3 Cheap Blockchain Stocks to Get in on Cryptocurrency

These three blockchain companies offer a cheaper way to get in on the action surrounding cryptocurrency growth these days!

| More on:
Businessman with his palm open containing a hologram saying 'Why Invest In Cryptocurrency?'

Image source: Getty Images.

Cryptocurrency remains one of the most trendy investment opportunities these days. But unless you have tens of thousands of dollars sitting around, the opportunity isn’t that great. There are few of us that can afford to put down that kind of cash toward cryptocurrency. Instead, blockchain technology provides a more interesting choice.

Simply put, blockchain is a way to protect cryptocurrency. There are “blocks” of code in a “chain” that contain a number of transactions, making it extremely difficult and even impossible to change or hack. With cryptocurrency looking to be the way of the future, the threat of hacking or cheating the system is a big one. So supporting blockchain technology is one way to get in on the action.

With that in mind, here are three blockchain stocks I would consider as cryptocurrency explodes.

HIVE Blockchain

HIVE Blockchain Technologies (TSXV:HIVE)(NASDAQ:HIVE) is a blockchain company that focuses on mining for cryptocurrency. Hive stock exploded this year with the price of digital currencies and recently reported record-setting results.

HIVE stock reported revenue from digital currency mining of $52.6 million, mining 656 Bitcoin and 8,688 Ethereum. It now holds digital currency assets of $123.1 million. The revenue increase set a new record, up 305% year over year. Shares of HIVE stock are now up 57% year to date. Yet HIVE stock remains affordable at a share price of just $5.23 as of writing! As blockchain and cryptocurrency use increase, analysts believe the stock to remain as a buy for at least the near-term future.

Hut 8

Hut 8 Mining (TSX:HUT)(NASDAQ:HUT) is another blockchain mining company Motley Fool investors should consider. The company “…engages in industrial-scale bitcoin mining operations,” operating primarily out of Alberta. Hut stock just reached all-time highs after a record-breaking quarter, with shares now at $18 as of writing.

Hut stock boasts of being North America’s largest digital assets mining company. As the price of cryptocurrency soared, so too did this company, surpassing its 5,000 Bitcoin goal held in reserve. They’ve managed to mine for under $3,000 per Bitcoin, delivering margins of about 95%. An incredible feat given that Bitcoin trades at $76,000 as of writing.

Hut stock hit record quarterly revenue of $50.3 million thanks to this surge in cryptocurrency price, mining 905 Bitcoin in the quarter. The company also saw a surge of income from listing on the Nasdaq, bringing in gross proceeds of $220 million. It now plans to open its third mining site, this time in North Bay, Ontario.

Several analysts also recommend Hut stock as a buy given its future outlook and focus on Bitcoin, all while keeping costs down. As it continues to expand, this could be a solid opportunity for cryptocurrency investors. And yet it remains cheap at $18 per share, with a potential upside of 7% as of writing.


Finally, Bitfarms (TSXV:BITF)(NASDAQ:BITF) is the last but certainly not least blockchain stock to consider today. Bitfarms mines cryptocurrency coins and tokens in North America, owning servers targeting primarily Bitcoin. Yet the company also provides some electrical services to commercial and residential customers in Quebec, providing another stable stream of revenue to consider.

Yet of course this isn’t what allowed Bitfarms to reach record-setting revenue during its latest quarter. It achieved a 22% quarter-over-quarter increase in revenue and a 559% year-over-year increase at $44.8 million! It also achieved record profitability and net income at $23.7 million. The company has achieved increasingly strong growth and lower production costs, with the company mining 1,051 Bitcoin, up 38% from the last quarter at an average cost of $6,900 per Bitcoin. That’s a 23% reduction from the quarter before.

Yet again, it remains cheap at just $11.17 per share. Shares are up 180% year to date, with the company receiving a buy recommendation from at least one analyst.

Foolish takeaway

If you’re wary about the investment into cryptocurrency, blockchain companies such as these three offer a far cheaper option. That’s both in terms of share price and based on future performance. As each hits record revenue during the last quarter, these could be excellent options to add to your risk portfolio.

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 Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned.

More on Investing

grow dividends

Don’t Look Now, But These 3 TSX Stocks Look Poised for a Nice Rally

Three TSX stocks are rising amid the elevated market volatility due to rate-cut uncertainties and geopolitical risks.

Read more »

Close up shot of senior couple holding hand. Loving couple sitting together and holding hands. Focus on hands.
Dividend Stocks

Here’s the Average CPP Benefit at Age 70 in 2024

Canadian retirees can supplement their CPP payout by investing in blue-chip dividend stocks such as Enbridge.

Read more »

woman data analyze
Tech Stocks

1 Stock I’d Drop From the “Magnificent 7” and 1 I’d Add

Tesla (NASDAQ:TSLA) stock is part of the Magnificent Seven, but Shopify (TSX:SHOP) is growing faster.

Read more »

Gas pipelines
Dividend Stocks

Is Enbridge the Best Dividend Stock for You?

Enbridge now offer a dividend yield of 8%.

Read more »

tsx today
Stock Market

TSX Today: What to Watch for in Stocks on Thursday, April 18

Rising metal prices could lift the main TSX index at the open today as focus remains on the ongoing geopolitical…

Read more »

Hand arranging wood block stacking as step stair with arrow up.

2 Pandemic Stocks That Are Still Rising, and 1 Offering a Major Deal

There are some pandemic stocks that crashed and burned, while others have made a massive comeback. And this one stock…

Read more »

Supermarket aisle with empty green shopping cart

CRA: Will You Receive a Grocery Rebate in 2024?

The grocery rebate was introduced as a one-time tax credit for low-income Canadian households to offset higher prices.

Read more »

question marks written reminders tickets

BCE Stock’s Dividend Yield Hits 9%—Is it Finally Time to Buy?

BCE (TSX:BCE) stock has a super-swollen dividend yield right now as it passes 9%.

Read more »