebound to $430 and offer potential for further growth. Analysts have set target prices as high as $600, making Nvidia an enticing choice for contrarian investors in this space.
Riot Platforms (RIOT)
Riot Platforms (NASDAQ:RIOT), a leading Bitcoin (BTC-USD) mining company, experienced a setback during the “crypto winter” of 2022 but has since rebounded in 2023. With Bitcoin prices surging and impressive production of 2,115 BTC in Q1, Riot Platforms holds a substantial balance sheet of over 7,100 BTC. With a strong fleet of 94,176 Bitcoin miners, the company is well-positioned in the mining industry. Notably, the stock has seen a remarkable 254% increase in 2023.
Riot, a prominent Bitcoin mining company, ended Q1 2023 with a mining capacity of 10.5EH/s and plans to expand it to 12.5EH/s in the second half of the year. They have also signed an agreement to purchase 33,280 next-generation Bitcoin miners, which would further increase capacity to 20.1EH/s in 2024.
Additionally, Riot has the option to acquire 66,560 more miners, potentially boosting mining capacity to 35.4EH/s. With $390 million in cash and digital assets and a debt-free balance sheet, the company is well-positioned for significant growth.
On the date of publication, Chris MacDonald 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.
