Stocks 101

What is a stock?

A stock (or share) is a small slice of ownership in a company. Shareholders may benefit if the company grows and can sometimes vote on corporate matters.

The difference between STOCKS and CRYPTOCURRENCY

In simple terms: A stock is ownership in a business. A cryptocurrency is a digital token that runs on a blockchain network. Most crypto tokens don’t give you ownership of a company.

• What it represents: Stock = claim on company value and potential profits; crypto = network token for payments, access, or governance.
• Value drivers: Stock = earnings, dividends, interest rates; crypto = adoption, utility, scarcity, and protocol design.
• Trading hours: Stocks trade mainly during exchange hours; crypto trades 24/7 worldwide.
• Custody: Stocks typically sit with a broker; crypto can be self-custodied (you hold the keys) or kept on an exchange.
• Volatility & risk: Crypto prices usually move more and can be riskier than diversified stock investments.
• Rules & protections: Stock markets are heavily regulated with custodian protections; crypto protections vary by platform and jurisdiction.

Key terms for stocks

• Market index: A basket that tracks a segment of the market.
• ETF: A fund that holds many assets and trades like a stock.
• Dividend: A portion of profits some companies pay to shareholders.
• Volatility: How much prices move up or down.

Educational content only; not investment advice.