Blockchain technology is known as a disruptor for so many reasons. This technology is a decentralized ledger that records the activities of digital assets. Data on a blockchain cannot be modified after it is uploaded, and this makes it excellent for payment, healthcare, cybersecurity, and other industries.
Blockchain technology is also promising in financial markets. More investors are attracted to several profitable opportunities. The versatility of this technology makes it a powerful trend with influence over different business models. It is not restricted to just Bitcoin even if the advanced technology is needed for the digital asset to run. If you don’t want to invest in Bitcoin, there are several other opportunities to join the trend.
As an investor, you have two main options. One is to invest in businesses using blockchain technology and the other is considering cryptocurrency itself. Both ventures are risky as many other businesses are, but you need to decide which is more profitable or worth the risk. This article will highlight the top ways to join the blockchain train.
Blockchain Penny Stocks
As Bitcoin gains more popularity, other viable digital assets are coming up. It is not the only option on the market anymore. Many large firms like Walmart and IBM want to offer different blockchain-related services. In the same vein, smaller companies are being formed, and this means that investors can buy into such companies that benefit from the use of blockchain technology.
Some are penny stocks and are not listed on major exchanges. They are also quite cheap at less than $5 a share with low trading value. Some popular blockchain penny stocks include Galaxy Digital Holdings (BRPHF) and Canaan Creative. Penny stocks can be highly speculative, so if you choose to invest in them, do your research thoroughly.
Bitcoin allows investors to make a profit following the principle of demand and supply. There are only 21 million BTC and this restricted number means that the price will always rise as the interest rises. Many investors have seen the potential in the asset. This is why some have bought the digital asset and held onto it expecting the price to rise. This way, they can profit from the sale.
It is an excellent opportunity to invest in. However, you do not need to restrict yourself to Bitcoin alone. There are so many other alternative coins with potential for growth as well. Do some research and find information about coins with this potential and start investing.
Most people are already familiar with angel funding. It is now integrated into different blockchain technologies. This is how it works. Individuals fund a startup and then they get equity in exchange. Just like with any other investment, this form of investment has its good and bad sides. It is basically a bet on the company. One day, the startup may grow and become a multi-million-dollar venture and this could pay off. Still, consider all the potential risks that come with it before investing.
Crowdfunding is another popular term that involves raising funds for investments. With blockchain technology, investors can use this method to earn a stake or first dibs in a blockchain-backed project. Most investors in this space buy coins from the company or service provider with the hope that they will generate some profit in the future.
Blockchain Technology Company Stocks
There are a lot of businesses that are implementing blockchain technology in their sector. If you are not cut out for cryptocurrency trading because of its high volatility, then consider buying stocks from blockchain tech companies. Some top companies include Galaxy Digital Holdings, Silvergate Capital Corps, IBM, and INTC. These businesses focus on improving existing services with blockchain and bringing about new opportunities.
Investing in such stocks will reduce the risks and you can still get to benefit from the blockchain technology opportunities.
Blockchain technology is changing the way things are done and making them more transparent and decentralized. It also opens up new opportunities to invest. If you don’t want to join the Bitcoin train, you can opt for blockchain penny stocks, angel funding, or even buy stocks from blockchain companies.
All investments have their potential risks, and this is not restricted to blockchain investments. Be sure to assess the potential risks and choose an option that works for you.