What is Alibaba?
Alibaba Group Holdings Ltd. was founded by Jack Ma and 17of his friends on April 4, 1999 in Hangzhou, China. Through its numerous subsidiaries, it operates online and mobile commerce businesses in the People’s Republic of China and internationally. It has quickly grown to become the world’s largest retailer and e-commerce site. The stated mission of the company is to make it easy to do business anywhere by providing the technology, infrastructure and marketing reach to help merchants, brands and other businesses leverage the power of technology and engage with customers by operating in a more efficient way.
The company operates various business units under the umbrella of four main segments. These are:
- Core Commerce
- Cloud Computing
- Digital Media and Entertainment
- Innovation Initiatives and Other (new) Segments
In addition to these businesses within its core segments, Alibaba runs ANT financial, an unconsolidated and unrelated party providing payment and financial services to consumers and merchants on their platforms.
Past performance of Alibaba stock
Alibaba filed to list on the New York Stock Exchange (NYSE) under the ticker symbol BABA in 2014 and held its IPO on September 19 of that year. The IPO would become the largest in history at more than $25bn (£20bn, €22bn). The Alibaba shares price closed at $68 that day and has risen steadily since, only falling below the IPO price for a short period in 2015 before rebounding.
Alibaba has remained in a state of almost continuous growth since 1999 and is now considered a mega-cap stock with a market capitalisation exceeding $592bn, and employs more than 100,000 people. The share price initially dropped, as did the majority of stocks, following the pandemic of 2020 but has since rebounded and benefited from the upsurge in online shopping caused by stay-at-home orders issued by most governments. To track the price today you can view our price chart.
The company listed on the exchange is actually registered in the Cayman Islands to circumvent Chinese laws which do not allow domestic companies to list on foreign exchanges. For this reason, US investors who engage in Alibaba stock trading do not technically own any actual per cent of Alibaba Group Holding Ltd. and do not have any voting rights or legal recourse. Even given this corporate structure the price has continued to increase in value. Alibaba has grown to service more than 80 per cent of all Chinese e-commerce transactions since its inception. China is the fastest growing online retail market globally and Alibaba recently recorded more than $98.5bn in sales on a single day in June of 2020. It consistently surpasses the total annual sales of Amazon and eBay combined.
In addition, Alibaba is poised for exponential growth in its digital media and entertainment segment with an international licensing agreement with Walt Disney. This agreement with Buena Vista International, a subsidiary of Disney, gives Alibaba international access to a significant amount of Disney content.
How to ivest in Alibaba Stock
Alibaba stock trading occurs on the NYSE under the ticker symbol BABA. Traditionally, those looking to invest in Alibaba stock would purchase shares or derivatives based on BABA through a broker.
Traders using the Currency.com tokenised platform are able to profit from movements in the Alibaba shares price without having to invest in Alibaba stock directly. Tokenised assets are crypto derivatives whose value is linked to the value of a particular asset, in this case the share price. The token is registered using distributed ledger technology (DLT) the same way cryptocurrency is recorded. This technology allows for trading with crypto without requiring conversion from fiat. Utilising DLT makes tokenised assets trading efficient, inexpensive and secure.
Tokenised Alibaba Group Holding Ltd. stock trading guide
Trading tokenised Alibaba shares is no more difficult than regular stock. To begin trading tokenised assets, you will follow need to follow some simple steps:
- Register for an account with Currency.com.
- Deposit funds (with crypto or fiat) in the account.
- Determine the position size desired, accounting for leverage offered by Currency.com.
- Determine your trading position (long or short) based on expected share price movement and purchase tokenised Alibaba shares derivatives.
- Currency.com matches the long orders from its clients with the sell orders and then hedges the unmatched orders through Capital.com, LMAX Digital or exchanges such as Binance, Bitstamp, Kraken, NASDAQ, NYSE and Gain Capital.
- Close your position when applicable. You can set a take profit or stop loss indicator to ensure you are not required to constantly monitor the price. Funds will deposit back to your account after closing and you can withdraw or take a new position.
Why trade tokenised Alibaba shares with Currency.com
Alibaba stock trading at Currency.com tokenised assets exchange has a number of advantages. Tokenised assets are underpinned by robust and immutable blockchain technology. Opening a trade will give you a token that tracks and moves according to the underlying instrument's price.
- One-stop crypto trading platform
Trade tokenised Alibaba shares with Bitcoin or Ethereum. Benefit from the stock's price movements without turning your crypto assets into fiat.
Trade tokenised shares with a tight market spread, benefit from maker rebates and competitive taker fees.
Experienced traders can trade the world's top markets, like BABA, with up to 1:100 leverage.
- Effective risk management
Manage your risks and secure your profits with stop loss and take profit orders. Save your assets with negative balance protection.
We have a scalable and low latency order management system, which can execute 50 million trades per second.
Currency.com operates under new Belarusian regulation with best-in-class AML and KYC laws. Regulatory details and fees are upfront.