Share this article
MicroStrategy Shares Offer Better Exposure to Crypto Than Coinbase: Berenberg
Macro drivers of demand for bitcoin are bullish for MicroStrategy shares, the report said.
By Will Canny
Updated May 30, 2023, 2:43 p.m. Published May 23, 2023, 10:30 a.m.
MicroStrategy (MSTR) represents an attractive alternative to Coinbase (COIN) for investors looking to gain exposure to the cryptocurrency sector, Germany investment bank Berenberg said in a report Monday.
Investors who are very bearish on Coinbase shares and are inclined to short the stock should look at pairing it with long MicroStrategy, the report said, noting that the correlation between the two stocks since Coinbase went public via a direct listing in April 2021 is 0.96.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
The U.S. Securities and Exchange Commission (SEC) has characterized most crypto tokens as unregistered securities, rendering them, and the platforms that enable the trading of these digital assets, as vulnerable to further regulatory actions, the note said. The commission and other regulators have been clear in classifying bitcoin as a commodity rather than a security, the note added.
“We believe MicroStrategy, which features a unique business model focused on the acquisition and holding of bitcoins, represents an attractive alternative to Coinbase in the current environment,” analysts Mark Palmer and Hassan Saleem wrote.
Microstrategy currently holds 140,000 BTC worth around $3.8 billion at current prices.
Berenberg says macro drivers of demand for bitcoin are bullish for MicroStrategy shares, and investor concerns over de-dollarization - or the weakening of the U.S. dollar’s dominance - have helped to put a more positive spotlight on bitcoin in recent months.
Recent comments from SEC Commissioner Gary Gensler regarding Coinbase leave little doubt as to his view of the company’s noncompliance with securities laws and management’s “defiant tone” regarding the scrutiny it has received will potentially serve as an accelerant of the filing of any enforcement action, the analysts wrote.
“Coinbase’s revenues at risk in the event of an enforcement action are disproportionately profitable relative to its total revenue,” the report added.
The bank has a hold rating on Coinbase shares with a price target of $55. MicroStrategy is buy-rated with a $340 price target.
Read more: Coinbase Initiated at Hold, Likely to Face Enforcement Actions From SEC: Berenberg
More For You
What to know:
- As of October 2025, GoPlus has generated $4.7M in total revenue across its product lines. The GoPlus App is the primary revenue driver, contributing $2.5M (approx. 53%), followed by the SafeToken Protocol at $1.7M.
- GoPlus Intelligence's Token Security API averaged 717 million monthly calls year-to-date in 2025 , with a peak of nearly 1 billion calls in February 2025. Total blockchain-level requests, including transaction simulations, averaged an additional 350 million per month.
- Since its January 2025 launch , the $GPS token has registered over $5B in total spot volume and $10B in derivatives volume in 2025. Monthly spot volume peaked in March 2025 at over $1.1B , while derivatives volume peaked the same month at over $4B.
More For You
Ethereum’s P2P Layer Is Improving Just as Institutional ETH Buys Pick Up
Early PeerDAS performance is proof that the Ethereum Foundation can now ship complex networking improvements at scale.
What to know:
- Ethereum co-founder Vitalik Buterin said that the network is addressing its lack of peer-to-peer networking expertise, highlighting the progress of PeerDAS.
- PeerDAS, a prototype for Data Availability Sampling, is crucial for Ethereum's scalability and decentralization through sharding.
- BitMine Immersion Technologies has significantly increased its Ethereum holdings, viewing it as a strategic investment in the network's future scaling capabilities.
Top Stories
