Cipher Mining Confirms Risks of Crypto Wave By TipRanks – Investing.com
- Date: 03-Oct-2021
- Source: Investing.com
- Sector:Financial Markets
- Country:Middle East
Cipher Mining Confirms Risks of Crypto Wave By TipRanks – Investing.com
With interest spiking in virtual currencies, many people who missed the initial boat may be tempted to acquire shares of crypto-mining firms like Cipher Mining (CIFR). However, investors ought to be extremely careful, only putting to risk capital they can afford to lose.
On paper, Cipher Mining -- a blockchain mining specialist with a focus on renewable energy utilization -- corrals two of the most talked-about business items over the trailing-year period: cryptocurrencies and special purpose acquisition companies. Heavily hyped as democratized investment vehicles that give the average Joe a fighting chance against Wall Street’s alpha wolves, they have instead left a questionable performance record, presenting an awkward backdrop for CIFR stock.
Back in October of last year, Good Works Acquisition Corp. -- a blank-check firm seeking a business combination with a technology company -- launched Cipher Mining's initial public offering, distributing 15 million shares priced at $10 per unit. In March of this year, Reuters reported that the SPAC established a merger agreement with Cipher Mining, a seemingly ideal choice, given the sharp rise in (BTC-USD) price.