What Are The 5 Ways To Invest In The Blockchain Boom?

How to Invest in Blockchain

Bitcoin comes with a rapidly expanding user base as it is now being considered by several financial services companies, as the paramount among the benefits offered by cryptocurrency is the ability to reduce the cost of transferring funds, particularly on a global scale. Therefore the impact of Bitcoin, as well as the technology behind it on the finance industry, has been likened to the disruption that the Internet caused in the music and publishing industries.

Therefore how an investor chooses to invest in blockchain technology is surely dependent on the amount of risk he or she is willing to incur and the type of yield they wish to achieve.

1. Stockpiling Bitcoin

This is similar to many investors taking advantage of the opportunity to stockpile gold in anticipation of the rising price whereas other investors are taking advantage of the opportunity to stockpile Bitcoin. Thereby the two assets are different in that gold is a tangible item and Bitcoin is not where many of the basic investment principles remain the same. Thereafter for instance both assets are considered rare while the rate at which these bitcoins are generated in the early days of the technology was comparatively fast, where that rate has slowed over as the technology reached its built-in limit of 21 million coins. 

As it all comes down to simple supply and demand, there is limited supply as demand increases, values also rise, and if you are under the impression that the concept of stockpiling Bitcoins for investment purposes is only for speculators, then think again. As it was the famed Winklevoss twins once reported they held up to one percent of the total amount of Bitcoins in circulation. Hereby with more and more methods of procuring Bitcoin being made available, it has certainly never been a better time to begin a cryptocurrency investment portfolio.

2. Blockchain Penny Stocks

Here it is that there are even penny stocks for cryptocurrency like the Bitcoin the most well-known digital currency as it is certainly not the only option whereas other types of digital currency include Litecoin and Altcoins as over the last few years there are some alternative digital currencies developed in an attempt to compete with Bitcoin but many others were designed thereby specifically to fill those needs not met by the Bitcoin. Thereafter, for instance, some cryptocurrencies have been developed to enable digital asset registry providing increased privacy allowing escrow services and more as the Bitcoin penny stocks like Bitcoin Shop Inc, Global Future City Holdings, and American Green, Inc. offers Bitcoin penny stock investment opportunities. 

3. Altcoin Crowdfunding

Therefore the crowdfunding is now considered a popular and mainstream method for raisin seed capital for all types of investments and if you’re seeking to get involved in blockchain technology, there is one option to consider that is a unique crowdfunding method using alternative coins. Hence it is with this method that the total coin supply is pre-mined and then sold in an initial coin offering or ICO which is before the network being publicly launched. Hereby Bitshares is just one of the many well-known coin networks that used this method to get started. These services and apps are using blockchain technology that has also utilized this same pre-sale method to raise funding. Thereby with this method, the investors are certainly allowed to purchase coins with the expectation that the prices will increase at some point in the future if the service becomes popular.

4. Angel Funding and Startup Ventures

Recently angel funding and investing in startups is certainly not a new concept as one variation that is beginning to gain tractions is the idea of investing in startups built on blockchain technology. Hence Bitcoin has become increasingly popular and accepted by more mainstream businesses where the number of entrepreneurs interested in experimenting with the technology behind the cryptocurrency has skyrocketed where the case is with any other new venture such as startups need funding. Thereafter providing startup and angel funding allows you to get in on the ground floor of what could turn out to be the next Google, Apple, or blockchain frontier, as of course it should always be understood that there are significant risks as the profit potential is massive whereas it is important to carefully weigh both the pros and cons. 

5. Pure Blockchain Technology Play

Hereafter an increasing number of pure blockchain technology plays is now also on the rise, while companies such as hashing Space Corporation, BTCS, Inc., and the Global Arena Holdings are rapidly becoming well-known names in this space. Here BTCS for instance markets itself as the first pure-play US public company focused on blockchain technology. Thereby the company works to secure the blockchain via its distinctive transaction verification services as the Global Arena Holdings is currently leveraging blockchain technology for potential in voting verification. 

The Bottom Line

It is observed that there are many naysayers thereby contending that blockchain technology and cryptocurrencies such as the Bitcoin were nothing more than a fad whereas six years in they represent a concept that continues to gain steam and could even have the power to change the world. Hereafter for those adventurous investors who choose to become involved in the blockchain technology boom, the payoff could be massive.