According to Reddit, these are the 10 best NFT stocks to invest in right now. If you don't want to read about NFTs and these stocks in great detail, you can just go straight to Reddit's list of 5 NFT Stocks to Buy.
When it comes to blockchain-based digital asset storage, non-fungible tokens, or NFTs, are digital assets that can include anything from art to photos to videos to audio files. One NFT is distinct from another, unlike traditional digital assets like Bitcoin or Ethereum. So content creators are better able to convey the true worth of a product or brand online. With sales of $25 billion, retail investors and hedge funds alike pumped money into NFTs in 2021, which exploded in popularity.
Despite the fact that NFTs have been available since 2014, it wasn't until 2021 that investors began actively interested in NFT trading. In March 2021, former Twitter, Inc. (NYSE:TWTR) CEO Jack Dorsey sold a tweet as an NFT for $2.9 million, joining the crypto craze of celebrities and high-profile individuals. An NFT from the "Bored Ape" avatar collection that resembled Eminem's features was purchased by the American rapper on January 4, 2022 for $450,000. As a result of him using the NFT as his Twitter profile picture, demand for the $280,000 Bored Ape NFT avatars has increased significantly.
The rise in interest in the metaverse has also fueled the blockchain technology, crypto, and NFT craze. The NFT craze is catching on with major players in the market. Luxury fashion brands such as Gucci, D&G and Burberry Group plc (OTC:BURBY) have released virtual wearables, Visa Inc. (NYSE:V) purchased a 24x24 pixel image from the CryptoPunks NFT collection, and NIKE, Inc. (NYSE:NKE) purchased a virtual sneaker and collectibles company.
In order to get a better sense of Reddit users' opinions on the best NFT stocks, we scoured Reddit threads extensively and picked out the 5 most popular stocks. Hedge fund sentiment and analyst ratings around the stocks have been included to provide additional context for each company.
According to Insider Monkey's tracking of 867 hedge funds in the first quarter of 2022, we've ranked the companies on this list in order of popularity.
Top NFT Stocks to Buy According to Reddit
Dolphin Entertainment, Inc. (NASDAQ:DLPN)
Multi-media marketing companies owned by Dolphin Entertainment Inc.(NASDAQ:DLPN) assist the company in developing films, television, digital programming, live events and related intellectual property.
According to a joint announcement made on August 2 by Dolphin Entertainment and FTX.US owner West Realm Shire Services Inc, the companies are joining forces to create an NFT marketplace for major sports and entertainment brands. FTX and Dolphin Entertainment, Inc. (NASDAQ:DLPN) will combine their expertise in cryptocurrency with Dolphin's creative and marketing capabilities.
Creature Chronicles: Exiled Aliens, the first NFT collection from Dolphin Entertainment, Inc. (NASDAQ:DLPN), launched on November 22, 2021 and features 10,000 custom avatars representing an ancient race of unique creatures. So that the fan experience grows and evolves, Dolphin Entertainment plans on launching more NFT series games. There has been a rapid rise in the number of Redditors in Dolphin Entertainment's board of directors.
Dolphin Entertainment, Inc. announced its third quarter 0f 2021 results on November 19, reporting GAAP earnings per share of $0.02, beating expectations by a penny. A year-over-year increase in revenue of 47.08 percent to $9.40 million outpaced expectations by $562,480.
Oriental Culture Holding LTD (NASDAQ:OCG)
There were two hedge fund positions worth $4.73 million in Dolphin Entertainment, Inc. (NASDAQ:DLPN) in Insider Monkey's Q3 data.
There are many different types of listed NFT products offered by Oriental Culture Holding LTD (NASDAQ:OCG), including paintings, stamps, coins, postage seals, and collectible cards. Oriental Culture Holding LTD is a Chinese company that provides online services for the digital art and collectibles. In the NFT market, Oriental Culture Holding LTD (NASDAQ:OCG) is one of the notable Chinese players.
Oriental Culture Holding LTD (NASDAQ:OCG) released its first-half 2021 financial results on November 3. An 880 percent increase in EPS and revenue was reported for the year.
This represents an increase from the previous quarter, when one hedge fund held a $217 million position, to three funds reporting a $486 million stake in Oriental Culture Holding LTD (NASDAQ:OCG) in the third quarter of 2021.
In the third quarter, Marshall Wace LLP, owned by Paul Marshall and Ian Wace, purchased 79,474 shares of Oriental Culture Holding LTD (NASDAQ:OCG) for a total value of $313,000.
There are a number of other notable NFT stocks, such as PLBY Group, Inc. (NASDAQ:PLBY), eBay Inc. (NASDAQ:EBAY), and Funko, Inc. (NASDAQ:FNKO), all of which are gaining in popularity.
WISeKey International Holding AG (NASDAQ:WKEY)
NASDAQ-listed WISeKey International Holding AG (NASDAQ:WKEY) provides blockchain, AI, and IoT users with comprehensive digital security solutions. WISeKey International Holding AG (NASDAQ:WKEY) has billions of microchips that collect big data, allowing it to anticipate industrial equipment failures before they occur.
On November 23, the company announced that it had signed a partnership agreement with Luminaries21.com and the OISTE.ORG Foundation to develop non-fungible tokens for world leaders, celebrities, and influencers only. For the sake of assisting the UN's global sustainable development goals as well as other humanitarian organizations, the NFTs will be linked to a variety of social causes.
As of January 13, WISeKey International Holding AG (NASDAQ:WKEY) has announced that it is developing an NFT ecosystem that will verify the authenticity of NFTs via secure telecommunications from space into devices. The stock of WISeKey International Holding AG (NASDAQ:WKEY) rose 8% after this announcement.
On December 10, Maxim's Matthew Galinko initiated coverage of WISeKey International Holding AG (NASDAQ:WKEY) with a Buy rating and a $11 price target.
One hedge fund reported a $122,000 stake in WISeKey International Holding AG in the third quarter of 2021. (NASDAQ:WKEY).
Funko (NASDAQ:FNKO)
As a manufacturer of physical and digital collectibles, Funko (NASDAQ:FNKO) is well-known. Last year, it entered the NFT market with the Digital Pop. Despite Funko's $1 billion business, the company is underappreciated.
34 percent of Funko's $679 million market capitalization on the stock market is less than its revenues. Also in the fourth quarter of 2021, Funko's revenue increased by 48 percent, compared to 40 percent growth in the third quarter. This quarter's earnings are almost certainly going to be even higher.
Moreover, despite the rapid rise in revenue, the stock price has remained stable for nearly a year. Fenno will be in a unique position if NFTs and collectibles become even more popular.
Because FNKO is currently undervalued, it is an excellent investment opportunity.
Ahead of publication, Omor Ibne Ehsan had no positions (direct or indirect) in any of the stocks discussed here. According to the InvestorPlace.com Publishing Guidelines, the opinions expressed in this article are those of the author and are subject to change.
Coinbase(NASDAQ:COIN)
Shares of Coinbase (NASDAQ:COIN) have recently underperformed. The crypto broker, on the other hand, is looking to new initiatives to speed up growth in 2022. Coinbase's new NFT marketplace will be one of its subscription and service offerings.
According to the company, the launch of its NFT platform is imminent, and it expects Mastercard's partnership to make credit card purchases easier for users.
In early to mid-2022, the NFT market is expected to begin trading. More than 2 million people have already signed up for Coinbase's NFT marketplace, which will initially offer Ethereum-based NFTs.
NFT will be a major catalyst for Coinbase's stock in 2022, when it launches its NFT platform. Right now, buying the stock might be a good investment. Coinbase shares have lost more than 40% of their value since November 2021, when they were at their highest point. Over the next year, the stock is expected to rise by more than 80% on Wall Street's strong "buy" recommendation.
Bottom Line
If you want to get a taste of the non-fungible token (NFT) market, one of the best ways to do so is to invest in stocks and not be directly involved in the industry. Due to there is no way for buying, selling or trading NFTs without a cryptocurrency wallet. However, there are a number of NFT businesses that can be bought and sold on the stock market.
If you prefer buying NFTs and looking forward to their value rises, you put all your eggs in one basket, which is a risk investment.
