Close menu




January 18th, 2021 | 12:53 CET

Riot Blockchain, Upco International, Microsoft - Game changer Blockchain - more than just Bitcoin!

  • Blockchain
Photo credits: pixabay.com

Blockchain is more than just Bitcoin. This cryptographic chaining process in a decentralized "accounting system" forms the technological basis for the cryptocurrency and allows for other diverse applications. Profound upheavals are on the horizon in many areas of the economy, with currencies, payment services and assets just a few examples. A vast field of application is blockchain-based contracts, so-called smart contracts stored in a programming language. In general, blockchain offers the advantages of tamper-resistance and lower transaction costs, among others. But the technology also comes up against limitations with some adverse side effects such as low efficiency and high energy consumption. Blockchain is not a cure-all, but the market for a wide variety of areas is enormous and enables providers to grow dynamically, sometimes exponentially, in the long term. We introduce you to three profiteers of the blockchain growth trend.

time to read: 2 minutes | Author: Carsten Mainitz
ISIN: CA9152971052 , US7672921050 , US5949181045

Table of contents:


    RIOT BLOCKCHAIN INC - Potential vs. Valuation

    Riot Blockchain is focused on mining bitcoin. Based in the US state of Colorado, the Company holds minority investments in the blockchain space.

    Riot is one of the largest publicly traded bitcoin miners operating and based in the US. It is gradually expanding its capacity and also implementing various measures to increase efficiency. As a miner of Bitcoins, the Company benefits directly from their appreciation in value. Riot's share price has multiplied in recent weeks in the wake of the bull market in cryptocurrencies. While the share price was still less than USD 4 in November, it reached USD 18 by the end of the year and then recently climbed to USD 30. At the current price level of around USD 25, the Company is valued at USD 1.7 billion.

    In our opinion, the share price currently contains too many premature praises and the probability of a continuing price correction is high. Investors should keep in mind that Riot has not been profitable so far. Analysts expect a fivefold increase in sales to USD 50 million in the current year. But below the line, only USD 0.02 per share should remain as profit. The value of the minority interests also does not provide a justified explanation for a company valuation of well over USD 1 billion at this point. Nevertheless, Riot is a long-term beneficiary of rising Bitcoin prices and its holdings' operational progress. After a price correction, the stock is worth a look again.

    UPCO INTERNATIONAL INC - blockchain revaluation underway?

    The share price of Upco International increased significantly in recent weeks. In our opinion, the increase does not stem from developments in the core telecommunications business but is based on the potential of other "digital services." Specifically, this involves a proprietary blockchain-based solution for payment services.

    Upco is a licensed global telecom carrier in the international VoIP (Voice over IP) wholesale business and operates primarily in niche markets. However, the fantasy for the stock, with the potential to revalue the Company, is UpcoPay. UpcoPay is an innovative, secure, and convenient direct payment solution between individuals and merchants. UpcoPay is expected to complement an e-wallet before the end of the year, including to top-up balances or enable payments via the app.

    At the beginning of December, the stock was trading at just CAD 0.04, rising to CAD 0.17 in January. At the current CAD 0.14, the Company is still very moderately valued at just under CAD 13 million. Upco can convert existing telecom customers to "pay" and also attract other customer groups. According to the Company's statement, an important milestone is a proof-of-concept, which will initially be provided in Europe this year. If this is successful, the share will still have a long way to go before reaching its highs.

    MICROSOFT CORPORATION - Basic Investment

    The tech giant now has a market capitalization of USD 1.6 trillion. For the current year, analysts expect consolidated sales of USD 158 billion. That values the Company at about 10 times projected revenue, with a 2021 P/E of 32 and a 2022 P/E of 29.

    Microsoft generates nearly half of its revenue from its Windows operating system and application development tools for servers. The fast-growing cloud computing segment accounts for about a quarter of revenues. The Company also offers a wide range of blockchain/smart contract solutions. After Amazon, Microsoft is the largest cloud provider in the world.

    With the Microsoft share, investors participate in the growth of a broadly positioned, established, and profitable software Company that reflects all relevant trends. The stock is, therefore, a fundamental investment. The Company will present its Q2 figures on January 26.


    Conflict of interest

    Pursuant to §85 of the German Securities Trading Act (WpHG), we point out that Apaton Finance GmbH as well as partners, authors or employees of Apaton Finance GmbH (hereinafter referred to as "Relevant Persons") may in the future hold shares or other financial instruments of the mentioned companies or will bet on rising or falling on rising or falling prices and therefore a conflict of interest may arise in the future. conflict of interest may arise in the future. The Relevant Persons reserve the shares or other financial instruments of the company at any time (hereinafter referred to as the company at any time (hereinafter referred to as a "Transaction"). "Transaction"). Transactions may under certain circumstances influence the respective price of the shares or other financial instruments of the of the Company.

    Furthermore, Apaton Finance GmbH reserves the right to enter into future relationships with the company or with third parties in relation to reports on the company. with regard to reports on the company, which are published within the scope of the Apaton Finance GmbH as well as in the social media, on partner sites or in e-mails, on partner sites or in e-mails. The above references to existing conflicts of interest apply apply to all types and forms of publication used by Apaton Finance GmbH uses for publications on companies.

    Risk notice

    Apaton Finance GmbH offers editors, agencies and companies the opportunity to publish commentaries, interviews, summaries, news and etc. on news.financial. These contents serve information for readers and does not constitute a call to action or recommendations, neither explicitly nor implicitly. implicitly, they are to be understood as an assurance of possible price be understood. The contents do not replace individual professional investment advice and do not constitute an offer to sell the share(s) offer to sell the share(s) or other financial instrument(s) in question, nor is it an nor an invitation to buy or sell such.

    The content is expressly not a financial analysis, but rather financial analysis, but rather journalistic or advertising texts. Readers or users who make investment decisions or carry out transactions on the basis decisions or transactions on the basis of the information provided here act completely at their own risk. There is no contractual relationship between between Apaton Finance GmbH and its readers or the users of its offers. users of its offers, as our information only refers to the company and not to the company, but not to the investment decision of the reader or user. or user.

    The acquisition of financial instruments entails high risks that can lead to the total loss of the capital invested. The information published by Apaton Finance GmbH and its authors are based on careful research on careful research, nevertheless no liability for financial losses financial losses or a content guarantee for topicality, correctness, adequacy and completeness of the contents offered here. contents offered here. Please also note our Terms of use.


    Der Autor

    Carsten Mainitz

    The native Rhineland-Palatinate has been a passionate market participant for more than 25 years. After studying business administration in Mannheim, he worked as a journalist, in equity sales and many years in equity research.

    About the author



    Related comments:

    Commented by Juliane Zielonka on September 25th, 2024 | 07:15 CEST

    PayPal, BlockchainK2, Rheinmetall: Technology pioneers in fintech, SaaS and air defense

    • Blockchain
    • Defense
    • Technology

    Exciting collaborations with growth potential are currently emerging in the tech sector. Under the leadership of new CEO Alex Chriss, PayPal has entered into a partnership with Amazon's "Buy with Prime," thereby achieving a reach booster. BlockchainK2 is revolutionizing the venture capital sector as a holding company: by investing in an advanced SaaS platform for investments, BlockchainK2 could pave the way for rapid value creation in the VC space. The technology has the potential to optimize investment processes, reminiscent of the rapid increase in the value of eBay, which provided VC Benchmark Capital with a 100,000% return in just two years. Rheinmetall is setting new standards in defense technology. Its collaboration with MBDA Germany to develop maritime laser defense systems shows how the Company is applying cutting-edge technologies to security. We take a look at the details.

    Read

    Commented by Armin Schulz on September 24th, 2024 | 07:15 CEST

    Deutsche Bank, BlockchainK2, Commerzbank – Digitization is inevitable in asset management

    • Blockchain
    • Banking
    • Financial

    Asset management is at the center of numerous financial strategies that offer customized solutions to both private and institutional investors. In an era when economic uncertainty and volatile markets have become the norm, banks and professional asset managers play a crucial role in protecting and growing wealth. They navigate complex financial landscapes, offer in-depth knowledge and develop strategies tailored to individual needs. Those who miss out on digitalization will be at a disadvantage. Today, we are taking a look at the major German banks and examining a company that offers digitalization solutions.

    Read

    Commented by Stefan Feulner on September 23rd, 2024 | 07:30 CEST

    The stock of the hour - PayPal, BlockchainK2, Super Micro Computer

    • Blockchain
    • Software
    • AI
    • Technology

    With the key interest rate cut of 0.5 percentage points, the US Federal Reserve Bank triggered a rally that pushed the DAX to an all-time high of over 19,000 points. In particular, capital-intensive technology stocks shifted into bull mode, with the Nasdaq gaining more than 3% over the course of the week. Due to the correction after the Nvidia hype in recent months, the conditions are excellent for an above-average upward movement.

    Read