Retail vs. Entrepreneurs: Where They’re Investing Now
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Every year, HSBC checks in with its business-owner clients around the world to find out how they’re managing their money. At the same time, Finimize surveys regular everyday investors to see what they’re thinking. By comparing both sets of answers, we can spot where the views line up — and where they don’t.
Interestingly, both groups agree on a lot, but there are some key differences too. Here’s what people said, and what it could mean for the market.
**Retail Investors Are Bullish on Stocks**
Most everyday investors — 67% — believe global stock markets will be higher a year from now. And 68% plan to buy more stocks in the next 12 months. That’s up slightly from last quarter. Tech stocks are still the top choice, with Nvidia, Apple, and Microsoft leading the pack.
**Entrepreneurs Are More Cautious with Stocks**
Only 46% of business owners hold stocks, and just 25% plan to buy more. Instead, they prefer putting their money into their own companies, real estate, or private investments.
**Market Outlook**
Even though stocks are near all-time highs, there’s still room for growth. Falling interest rates and a weaker US dollar are helping drive asset prices up. AI is also a big factor — it’s capturing attention and investment dollars globally, especially with Chinese tech firms stepping up. For those wanting broad exposure, US and global ETFs are a smart choice. Want more focused ideas? Finimize Research has been outperforming with stock picks.
**Bitcoin Is Back in Focus**
For the first time in three years, more investors are excited about bitcoin than stocks — 69% think it will rise. But only 32% plan to actually invest in it. Many seem curious but not ready to jump in, with 24% wanting to learn more about crypto.
Entrepreneurs are ahead here: 44% already own crypto, and 27% say they’ll buy more.
**Crypto Outlook**
Crypto is gaining ground as regulations improve and adoption grows. Bitcoin remains the most popular digital asset and a key store of value. But Ethereum (ether) is also looking strong thanks to its role in powering most blockchain activity. Still, crypto can be very volatile. A small position — around 1% to 2% of your portfolio — is usually enough.
**Private Markets Are Hot for Entrepreneurs**
Private investments are popular among business owners: 46% already invest in them, and 41% want to add more. But regular investors aren’t as eager. Only 10% currently invest in private markets, and just 12% plan to do so in the next year — even though interest is growing.
Two-thirds of retail investors say they’re hearing more about private investments. Still, the high minimums and complexity are keeping many on the sidelines.
**Private Market Insight**
Private markets can offer real opportunities — but also come with real risks. Direct lending platforms are one way to get access. Just be careful: these markets can be hard to understand and difficult to exit if things go south. Plus, institutions may be stepping back, which is why retail investors are being invited in now. Do your research before diving in.
**Cash and Bonds Still Have Appeal**
With inflation uncertain and markets still bumpy, safe bets like cash and government bonds are popular again. Around 28% of retail investors and 29% of entrepreneurs plan to hold more cash over the next year.
**Smart Strategy for Safe Assets**
Cash and bonds have a role in every diversified portfolio — especially when markets get shaky. But don’t go overboard: if inflation rises, cash can lose value over time. Make sure your emergency fund is solid so you don’t have to sell investments at a bad time. For ideas on how to balance your investments across different assets, check out Stéphane’s model portfolios.
Stay informed, stay balanced — and always know where your money’s going.
AI Compute Crunch Boosts Crypto and Stock Markets
OpenAI is facing a major challenge right now — it doesn’t have enough computing power to keep up with the fast-growing demand for artificial intelligence. According to recent updates from OpenAI’s leadership, their teams are hitting limits that are slowing down the release of new AI features. Even as AI models continue to improve rapidly, the ability to run them is being held back by a lack of available compute. To solve this, OpenAI is working hard to build as much computing infrastructure as possible over the next few years.
This growing need for AI compute isn’t just a tech issue — it’s starting to affect financial markets too. With compute now a key bottleneck, traders and investors are turning their attention to companies and projects that can help solve this problem. That includes traditional cloud computing providers, chip makers like NVIDIA, and decentralized crypto projects that offer access to distributed computing power.
Crypto tokens connected to AI infrastructure are gaining interest. For example, Fetch.ai (FET) and Render Network (RNDR) offer decentralized solutions for computing needs. These tokens are becoming more attractive as investors look for ways to benefit from the AI boom. FET has recently held steady around $1.20, with trading volume increasing by 15% in a week. If excitement around AI continues, FET could push toward resistance at $1.50, offering short-term profit opportunities.
Meanwhile, Render Network is seeing more usage, with a 25% rise in active addresses in Q3 2024. This shows growing demand for decentralized GPU power — exactly what’s needed when traditional systems can’t keep up. RNDR has also shown strong performance in response to positive news from big tech players like NVIDIA. In fact, when NVIDIA reports strong earnings, RNDR often jumps too — sometimes by as much as 20% within two days.
NVIDIA itself is a big part of this story. As a key supplier of GPUs used for AI training, its stock has climbed over 150% so far in 2024. This shows just how valuable compute has become. Crypto traders are watching NVIDIA closely — if its stock does well, AI tokens often follow. This opens up smart trading strategies, like buying FET on dips below $1.10 and aiming for gains up to $1.40 if sentiment stays positive.
Beyond short-term trades, this compute crunch could reshape the future of AI and crypto. As centralized players like OpenAI struggle with supply limits, decentralized platforms could step in to fill the gap. This shift is already attracting big money — over $2 billion has flowed into Web3 AI projects in 2024 alone. Investors looking for long-term growth might consider holding a mix of AI tokens and stablecoins to balance risk while staying exposed to the upside.
There’s also a sustainability angle. As the world races to expand compute infrastructure, projects offering efficient and shared computing resources are gaining attention. Golem’s GLM token is one example — it lets users share unused computer power and saw a 40% volume spike after similar AI news earlier this year. GLM currently trades around $0.30, with solid support near $0.25, making it an option for long-term investors.
Ethereum could benefit too, as many AI-focused decentralized apps are built on its network. If adoption grows, ETH could rise toward $3,000. Hedge funds are already taking notice — in 2024 alone, they’ve increased their positions in AI-related crypto by 18%, showing growing institutional interest.
To make the most of this trend, traders can use strategies like covered calls on tokens like FET — earning passive income while waiting for the next big move. Overall, the message is clear: the AI boom is creating real pressure on compute supply, and both stock and crypto markets are reacting. For those paying attention, this opens up real opportunities — but staying flexible and informed will be key as this fast-changing story unfolds.
BitMine Surges After Revealing 2% Ethereum Holdings
BitMine Immersion Technologies Inc (AMEX: BMNR) shares jumped on Monday, driven by strong momentum in the overall crypto market—especially Ethereum (ETH), which saw notable gains.
Here’s what’s happening: Crypto stocks are gaining as digital currencies surge. Bitcoin rose around 1.79% over the past 24 hours and is trading close to its all-time high. Meanwhile, Ethereum spiked about 3.6%, trading near $4,700. These price increases are boosting companies with large crypto holdings, like BitMine.
On Monday, BitMine shared a major update: it now holds more than 2% of all Ethereum tokens in circulation. This is part of its long-term strategy called the “alchemy of 5%,” aiming to eventually own 5% of all ETH supply. The company currently holds the world’s largest Ethereum treasury and is second only to Strategy in total crypto holdings. Strategy holds 640,031 Bitcoin, worth approximately $79 billion.
BitMine’s total assets—including cryptocurrencies, cash, and investments in high-risk, high-reward opportunities (referred to as “moonshots”)—are now valued at $13.4 billion. As of October 5, the company owns 2.83 million ETH, 192 Bitcoin, and $456 million in cash. It also has a $113 million investment in Eightco Holdings (NASDAQ: ORBS).
Tom Lee, chairman of BitMine and founder of Fundstrat, emphasized that the company believes two major investment trends are here to stay: artificial intelligence (AI) and crypto. He highlighted Ethereum as a top choice due to its track record of reliability and zero downtime.
In a previous message from August, BitMine explained its focus on ETH ownership. According to the company, holding a large percentage of Ethereum will offer long-term advantages due to how value compounds for large holders—a principle they refer to as “power law.”
BitMine is becoming one of the most actively traded stocks in the U.S., with a recent average daily trading volume of $2.5 billion. That makes it the 28th most traded stock among more than 5,700 listed companies in the U.S. It’s also supported by major investors like Cathie Wood’s ARK Invest, Founders Fund, Bill Miller III, Pantera Capital, and Galaxy Digital.
As of Monday afternoon, BitMine stock was up 10.19%, trading at $62.51.
Key Takeaways:
– BitMine now holds over 2% of all Ethereum tokens.
– The company’s total assets are valued at $13.4 billion.
– Crypto markets are rising, pushing up crypto-related stocks.
– BitMine is backed by major institutional investors.
– Ethereum remains BitMine’s core focus due to its strong performance and uptime.
Crypto investors are closely watching firms like BitMine as Ethereum continues to rise, with the broader crypto market showing strong signs of growth.
BitMine Now World’s Largest Corporate Ethereum Holder
BitMine Just Made a Huge Ethereum Move — Now Holds Over $13 Billion in ETH
BitMine Immersion Technologies, a major player in the crypto world, has made another big bet on Ethereum. The company recently bought 179,251 ETH — worth about $823 million — boosting its total Ethereum holdings to a massive 2.83 million ETH. At today’s prices, that’s around $13 billion, making BitMine the largest corporate holder of Ethereum in the world.
They managed to buy the ETH at an average price of $4,535, which is slightly below the current market price of around $4,625. This suggests that BitMine timed its move during recent price swings to get the best deal possible.
With this latest purchase, BitMine has pulled ahead of other companies that hold Ethereum. Its closest competitor, SharpLink Gaming, holds just under $4 billion in ETH. While Bitcoin remains king in terms of overall corporate holdings — with Strategy holding around $80 billion in BTC — BitMine clearly dominates when it comes to Ethereum.
But BitMine isn’t only focused on ETH. The company also owns 192 Bitcoin, valued at nearly $24 million. On top of that, it holds $113 million in shares of Eightco Holdings and keeps $456 million in cash. After announcing the Ethereum buy, BitMine’s stock (BMNR) jumped more than 5% to $59.78. That continues a strong upward trend for the company’s stock, which is up 37% over the past month.
Chairman Tom Lee says this move fits into BitMine’s bigger vision for the future. He shared that conversations at Token2049 Singapore made it clear that Ethereum will play a key role in connecting finance and artificial intelligence (AI). “It’s becoming increasingly clear that the next big thing is the convergence of AI and crypto,” Lee said.
By investing heavily in Ethereum now, BitMine is placing itself right at the center of what many believe will be the next major tech revolution — where blockchain and AI come together to transform industries. This could pave the way for more big institutions to follow suit and invest in crypto as these technologies continue to evolve.
BitMine Adds 179K ETH, Aims for 5% of Total Supply
BitMine Immersion Technologies, the world’s largest Ethereum treasury company, just added another 179,251 ETH to its holdings over the past week. This big move brings BitMine’s total Ethereum stash to 2,830,151 ETH — currently worth more than $13.23 billion.
The company, led by Fundstrat’s Tom Lee, is heavily focused on Ethereum as its main investment. BitMine also holds 192 Bitcoin, around $456 million in cash that isn’t tied up in anything, and a $113 million stake in Eightco Holdings (ORBS). This investment in Eightco is part of BitMine’s “moonshot” strategy — high-risk, high-reward bets aimed at supporting projects built on Ethereum.
Eightco Holdings recently revealed plans to raise about $270 million to back a treasury plan focused on Worldcoin (WLD), a crypto project built on the Ethereum network and associated with OpenAI’s Sam Altman.
With over 2.3% of all existing ETH now under its control, BitMine has set its sights on owning 5% of the total Ethereum supply. According to Lee, the company had in-depth talks with Ethereum developers and key figures in the space. The takeaway? The Ethereum community is working hard to make it easier for Wall Street and artificial intelligence (AI) projects to build on the network.
Lee believes Ethereum is well-positioned to benefit from two major long-term trends: the rise of AI and the growth of crypto. Thanks to Ethereum’s strong performance history and constant uptime, it remains their top pick for long-term investment. He sees today’s ETH price as a discount to its future value — which is why it’s the core asset in BitMine’s treasury.
On the stock side, BitMine Immersion Technologies (BMNR) saw a 7.4% increase on Monday, showing growing investor interest in its strategy.