In a Monday report, the German investment bank Berenberg stated that MicroStrategy is an alternative to Coinbase for investors who want to get exposure to cryptocurrency.

Investors who have a negative outlook on Coinbase and are inclined towards shorting the stock may want to consider pairing it with MicroStrategy. The report noted that the correlation of the two stocks is 0.96 since Coinbase became publicly listed in April 2021.

The note stated that the U.S. Securities and Exchange Commission has classified most crypto tokens (BTC) as unregistered security, making them and the platforms which enable the trading of digital assets vulnerable to regulatory action. The note said that the commission and other regulators were clear when classifying Bitcoin (BTC) rather than as a security.

Mark Palmer and Hassan Saleem, analysts, wrote: “We believe MicroStrategy is an attractive alternative to Coinbase, given its unique business model focusing on the acquisition and storage of bitcoins in the current market.”

Microstrategy currently holds 140,000 BTC, worth approximately $3.8 billion at the current price.

Berenberg believes that macro drivers for demand for bitcoin will be bullish for MicroStrategy’s shares. Investor concerns about de-dollarization, or the weakening U.S. Dollar’s dominance have also helped to shine a more positive light on bitcoin over the past few months.

Analysts wrote that the recent comments by SEC commissioner Gary Gensler about Coinbase left little doubt regarding his opinion of the company’s lack of compliance with securities laws. Management’s “defiant attitude” towards the scrutiny they have received could serve as a catalyst for any enforcement action.

The report stated that “Coinbase’s revenues at risk if an enforcement action is taken are disproportionately lucrative relative to its overall revenue.”

Bank of America has assigned a Hold rating to Coinbase with a $55 price target. MicroStrategy has a buy rating with a price target of $340.