In this article, we will discuss the 10 best bitcoin and blockchain stocks to buy right now.
Crypto Market Updates: Where is Bitcoin Heading?
While Donald Trump had revealed his plans to make America the crypto capital of the world, he also stated that he would be sacking the chair of the Securities and Exchange Commission, Gary Gensler, who has led the SEC’s crackdown on the crypto market. Gensler tried to regulate the market which he believed to be at least partially made up of securities trading illegally.
The price of bitcoin rose above $80,000 for the first time ever following Donald Trump’s victory in the US elections. Other cryptocurrencies such as dogecoin which is the favorite coin of Elon Musk, a strong Trump supporter, also posted gains. On November 29, CNBC reported that Bitcoin was on pace to post a 38% gain for November which would make the month its best since February.
While Tom Lee, Fundstrat Capital CIO, is confident that Bitcoin is going to close well above $100,000 before year-end as he joined CNBC, Bitwise’s Matt Hougan previously appeared on CNBC to call the market a win-win post-election. According to him, there is a clear path right up to $100,000 by 2024’s end while $200,000 is completely reasonable for 2025 considering that the trend is up and is going to stay intact for a while. As of December 5, Bitcoin is trading at $101,158.
Meanwhile, there is a noticeable shortage on the supply side. Frank Speiser, Metafide CEO joined ‘The Exchange’ to discuss his Bitcoin outlook on November 29. He mentioned ETF inflows being at record highs, an intention by the new administration to assemble a strategic Bitcoin reserve, and smaller trades simultaneously showing up on the market. However, there is not enough Bitcoin to satisfy the current rising demand.
An interesting new statement on the US crypto market was recently made by Fed Chair Jerome Powell as he called Bitcoin a competitor for gold, not the U.S. dollar, negating the stance of those crypto fans who see Bitcoin as a possible replacement for the dollar. Powell sees Bitcoin as a speculative asset such as gold, rather than something comparable to a currency.
With the new administration expected to legitimize digital assets and Bitcoin surpassing $100,000, the market is yet to see how things unfold. With that being said, let’s move to the 10 best bitcoin and blockchain stocks to buy right now.
Our Methodology:
In order to compile a list of the 10 best bitcoin and blockchain stocks to buy right now, we used stock screeners and relevant ETFs to make a list of the most dominant companies. Moving on, we shortlisted the top 10 stocks from our list which had the highest number of hedge fund holders. The 10 best bitcoin and blockchain stocks to buy right now have been arranged in ascending order of their hedge fund holders, as of Q3.
At Insider Monkey we are obsessed with the stocks that hedge funds pile into. The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
10 Best Bitcoin and Blockchain Stocks To Buy Right Now
10. Cipher Mining Inc. (NASDAQ:CIFR)
Number of Hedge Fund Holders: 13
Cipher Mining Inc. (NASDAQ:CIFR) is an industrial-scale Bitcoin mining company that is dedicated to expanding and strengthening the Bitcoin network’s critical infrastructure in the United States. Cipher focuses on the development and operation of bitcoin mining data centers in the country.
Cipher Mining Inc. (NASDAQ:CIFR) is in an attractive industry position to maximize opportunities in both Bitcoin mining and HPC infrastructure. The firm is seeking its first HPC tenants while also continuing to build out its bitcoin operations. Cipher is leveraging the broad skill sets of its operations and construction teams which have extensive experience building tier 3 data centers. It is also powering an extremely efficient fleet of rigs with industry-low costs for electricity through the fleet upgrade at Odessa.
The third quarter was busy for the firm as it completed the acquisition of the Barber Lake data center site and the acquisition of the Reveille data center site. Cipher also signed option agreements to purchase or lease 3 sites in Texas with the targeted power capacity of 500 MW each, that are suitable for bitcoin mining and HPC.
Cipher Mining Inc. (NASDAQ:CIFR) produced 202 BTC in the recent month, November. Simultaneously, the firm continued to upgrade the mining fleet at Odessa and develop the new Black Pearl data center. While the firm expects to complete the Odessa upgrade by year-end, Black Pearl’s development is all set for energization by the end of Q2 2025.
9. Bitfarms Ltd. (NASDAQ:BITF)
Number of Hedge Fund Holders: 14
Bitfarms Ltd. (NASDAQ:BITF) is a global leader in vertically integrated Bitcoin data center operations. The company runs vertically integrated mining operations with onsite technical repair, proprietary data analytics, and company-owned electrical engineering and installation services. The firm has 12 operating Bitcoin data centers and 2 under development, and hosting agreements with 2 data centers, in four countries including Canada, the US, Paraguay, and Argentina.
Bitfarms Ltd. (NASDAQ:BITF) manages one of the largest internationally diversified portfolios of energy contracts in the Bitcoin data center business. The firm is currently diversifying its portfolio beyond BTC mining, including HPC/AI, hosting, heat recapturing, energy generation, and trading, while it expands in the US, particularly in the attractive PJM region.
The firm recorded third-quarter revenue of $45 million, up 30% year-over-year. It continues to make progress on its fleet upgrade program and deployed 5,400 additional miners during the quarter. Bitfarms was successful in achieving its efficiency target of 21 w/TH three months ahead of schedule. Thus, the quarter went well despite being the first full quarter after Bitcoin halved, record low hashprices for the Bitcoin mining industry, and a 62% year-over-year rise in network difficulty.
In November, Bitfarms Ltd. (NASDAQ:BITF) accomplished an operating hashrate of 12.8 EH/s with the initial deployment of miners to Stronghold Digital Mining’s sites in Pennsylvania under the two hosting agreements previously announced. Almost 75% of Bitfarms’ hashrate is expected to come from North American data centers by 2025’s first half with the aforementioned hosting agreements supporting a total of approximately 4 EH/s. The firm had previously announced its acquisition of Stronghold Digital Mining which is expected to make Bitfarms all set to increase its energy portfolio to over 950 MW by year-end 2025.
8. CleanSpark, Inc. (NASDAQ:CLSK)
Number of Hedge Fund Holders: 16
CleanSpark, Inc. (NASDAQ:CLSK) develops infrastructure for Bitcoin. The Bitcoin miner owns and operates multiple data centers that primarily run on low-carbon power. The firm uses a sustainable energy mix comprising nuclear, hydroelectric, solar, and wind to mine Bitcoin in a responsible manner.
The firm remains focused solely on bitcoin mining as other miners are exploring AI infrastructure and believes this focus positions it well for delivering long-term value. The firm has sustained its growth trajectory and recently closed a strong year which solidified its position as one of the top Bitcoin miners in the world. For the fiscal year ended September 30, CleanSpark, Inc. (NASDAQ:CLSK) witnessed a revenue growth of 125% year over year. The firm encountered the fourth halving event in Bitcoin’s history more successfully as compared to many of its industry peers.
In the month of November, CleanSpark, Inc. (NASDAQ:CLSK) mined 622 bitcoin and achieved daily production high of over 21 bitcoin. The firm is making ample efforts to achieve its year-end hashrate goal of 37 EH/s. While two turnkey bitcoin mining sites near Clinton have been completed, the firm anticipates expansion projects in Tennessee to go live soon.
7. Riot Platforms, Inc. (NASDAQ:RIOT)
Number of Hedge Fund Holders: 19
Riot Platforms, Inc. (NASDAQ:RIOT) is a leading vertically integrated Bitcoin mining and digital infrastructure company. The firm has Bitcoin mining data center operations based in central Texas and Kentucky while the electrical switchgear engineering and fabrication operations are in Denver and Colorado. Riot operates through two primary business segments including Bitcoin Mining and Engineering after the termination of the Data Center Hosting business.
With a strong vision to be the world’s leading Bitcoin-driven infrastructure platform, Riot serves as an industry leader in vertically integrated Bitcoin mining. The firm has a significant scale of operations and anticipates achieving a total self-mining hash rate capacity of 34.9 EH/s by the end of 2024. As of the recent quarter, Riot boasted an industry-leading financial position, with $590.6 million in working capital, including $355.7 million in cash on hand and $190.1 million in marketable equity securities.
During the third quarter, the first full quarter past the Bitcoin halving event, Riot was successful in witnessing significant growth and maintaining low power costs. The firm posted $84.8 million in revenue, a 65% increase over the prior year period, driven by a 159% year-over-year rise in deployed hash rate to 28 EH/s at the end of the quarter.
In November, Riot Platforms, Inc. (NASDAQ:RIOT) mined 495 Bitcoin which reflects consistent month-over-month production regardless of a 7% increase in network difficulty during the month. The firm’s operating hash rate increased 13% month-over-month. Riot continues to deploy new miners and improve operations to increase its hash rate utilization further.
6. Hut 8 Corp. (NASDAQ:HUT)
Number of Hedge Fund Holders: 22
Hut 8 Corp. (NASDAQ:HUT) is a Bitcoin mining company that has self-mining, hosting, managed services, and traditional data center operations across North America. The firm has a portfolio comprising 20 sites including 10 Bitcoin mining, hosting, and managed services sites in Alberta, New York, and Texas, 4 power generation assets in Ontario, 5 high-performance computing data centers in British Columbia and Ontario, and one non-operational site in Alberta.
Hut 8 Corp. (NASDAQ:HUT) serves as one of North America’s largest Bitcoin miners and a leading vertically integrated operator of large-scale energy infrastructure. Its unique business model revolves around profitable digital asset mining, high-performance computing, and yield programs that complement its self-mined Bitcoin reserves’ value.
The firm’s revenue for the third quarter was $43.7 million, as compared to $21.7 million in the prior year period. The firm took certain initiatives to strengthen its competitive position in both AI and Bitcoin mining as well as to drive top-line growth during the quarter. Some of these include the launch of its GPU-as-a-Service business and a partnership with BITMAIN to develop and host approximately 15 EH/s of the U3S21EXPH, a next-generation ASIC miner, under a colocation agreement.
Strategic partnerships across the value chain are fundamental to the firm’s approach to building a next-generation energy infrastructure platform. In November, Hut 8 Corp. (NASDAQ:HUT) announced an initial ASIC fleet upgrade with the purchase of 31,145 BITMAIN Antminer S21+ miners. The upgrade is expected to improve average fleet efficiency from 31.7 to 19.9 J/TH and increase self-mining hashrate by approximately 66%.
5. Iris Energy Limited (NASDAQ:IREN)
Number of Hedge Fund Holders: 28
Iris Energy Limited (NASDAQ:IREN) owns, builds, and operates data centers and electrical infrastructure to mine Bitcoin. The company’s business model has been built on sustainably-mined Bitcoin. Its sites are powered by 100% renewable energy. The company’s facilities are optimized for Bitcoin mining, AI cloud services, and other power-dense compute.
The firm’s bitcoin mining business is robust as it is about to achieve its 31 EH/s milestone and has also announced the acceleration of its growth trajectory to 50 EH/s in H1 2025, which was previously H2 2025. As compared to other public miners, the firm has a lower all-in cash cost per bitcoin through best-in-class efficiency, high uptime, operating leverage, and lower electricity cost as the Childress site scales.
For Q1 FY25, Iris Energy Limited (NASDAQ:IREN) recorded Bitcoin mining revenue of $49.6 million which declined over the year, as a result of an increase in network difficulty and lower Bitcoin prices which was offset by growth in operating hashrate during the month of September. Simultaneously, there was a 28% year-over-year increase in AI Cloud Services revenue.
Following the energization of its Childress Phase 3 substation, the firm has successfully increased its installed capacity from 21 EH/s to 28 EH/s. Childress Phase 3 construction is nearing completion and the firm expects to achieve 31 EH/s of installed capacity in December. As of Q3, Iris Energy Limited (NASDAQ:IREN) is held by 28 hedge funds and ranks on our list of the best bitcoin and blockchain stocks to buy.
4. TeraWulf Inc. (NASDAQ:WULF)
Number of Hedge Fund Holders: 35
TeraWulf Inc. (NASDAQ:WULF) specializes in developing and operating fully integrated, sustainable facilities supporting Bitcoin mining and AI/HPC applications. The firm generates revenue primarily through Bitcoin mining, leveraging predominantly zero-carbon energy sources. As of September 30, the firm owned and operated, either independently or through a joint venture, two bitcoin mining facilities, the Lake Mariner Facility and the Nautilus Cryptomine Facility. In October, TeraWulf sold its entire 25% equity interest in the joint venture that owns the Nautilus Cryptomine Facility.
TeraWulf is positioned to maximize profitability and growth by delivering low-cost Bitcoin production with scalable HPC hosting infrastructure. The firm is leveraging its success in Bitcoin mining as the foundation for expanding into alternative compute hosting, a strategic move that aligns perfectly with the rising demand for high-power data center capacity. Recently, the firm entered into a new, long-term ground lease agreement at Lake Mariner extending both term and land area to support its expansion into HPC hosting.
During the third quarter, TeraWulf Inc. (NASDAQ:WULF) self-mined 555 bitcoin across the Lake Mariner and Nautilus Cryptomine facilities. Revenue rose to $27.1 million in Q3 2024 compared to $19.0 million in the prior year period. As of September 30, 2024, the firm has a total self-mining hashrate capacity of 10.0 EH/s, an increase of 100% year-over-year.
November was a good month for TeraWulf Inc. (NASDAQ:WULF) as it mined 115 bitcoin with an average daily production rate of nearly four bitcoin. It achieved 8.4 EH/s of operational self-mining capacity, up 68% year-over-year. Additionally, the firm completed critical electrical upgrades to support Lake Mariner HPC hosting and mining buildings. WULF remains on track to deliver 72.5 MW of HPC hosting capacity by the end of Q2 2025.
3. Coinbase Global, Inc. (NASDAQ:COIN)
Number of Hedge Fund Holders: 42
Coinbase Global, Inc. (NASDAQ:COIN) offers an online platform for buying, selling, saving, earning, transferring, and using cryptocurrency. The firm also provides critical infrastructure for onchain activity and support builders. In 2023, the firm was reported to hold 5% of the global Bitcoin supply making it one of the largest Bitcoin holders globally.
Coinbase offers a comprehensive platform that powers the crypto economy comprising 245,000 ecosystem partners in over 100 countries The firm mentions five key strengths behind this platform which include trust, crypto-first technology, easy-to-use products despite the complex underlining technology, repeatable innovation, and significant scale as it securely stores over $90 billion in assets on the platform.
The third quarter went promising for Coinbase Global, Inc. (NASDAQ:COIN) as the firm marked its 7th consecutive quarter of positive adjusted EBITDA. The firm has tried to diversify its revenue over the years away from transaction fee revenue as it has shifted more of that to subscription and services revenue. In this regard, COIN is all set to surpass $2 billion in subscription and services revenue in 2024. The firm witnessed average native unit growth across staking, on-platform USDC, and custody despite softer market conditions in Q3.
In terms of reputation, Coinbase clearly wins as it serves as one of the longest-running crypto platforms where customers haven’t experienced a loss of funds as a result of a security breach. With a market-leading share of assets and one of the most trusted platforms for managing crypto globally, Coinbase is a known name in the crypto industry.
2. Core Scientific, Inc. (NASDAQ:CORZ)
Number of Hedge Fund Holders: 58
Core Scientific, Inc. (NASDAQ:CORZ) is a leader in digital infrastructure for Bitcoin mining and high-performance computing. The firm has scaled its operations over the years to be the first digital asset miner in North America to achieve 100, 250, and 500 megawatts of operating capacity. The firm engages in Bitcoin mining and offers hosting services for Bitcoin mining and high-performance computing customers at its nine operational data centers.
The market position of Core Scientific remains strong as one of the largest bitcoin miners in North America. The firm has been a top producer of bitcoin among public self-mining peers since 2021. The firm’s largest owned infrastructure capacity for Bitcoin mining and hosting in North America positions it for continued growth and market leadership.
Core Scientific, Inc. (NASDAQ:CORZ) is also uniquely positioned to capitalize on the strong and sustained demand for high-power data center capacity. The firm has successfully contracted nearly 500 megawatts of revenue-generating critical IT load, that it expects to generate $8.7 billion over the life of the contracts. CORZ has also reallocated 100 megawatts of infrastructure previously designated for bitcoin mining to its HPC business thereby raising its total HPC hosting capacity to 800 megawatts with 400 megawatts designated to the firm’s bitcoin mining business.
1. Block, Inc. (NYSE:SQ)
Number of Hedge Fund Holders: 64
Block, Inc. (NYSE:SQ) is a technology company focusing on financial services. Block comprises Square, Cash App, Spiral, TIDAL, and TBD. Square offers an integrated ecosystem of commerce solutions, business software, and banking services for sellers to grow their business while Cash App allows sending, spending, or investing money in stocks or bitcoin. Spiral advances the use of Bitcoin by building and funding free, open-source projects while TIDAL is a platform for musicians and their fans. TBD eases access to Bitcoin and other blockchain technologies.
The core businesses of Block, Inc. (NYSE:SQ) remain robust with strong gross profit growth for both Square and Cash App. The firm has also expanded its addressable market over time. With Square representing an approximately $130 billion gross profit opportunity and Cash App representing a nearly $75 billion gross profit opportunity in the US, the market potential is solid. The strong profitable growth across Block depicts that its ecosystems are efficiently delivering differentiated value to its customers.
In the third quarter, Block’s gross profit rose 19% year-over-year to $2.25 billion. Square generated a gross profit of $932 million, up 16% year-over-year, due to strength in its software and integrated payments and banking products. Cash App generated a gross profit of $1.31 billion, up 21% year-over-year, driven by strong performance across Cash App Card, Cash App Borrow, and BNPL platform. Overall, the firm delivered year-over-year improvement across all profitability measures.
While we acknowledge the potential of SQ as an investment, our conviction lies in the belief that some deeply undervalued AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for a deeply undervalued AI stock that is more promising than SQ but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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