Crypto stocks represent shares in publicly traded companies with significant exposure to cryptocurrencies or blockchain technology. This includes crypto exchanges (like Coinbase), mining companies (like Riot Platforms), hardware manufacturers (like Nvidia), and even companies holding substantial crypto on their balance sheets (like MicroStrategy).
Investing in crypto stocks offers indirect exposure to the volatile crypto market without directly owning digital assets. While they can benefit from rising crypto prices, they also carry traditional stock market risks alongside crypto-specific volatility, regulatory uncertainties, and security concerns. Due diligence is crucial, as their fortunes are often tied closely to the broader crypto ecosystem.
