Apologies if there is already a thread on this topic. I did scroll down for a few minutes but was unable to find one.

The bull case for investing in this sector is the anticipated crypto bull which is expected to run from now until November/December 2021, the institutional buy in of crypto assets by the likes of Paul Tudor Jones, Visa, Mastercard etc, and the political acceptance of bitcoin as highlighted by the Federal Court declaration that bitcoin is officially "money".

Looking around the UK universe there aren't many blockchain stocks to choose from. One I am invested in personally is Argo Blockchain (ARB). This is a very low debt company with 720PH of bitcoin mining capacity which resulted in the mining of 165 bitcoin in July at a mining margin of 34%. They also have 280ms of ZEC hashrate which is approximately 7% of global ZEC hashrate. Both BTC and ZEC have had very strong months and the consensus is that this is just the start of a bull run which could result in $100k BTC.

Interestingly, Argo lags behind its US contemporaries Riot Blockchain (RIOT) and Marathon Patent Group (MARA) both of which produce significantly fewer crypto assets every month but are worth many multiples of their poor UK cousin. Riot currently only mines 50PH though this is set to rise to 566PH when new machines are installed yet its MCAP is $120m. Marathon only mines 25PH rising to 250PH this year and is valued at $60m. Meanwhile Argo on 720PH + 280ms ZEC is worth only $20m

I am beginning to think the UK market does not like blockchain and crypto stocks! I welcome your comments here.

Unlock the rest of this article with a 14 day trial

Already have an account?
Login here