Better Than Coinbase: The Best Cryptocurrency to Buy Now

Coinbase stock certainly offers investors a unique opportunity. However, the best cryptocurrency to buy right now offers much more growth potential.

| More on:

Cryptocurrency has been a highly popular subject the last few months; however, in the last week, Coinbase Global (NYSE:COIN) has gained much of that attention. Now investors are trying to figure out whether to invest in the best cryptocurrencies to buy now or Coinbase instead.

Coinbase is a cryptocurrency exchange, a business that is booming along with the entire industry. Not only is the exchange used to buy popular cryptocurrencies like Bitcoin and Ethereum, but it also lists several other coins.

Coinbase and the massive exchanges like it can often contribute to the rally of a particular lesser-known coin just by listing it on its exchange.

This is the type of power and dominance Coinbase has. However, there are some risks and downsides to the business as well.

While Coinbase is one of the most dominant companies in the industry, it has several competitors, including other large exchanges. Not only that, but with all this competition, the exchange relies on the entire industry to boom.

Right now, there are thousands of different digital coins circulating. It goes without saying that the majority of these coins are going to end up worthless, and only the ones with the most use case and popularity will be the ones that survive.

This is a major risk down the road. Just because bitcoin and Ethereum may continue to rally in price over time doesn’t mean the volume of cryptocurrency traded on exchanges is going to continue to increase.

Because of this risk, I would rather have exposure to the top cryptocurrencies that actually have potential themselves.

The best cryptocurrency to buy right now

Instead of Coinbase, I’d recommend Canadians invest in the best cryptocurrency to buy now. You might think that’s Bitcoin for its popularity and potential to continue growing. Ethereum is another high-quality cryptocurrency for the opportunities its blockchain technology has created.

Either cryptocurrency, in my view, will be a better long-term investment than a cryptocurrency exchange such as Coinbase.

That’s why rather than Coinbase, these Canadian stocks offer much better potential.

Canadian crypto stocks to buy instead of Coinbase

If you like Ethereum, you can select a fund like the Ether Fund to gain exposure directly to the cryptocurrency. Ethereum is one of the best, if not the best, cryptocurrencies to buy in my view, so the Ether Fund is my top recommendation.

Another way to gain exposure to Ethereum’s potential is through a higher-risk, higher-reward investment like HIVE Blockchain. HIVE is a tech stock that mines Ether, the native currency of Ethereum, amongst other cryptocurrencies.

If you are more bullish on Bitcoin, however, BitFarms is a high-quality growth stock that exclusively mines Bitcoin.

Otherwise, an investment in the Purpose Bitcoin ETF is a lower-risk investment that gives you direct exposure to Bitcoin.

Coinbase may not be a bad investment today. However, in my view, there is a lot more potential buying the actual cryptocurrencies.

Bottom line

These cryptocurrencies offer a tonne of long-term potential, which is why they’re some of the best to buy now. However, they’re also quite volatile. Overnight, we saw both Bitcoin and Ethereum prices drop by over 10%.

This can happen from time to time. So, it’s important to know what you’re buying and ensure you’re committed for the long run. This is something that I repeat consistently, because it’s so important.

You should only invest in these cryptocurrencies if you actually believe in their long-term potential. That way you can use dips in the price like we’re seeing today to your advantage.

Otherwise, if you’re just going to speculate on cryptocurrencies, the volatility could be disastrous. So, while these stocks offer a tonne of growth potential, you shouldn’t expect to get rich overnight.

Should you invest $1,000 in Tesla right now?

Before you buy stock in Tesla, consider this:

The Motley Fool Stock Advisor Canada analyst team just identified what they believe are the Top Stocks for 2025 and Beyond for investors to buy now… and Tesla wasn’t one of them. The Top Stocks that made the cut could potentially produce monster returns in the coming years.

Consider MercadoLibre, which we first recommended on January 8, 2014 ... if you invested $1,000 in the “eBay of Latin America” at the time of our recommendation, you’d have $21,345.77!*

Stock Advisor Canada provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month – one from Canada and one from the U.S. The Stock Advisor Canada service has outperformed the return of S&P/TSX Composite Index by 24 percentage points since 2013*.

See the Top Stocks * Returns as of 4/21/25

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Daniel Da Costa owns shares of The Ether Fund.

More on Tech Stocks

Canadian Dollars bills
Tech Stocks

The Smartest Under $10 Stock to Buy With $2,300 Right Now

Blackberry stock remains undervalued as it's not reflecting the company's strong position in the rapidly growing connected car industry.

Read more »

investor looks at volatility chart
Tech Stocks

1 TSX Down 22% to Buy and Hold as Volatility Persists

Shopify stock has had its fair shares of ups and downs, but right now this rebounding tech stock looks like…

Read more »

Person uses a tablet in a blurred warehouse as background
Tech Stocks

My Top 2 TSX Tech Stocks: Smart Bets for Canadian Technology Exposure

Here's why Kinaxis (TSX:KXS) and Shopify (TSX:SHOP) remain two of my top TSX tech stock picks in this current market,…

Read more »

semiconductor manufacturing
Tech Stocks

The Smartest Small-Cap Stock to Buy With $900 Right Now

With its strong foothold in high-growth sectors, this small-cap stock can navigate economic uncertainties well and deliver massive gains.

Read more »

A shopper makes purchases from an online store.
Tech Stocks

If I Could Only Buy and Hold a Single Growth Stock, This Would Be It

Despite strong buying on positive investor sentiment, this healthy growth stock still trades at a discount.

Read more »

Car, EV, electric vehicle
Tech Stocks

Blackberry: Buy, Sell, or Hold in 2025?

Blackberry is a high risk, but potentially high reward stock suitable for some torque in a well-diversified portfolio.

Read more »

stocks climbing green bull market
Tech Stocks

Why CAE Stock Popped 9% After Earnings

Few Canadian stocks offer the stability and growth as this one, especially after earnings.

Read more »

The letters AI glowing on a circuit board processor.
Tech Stocks

The Smartest AI Stock to Buy With $2,200 Right Now

This AI stock is posied to grow revenue and free cash flow at an enviable rate through 2028. Is the…

Read more »