Blockchain Investment Analysis: Understanding The Cryptocurrency Market

blockchain investment analysis

As we have discussed earlier blockchain we have seen that there is a high demand for blockchain is on the rise, especially on banks and financial institutions. There are six

ways to invest in the blockchain technology. They are:

Invest in Coins and Tokensinvest in coins and tokens

As cryptocurrency is not a blockchain, it is the most direct way to invest in the application of technology. It is also the riskiest option. With coins and tokens, their morals are to check that there is no pump-and-dump scheme either purposely happening and they are not going to get hacked.

The best advice of investing in coins is to do a lot of diligence and spend some money to get all those coins into paper wallets and consider them lost.

Invest in Startups That Exploit Blockchain Technology

The blockchain is not a bitcoin or any other coin. It is a relatively new technology counting on new relatively new transactions. But blockchain is a technology which can solve huge problems, that means investing in a blockchain startup is less risky than investing in cryptocurrency.

Invest in Publicly Traded Blockchain ETFs

This is where the risk factor drops and it is also an easy option. They don’t invest directly on cryptocurrencies so they are a far less risky option. A new concept, there are a number of publicly traded ETFs that track blockchain companies.

Invest time in learning Blockchain Development

To invest in blockchain you must invest in learning blockchain development. It is the best way to low risk, high potential returns and totally manageable.


Investing in stocks is the place to start of how to invest in the blockchain.


Crowdfunding platforms are an easy way for investors to blockchain investing. Crowdfunding is an easy way for innovative projects to obtain money. Blockchain crowdfunding allows startup companies to come up with their own digital currencies to sell.

Blockchain’s Potential will Continue to Spur Public and Private InvestmentBlockchains potential will continue to spur public and private investment

  • Large firms such as Facebook, Google, IBM, Microsoft are developing patented products and services based on blockchain’s digital ledger that can be easily accessed by anyone.
  • The whole blockchain technology is the type of centralized authority that the traditional tech companies represent.
  • Development efforts in both public and private blockchain are seeking to forge new business modes.

Blockchain enables global transactions between parties without going through large internet companies to market goods and services, connect, communicate, execute transactions or process payments. Thus, blockchain users don’t need to pay large concerns for these services.

The battle for blockchain’s potential will continue to spur public and private investment, resulting in the development breakthroughs and attendant corporate moves to consolidate and divest. The crush of the huge companies getting into blockchain is the most renowned blockchain user: bitcoin. A venture is in the works for a public exchange for investing in bitcoin as a currency.

Direct InvestmentDirect Investment

There are many ways to invest in blockchain startups. The easiest way is to buy tokens. There are two different types of tokens and due diligence.

  • Security Tokens: security tokens are the tokens are equivalent of conventional stocks and more easily traded.
  • Utility Tokens: utility tokens are the tokens that give you access to benefits usually a discount on its goods or services. You’ll only get the full benefit of utility tokens if he can make them extremely useful.

ETFs and Indirect InvestmentETFs and Indirect Investment

The other to invest in exchange-traded funds (ETFs) that invest in blockchain startups. This is a less risky way to invest, but not so good if you want to focus on startups. These funds invest across the blockchain sector, making their money off cryptocurrencies and computing companies as well as new businesses.


This is one of the most exciting ways to invest in blockchain startups, the one with the highest risk and rewards is the initial coin offering (ICOs). There is the least information about the startup and so the risk is high of investing in something that will fail.

The Safest Way to InvestThe safest way to Invest

You can invest in ICOs with reduced risks in blockchain startups. If not enough people invest to make a startup viable, then the investments are returned. The chance for high profit is certain but the danger of loss is reduced. Investment in blockchain startups is a chance of both to support the future of computing and to profit from its rise.


There are two types of investors in the blockchain space. One is the traditional VCs, that does not invest in blockchain but spend their money on all emerging technologies. The other type is the blockchain – dedicated VCs that are investing in blockchain projects. According to the data, most of the active investors are the blockchain – dedicated VCs.

As an investment story, most of the well-known companies in the world are hopping on the blockchain and trying to monetize it. Investors who want to make money on the blockchain, need to invest in the companies that are both earning revenues from it today and building the systems that might make for a new revenue stream in the future.

Blockchain buzz in the financial world helps to invest in companies with exposure to it.

Blockchain Investment opportunities: Asymmetric SetupBlockchain Investment opportunities asymmetric setup

This asymmetric setup in the blockchain investment world is not an exception to the principle that only a very small portion of blockchain investments is worth your capital.

Ripple: No.1 Blockchain Investment Opportunity for 2019 and 2020Ripple: No.1 Blockchain Investment Opportunity for 2019 and 2020

The first fundamental of Ripple is that its strongest capability to speed up cross border payments with a factor of 1400. Ripple is close increasing the cross border settlement time 1400 times faster than today. Secondly, Ripple is working to facilitate the tokenization of digital assets. The tokenization of digital assets is speeding up payments one of the blockchain opportunities. Thirdly, Ripple will combine 2 points enabling incentivize tokenized digital assets as an alternative form of payment.

Ripple as a company is working very hard to realize value with its blockchain platform and is increasing the value of its XRP token. Not any other cryptocurrency or blockchain startup that is accessible to the public has such a promising outlook for adoption, commercial growth and fundamentals as a blockchain investment.


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