There are many ways to invest in the stock market and crypto, but bitcoin mining stocks are perhaps the simplest and fastest ways to profit from this digital currency boom. Investing in Bitcoin mining stocks means investing in companies that build and sell equipment that companies require to mine Bitcoins. Mining indeed requires high-end computers to solve complex mathematical equations.
Since Bitcoins are not physically available as a product or coin, it needs to be “mined” by using computers to solve complex mathematical equations. A miner is rewarded with some of the bitcoins mined by doing so.
Mining stocks allow investors to buy a stake in the future success of a mining company. Stocks are an investment in the company, which means you are investing in the company’s assets and operations.
Bitcoin mining stocks are similar to ordinary stocks because you can buy shares through the traditional way of trading online.
There are lots of different types of mining stock, but the best ones are listed below.
Bitmain Technologies is a huge name in cryptocurrency mining. The company designs and manufactures mining hardware. It’s the largest and most well-known producer of this equipment.
Bitmain Technologies is a great example of how cryptocurrency mining has become a hugely important industry.
Bitmain is one of the leading providers of bitcoin mining hardware and chips. Bitmain Technologies Ltd. is a Chinese firm headquartered in Beijing. It designs application-specific integrated circuits (ASICs) for use in bitcoin mining and produces the machines it sells.
Bitmain was founded in 2013 by Jihan Wu and Micree Zhan. The company has grown to become one of the largest manufacturers of cryptocurrency mining equipment globally, with tens of thousands of employees.
Antpool is another company that sells mining gear. It provides a wide range of services and software tools for other companies, particularly machine learning. Antpool is one of the top 20 Bitcoin miners, and it owns some of the largest mining rigs in the world. Antpool is traded on the Hong Kong Stock Exchange under the symbol ABX.
Antpool is a mining pool launched in 2016 and mined its first block on July 23rd of that same year. Antpool is a part of Bitmain Technologies LTD, which also operates BTC.com and Antminer Manufacturing Company.
Antpool currently controls close to 27% of the Bitcoin network’s collective hash rate power, with an estimated 13 million Bitcoin mined in total since its founding. As one of the most prominent mining pools globally, Antpool has a significant say in things like which upgrades will be implemented in Bitcoin’s protocol and what changes will be made to its consensus rules.
HIVE Blockchain Technologies
HIVE Blockchain Technologies is a publicly listed company on the Toronto Stock Exchange under the symbol HIVE. The company operates a dual-pronged strategy of building out a state-of-the-art blockchain infrastructure platform while simultaneously growing Ethereum mining operations across four continents.
HIVE brings together top technology, investment, banking, and legal advisors worldwide to create an innovative ecosystem that can support the future of blockchain applications across many different industries. In addition, HIVE is bringing ultra-fast execution, robust security protocols, and world-class customer service to make our mining operation one of the best in class in this space.
HIVE Blockchain Technologies is set to build one of the largest publicly accessible crypto mining networks in the world, with more than 1.7 million GPUs working at peak capacity.
Nvidia Corporation designs graphics processing units for the gaming, professional, and mobile markets. Nvidia’s CMPs are a great choice when it comes to Bitcoin mining. With these types of chips, it has become possible to mine cryptocurrencies using less electricity. This has led to a new wave of crypto-mining enthusiasts using their personal computers or building elaborate rigs with multiple Nvidia chips.
Nvidia manufactures the most powerful graphics cards on the market, making them perfect for cryptocurrency mining. Their high-end GPUs can mine coins like Ethereum (ETH) and Zcash (ZEC).
CMPs use multiple GPUs to provide power for solving complex math problems to earn coins. As of this writing, there are two types of Nvidia CMPs: the GTX 1060 3GB and the GTX 1060 6GB. The GTX 1060 6GB has more VRAM than the GTX 1060 3GB, so it’s able to mine more complex algorithms in a single go.
The Future of Bitcoin mining
With the Bitcoin ETF just successfully launched in the United States, Bitcoin is gaining popularity. As a result, shares in Bitcoin mining companies have soared, and the Bitcoin mining industry is always more attractive for investors.
“We believe the perception of bitcoin as a better inflation hedge than gold is the main reason for the current upswing, which has resulted in a shift away from gold ETFs and into bitcoin funds since September,” said JPMorgan global markets strategist Nikolaos Panigirtzoglou.
Bitcoin reached a new all-time high on Wednesday. The world’s largest cryptocurrency has surpassed the $66,900 mark, breaking the previous intraday record of $64,899 set in mid-April.
Many investors attributed the new high to the Tuesday launch of the ProShares Bitcoin Strategy ETF, which tracks bitcoin futures contracts based on the cryptocurrency’s future price. The ETF is denoted by the symbol BITO.
On the other hand, JPMorgan told clients that the launch of BITO is “unlikely to trigger a new phase of significantly more fresh capital entering bitcoin.” This is largely due to the plethora of investment options already available to bitcoin investors, including direct investment options via digital wallets at Coinbase, Square, PayPal, and Robinhood.