Bitcoin (BTC) is the world’s most popular digital currency, although Ethereum (ETH) is developing a cult following in 2021. Both digital currencies trade on online exchanges, and investors store them in various types of cryptocurrency wallets.
Blockchain technology is one of the underlying innovations of BTC, but ETH intends to utilize blockchain to maintain a decentralized payment network. Now, a new digital asset is making headline news in the crypto space. Non-fungible tokens or NFTs are creating a stir that could lead to another crypto phenomenon.
However, despite the evolving nature of the crypto universe, regular investors are better off owning real assets. You can purchase shares of Mogo (TSX:MOGO)(NASDAQ:MOGO) or Evertz Technologies (TSX:ET) instead.
Proponents liken the latest digital asset to a one-of-a-kind trading card. It’s non-fungible because you get a different card in return if you trade it. Most NFTs are part of the Ethereum blockchain or the platform that supports these NFTs.
NFTs are generating excitement because they could be anything digital. You can use blockchain technology to sell digital art such as drawings or music. People can “tokenize” their prized artworks to create a digital certificate of ownership that can be bought and sold.
Filling the wealth gap
Mogo is a $536.32 million financial technology company based in Vancouver, Canada. Its finance app teaches users how to develop habits of financial health. Mogo’s simple solutions aim to help consumers take control of their financial health.
MogoSpend is a digital spending account, while MogoMoney and MogoMortgage give access to persona and mortgage loans. The fintech company is also present in the crypto space with MogoCrypto. Coindesk recently reported that Mogo would increase its ownership of the cryptocurrency exchange Coinsquare. The additional stock purchases worth $48.6 million should boost Mogo’s stake in Coinsquare from 19.9% to roughly 37%.
If you already own Mogo shares, hold them as market analysts forecast the current share price of $8.97 to climb 78.4% to $16. Founder, CEO and Chairman David Feller sees the need for better solutions to fill the wealth gap. Mogo will capitalize on the accelerating adoption of digital wallets and digital finances.
Broadcast industry leader
Evertz is a $1.13 billion Canadian company that designs, manufactures, and markets video and audio infrastructure solutions for the TV, telecommunications, and new media industries. This tech stock is also a dividend payer. At $14.86 per share, the dividend yield is 4.85%.
The company is a leader in the broadcast industry and operates on all continents except Antarctica. Evertz delivers complete end-to-end broadcast solutions, including content creation, content distribution, and content delivery. Its subsidiary, Evertz Microsystems is a leading global manufacturer of broadcast equipment and solutions.
Over the last seven years, Evertz has never been in the red. However, in the nine months ended January 31, 2021, revenue and net earnings dropped 27.5% and 39.5% versus the same period in 2020 due to the global pandemic’s impact. Still, the tech stock’s year-to-gain is 13.76%. Should business improve, analysts forecast a 17.7% climb to $17.50.
An NFT’s value is speculative and unless you understand where it gets in value, stay clear. Mogo and Evertz are ongoing business concerns with concrete growth plans.
Speaking of two TSX tech stocks that are better investments than NFTs...
Motley Fool Canada's market-beating team has just released a brand-new FREE report revealing 5 "dirt cheap" stocks that you can buy today for under $49 a share.
Our team thinks these 5 stocks are critically undervalued, but more importantly, could potentially make Canadian investors who act quickly a fortune.
Don't miss out! Simply click the link below to grab your free copy and discover all 5 of these stocks now.
This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.
Fool contributor Christopher Liew has no position in any of the stocks mentioned.