Why invest in crypto stocks
Crypto stocks are currently all the rage—and not just on X and Reddit. Media outlets like Cointelegraph, CNBC, and Bloomberg are reporting on the recent rally, with Cointelegraph even dubbing it "stablecoin summer." This momentum is being fueled by positive legislation like the GENIUS Act.
But why should you buy a stock? For one thing, you get exposure to the crypto market without having to deal with wallets, private keys, or on-chain risks. You also benefit from regulatory clarity—publicly listed companies are required to disclose far more than most crypto projects ever will.
You also benefit from the growing trend toward institutional investors. With the increasing discussion surrounding Solana ETFs and tokenized stocks, stocks tied to blockchain infrastructure look like early picks in a rapidly growing sector. And that's why companies like Sol Strategies are on investors' watchlists.
Crypto Penny Stocks vs. ICOs
Both penny crypto stocks and ICOs allow you to gain low-cost exposure to the crypto space, but they play by very different rules.
Penny crypto stocks are shares of small-cap blockchain companies that trade for less than $5, often on the over-the-counter (OTC) market. They are lightly regulated, offer some equity participation, and can experience large fluctuations—positive or negative—due to hype alone.
ICOs, on the other hand, allow you to invest directly in blockchain projects by purchasing the corresponding tokens. Typically, there's no equity involved, only utility or speculative value. They're less regulated, which means greater access—but also much greater risk. Most people point to Ethereum as the most well-known ICO cryptocurrency.