I am a HUGE fan of the blockchain space… And the most important blockchain is Bitcoin. I will keep pounding the table for that. But that doesn't mean Bitcoin is the only blockchain-related investment I'm a fan of.
My most loyal readers know I'm a huge fan of this stock. In fact, it's my favorite blockchain stock to buy right now.
This company supports the Bitcoin blockchain through a process called mining.
Now, I've been asked hundreds of times to explain what Bitcoin mining is – and I understand why. The concept seems completely foreign and difficult to grasp.
But at its core, Bitcoin mining is how Bitcoin transactions are processed. And as a reward for processing these transactions, miners receive a reward. This reward has changed over time, but right now, miners receive a reward of 6.25 BTC.
Now, why wouldn't EVERYONE do this, if they can receive 6.25 BTC out of thin air?
Well, in order to mine Bitcoin, miners compete to solve mathematically complex problems. The miner who solves the problem first adds the next “block” to the Bitcoin blockchain. Solving these problems requires a massive amount of computing power. Because of this, Bitcoin miners need very specific and powerful equipment in order to compete.
They also need to be resourceful to gain access to cheap, clean energy. And that's where RIOT stands out from the rest.
Riot Blockchain, Inc. is a Bitcoin mining startup (worth about $2.1 billion) based in the United States that is rapidly increasing industrial scale mining to support the Bitcoin blockchain.
But one of Bitcoin mining's biggest challenges is government interference due to its perceived impact on the environment. These concerns create an easy target for politicians to shut down mining operations.
But according to InvestorPlace, 88% of the electricity it generates from its Massena, NY operation is from zero-emission sources, giving it a robust defense against this kind of attack.
But that's not the only advantage RIOT has going for it.
Riot believes that future bitcoin mining operations in the United States will help the industry, and it aspires to be a part of that future.
Even with Bitcoin's recent dip, Riot Blockchain Inc. (RIOT) stock has still gained over 1,100% in the last 12 months.
That's compared to just 40% for the S&P 500. And the average rating from Wall Street analysts is a “Strong Buy.”
I agree with that consensus rating, and expect Riot to easily continue outperforming the S&P 500 (along with Bitcoin) throughout 2021.
Take advantage of the recent crypto volatility and “buy the dip” on RIOT stock.
The Fed just injected trillions of new dollars into the economy. And this specific asset is BOOMING as a result. The “Smart Money” is already scrambling to get in. Take action now and this asset could hand you 10X returns in the coming months.