Top 7 Blockchain Stocks to Boost Your Portfolio

Blockchain stocks are ones that you may not want to miss the boat on adding to your portfolio. They have the potential to turn into substantial investments, of course when getting involved with the right companies. There are several projects being crafted by these firms based around blockchain, developing exciting technology that can be adapted to multiple industries.

These types of stocks are another potentially lucrative way to invest in cryptocurrencies without having to get into the mining and trading of them. The game-changing technology that is being created with the use of blockchain is undoubtedly the future. A key thing to note also is that growth is already being witnessed in terms of market size.

According to research carried out by Markets and Markets; “the global blockchain market size is expected to grow from USD 1.2 billion in 2018 to USD 23.3 billion by 2023, at an impressive Compound Annual Growth Rate (CAGR) of 80.2% during 2018–2023”. This defines just how huge the market is and will continue to be in the time to come.

Stocks You Won’t Want to Miss

It is important to note that even in a worst-case scenario of a complete cryptocurrency crash or even outright ban, blockchain as technology is here to stay. In the not so distant future, the tight correlation observed between cryptocurrencies and blockchain-based stocks could start to fade. This will come as more blockchain companies start to produce strong revenues and share their positive earnings.

Let’s take a look at some of the big global players that are betting big on the most disruptive technology of the last decade. Some stocks may be too good to miss adding into your portfolio.

IBM (IBM)

International Business Machines Corporation (IBM), a t global pioneer that has been around since 1911, is still dominating the information technology sector. The tech giant is now heavily focused on the blockchain, having more than 1,500 employees who are dedicated to the development of projects that are powered by distributed ledger technology. Given the sheer size of this workforce, IBM is one of the most enticing blockchain-based companies to invest in.

Alibaba (BABA)

When it comes to blockchain technology, explicitly looking at blockchain patents, there is one company that stands out from the rest – Alibaba. The Chinese powerhouse is dominating the pack with blockchain patents, and it is sure proud of it. The CEO of Alibaba’s financial arm said, “We are the most patented company in the world of blockchain technology.” Alibaba’s blockchain patents cover areas such as invention, design, and utility. Keeping in mind the seriousness of the organization’s efforts, this one is on my list.

MasterCard (MA)

MasterCard is already offering the ability to send money over a blockchain rather than by the swipe of a credit card. They even opened their blockchain to certain banks and merchants as an alternative method for the paying of goods and services in a strong push to provide greater efficiency. MasterCard did become the second company on the Fortune 500 list to work on decentralized payments only after IBM. The company continues to invest heavily into blockchain with several patents embracing the technology. We can expect more exciting developments in the future from MasterCard.

Fujitsu (FJTSY)

Fujitsu is a Japanese technology company that happens to be the world’s seventh-largest IT services provider (and no. 1 in Japan). They were selected by the Japanese Bankers Association’s (JBA) Collaborative Blockchain Platform as a vendor. Separately, they are working on the development of a transfer settlement system for the recently opened Blockchain Innovation Center in Brussels, Belgium.

Hitachi (HIT)

The Japanese tech pioneers Hitachi, which boasts a market cap of around $39 billion, is working on several blockchain-based projections. At the back end of last year, Hitachi partnered up with Mizuho (MFG) to develop a decentralized platform aimed at the enhancement of efficiency for supply chain management. Hitachi is also working on a system to facilitate the verification of retail payments with fingerprints by recognizing the vein pattern.

HIVE Blockchain Technology Stock (HIVE)

HIVE was the first publicly listed blockchain infrastructure company, bridging blockchain and cryptocurrencies to the traditional capital markets. The company has been acquiring mining centers from Genesis Mining, the largest cloud-based cryptocurrency mining company in the world. HIVE also completed a successful round of funding, reaching over $100 million and announcing its its intention to acquire additional mining farms. The high operational mining infrastructure of this company makes the stock an easy choice to add to the list.

Overstock (OSTK)

Retailing giant Overstock.com was the first U.S. retailer to accept bitcoin as a method of payment. Separately, they launched their online cryptocurrency exchange, tZERO. Last year, CEO and founder Dr. Patrick Byrne said his firm was going to sell a portion of its retail business to finance crypto ventures. Read more: As Bitcoin Selloff Intensifies, Overstock CEO Doubles Down on Blockchain.

Featured image courtesy of Shutterstock. 

Author:
Ken has over 8 years exposure to the financial markets. During a large part of his career, he worked as an analyst, covering a variety of asset classes; forex, fixed income, commodities, equities and cryptocurrencies. Ken has gone on to become a regular contributor across several large news and analysis outlets.

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