Artificial intelligence (AI) and cryptocurrency are two high-growth markets that offer promising return potential. Investing in the right stocks could pay off handsomely in the coming years. Here are two stocks that could deliver.
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AI is expected to increase the global economy by $15.7 trillion by 2030, according to PwC. This is a huge opportunity for one of the leading chipmakers, Advanced Micro Devices(NASDAQ: AMD).
AMD stock pulled back sharply to start the year, but it has begun to recover. The business is set to supply a leading AI company with its new chips, which could benefit the stock.
The last few years have seen a lot of chip investment go toward AI training, which is the process of feeding large data sets to AI models to make them smarter. Nvidia capitalized on the demand for AI training with its graphics processing units (GPUs).
While AMD was late to the party, its first data center GPU, the MI300, was launched in late 2023 and raked in $5 billion of revenue last year. Management still sees a $500 billion opportunity as it launches new GPUs designed for AI inferencing, which takes a model to the next level by teaching it to make decisions on its own from new data. This is expected to be a huge market, and AMD has positioned its new chip lineup to take advantage of the opportunity.
The company reported accelerating revenue growth last quarter, with data center revenue up 57% year over year. It gained business from one of the leading AI model developers that is using its Instinct GPUs for daily inferencing needs.
AMD will launch its Instinct MI400 GPU in 2026, and OpenAI just announced plans to use the chip. This is a huge win and signals growing momentum for its data center business. Demand for AI inferencing hardware is expected to grow from $106 billion in 2025 to $255 billion by 2030, according to MarketsandMarkets. AMD is well positioned for this opportunity, making the recent dip a great buying opportunity.
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The cryptocurrency market was worth more than $3 trillion as of June 12, yet only 7% of the global population uses cryptocurrency, according to the crypto exchange Kraken. As interest in digital currencies continues to grow, Coinbase Global(NASDAQ: COIN) could grow along with it.
Coinbase is a leading cryptocurrency exchange with more than $300 billion in assets on the platform. It saw a sharp increase in revenue last year as trading volumes soared, which has sent the stock up nearly 600% since 2022.
But the shares have been volatile over the last few years, reflecting the downturn in the markets a few years ago. The risk for holding the stock is when markets decline, trading volumes drop, which depresses revenue.
However, Coinbase has a lot of opportunity to attract more assets to its platform. It is expanding the number of trading products and services to appeal to institutional investors, which make up the majority of its trading volume. Its push into crypto options and stablecoins, as well as improvements to its trading infrastructure are positioning it to attract more customers.
As demand for digital assets continues to grow, the exchange should see increasing trading volumes and revenue. And there are strong signals pointing to rising demand for cryptocurrencies over the long term.
A recent report from Coinbase showed that 60% of Fortune 500 executives are working on blockchain initiatives, which serve as the digital ledger for crypto transactions. Another strong signal supporting the long-term future of the market was President Donald Trump’s recent executive order to establish a Strategic Bitcoin Reserve for the U.S. government.
These are bullish indicators for crypto and Coinbase. There are a lot of places to buy and sell cryptocurrency, but Coinbase is on a mission to become not just a leading crypto exchange but also a leading financial services platform. This makes the stock a great way to benefit from this booming market.
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John Ballard has positions in Advanced Micro Devices and Nvidia. The Motley Fool has positions in and recommends Advanced Micro Devices, Bitcoin, and Nvidia. The Motley Fool recommends Coinbase Global. The Motley Fool has a disclosure policy.
