Compelling Reasons To Invest In Blockchain Technology
Investments are scary things, especially when perceived high risk is involved in areas that are new and seemingly unknown. When a new technology like Blockchain comes out that promises to revolutionize the way we live life and do business, there will be die-hard fans and many skeptics. It is hard to make a good decision when people are giving you uneducated opinions that might misguide you so in this post we list five good reasons why you should invest in Blockchain:
Hive Blockchain Announces Appointment Of Diana Biggs To Hive Switzerland Board Of Directors
Vancouver, British Columbia– – HIVE Blockchain Technologies Ltd. is pleased to announce that Diana Biggs, CEO of Valour Inc . and incoming Chief Strategy Officer of DeFi Technologies , has joined the board of directors of HIVE Blockchain Switzerland AG . Diana will join recently appointed HIVE Sweden president and board member Johanna Thornblad on the board of HIVE Switzerland.
Diana is a seasoned executive who brings deep experience in digital assets, technology, and financial services. She is Associate Fellow with Saïd Business School, University of Oxford , where she guest lectures on digital assets and blockchain technology. Prior to joining Valour, she was Global Head of Innovation for HSBC Private Banking. Prior roles include VP, Head of Growth and Partnerships at Uphold, Chief Strategy Officer of Soko and Management Consultant with Oliver Wyman Financial Services.
Diana is passionate about using technology for building inclusive and sustainable financial services through decentralized networks. She was appointed CEO of Valour, a division of DeFi Technologies in November 2020. Valour offers exchange-traded products that allow investors to take concentrated positions in defi project tokens through a traditional brokerage account, with low or no management fees.
HIVE’s Strategic Investment in DeFi Technologies
About HIVE Blockchain Technologies Ltd.
Hvbt Stock: Could Ethereums 20 Overhaul Threaten Hive Blockchain
Ethereumâs London hard fork is a new chapter for cryptocurrencies. The overhaul, starting with the fork and ultimately transforming into the Ethereum 2.0 network, is one of the largest upgrades weâve ever seen on a blockchain network. And, itâs the second-largest crypto in the world to boot. But this upgrade could potentially be a detriment to other players in the crypto industry, like Hive Blockchain . Could the Ethereum 2.0 overhaul ruin HVBT stock? Source: Marko Ali
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A Look At The Impact Of Hive Blockchain Technologies’ Dilution On Its Earnings Per Share
Three years ago, HIVE Blockchain Technologies lost money. And even focusing only on the last twelve months, we don’t have a meaningful growth rate because it made a loss a year ago, too. But mathematics aside, it is always good to see when a formerly unprofitable business come good . So you can see that the dilution has had a bit of an impact on shareholders. Therefore, the dilution is having a noteworthy influence on shareholder returns. And so, you can see quite clearly that dilution is influencing shareholder earnings.
If HIVE Blockchain Technologies’ EPS can grow over time then that drastically improves the chances of the share price moving in the same direction. However, if its profit increases while its earnings per share stay flat then shareholders might not see much benefit. For the ordinary retail shareholder, EPS is a great measure to check your hypothetical “share” of the company’s profit.
A Closer Look At Hive Blockchain Technologies’ Earnings
As finance nerds would already know, the accrual ratio from cashflow is a key measure for assessing how well a company’s free cash flow matches its profit. To get the accrual ratio we first subtract FCF from profit for a period, and then divide that number by the average operating assets for the period. You could think of the accrual ratio from cashflow as the ‘non-FCF profit ratio’.
That means a negative accrual ratio is a good thing, because it shows that the company is bringing in more free cash flow than its profit would suggest. While having an accrual ratio above zero is of little concern, we do think it’s worth noting when a company has a relatively high accrual ratio. To quote a 2014 paper by Lewellen and Resutek, “firms with higher accruals tend to be less profitable in the future”.
In order to understand the potential for per share returns, it is essential to consider how much a company is diluting shareholders. As it happens, HIVE Blockchain Technologies issued 6.0% more new shares over the last year. As a result, its net income is now split between a greater number of shares. To celebrate net income while ignoring dilution is like rejoicing because you have a single slice of a larger pizza, but ignoring the fact that the pizza is now cut into many more slices. You can see a chart of HIVE Blockchain Technologies’ EPS by .
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Cons Of Hive Blockchain
The only drawback with Hive Blockchain is that, while Ethereum mining can pretty soon shift to the proof of stake, no one knows exactly when this can happen. As per Frank , Proof of Stake is not going to happen any time soon, at least not for the next 2-3 years. But you never know.
Again, with the Proof of Stake in place, Hive is very well prepared for the move in case it happens by maximizing the revue by staking the coins.
The second con is that Hives 350M Outstanding shares will definitely hurt the EPS and P/E ratios, while other Crypto stocks like MARA And RIOT have less than 100M shares outstanding.
Why Should I Trade Hive
Having appeared in March 2020, HIVE quickly began to gain popularity and within a week of trading, quotes soared from $0.2 to a record $0.9 per coin. This was followed by an almost annual decline and the cost of HIVE did not exceed $0.3 until February 2021. In April 2021, the cost of HIVE again approached its record. As of July 2, 2021, the price of HIVE is $0.3, with a market capitalization of $127,023,850. It should be noted that at the same time, the cost of its competitor STEEM is also about $0.3, although the coin has been trading since 2016. In such a short period, HIVE has almost already caught up with STEEM in terms of market capitalization. Given the youth of the project, it has already shown good prospects and it will be a reasonable decision to diversify your crypto portfolio with the HIVE coin.
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Why Should You Invest In Hive Blockchain
Ok, like I said earlier Hive is by far the only mining company with excellent profitable margins and numbers.
Their operating margins are above 80% and the company is right now profitable.
Top Reasons to buy the Hive Blockchain Stock today:
1. Hive Blockchain mines not only Bitcoin but Ethereum too. Right now the company expects to increase the Bitcoin Hashrate to 2 Exahash/second this year.
With Ethereum mining the company has recently spent a lot of money to upgrade the GPU chips from 4GB to the latest 8GB, to increase the mining efficiency and more coins.
2. Hive Blockchain is always in the news with so much positivity around, they keep releasing the latest numbers, purchases made, industry news plans moving forward, operations and efficiency details etc.
In point #1 I did mention that Hive has plans in place to increase their BTC mining capacity to almost 2 ExaH/s this year.
Prior to this announcement, the company had plans to increase the BTC hash rate to 1.2 Ex Hash which they outdid in just a matter of a few days/weeks and in the same January month.
3. Frank Holmes, CEO and the company are extremely transparent in everything they say and do.
The only drawback I can see in this company is the number of outstanding shares. The company currently has around 350M outstanding shares, which will hurt the EPS And Forward-looking P/E ratios.
4. Understanding the mining profitability of these crypto mining companies is extremely easy. Heres how it works at a high level:
Tips For Investing In Blockchain Technology
Despite its promise, blockchain technology remains an immature sector that hasn’t fully proven itself in terms of viable products.
“As an emerging technology, blockchain is no different to other emerging technologies such as quantum computing, electric aviation, or spatial computing all of which involve taking risk to innovate,” says Hadyn Jones.
So there are a number of tips worth keeping in mind when looking to invest in blockchain tech.
Do your due diligence: Lots of companies claim to be involved in blockchain these days , but some are pursuing the technology more meaningfully than others. It’s for this reason that research into a particular firm, and its fundamentals, is particularly important.
“The starting point is to build a case for the investment itself based on factors such as the opportunity for growth, the competitive environment or differentiating factors relative to other projects,” says Jones.
Treat blockchain as a high-growth, high-risk sector: As with tech stocks, blockchain stocks represent a high-growth sector that exposes investors to plenty of risk. Because the wider utility of blockchain still remains mostly unproven, it would be wise to invest only a small portion of your available capital in blockchain companies and to diversify in other areas as much as possible.
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Hive Blockchain Orders 3000 Microbt High Performance Bitcoin Miners And Mines It’s 1000th Green And Clean Bitcoin To Hodl
This news release constitutes a “designated news release” for the purposes of the Company’s prospectus supplement dated February 2, 2021 to its short form base shelf prospectus dated January 27, 2021 Vancouver, British Columbia– – HIVE Blockchain Technologies Ltd. is pleased to announce that it has ordered 3,000 premium MicroBT WhatsMiners with a total hashrate of 294 Petahash per second …
This news release constitutes a “designated news release” for the purposes of the Company’s prospectus supplement dated February 2, 2021 to its short form base shelf prospectus dated January 27, 2021.VANCOUVER, BC / ACCESSWIRE / August 27, 2021 / HIVE Blockchain Technologies Ltd.
What Are The Keys To Successful Crypto Mining
Cryptocurrency is extremely competitive, hence the need for efficiencies of scale.
The largest inputs to mining are electricity costs and hardware. You need a reliable and cheap source of electricity for your hardware.
Fast and reliable internet access, as well as a cool climate, help to lower costs.
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Where To Trade Hive
Immediately after the separation from Steem, the coin has already passed the listing procedure on the largest cryptocurrency exchanges such as Bittrex, ProBit and BlockTrades. Today, you can also trade HIVE using such platforms as Binance, Huobi, Upbit, and others:
One of the most secure and transparent platforms for trading HIVE and many other cryptocurrencies is the 7b crypto broker app.
Companies That Support Blockchain
Some of the leading technology companies are seeing the potential in Blockchain and starting to invest and explore the possibilities. Microsoft, Bank of America, Mastercard, IBM, Dell, Google, Hp are just a few. These are companies that are worth billions of dollars and they understand investing in Blockchain will give them a competitive edge. So it wouldnt be a big surprise if Blockchain turns out to be a worthwhile investment, just like the internet.
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Why Invest In Blockchain Technology
It’s this promised improvement of trust, transparency, and efficiency that has transformed blockchain tech into an attractive investment prospect. Blockchain has applications in a wide range of industries, where the companies implementing blockchain tech will gain a competitive advantage over rivals.
“Using blockchain, organizations can build greater trust and transparency in areas such as the provenance of pharmaceuticals, food ingredients, or component parts. Solutions can also be created that support commercial transactions, the issuance and trading of securities and cross-border payments,” says Jones.
“In our Time for Trust report, PwC’s economists estimated that blockchain technology has the potential to boost global gross domestic product by $1.76 trillion over the next decade,” he says. “So it is natural to see why investors would be interested in those leading companies that can deliver most in blockchain-related services.”
Put simply, by reducing costs and increasing profits, blockchain tech may make companies more profitable. Bigger revenues would obviously raise their stock shares – and the portfolios of investors who allocated capital to them early.
But they don’t have to be tech plays. More broadly, blockchain investment can also involve investment in companies that work specifically with cryptocurrency and those that have invested in crypto .
How To Invest In Blockchain
Blockchain is becoming a more and more popular, almost unavoidable topic. It is just natural that investors turn to this topic and start to unravel just how to invest in blockchain.
There are many different ways you could choose to start investing. In this tutorial Ive shown you just three – there are plenty more to choose from if youd wish.
So to answer the bugging question how to invest in blockchain?, Id say that it depends on the person and his or her wants and needs. Everyones different, and if you choose to delve into the world of crypto, I wish you the best of luck!
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The Easiest Way To Invest In Blockchain Technologies
What the heck is a blockchain and why do I need to invest in it now?
What’s a blockchain? And why do I need to put money in there?
Trying to figure out what the blockchain is or how it works is like the olden days of the internet when college students were asking: what’s a modem? What’s this Mosaic thing? And why do I need it to do my homework?
Trying to explain the future possibilities of the internet in the early 90s is like explaining the future possibilities of blockchain today. A recent IBM commercial about how food safety is improved when food can be tracked on the blockchain does little to educate anyone on what that technology is, or does, or why something similar doesn’t exist already. But it does show blue-chip companies developing blockchain for future business.
In other words, blockchain, and all that it will become is not just for venture capitalists hunting for the next big start-up. This is not a fad.
The learning curve for investors is steep.
Does a blockchain platform need cryptocurrency? No. Is blockchain something that’s on the internet? Yes . Is it like one big QuickBooks? Maybe.
“Blockchain buzz in the financial press helps feed the appetite to invest in companies with exposure to it,” Markiewicz says. “We are trying build the best solution to invest in blockchain.”
Kodak has gone from an old company stock, flatlined by investor boredom and a dying filmed… photography business, to a new digital company embracing blockchain and cryptocurrencies.
Individual Blockchain Stocks: Crypto
Alternatively, there are some publicly traded companies that either offer crypto-related services or are directly exposed to cryptocurrency:
- Grayscale Bitcoin Trust
- Intercontinental Exchange
- CME Group
As cryptocurrency becomes more mainstream in its uses, it’s likely that more crypto firms will be publicly listed. For example, Coinbase – the largest crypto-exchange in the U.S. – is planning to hold its IPO in early 2021.
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Volatile Market = High Returns
Normally an unstable stock market is not good since it will have negative impacts on the government activities and the private sector. This doesnt apply for cryptocurrencies though. Because it isnt backed up by anything, it being volatile is the best opportunity for investors to make high returns. Until cryptocurrencies and Blockchain gets mass adopted, investing in it will have higher risk and reward than stock markets. You should do plenty of research and find promising projects that would be a stable investment.
Final Words Blockchain Stock
Investing in a blockchain stock is the best place to start when thinking of how to invest in blockchain. When it comes to the blockchain technology, stocks are a way to invest in blockchain without buying bitcoin or other cryptocurrencies. Identifying blockchain technology stocks with the highest potential is key to a profitable blockchain portfolio.
Bitcoin and cryptocurrency-related stocks follow the exact same price patterns that we teach here at Trading Strategy Guides. Were not here to make false predictions or make random guesses. While we can’t predict the future, we focus on predictable patterns when it comes to trading blockchain penny stocks.
You may also enjoy reading The Best Bitcoin Trading Strategy – 5 Simple Steps.
Even if you don’t join in on the mania, just remember its always wise to play it safe rather than regret it later. You can still profit by researching the top blockchain stocks and by using stock patterns that you know.
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Compatible With Emerging Technologies
Just like Blockchain, there are many other revolutionary technologies that are being developed such as AI, IoT and immersive technologies. These are only a few of the upcoming technologies that will define the way we live in the future, and Blockchain is the perfect partner for them . This is another reason why Blockchain is a good investment because it will be utilized by many technologies that will get mass adopted