Bitcoin is rallying again, and this time it’s in large part to billionaire financier George Soros’ endorsement.
Dawn Fitzpatrick, CEO and chief executive officer of Soros Fund Management, told Bloomberg last week that Soros’ family office owns “some coins, but not a lot.”
The news sent the price of Bitcoin up nearly 10% to around $55,000.
Known as "the man who broke the Bank of England," Soros bet against the British pound in 1992 and made more than $1 billion. So it’s no surprise that his crypto endorsement was applauded by investors — particularly because he described Bitcoin as a "typical bubble" back in 2018.
“I'm not sure bitcoin is viewed only as an inflation hedge here. It's crossed the chasm to mainstream,” said Fitzpatrick.
There are many ways to play the Bitcoin boom, including owning the coins like Soros.
But remember: cryptocurrencies are highly volatile.
If you don’t like that kind of roller coaster ride, there are companies that have tied themselves to the crypto market. Some of them might be worth pouncing on with your spare change.
Coinbase Global (COIN)
If you’ve ever bought Bitcoin from an exchange, you’ll know that there’s typically a transaction fee involved. And these transaction fees quickly add up.
That’s where Coinbase found its opportunity.
As the largest cryptocurrency exchange in the U.S., it earns a transaction fee every time someone buys or sells cryptocurrency on its exchange.
In Q2 of 2021, Coinbase’s retail monthly transacting users grew 44% sequentially to 8.8 million. It earned $1.9 billion in transaction revenue and over $100 million in subscription and services revenue.
To be sure, Coinbase shares currently trade at nearly $250 apiece. But you can get a piece of the company using a popular stock trading app that allows you to buy fractions of shares with as much money as you are willing to spend.
Digital payments technologist Square has seen its shares skyrocket more than 280% over the past two years. And crypto has plenty to do with it.