Cryptocurrency has captured the attention of many over the past year, with investors clamoring for exposure following the bullish move.
On today's episode of CNBC Crypto World, Trump Media & Technology Group files to list a new crypto ETF that would track several digital assets, including bitcoin, ether, XRP and SOL. Plus, Robinhood CEO Vlad Tenev defends the platform's OpenAI and SpaceX stock tokens following concerns over how they're structured.
Robinhood Markets (NASDAQ:HOOD) stock rose by nearly 26% over the last month due to several significant developments. Most notably, the company introduced tokenized stocks, which are essentially blockchain-based equity derivatives allowing the trading of over 200 U.S. stocks and ETFs by customers in the European Union.
Circle Internet is a unique, profitable stablecoin pure play with strong top-line growth and expanding margins. USDC's adoption is accelerating, with real-world use cases like Shopify integration driving a massive total addressable market (TAM) expansion. Unlike many tech IPOs, CRCL is already profitable with impressive 43% margins. Analysts project that a massive operating leverage will drive margins toward 58% by 2027.
As Bitcoin holds firm near $107K, CME, ACN, V, and PYPL emerge as crypto-centric stocks with growth potential in 2025.
The bigger picture is that there's still a lot of optimism about crypto.
Coinbase's profitability surge is underpinned by secular crypto tailwinds and a shift to high-margin, recurring revenue streams beyond trading. Dominance in ETF custody, rapid Base adoption, and USDC/derivatives growth anchor predictable, diversified revenue, reducing reliance on volatile retail trading. Financials are robust: a fortress balance sheet, expanding margins, and recurring revenues now cover fixed costs regardless of crypto market cycles.
The brokerage will allow European customers to trade more than 200 U.S. stocks and ETFs as digital tokens and is developing its own blockchain.
Crypto stocks COIN, HOOD, HUT, IREN, MARA rally as Trump's ceasefire deal, a new Senate bill to reduce SEC oversight and stablecoin bill fuel sector optimism.
Upgrading Galaxy Digital to Buy after recent pullback, as risk-reward has improved and technicals look supportive for a new uptrend. Helios data center transition offers stable, high-margin recurring revenue, reducing reliance on volatile crypto markets and boosting long-term sustainability. Valuation is reasonable at current levels, with potential for 36-37% upside if crypto market sentiment improves.
As Bitcoin rebounds past $105K after a ceasefire, CME, ACN, V and PYPL emerge as crypto-centric stocks with upside potential.
Coinbase is set to benefit from stablecoin adoption and its strategic partnership with Circle, driving stable, recurring revenue growth. The company's shift toward subscriptions and services, especially via Coinbase Base, diversifies its business beyond volatile trading fees. Despite competitive risks and margin pressures, my valuation of $394 per share offers a 28% premium, with an 86% probability of upside.