HUT8 the engine that can’t be stopped
- Retail Options Trader
- Mar 11
- 1 min read
Not investment advice, for educational purposes only.
HUT8 the bitcoin miner that is running on a V8. Currently the stock is trading in the 45 range
but was almost a year and half earlier in the $17 range mark. What’s eyepopping about this
security is the liquid options market. A few standard deviations out on either side is at the 1.01
mark. If you multiplied that out that’s about 10,000 USD for the call options. The company has shown a habit of mergers and may see on in the near future too.
What do investors need to know about HUT8, the engine that can’t be stopped:
A Bitcoin mining and digital infrastructure company based in North America. At its core HUT 8 makes money by:
1. Mining Bitcoin
2. Holding bitcoin on its balance sheet
3. Providing high-performance computing and data center services.
When Bitcoin rises and energy cost stay controlled, margins expand fast.
Infrastructure and Data Centers Hut8 has been expanding into:
-Colocation services
-High performance computing
-AI related infrastructure
This diversification is designed to smooth revenue during crypto downtime.
Why retail investors should watch HUT 8.
Pros:
-Liquid options market
-High upside and crypto exposure
-Infrastructure and pivot adds stability long term
Cons:
-Extremely volatile(good for options traders) potentially diluting share price
-Energy cost diluting margins
-Extremely correlated to bitcoin
Overall HUT8 has been on a tear the past years and shows no signs of stopping. A liquid options market in both directions and management that has shown a willingness to keep merging.
