This Financial Services Stock Is My Fintech Exposure Pick

If you want to benefit as shares climb higher among fintech stocks, this might be a good one to check out.

| More on:
Bitcoin

Image source: Getty Images

When people think of fintech stocks, their minds often go to flashy U.S. names like Square, PayPal, or Robinhood. But right here in Canada, there’s one under-the-radar name that offers exposure to the growing intersection of finance and technology: Bitfarms (TSX:BITF). While it might not fit the traditional mould of a bank-turned-tech firm, Bitfarms is building out a digital infrastructure that could make it a powerhouse in the financial services industry of the future.

An alternative fintech stock

Let’s be clear: Bitfarms is not a bank, nor does it operate like one. It’s a Bitcoin mining company. But with crypto adoption on the rise and institutions increasingly warming to digital assets, Bitfarms offers exposure to one of the fastest-evolving areas of fintech. It combines data centre operations, blockchain validation, and financial technology in a way that most traditional financial stocks simply don’t.

And it’s growing. In its first-quarter 2025 results, Bitfarms reported revenue of $67 million, up from 33% from the year before. That’s driven by both higher production and increased transaction fees on the Bitcoin network. Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) came in at $16 million, down from $23 million in the same quarter of 2024. It also mined over 693 Bitcoin in Q2, up from the last quarter, but down from 2024 levels. With a new site opening in Paraguay and further upgrades across its Canadian facilities, Bitfarms is pushing for more scale and lower costs.

More to come

Of course, there are risks. This is a volatile fintech stock that moves closely with the price of Bitcoin. When Bitcoin fell sharply in 2022 and 2023, Bitfarms shares tumbled as well. But the company used that downturn to clean up its balance sheet, restructure its debt, and streamline operations. It ended the first quarter of 2025 with the flexibility to weather short-term crypto price swings.

More importantly, Bitfarms now has over 19.5 exahash per second of installed hashrate capacity, more than triple what it was a year ago. That makes it one of the largest and most efficient public miners in the world. As Bitcoin adoption continues and more financial services integrate crypto infrastructure, Bitfarms stands to benefit. It doesn’t just mine coins, it validates transactions on a secure, decentralized network that underpins a new form of digital finance.

Considerations

So why consider this a fintech play? Because the future of finance is digital. From tokenized assets to blockchain-based lending, everything about the way we exchange value is evolving. Bitfarms doesn’t build the apps; we’re not talking about flashy consumer tech here, but it provides the back-end rails for a decentralized, digital financial future. That’s the kind of exposure many fintech exchange-traded funds (ETF) completely miss.

Valuation-wise, Bitfarms is still inexpensive, especially considering its growth rate. The fintech stock’s market cap is just over $964 million, and it trades at a fraction of the multiples you’d see with legacy fintech names. As the market begins to recognize digital infrastructure as a core part of the financial system, Bitfarms could re-rate much higher.

Bottom line

This isn’t a pick for the faint of heart. The stock is volatile and tied closely to Bitcoin sentiment. But if you’re looking for fintech exposure with higher risk and potentially higher reward, it’s worth a look. Unlike some tech darlings that are all promise and no profit, Bitfarms is producing results. It’s mining real assets, generating real cash, and scaling up operations with every quarter.

When everyone’s looking at payment apps and digital wallets at the front end, it’s easy to miss the infrastructure behind it all. Bitfarms gives investors exposure to that infrastructure. And if you believe that crypto will play a growing role in global finance, this Canadian miner could be your ticket into the backend of fintech. That’s why it’s my fintech exposure pick, even if it doesn’t come wrapped in the usual tech packaging.

Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool recommends Block and PayPal. The Motley Fool has a disclosure policy.

More on Stocks for Beginners

shopper pushes cart through grocery store
Dividend Stocks

The Canadian Dividend Stock I’d Trust for the Next Decade

This northern grocer could anchor a 10‑year dividend plan. Here’s why NWC’s essential markets and steady cash flows make it…

Read more »

Piggy bank with word TFSA for tax-free savings accounts.
Dividend Stocks

Here’s the Average TFSA Balance at Age 55 in Canada

Turning 55? See how a TFSA and a low‑volatility income ETF like ZPAY can boost tax‑free retirement cash flow while…

Read more »

View of high rise corporate buildings in the financial district of Toronto, Canada
Dividend Stocks

How to Use Your TFSA to Earn $275 in Monthly Tax-Free Income

Discover how True North Commercial REIT’s government‑anchored leases could help turn a TFSA into monthly, tax‑free income even amid a…

Read more »

businessmen shake hands to close a deal
Dividend Stocks

Invest $15,000 in This Dividend Stock for $1,010 in Passive Income

Turn $15,000 into steady monthly income with Alaris Equity Partners’ contract-backed payouts and conservative, diversified model.

Read more »

Retirees sip their morning coffee outside.
Dividend Stocks

Top TSX Dividend Stocks for Retirees

Picking dividend stocks for retirees involves a different set of criteria compared to non-retirees. Here are some great picks to…

Read more »

doctor uses telehealth
Dividend Stocks

1 Magnificent Canadian Dividend Down 62% to Buy and Hold for Decades

This overlooked healthcare REIT may be turning the corner. Here’s why its beaten‑down price could reward patient, income‑focused investors.

Read more »

buildings lined up in a row
Dividend Stocks

This Canadian Dividend Stock Pays Cash Every Single Month

Granite REIT offers a well-covered monthly payout at a discount, backed by blue-chip logistics tenants and steady growth.

Read more »

TFSA (Tax-Free Savings Account) on wooden blocks and Canadian one hundred dollar bills.
Stocks for Beginners

The Best Stocks to Invest $1,000 in a TFSA Right Now

Turn $1,000 in a TFSA into lifelong, tax-free growth with dependable income and durable compounders like Boralex, Winpak, and Brookfield…

Read more »