In-Depth Study of 50 Japanese and U.S. Stocks｜Deep Dive on Tesla and BlackRock, which also have ties to Bitcoin

A number of U.S. companies have strong relationships with crypto assets such as Bitcoin. Among them, Tesla and MicroStrategy are relatively optimistic about the future of crypto assets, having purchased and still holding bitcoin.

In addition, BlackRock, the world's largest asset management company, has submitted an application for a bitcoin ETF, and attention is focused on whether or not it will be approved.

The approval of a physical bitcoin ETF, which has been the focus of interest for some time, is expected to have a positive impact on the crypto asset market, as well as on the stock prices of related companies such as BlackRock.

Tesla (TSLA)

Category：Automobiles

Bitcoin Caused Losses, but Main Business is Doing Very Well

Tesla, which posted a $204 million loss on Bitcoin, is still a major player in EV automobiles and self-driving technology

Tesla, led by Elon Musk, which has grown to become the world leader in EV cars, made headlines in 2021 when it purchased $1.5 billion worth of bitcoin.

Mr. Musk is also known as one of Bitcoin's supporters, and in 2022, he partnered with major companies to conduct solar-powered mining. However, as the price of bitcoin fell, so did his losses, and in February 2023, he revealed that he had incurred $204 million in total depreciation from his bitcoin holdings.

The price of Tesla's mainstay EV vehicle business is likely to have a positive impact on the company's share price.

The market for EV vehicles is expected to grow even larger as oil prices soar due to Russia's invasion of Ukraine, and if the company launches new models one after another, the share price can be expected to rise further.

▶▶︎Future Outlook

The theory is to focus on EV vehicle trends and automated driving-related topics rather than Web 3.0-related movements.

BlackRock (BLK)

Category：Finance

Bitcoin physical ETFs under application are attracting attention

BlackRock, the world's largest asset manager, has filed an application with the U.S. SEC for approval of a physical bitcoin ETF.

BlackRock is the asset management firm believed to be the closest to approval of a physical bitcoin ETF, one of the hottest trends in the Web 3.0 space today.

BlackRock and other firms such as Valkyrie and Vaneck have filed applications with the Securities and Exchange Commission (SEC) for physical bitcoin ETFs, and while the SEC approved a bitcoin futures ETF in 2021, it has refused to approve a physical bitcoin ETF. Bitcoin futures ETFs in 2021.

However, the situation is changing dramatically after a federal appeals court ordered a review of the SEC's rejection of a physical bitcoin ETF application submitted by Grayscale, a U.S. crypto asset manager. The approval of the bitcoin physical ETF is expected to result in large inflows of capital as a broad range of U.S. investors gain exposure to bitcoin as an asset.

The SEC has announced that it will defer its approval decision until October 16, 2023. Depending on the outcome of that decision, BlackRock's outlook will change.

▶▶︎Future Outlook

Whether the U.S. SEC approves the bitcoin ETF will be a major factor in the current stock price fluctuation.

Coinbase (COIN)

Category: Finance

Layer 2 Blockchain “Base” Gains Attention

Will Coinbase's publicly released “Base” be a game changer in the Web 3.0 space?

Coinbase is known for being the first company with crypto asset trading services as its core business to be listed on NASDAQ. Although the company's performance had declined due to the so-called “crypto asset winter” market downturn, it announced Q2 results that exceeded market expectations with sales of $707.9 million, thanks to a surge in interest income.

Trading volume was $92 billion, down from $217 billion in the same period last year, but interest income swelled to $201.4 million from $32.5 million in the same period last year, and the net loss narrowed to $97 million from $1.09 billion in the same period last year.

The approval of the bitcoin physical ETF being applied for by BlackRock and others is also expected to have a positive impact on Coinbase. In addition, Base, the Layer 2 blockchain released in August 2023, has also attracted significant attention, with many dApps already being built.

If the movement to utilize Base strengthens, especially in the industry, Coinabase's presence will become even stronger. This will inevitably have some impact on Coinbase's share price.

▶▶︎Future Outlook

The outlook for Coinbase is relatively bright, with the approval of a physical bitcoin ETF and “Base” as tailwind factors.

Block (SQ)

Category：Finance

Cash App” will remain safe as the number of users continues to grow

Growth is being driven by the increase in cashless payments and bitcoin transactions

Block's flagship service, “Cash App,” together with PayPal's “Venmo,” continues to grow at a pace far exceeding the number of new accounts opened by existing large banks.

While PayPal has the advantage in terms of simple user numbers, Block's Cash App is far ahead in terms of the growth rate of new monthly active users. The ability to transfer money between individuals, trade stocks, and buy and sell bitcoin is also a strength, and further growth is expected in the future.

Cash App is expected to see an increase in cashless payments and bitcoin transactions in the future, and there are many profit points such as credit card deposits, cash card transaction fees, and bitcoin trading fees. The future of Bitcoin transactions will depend on how many active users they can increase.

However, it is also true that the future of this service needs to be carefully monitored, as it may be affected by the price fluctuation of bitcoin and trends in the Web 3.0 area.

▶▶︎Future Outlook

There is a possibility that it will grow together with Cash App, but there is also a possibility that it will be aligned with Bitcoin.

●NVIDIA (NVDA)

Category：Electronics

May become a leader in various industries in the area of AI

Demand for NVIDIA is increasing in areas such as automated driving and AI, and the company could become a driving force in various industries.

NVIDIA, a leading semiconductor company, is a top shareholder to watch as demand for semiconductors is rising worldwide. However, demand in areas such as automated driving and AI is expected to increase in the future.

In Q2 results, the company recorded record sales of over $13.5 billion, again thanks in large part to demand in the AI domain. The stock price also soared as we entered 2023, but this was due to the overheating of generated AI. AI remains one of the most important areas to watch, and the more it gains momentum, the more likely it is that NVIDIA's stock price will rise.

NIVIDIA's products have already become a “must have” in the AI market, and its influence in areas such as the automotive and healthcare industries, in addition to the aforementioned generative AI, is likely to grow stronger with each passing day. As demand for AI accelerates around the world, it will continue to be closely watched by investors around the world.

▶︎▶Future Outlook

MicroStrategy is likely to become a blue-chip stock due to the possibility of acquiring new business pillars in addition to its existing business pillars.

MicroStrategy (MSTR)

Category：Software development

Bold Bitcoin Strategy Affects Stock Price

MicroStrategy will continue to keep a close eye on bitcoin as its share price soars with a bitcoin strategy that is attracting attention from within and outside the industry

MicroStrategy first purchased bitcoin in 2020 and has been buying more continuously since then; as of August 2023, MicroStrategy's bitcoin holdings exceeded 150,000 BTC, the largest among publicly traded companies. This has increased the tendency for MicroStrategy's stock price to move with bitcoin price fluctuations.

In fact, when the price of bitcoin fell by more than 60%, the share price also fell by about 35%. Although MicroStrategy's bold bitcoin strategy has led to volatility in its stock price, some investors have taken note of the fact that they can gain indirect exposure to bitcoin by owning MicroStrategy shares.

Some financial giants such as BlackRock and Morgan Stanley are also said to be keeping a close eye on MicroStrategy. With MicroStrategy planning to continue investing in bitcoin as part of its business and even offering related services in the future, it is safe to assume that the current situation will continue for some time.

▶▶︎Future Outlook

MicroStrategy's stock price could be boosted significantly when the price of bitcoin rises significantly



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