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This Overlooked Catalyst Changes Everything

Teeka Tiwari
July 16, 2020
75 min read

It Could Propel Crypto 25 Times Higher From Here

By Teeka Tiwari
Do me a favor… If you’re new to crypto, save this video…
It was December 6, 2017. Bitcoin was in the midst of an epic run. The king of
crypto reached $14,300 that day… And in a few days, it would hit $20,000.
It was on an amazing run – like a rocket ship to the moon. But I warned my
new subscribers at the time that volatility was ahead.
I sat in front of my computer and told them this in a video update:
There’s an enormous amount of money coming into the [crypto] market… as I told you
there would be once futures start trading. We’re just days away from futures trading and
we’re seeing enormous pools of capital rushing into the bitcoin and the cryptocurrency
space.
Bitcoin could go to $20K from here before it has its next correction. I don’t try to time
those corrections… I don’t have a crystal ball. While it feels like everything always goes up
like this, you know that it doesn’t.

Soon after, the crypto bubble popped, and we entered the brutal 2018 Crypto Winter. Bitcoin
hit a low of $3,146 during the bear market.
Here’s why I’m telling you this story…
At just over a decade old, crypto is still a relatively new asset class, meaning it’s volatile by
nature. We saw similar volatility in the early days of internet stocks.
For instance, from December 2007 to November 2008, Apple dropped over 60% –including a
51% drop in just one week at the end of September 2008.
In its early days, Amazon fared even worse. From December 1999 to September 2001, it
dropped 94%.
Today, these are trillion-dollar companies.
Then, like now, you needed to have a long-term vision of where you expected the asset to go…
matched with sensible position-sizing, so the volatility didn’t scare you out of your position. I
call these “asymmetric bets,” where we can minimize risk, but still realize astonishing
potential gains.
In the case of Apple and Amazon, just a $1,000 investment in each (and the courage to stick
to your convictions) would have blossomed into as much as $748,843 and $1,583,673,
respectively.
Since getting involved in crypto, I have advocated taking the same measured approach of
using small, uniform position sizes. The long-term vision I’ve had for crypto is that it would
go from a fringe asset to a mainstream asset.
I’ve argued that a new narrative would emerge around crypto assets.
Here is what I mean by that…
Wall Street has a history of using stories called “narratives” to drive its investment decisions.
Often, these narratives are grounded in well-researched theories that start off well enough.
But over time, they have a tendency to go too far…
For instance, in the early 1990s, investors believed we had entered a “new era of permanent
prosperity.” The internet would unleash a new paradigm of endless growth, they argued.
A narrative emerged on Wall Street that you could pay any price for a stock if the underlying
business had “.com” in its name. And that would ensure you got a cut of the profits from this
brand-new technology.
This narrative ensnared the entire investing public. Companies like Cisco traded at 236 times
earnings. AOL traded at 194 times earnings. And there were plenty of companies like Webvan,
which reached a valuation of $1.2 billion with no earnings at all.
As this narrative exploded in popularity, more than $5 trillion in institutional money flowed
into internet stocks. If you were nimble, you made a killing during the dot-com era… Before,
of course, the narrative got stretched too far and prices collapsed.
In 2017, I put forward an idea that a new narrative would take hold among institutional
investors. I said Wall Street would use the narrative of lowering portfolio volatility by adding
bitcoin to a standard stock-and-bond portfolio.
That is exactly what’s happening right now…
For example, a study by Bitwise found a 1% allocation of bitcoin to a traditional 60/40
portfolio (meaning 60% bonds, 40% stocks) would reduce volatility while also increasing
returns.
Based upon what my Wall Street network is telling me, this exact research is now being used
by Wall Street firms to entice their institutional clients to move into bitcoin.
The Narrative of Following Wall Street Greed
Make no mistake: Wall Street greed will be the engine that powers the global adoption of
crypto assets.
Here’s why I believe that…
Fees are the lifeblood of Wall Street. It’s estimated that financial firms rake in about $439
billion per year from fund management fees alone.
This is Wall Street’s gravy train. These firms make it simpler for millions of people to buy
financial products. Then, they charge billions in fees for making them available.
But the gravy is drying up…
Over the last decade, Wall Street profits from managed funds and security products have
decreased by about 24%.
So my thesis a few years ago was these firms would soon turn to crypto financial products as a
new revenue source. They’re just waiting for the regulatory environment to open up.
And we’re seeing that unfold now.
Just this week, crypto custodian Kingdom Trust announced it’s offering customers bitcoin
cold storage through Fidelity Digital Assets.
This is huge news…
Fidelity is the fourth-largest U.S. asset manager. It’s mainly custodied crypto for institutional
clients. But through Kingdom Trust, it’ll offer services to retail clients.
And last year, Fidelity received approval to begin offering crypto trading and custody to its
clients in New York.
Plus, giant companies such as the New York Stock Exchange’s parent company,
Intercontinental Exchange (ICE), Nasdaq, and TD Ameritrade are all beginning to roll out
their own crypto platforms, too.
Bitcoin is already the top-performing asset class in eight of the last 10 calendar years, without
institutions being involved.
That means this trend has long legs…
The World Economic Forum estimates blockchain projects (crypto’s underlying technology)
will store 10% of the world’s gross domestic product by 2027. That’s $8.6 trillion. By contrast,
the entire crypto market cap is just a fraction of that at around $250 billion today.
I’m sharing all this with you today because a brand-new narrative has emerged with the
potential to make the impact of Wall Street’s current narrative look like chump change.
It’s an entirely new $68 trillion market I didn’t account for in the past…
The Secret Catalyst No One Is Taking Seriously
As previously mentioned, looking back, what got investors through the ups and downs of
holding stocks like Apple and Amazon was focusing on the big macro narratives of
smartphone adoption and e-commerce adoption.
I have learned if you can get the big macro narrative right, you’ve already won more than half
the battle. Today, there’s an emerging large-scale new narrative for crypto… And it all has to
do with millennials.
Now, I know what you’re thinking… Millennials have no money, right?
The media certainly portrays millennials as the poorest generation.
The average millennial has about $30,000 in debt and an average net worth of just $8,000.
They make up 22% of the U.S. population, yet own just 3% of the country’s wealth.
But if you stop there, you’ll miss the big picture.
The millennial cohort has grown up with digital assets their whole life. So bitcoin makes a lot
of sense to them, and it’s more natural for them to accept that it has value compared to older
generations.
I speak to a lot of these young people, some of whom are independently wealthy – they’re
worth tens of millions of dollars either through private businesses, crypto, or a combination of
the two. For them, crypto is a core holding.
The numbers bear me out…
According to a survey by Bitcoinist, almost half of U.S. millennials (ages 24–39) trust
cryptocurrency exchanges more than America’s stock exchanges.
A report by global research firm Edelman found that about 25% of the country’s millennials
who earn at least $100,000 in individual or joint income, or own $50,000 worth of investable
assets, admitted to either holding or using cryptocurrencies.
Further, the report also stated another 31% expressed interest in using cryptos. And studies
show millennials prefer to own bitcoin over gold.
Nearly 35% of U.S. labor force participants are millennials, making them the largest
generation in the country, according to a Pew Research Center analysis of U.S. Census Bureau
data.
But all of that’s just dry data that won’t make you a penny.
Here’s what you need to know if you want to make a fortune from this new narrative…
$68 Trillion in New Crypto Money?
According to a report by Coldwell Banker Global, millennials are set to inherit as much as $68
trillion over the next decade.
It’s the largest transfer of wealth in history. In my opinion, a lot of that money is going to find
its way into digital assets.
Take a look at the table below. It shows stock ownership by generation…
Millennials Gen X Baby Boomers

Amazon 7.87% Apple 10.52% Apple 9.19%

Apple 6.18% Amazon 7.16% Amazon 5.32%

Tesla 3.22% Berkshire Hathaway 2.37% Berkshire Hathaway 2.75%

Facebook 3.03% Facebook 2.26% Microsoft 2.69%

Grayscale Bitcoin Trust 1.84% Microsoft 2.16% Facebook 1.43%

Berkshire Hathaway 1.73% Tesla 1.45% Visa 1.25%

Disney 1.68% Alphabet 1.30% Alphabet 1.23%

Netflix 1.58% Netflix 1.29% AT&T 1.17%

Microsoft 1.53% Alibaba 1.23% Boeing 1.08%

Alibaba 1.39% Visa 1.23% Alibaba 0.98%

Key: Technology, Communication Services, Consumer Discretionary, Bitcoin, Other

Source: Schwab Report, December 2019

As you can see above, the Grayscale Bitcoin Trust (GBTC), a fund that gives you access to
bitcoin, is already millennials’ fifth-largest holding at Schwab.
Right now, GBTC is the only fully registered, fully tradable way to buy bitcoin in a brokerage
account (outside of futures). (We recommend buying bitcoin directly and avoiding GBTC
because the trust trades at a 40%-plus premium to the price of bitcoin.)
In my opinion, very soon, those same millennials will be able to buy just about any crypto
asset they want directly from their brokerage accounts the same way they’re buying Apple and
Tesla now without having to pay a 40% premium like they do with GBTC.
That means if buying just stays the same, millennials will be able to buy 40% more bitcoin
with the same amount of money.
But we expect bitcoin buying to explode because as they begin to inherit their parents’ and
grandparents’ fortunes, they will invest in what they know and trust. And that is bitcoin.
Ultimately, you’ll see trillions of those dollars flow into crypto assets.
Here’s why I believe that will happen…
Today, only 9% of the U.S. population owns bitcoin. But about 50% of those who do own it are
millennials…
We expect these numbers to grow exponentially because it’s about to get a whole lot easier to
buy crypto assets.
Here’s what’s happening…
In June, reports surfaced that PayPal and its subsidiary Venmo plan to roll out direct sales of
crypto to its 325 million users.
And surprise, surprise… The biggest users of these platforms are millennials.
I Owe You an Apology
Now, I owe you an apology. I was asleep at the wheel on this one because the “millennial
effect” was never anything I looked at as something that would really move the needle on
crypto prices.
On further reflection, I’ve come to realize millennials will be an entirely new source of
massive demand in crypto – just like they’ve been a massive new source of demand in stock
trading.
Since the beginning of 2020, millennials have poured into the stock market. It’s estimated
they’ve opened more than 3 million new brokerage accounts since January.
According to Robinhood co-CEO Vlad Tenev, the popular trading platform among millennials
has “seen record trading volumes and record depositing activity.”
Their buying (in part) has helped power behemoths like Apple and Tesla to new all-time
highs.
Our belief is that all online brokers will soon start offering direct trading in crypto assets. If
we’re right, the effect of their buying on crypto prices will be massive.
Consider this…
If just 10% of the $68 trillion they’re set to inherit goes into crypto ($7 trillion), the entire
crypto market could go up 25x.
Let me be clear… It won’t be just bitcoin that’ll benefit. Just like Tesla, Google, Netflix, and
Facebook have all benefited from the surge of millennial interest… a handful of crypto coins
will also benefit from the huge millennial buying we see ahead.
In this month’s issue, I’ll share with you the top five coins (four of which are already in our
portfolio) we see best positioned for the onrush of millennial buyers.
We already have exposure to four of these coins thanks to our basket approach, but I’ll explain
below why each coin is uniquely appealing to millennials. If you haven’t added them to your
portfolio yet, make sure you act quickly to get ahead of this new wave of demand.

Top Millennials Making a Killing in Crypto

Millennials love cryptos. And they haven’t been afraid to take risks on this nascent
technology. In fact, many of the most well-known crypto millionaires are millennials.
Here’s a list of some of the most influential crypto millennials today:
Brian Armstrong, co-founder and CEO of Coinbase, Age 37
In 2012, Brian started Coinbase to give the world a global, open financial system that
drove innovation and freedom. He also bought bitcoin when it was less than $10. His
estimated net worth is $1 billion.
Brendan Blumer, CEO of Block.one, Age 33
Brendan is a crypto entrepreneur and investor. And Block.one is the tech company behind
blockchain protocol EOS.io. Brendan and Dan Larimer launched EOS.io and held the most
successful initial coin offering (ICO) to date, raising $4.1 billion. His estimated net worth
is between $600 million and $700 million.
Vitalik Buterin, co-founder of Ethereum, Age 26
A college dropout, and intellectually gifted from an early age, Vitalik got interested in
bitcoin at the age of 17. In 2013, he believed bitcoin needed a scripting language for
application development. After failing to gain agreement, he coded Ethereum. His
estimated net worth is over $100 million.
Olaf Carlson-Wee, founder and CEO of Polychain Capital, Age 29
In college, Olaf invested all his savings in bitcoin. He became the first employee at
 Coinbase. Today, he runs crypto venture capital firm Polychain Capital. His estimated net
worth is $123 million.
Brandon Chez, founder of CoinMarketCap, Age 33
In 2013, Brandon started the industry’s most central website, CoinMarketCap. He recently
sold the website to Binance for nearly $400 million. His estimated net worth is over $2
billion.
Jeremy Gardner, CEO of MadeMan, Age 27
Jeremy bought his first bitcoin in 2013. He helped co-found cryptocurrency project Augur.
And he spent two years working for Blockchain Capital. Today, his estimated net worth is
$300 million.
Charlie Shrem, founder and CEO of BitInstant, Age 30
Charlie is a crypto pioneer. He bought bitcoin when it was between $3 and $4. He was the
founder and CEO of BitInstant, served as vice chairman of the Bitcoin Foundation, and
founded CryptoIQ. Today, his estimated net worth is $35 million.
Cameron, president, and Tyler Winklevoss, CEO of Gemini, Age 38
The Winklevoss Twins used their infamous settlement from Facebook to get into bitcoin.
They asserted owning 1% of the existing supply in 2013. That stake is worth an estimated
$1.2 billion today.
Jihan Wu, co-founder of Bitmain, Age 34
In 2013, Jihan helped start Bitmain, China’s largest cryptocurrency mining-chip company,
specializing in selling ASIC-chip miners. He also co-founded a crypto financial services
startup called Matrixport in 2019. His net worth is $1.8 billion.

Pick No. 1: Bitcoin (BTC)

Bitcoin (BTC) is the granddaddy of the digital currency world. It’s also the gateway to
crypto. So it’s the first token millennials will buy.
And we believe they’ll jump in feet first.
You see, unlike their parents and grandparents… millennials have a deep mistrust of banks.
According to global communications firm Edelman, 77% of millennials believe the traditional
financial system is “designed to favor the rich and powerful.”
And millennials are already familiar with digital payments. A Pew Research survey found 98%
of them have smartphones. So virtually the entire population is digital.
And as digital natives, they’re flocking to digital payments. International payment service
provider Ikajo found 65% percent of millennials pay for products or services via smartphones.
Compare that to just 42% of the general population.
So it’s no surprise millennials are bypassing banks and credit unions for near-instant digital
payment platforms like Venmo and Zelle.
They value the convenience of digital payments. And they prefer features such as peer-to-peer
payments and in-app purchases to traditional banking.
You can measure the impact of their preference by how much Venmo and Zelle have grown
over the last year. Millennials helped increase their transaction volumes by 48% and 57%,
respectively.
This is a massive trend in finance that’s not on Wall Street’s radar yet… But it’ll be a huge
catalyst for crypto in general, and bitcoin specifically.
You see, bitcoin (and its underlying blockchain tech) offers many of the same features as
PayPal and Venmo but does them better.
Bitcoin transactions are secure, can’t be forged or altered, are up to 140 times faster than
traditional payment platforms… and cost pennies on the dollar.
Take an international payment on PayPal, for example. You’ll pay a $3–5 service fee for each
transaction, plus 2.5% on the exchange rate. It takes at least one business day to send money.
And you’re limited to $10,000 in funds.
With bitcoin, you can send any amount you want. The transaction takes about 10 minutes.
There are no limits on funds. And the median transaction fee on bitcoin is 65 cents, regardless
of the size of funds you’re moving.
Like I mentioned above, this will first increase demand for bitcoin in specific. But once
millennials get a taste of bitcoin, they’ll go for other cryptos.
According to Sustany Capital, 88% of millennials want to own cryptos as an investment. And
to buy almost any crypto, you need bitcoin first.
When someone gets their feet wet with bitcoin, they move into Ethereum, and then into
smaller altcoins (any crypto other than bitcoin). So what’s good for bitcoin is good for the
entire crypto market.
Now, we’ve been bullish on bitcoin since 2016. In fact, my Wall Street greed narrative is based
on institutional demand for bitcoin. That will be the first wave of money into this asset.
Wall Street will offer new products to bring in clients… We’ll see crypto futures, options, and
ultimately an exchange-traded fund (ETF). It simply can’t pass up the opportunity to collect
fees from this new trend.
Based on our research, Wall Street will expose up to 500 million global investors to bitcoin
and other cryptos. There’s $85.2 trillion in global stock markets. If just 1% of that goes into
crypto, that would 32x the market.
But as I mentioned above, I didn’t account for the millennial demand for bitcoin. This is a
huge catalyst I believe will send bitcoin to new highs.
What’s It Worth?
There’s no shortage of catalysts for bitcoin today.
Big names in the institutional space are increasingly entering the cryptocurrency market. A
recent example is legendary hedge fund manager Paul Tudor Jones.
He’s considered one of the smartest macroeconomic traders ever, known for betting against
the market before the 1987 crash.
He recently announced he has nearly 2% of his assets in bitcoin. With a legend like Jones in
bitcoin and Wall Street’s herd mentality, others are sure to follow.
Plus, this demand doesn’t even account for the anticipated 500 million stock investors who
can’t use institutional platforms like Bakkt or CME to buy bitcoin.
But Wall Street is building on-ramps for these retail clients that’ll make buying crypto as easy
as buying stocks. (The Fidelity-Kingdom Trust partnership is a step in this direction.) Soon,
we’ll see a tidal wave of retail and institutional capital come into this space.
There’s also speculation a major brokerage will make bitcoin available to its millions of
customers. I believe this will happen by the end of the year. And there’s always the chance the
Securities and Exchange Commission (SEC) will approve a bitcoin ETF.
Any of these scenarios could take bitcoin to new all-time highs, or over 100% from today’s
prices.
But the potential is even greater.
You see, we still haven’t gotten the inevitable bounce from the bitcoin halving.
After its second halving, bitcoin went on to rally 2,963%. Should bitcoin see the same boost
after the third halving, it could rally to over $250,000.
And we haven’t even accounted for millennial demand. We know this population segment is
set to inherit nearly $68 trillion over the coming decade.
Now, you may find the next number unbelievable, but we didn’t pull it out of thin air. It comes
from Kraken, one of the largest crypto exchanges in the world.
Even if only $1 trillion of that $68 trillion inheritance flows into bitcoin, it’ll be enough to
drive the price up to $350,000.
That’s a whopping 38 times what it’s worth today. Or enough to turn every $1,000 into
$38,889.
As I said, I didn’t think the “millennial effect” was something that could materially impact the
price of cryptos. But after doing a deep dive into the numbers and motivations, I realized
millennials will be an entirely new source of massive demand.
As millennial adoption of crypto grows, we’ll see breathtaking price appreciation across the
entire crypto market. And bitcoin will be the first coin to benefit.
Action to Take: Buy bitcoin (BTC).
Buy-up-to Price: $25,000
Stop Loss: None
Buy It On: Coinbase, Coinbase Pro, Gemini, Abra
Store It On: Abra, Blockchain.com, Jaxx, or a hardware wallet such as Ledger
Pick No. 2: Tezos (XTZ)
There’s a good reason millennials will flock to Tezos (XTZ). But to understand why, you
need to understand the mindset of a millennial in today’s economy.
For decades, achieving the traditional American dream was simple: Go to college… get a good
job… climb the corporate ladder… buy a nice house… and enjoy a comfortable retirement.
But millennials don’t have the same vision of the American dream as their parents and
grandparents did.
They came of age during the 2008 Financial Crisis. They witnessed financial institutions
nearly flatten the economy… the housing market collapse… and big banks getting slapped on
the wrist for defrauding the public…
And worst of all, millennials saw Wall Street bail out banks that used irresponsible and greedy
practices to cause the crisis – while they’re saddled with trillions in student loan debt.
So it’s no wonder a study by Even Financial found 92% of millennials don’t trust banks.
When it comes to their financial needs, they’re turning to non-traditional financial services,
including for their savings accounts.
A recent survey by Bankrate found millennials are about three times more likely to have
crypto holdings than Gen Xers. And we believe they’ll put some of those holdings into crypto
savings accounts.
That’s where Tezos comes in…
According to millennial financial planner Tori Dunlop, standard savings accounts yield of
about 0.09%. So investors earn just 9 cents for every $1 over the course of a year.
But Tezos pays token holders nearly 6% on their crypto holdings. That’s 6,567% greater than
traditional savings accounts.
And it’s the No. 1 reason millennials will buy Tezos.
 Earning Yield From Staking
Here’s how Tezos works…
Like bitcoin, it operates on a blockchain. Remember, blockchain is simply the underlying
technology of cryptocurrencies. Think of it as a distributed ledger.
Without getting into the weeds, Tezos secures its blockchain by having people “stake” their
coins. Hence the name of this approach, “proof of stake.”
Staking involves holding crypto in an authorized wallet to support a blockchain operation.
Stakers who lock up their crypto receive rewards, including voting rights on the project and
payments in the form of additional crypto.
Staking gives crypto holders regular income similar to a high-yield savings account.
[Staking differs from “proof of work” networks like bitcoin. On the bitcoin network, “miners”
spend millions of dollars on specialized computers and electricity to solve mathematical
puzzles. Their work secures the network and – in return – they receive newly issued bitcoin as
a reward.]
You don’t need to understand all the technicalities behind staking to make money from
cryptos… just like you don’t need to know HTML code or Javascript to make money from
internet stocks.
All you need to know is that staking is a growing trend among millennials.
At the beginning of 2020, the market cap of staking coins stood at $7.8 billion. Today, it’s
$21.4 billion… an increase of 178% in just six months.
Up until recently, staking rewards were the only real reason to hold Tezos. And that makes
sense. With a yield up to 10x higher than the 10-year Treasury, millennials have a compelling
reason to hold XTZ.
That’s why more than 80% of all outstanding XTZ has been essentially taken off the market
and “locked up” in staking pools.
But there’s more to Tezos than just its yield.
Multiple Catalysts
The real play here is Tezos’ development architecture, which allows for the rapid deployment
of security token offerings (STOs) onto a highly stable platform.
Let me explain…
STOs are public offerings that use tokenized digital securities. Think of them like stock
certificates that trade on a blockchain instead of a stock exchange. You can use STOs to trade
real financial assets, such as equities and fixed income. Investors can store, trade, and
exchange their STOs on the blockchain.
And we’re already seeing serious financial players turning to Tezos for their corporate needs –
especially in real estate, which holds trillions in value.
Take BTG Pactual, for example. It’s the largest property manager in Brazil. And it listed its
STO on Tezos to raise capital. The tokens give holders access to a portfolio of distressed real
estate assets in Brazil.
BTG first issued the tokens on Ethereum but switched to Tezos. The offering itself was quite
small – about $15 million – but its implications are enormous.
One of the draws of using STOs to raise capital is cost efficiency. The cost of the raise doesn’t
change whether you’re raising $10 million or $10 billion. It’s exactly the same.
Plus, you can do things not available in the market today, such as sell a building’s income
stream, appreciation rights, and depreciation rights separately.
So you can begin to see the value proposition of tokenizing just real estate alone through STOs
is huge. This approach can be applied toward forestry, mining, or any other type of real estate
development project.
Real estate is the most immediate use-case opportunity in front of Tezos. And in addition to
BTG Pactual, Tezos has a slew of partnerships.
Ken Garafalo, the Boston chapter president at Tezos Commons (one of the community’s
foundations) recently said, “I believe [there’s] been over $3 billion in real estate assets
[already] committed to tokenizing on Tezos.”
When it comes to hard assets like real estate and the myriad rights that can be split off from
those assets (think mining rights, water rights, depreciation rights, income rights, capital
appreciation rights, etc.)… there isn’t an exchange in the world that can provide the type of
functionality needed for this market to flourish as cheaply, securely, and quickly as Tezos can.
What’s It Worth?
To be clear, Tezos has a great yield. But I don’t want you to own it just for the yield. Instead, I
want you to hold it for what it can become: the world’s largest hard asset exchange.
With about 736 million Tezos tokens outstanding and 80% of them locked up, it’ll only take
one or two successful STO applications to explode demand for XTZ.
If we look at businesses built on creating digital-driven exchanges, their values are vast and
varied. They range from the Intercontinental Exchange’s (owner of 12 stock exchanges
including the New York Stock Exchange) $50 billion valuation to Alibaba’s almost $600
billion valuation.
Under that scenario, if Tezos becomes the leading hard asset exchange in the world, its
ultimate value could be in the hundreds of billions of dollars.
Just based on its yield and the investor momentum we expect to flow into crypto assets over
the next 24 months, we think it’s on a trajectory to be worth north of $20 billion. Long term,
$200 billion could prove to be a low valuation for this project.
A $200 billion valuation would put Tezos at $263.11 per token, or a 10,302% gain from
today’s prices. That’s enough to turn every $1,000 into $104,024.
Right now, Tezos’ immediate driver is millennial demand for its yield. When you factor in the
$600 million-plus it has in cash and its near 6% yield, the coin is clearly undervalued.
Buying it today and staking your coins will allow you to patiently wait for what could become
the third- or second-most valuable crypto in the world.
Because if Tezos can pull off its dreams of being a global STO exchange, the profits from here
will be life changing.
Action to Take: Buy Tezos (XTZ).
Buy-up-to Price: $3.50
Stop Loss: None
Buy It On: Coinbase, Coinbase Pro, Bittrex, Binance, Binance.US
Store It On: Galleon Wallet
Pick No. 3: Basic Attention Token (BAT)
The average person spends 2.5 hours per day on social media websites. And over six hours a
day on the internet.
Advertisers know this, which is why every time you go to a website, you see ads.
Do a Google search – ads.
Watch a YouTube video – more ads.
Scroll through your Facebook feed – every other post is an ad.
Digital advertising is big business. Google alone collects $134 billion per year in ad revenue.
Problem is, everyone hates ads, especially millennials.
According to Forbes, 84% of millennials don’t trust traditional advertising. That’s more than
any other age group.
That’s no surprise to us. Consider the following:
Up to 50% of an average user’s mobile data is for ads and trackers.
Ads increase load times and decrease battery life.
Some ads violate user privacy. Large media sites use up to 70 trackers to monitor
interests, information, and activity.
On top of that, ads expose users to malware, or malicious software. And this exposure is up
132% over the last year.
But that’s not the only issue. According to a Harris Poll, 74% of millennials object to being
singled out by brands in their social media feeds.
Remember, millennials are social media savvy. They trust online sources they discover on
their own over traditional brands.
But the problem is popular social media platforms bombard us with ads. That’s why
millennials are quitting social media apps such as Facebook, Twitter, and Instagram in
droves.
According to the Harris poll, 56% of millennials have cut back on or quit using social media
sites due to ads in their news feeds. (For example, in 2017, 79% of millennials said they logged
onto Facebook every day. Today, it’s down to 62%.)
So we know millennials don’t like traditional advertising. But it doesn’t mean they hate ads
altogether.
What they want is trust, authenticity, and control. According to Adweek, 57% of millennials
state they’re willing to view sponsored content from a brand as long as it includes authentic
personalities and is entertaining and useful.
That’s why we like the Basic Attention Token (BAT) project. It’s the coin behind the Brave
browser. And we believe it’ll eventually be the No.1 internet surfing choice of millennials…
Fighting for Your Attention
Brave’s goal is to become a global advertising network that directly links ad buyers and ad
sellers.
The plan is to first attract millions of users to Brave’s privacy-oriented web browser with the
promise of a speedier and less-cluttered experience.
Brave’s pitch to users is that its browser blocks unwanted ads and trackers that slow down
browsing. That makes its browser two to eight times faster than popular alternatives like
Chrome, Firefox, and Safari. It also keeps your browsing activity private.
These features save users money, too. According to Brave, the average user pays $23 per
month in unnecessary data charges because of ads and trackers.
You may be wondering how Brave’s ad-blocking platform benefits advertisers and
publishers…
To encourage users to engage with ads, Brave uses a unique incentive called Brave Rewards.
Since Brave links ad buyers and sellers, it can pinpoint just how much attention any given ad
receives. That means it can pay a portion of the ad fee in BAT directly to the person viewing
the ad.
That’s right… Unlike YouTube, where Google gets the lion’s share of ad revenue, users of the
Brave Browser get paid to watch ads – up to 15% of the ad revenue. (The other 85% is split
up this way: 55% to the website that publishes the ad… 15% to the ad supplier… and 15% to
Brave.)
This unique incentive structure has already attracted millions of users. Since launching in
January 2016, it only took until June 2018 for the Brave browser to reach more than 10
million downloads. Today, more than 15.4 million people actively use the Brave browser each
month.
Here’s what’s key for us as token holders: All economic activity on the Brave browser and
advertising platform is conducted in the BAT token.
Advertisers pay BAT to publishers, who then use the tokens to reward users. The BAT
platform automatically handles converting dollars into BAT, and back into dollars. This is a
key feature.
The Brave browser will provide users with a better browsing experience… reduce fraud …
deliver ads that users are paid to watch that are also relevant… increase revenues for
publishers… and provide better attention measures for advertisers.
All anonymously and securely over the blockchain.

The Brain Behind Brave

Brave is the brainchild of Brendan Eich. He’s a technologist with a 40-plus-year career.
And his experience makes him the right guy to lead the BAT project.
Over his career, Brendan has created JavaScript, the most popular programming language
in the world.
He also co-founded Mozilla. It’s a free software company that built services around the
first commercially successful web browser, Netscape.
And while at Mozilla, he helped create the Firefox browser. After Google Chrome, it’s still
the second-most used browser in the world today.

How Users Get Paid by Brave

Here’s why we believe millennials will migrate to the Brave…
Publishers, advertisers, and users can exchange BAT among each other. And you can use it to
obtain a variety of advertising services on the BAT Platform. You can even use BAT tokens to
“tip” content creators for useful posts.
The biggest advantage Brave has over other browsers, though, is users can get a share of
advertising revenues through BAT.
That’s right. By joining the Brave Rewards program, you can automatically earn BAT.
We think millennials will flock to this moneymaking opportunity.
Take Huda Kattan, for example.
She quit her finance job in 2010 to become a makeup artist and beauty blogger. She later
started her own online company. And she became a big Instagram influencer with millions of
followers.
Today, she’s worth over $500 million.
Now, of course, Huda’s social media success story is a unique example. But millennials have
an affinity for making money online. And they can do that much easier with Brave.
And the numbers bear that out… According to a poll taken in January 2020, BAT is one of
their top holdings. Right behind bitcoin, Ethereum, and Ripple.
What’s It Worth?
The Brave Browser is growing at a rapid clip. As mentioned, this May, it reached 15.4 million
users. That’s up 125% from a year ago.
Now, these numbers aren’t broken down by demographic. But we suspect a large portion of
this growth is coming from millennials. After all, it’s one of their top crypto holdings.
To value Brave, we have to focus on three metrics:
The number of Brave browser users we expect to come to the platform.
The amount of gross ad revenue those users could generate.
The network value the market will give BAT.
Let’s tackle user growth first. Right now, Brave users are growing 125% annually.
For reference, Eich’s previous browser project, Firefox, had about 100 million users after five
years. But Brave is growing faster. Even cutting the growth rate by 50% puts it over 150
million users in five years.
Next, we need to figure out the potential ad revenue those users can generate.
To get an estimate, we’ll look at Roku. It’s a hardware provider to streaming services as well
as an advertising platform. Likewise, the Brave Browser is both an ad platform and media
platform. So Roku serves as a useful comparison.
Roku generated roughly $820 million in advertising revenue last year. And that’s from its
39.8 million monthly active users, per its latest financial report.
Under a similar scenario, Brave could generate $3 billion in advertising revenue with 150
million users. Now, that may seem like a big number. But keep in mind, global digital ad
spending is expected to surpass a half-trillion dollars by the end of 2023. So this $3 billion is
just a tiny fraction of the global ad spend pie.
And finally, we have to figure out the network value that 150 million Brave users and $3
billion in ad spending will generate for the BAT token.
The market, on average, values Roku at nine times its revenues. Should BAT do the same, that
suggests a value of $27 billion in five years.
Under this scenario, the BAT token would be worth $18.54. That’s a 7,316% gain from today’s
prices. Or enough to turn every $1,000 into $74,160.
Brave’s privacy, revenue sharing, and fraud-resistant solution is perfectly positioned to meet
the needs of the millennial market.
And best of all, they’ll get paid for watching ads – around $224 per year. It’s a win-win-win
solution for content creators, viewers, and crypto investors.
Action to Take: Buy Basic Attention Token (BAT).
Buy-up-to Price: $0.35
Stop Loss: None
Buy It On: Coinbase Pro, Binance, BinanceUS, Bittrex
Store It On: MyEtherWallet
Pick No. 4: Enjin (ENJ)
Millennials love gaming. According to an OverActive Media survey, rather than watching
traditional sports games (61% of respondents), they’re more likely to spend their leisure time
playing e-games (69% of respondents).
And they make up the biggest segment of gamers. According to Statista, 60% of the 2.7 billion
gamers worldwide are millennials.
They play a lot, too. According to Limelight Network, millennials spend the most time playing
out of any demographic, about 7.5 hours per week.
And when they’re not playing online games, they’re watching them.
Per Nielsen, 71% of millennial gamers use platforms like Twitch to watch video game streams.
And they spend nearly six hours per week watching gaming content.
And with most sports leagues scrambling to find viable solutions to return to viewers’ screens
amid the COVID-19 pandemic and more time spent at home due to government-mandated
lockdown orders, these numbers could be even higher.
Now, buying video game companies is one way to capitalize on this opportunity. It’s a big
market, estimated to be worth $200 billion by 2023. And it’s growing at a good clip, about
12% per year.
But an even faster growing segment is the market for digital in-game items. These include
characters, weapons, skins, costumes, real estate, and accessories.
Already, gamers spend over $50 billion every year in these virtual items. And per Adroit
Research, it’s expected to grow over 22% annually through 2025. By then, it’ll be a nearly
$200 billion market of its own.
But here’s the problem…
Players are spending billions on virtual items they don’t own. They can’t move these items
from one game to another. And they can rarely trade or convert them into actual money.
However, we’ve found a breakthrough blockchain platform that – for the first time – will give
players a way to actually own, trade, store, and move their in-game digital items.
And they can do it in the same way they own, trade, store, and move crypto.
The name of the project is Enjin (ENJ).
The Breakthrough Gaming Platform
Millennials are already embracing blockchain-based gaming. For example, blockchain game
CasinoFair estimates 85% of its activities come from millennials.
Enjin is a blockchain gaming ecosystem. And its products allow anyone to easily create,
manage, distribute, trade, and store blockchain assets.
It started as a gaming platform that provided tools for people to build communities around
their favorite games.
Since launching in 2009, it’s grown its user base to over 20 million users. In 2017, it expanded
its platform into blockchain development.
But Enjin saw right away the standards for creating digital items was cumbersome and
expensive. Instead of waiting for a better solution to come along, it decided to write a new
protocol from scratch.
It goes by the very unsexy name of ERC-1155. But this nondescript piece of tech jargon will
change the face of gaming as we know it. And it has the potential to usher in a new segment to
the global economy.
That’s because it’s dropped the cost of using the Ethereum blockchain by as much as 90%.
This dramatic decrease in costs will lead to an explosion of game development and – more
importantly – game usage.
This surge of usage will create billions of new tradable digital items. It will spawn its own
economy that could ultimately be worth hundreds of billions of dollars. And by unlocking
items from being trapped in one ecosystem, we believe the Enjin coin will underpin much of
that new economy.
As we’ll show you shortly, it’s already happening.
Today, Enjin has the opportunity to become the premier gaming platform in the blockchain
space that billions of millennial gamers and others will flock to.
Enjin calls its platform the Enjin Multiverse. It contains all the tools needed for blockchain-
based gaming. And in the context of gaming, it means players can use their Enjin Multiverse
items in multiple gaming realms.
In addition to the ERC-1155 standard, Enjin created a suite of products to make the Enjin
Multiverse a reality.
Today, developers can use Enjin’s ERC-1155 standard to create virtual goods easily and cost
efficiently. Further, with its ecosystem, Enjin created a new paradigm for the gaming space
where users can truly own their in-game assets.
It’s All About Partnerships
The fastest way to attract new users is to build partnerships with other platforms that have
massive user bases.
And that’s exactly what Enjin has done by securing three major partnerships:
The first was with Samsung in March 2019. It will put Enjin on 45 million of Samsung’s
flagship S10 smartphones.
That means the Samsung Blockchain Keystore (its built-in crypto wallet) will support the
ENJ token. It will also support ERC-1155 tokens.
In the last decade, Samsung shipped over 2.4 billion phones. And we suspect it’s only a
matter of time before all Samsung phones come equipped with a blockchain wallet.
The second partnership with Unity Technologies will put Enjin’s tools in front of 4.5
million game developers.
Unity is the world’s most popular game engine. It powers over 50% of mobile games and
reaches over 3 billion devices worldwide. And Unity’s gaming engine supports more than
25 gaming platforms, such as the Xbox One and PlayStation.
With this partnership, the Enjin software development kit (SDK) is now part of the Unity
Asset Store. So Unity game developers can easily create and manage virtual assets in their
existing and upcoming games.
Enjin’s third major partnership is with Microsoft, the top cloud provider in the world by
revenue. Microsoft is collaborating with Enjin to promote Microsoft’s Azure cloud
community.
Microsoft dubs the project Azure Heroes. It rewards Azure community members with
digital collectibles for coaching, providing sample code, and other positive actions. And it
creates these digital collectibles (called badgers) using Enjin.
Enjin has a number of other key partnerships as well. For example, it’s working with the
Korea Mobile Game Association to promote its platform. It’s doing the same thing with
HashPort Accelerator, a blockchain consultancy out of Japan. And the largest crypto exchange
in the world, Binance, recently tapped Enjin to help it launch Binance collectibles.
There are an estimated 1.6 billion millennial gamers purchasing billions of dollars’ worth of
in-game items. These partnerships will help Enjin eat into the digital goods markets.
What’s It Worth?
In 2010, the average person spent about 2.5 hours online per day. At the end of 2019, it was
up to 3.5 hours – a 40% increase. By 2021, it’s estimated to be more than four hours.
The point is: Our lives are becoming increasingly digital. And as we spend more time online,
our virtual experience becomes more legitimate and valuable.
That’s why people will gravitate to virtual items. And it won’t be long before we buy digital
items as naturally as tangible items… like a car or a new set of clothes.
Enjin is vying for a piece of the growing $50 billion video game virtual items market. It’s a
market that’s expected to reach $200 billion in five years.
But we think just considering the video games virtual item markets is too small. That’s
because the $370 billion collectibles market is ripe for disruption, too. Digital collectibles are
part of a larger trend: physical assets moving to a digital representation.
Examples include digital art, trading cards, comic books… even digital cars. The possibilities
are endless. Of course, we won’t see every collectible go digital. But as more do, it could
dramatically expand the market for Enjin.
Five years from now, the combined addressable market for Enjin will exceed $600 billion.
Should it capture just 2% of that market, Enjin could command a valuation of $12 billion.
That would give us a token price of $14.61, or a 8,018% gain from today’s prices.
That’s enough to turn every $1,000 into $81,182.
With such a huge runway ahead and the tailwind of the biggest segment of gamers –
millennials – to propel its Multiverse solution, we believe Enjin has a long way to go. That’s
why we’re raising our recommended buy-up-to price.
If you missed the chance to get into this project, grab some today before the digitized item
market shoots even higher.
Action to Take: Buy Enjin (ENJ).
Buy-up-to Price: $0.22
Stop Loss: None
Buy It On: KuCoin, Bittrex, Binance, Binance.US
Store It On: MyEtherWallet
Bonus Pick: Millennial Gold – PAX Gold (PAXG)
As we mentioned above, millennials prefer to own bitcoin over gold. It’s convenient to buy,
sell, and store. Plus, like gold, it has a limited supply. But that doesn’t mean they don’t like
gold.
In fact, a recent global investment survey by investment management company Legg Mason
showed U.S. millennials were the most likely age group to view gold as an attractive
investment.
Thirty-four percent of millennials saw gold as one of the top three investment opportunities.
Compare that to 23% for the overall population.
And we know millennials are buying gold today.
The Royal Mint reported it received unprecedented demand for gold bullion coins and bars
over this past March and April.
What stood out is that the demand is increasingly coming from millennials.
Twenty-five percent of the new accounts opened during this time were from those under the
age of 35. In other words, millennials.
Now, going through the Royal Mint or other gold dealers is one way to buy gold.
But we believe millennials will increasingly turn to digital gold. It combines the best of both
worlds for them.
Remember, millennials prefer buying digital. Eight out of 10 consider their smartphone an
essential life tool. And they use their phones to shop online more than any other generation.
Plus, the average millennial spends 25 hours online per week. For this generation, the world
is digital. So it’s a no-brainer they’ll buy digital gold, too.
Our favorite way to digitally invest in gold on the blockchain is PAX Gold (PAXG). We’ll
explain how it works below.
How Paxos Gold Works
PAXG was created by the Paxos Company, whose mission it is to digitize assets.
Founded in 2012, it takes a two-prong approach. First, it establishes regulatory designations.
That gives it access to the current financial infrastructure. And second, it develops innovative
products.
In other words, Paxos operates as a gateway between traditional finance and the digital
future.
In 2015, the New York State Department of Financial Services (NYDFS) granted Paxos a
limited-purpose trust charter. That made Paxos the first company approved and regulated to
offer crypto products and services.
In 2018, it launched its first product, Paxos Standard (PAX), a stablecoin pegged to the U.S.
dollar.
And in September 2019, it launched PAX Gold.
The goal was simple. Paxos knew gold was expensive, cumbersome, and risky to own. So it
wanted to fix those problems and make PAXG one of the easiest and safest ways to own gold.
Let’s break down how it works.
PAXG is a digital asset. Each token is backed by 1 fine troy ounce (a bit heavier than a regular
ounce) of a 400-ounce London Good Delivery gold bar.
So when you own 1 PAXG token, you own 1 troy ounce of gold.
Owning gold on the blockchain has many benefits. And we’ll get to those in a moment. But
you may be wondering now, why should I trust PAXG in the first place?
First, as mentioned, Paxos is regulated by the NYDFS. This is not a company trying to work
outside the current regulatory environment, so the regulatory risk here is minimal.
Second, Paxos stores its gold with one of the world’s oldest and most reputable security firms,
Brink’s. Founded in 1859, the company is known for its bullet-resistant armored trucks that
transport billions of dollars in cash each year.
And third, Paxos’ gold holdings are fully audited. Every month, a nationally ranked auditor
attests to the supply of PAXG tokens matching its underlying gold.
This is important. While there are other gold-backed cryptos in the market, PAXG is the first
regulated gold token.
In addition to being regulated, PAXG offers a number of other benefit that brings gold into
the 21st century:
Accessible: PAXG is an ERC-20 token, so it’s secured by the Ethereum blockchain. Plus,
it can easily be moved or traded around the world almost instantly.
Redeemable: PAXG is the only gold token you can redeem for LBMA-accredited Good
Delivery gold bullion bars. You can even redeem smaller amounts through a network of
physical gold retailers.
 Low Fees: Whenever PAXG tokens are sent via Ethereum, Paxos charges a small
(0.02%) transaction fee. Best of all, there are no custody fees.
Support: Paxos provides 24/7 customer support.
When you put it all together, PAXG has the flexibility and accessibility of crypto assets… with
the backing of physically secured gold.
That means gold can now be part of the 24/7, global, digital economy.
And that makes PAXG a perfect option for millennials.
What’s It Worth?
Now, you may be thinking, won’t millennials just buy bitcoin instead of gold?
We don’t think they’d have to choose between one or the other.
Take Paul Tudor Jones, for instance. He made headlines when he announced he was buying
bitcoin. But what many people didn’t notice is that he’s been buying gold, too.
Considering today’s economic environment, millennials will do the same to insulate their
portfolios.
As we write, gold is trading less than 10% from its all-time 2011 high.
But that’s just in U.S dollars. Gold in every other currency is making new all-time highs.
Interest rates are at historical lows, forced down by central bankers around the world. In fact,
rates are lower today than they were during the Great Depression or World War II.
Governments are in a spending spree to respond to COVID-19. The Center for Strategic and
International Studies estimates G20 countries alone have spent over $6 trillion. That nearly
10% of their collective GDP in just a few short weeks.
And central bankers around the world have printed over $20 trillion in new money.
All of this makes it hard to trust governments and their handling of our money. That’s why
investors are increasingly turning to alternatives like gold.
How high can it go?
The last example we can look at is gold during the Great Recession of 2007-2009. From the
depths of the Great Recession to its high in 2011, gold rallied over 130%.
A similar move would put gold over $4,000 per ounce today.
But our colleague Tom Dyson predicts gold will go even higher. He thinks it needs to go to at
least $10,000 to counter the actions of governments and central banks.
That would be a gain of 463% from today’s prices. Or enough to turn every $1,000 into
$4,630.
As crypto assets become more popular over the next three to five years, we think PAXG can
become the world’s largest supplier of gold-backed cryptos.
Action to Take: Buy PAX Gold (PAXG).
Buy-up-to Price: $2,000
Stop Loss: None
Buy It On: Kraken, Uniswap, PAX Gold website
Store It On: MyEtherWallet
Five Coins to $5 Million Roundup
Over the past few months, I’ve been preparing my readers for the bitcoin halving, which
happened on May 11. The halving is a guaranteed phenomenon that happens only once every
four years and creates truly remarkable profit potential for savvy investors.
We’ve already started to see major moves as a result of the 2020 halving. And its implications
will continue to affect the entire crypto market… The last two times this phenomenon
happened, we saw the price of some small coins skyrocket hundreds of thousands of
percentage points – or more. We expect this halving to be even more lucrative.
That’s why I shared two sets of coins I believe carry the potential to hand readers $5 million
from the 2020 phenomenon.
Last September, I shared the first list. The names on that list included Crypterium (CRPT),
Chainlink (LINK), Ripio Credit Network (RCN), and 0x (ZRX).
(We also added two bonus picks to this portfolio: Loki (LOKI) and Solve.Care (SOLVE).)
And in March, I shared my list of the final five coins I believe hold that potential as well. They
are: Enjin Coin (ENJ), Numeraire (NMR), Crypto.com (MCO), Status Network (SNT), and
Streamr (DATA).
Since we recommended the First Five, they’re up an average 325%. And since we
recommended the Final Five, they’re up an average 291%.
It’s my belief brand-new highs across the crypto sector can propel both of our Five Coins
portfolios to stratospheric valuations that’ll make you rich.
Below, we’ll update you on new developments across both our Five Coins portfolios.
The Final Five Coins to $5 Million
Enjin-Coin (ENJ)
We covered Enjin in this month’s issue above. If you purchased it as part of our Five Coins to
$5 Million portfolio, here are some updates on how the project has been progressing. It’s been
a busy year for Enjin.
It officially launched the Enjin Platform, a blockchain PaaS (Platform as a Service) that
allows developers to create and manage blockchain games without knowing any
blockchain code.
It kicked off its Multiverse program. This gives game developers everything they need to
incorporate their games into the Enjin platform, including marketing, community
management, and crowdfunding.
And it released software development kits (SDKs) for Java and Godot. Both are popular
programming languages and make it easier for developers to build on Enjin.
The hard work is paying off. Enjin started the year with roughly 50 million assets on its
platform. Today, it’s over 1 billion – a 1,900% increase.
Next up is Efinity, Enjin’s game-channel network for highly scalable blockchain transactions.
With Efinity, a game can perform nearly infinite volumes of transactions between millions of
players and the game server. And these transactions will remain trustless and verified on the
Ethereum blockchain. Efinity’s release is expected later in 2020.
With all these new developments and Enjin’s draw on millennials, we think the project has
lots of room to run. So we’re raising the buy-up-to price today.
Action to Take: Buy Enjin Coin (ENJ) up to $0.22.
Numeraire (NMR)
Numeraire is updating the Numerai tournament, a data science competition. Participants are
given concealed stock data sets to predict future price movements. Numerai’s meta model
uses those to direct its hedge fund capital.
Numerai has been building its meta model since 2014. By 2018, it had a Sharpe ratio of 1.55
versus 0.91 for the machine learning model and 0.13 for the linear model.
[In finance, the Sharpe ratio measures the performance of an investment compared to a risk-
free asset. The higher the number, the better.]
In 2019, Numerai improved the questions it asked data scientists and increased the features
they could use. That bumped its Sharpe ratio up to to 2.09.
The project is shaking up the Numerai tournament again. Numerai’s true power is in its many
unique models, all with different strengths. So it’s looking for data scientists to provide new,
original, and unique models.
It’s incentivizing this through a program called Meta Model Contribution. It estimates how
valuable each model is to the meta model that runs the hedge fund. Then users are paid based
on the real value they add. Numeraire estimates it’ll pay out over $1 million to data scientists
over the next quarter, encouraging more project involvement.
Action to Take: Buy Numeraire (NMR) up to $15.
Crypto.com (MCO)
Crypto.com aims to bring cryptocurrency to everyone’s wallet. Its services expand beyond just
a wallet and include a Visa-backed debit card, crypto-backed fiat loans, and automated crypto
investing.
Crypto.com recently passed 2 million customers. Its goal is to reach 100 million in five years.
To get there, it’s building a comprehensive ecosystem around payments, trading, and finance
use cases.
Last month, we informed you Crypto.com had started shipping its MCO Visa debit card to
Europe, making it available in 31 European markets and nearly 530 million people.
However, the card issuer, Wirecard recently ran into problems. The U.K. Financial Conduct
Authority suspended the license of Wirecard Card Solutions, a subsidiary of Wirecard.
Wirecard filed for insolvency after auditors could not locate $2.1 billion Wirecard said was
deposited in two banks in the Philippines.
Wirecard was involved in dishonest practices and duly punished, but it’s important to note
Crypto.com cardholders did not suffer. Debit cards issued by Wirecard for Crypto.com are
fully prefunded. And these clients’ fiat funds are held by a separate institution regulated by
the U.K. Meaning, no customer funds were held with Wirecard.
Crypto.com has taken the additional step of refunding customers any funds on their cards.
Overall, this is just a temporary blip for Crypto.com. With Wirecard out of the picture, CEO
Kris Marszalek says it’s working on alternative solutions so customers can continue using
their cards. We’ll provide updates on this as they’re available.
Action to Take: Buy Crypto.com (MCO) up to $10.
Status Network Token (SNT)
The Status Network is building the next-generation messaging app. Released in February, it’s
a private and decentralized messenger, crypto wallet, and dApps browser all in one.
The latest major update, v1.4, introduces two new features to the app:
Keycard: a secure, contactless hardware wallet. It looks like a credit card and safely stores
private keys offline. It’s unique in that it uses Near-Field Communication (NFC)
technology, creating a contactless experience.
It provides additional security layers to Status. First, you can use Keycard to authorize all
transactions. And second, you can use it for two-factor authentication (2FA), involving
physically tapping the card to their smartphone and entering a PIN.
 Notifications: decentralized app notifications. Instead of using Android’s centralized push
notifications, it uses message relayers within its ecosystem. This makes Status
notifications peer-to-peer (P2P) instead of centralized.
Status continues to make improvements on its flagship Status App. And folks are noticing.
The Status app now has over 50,000 downloads on Android.
Action to Take: Buy Status Network Token (SNT) up to $0.04.
Streamr (DATA)
Streamr is a decentralized, scalable network for real-time data. It aims to be a neutral data
backbone for the machine data economy and dethrone the large conglomerates that control
our data today.
The project recently launched the public beta of a community product, Data Unions. They’re
unique in data sourcing and revenue sharing, allowing multiple users to join and create a
large, saleable data stream. The pooled data is sold as a product on the Streamr marketplace.
And end users automatically share profits.
For example, Streamr’s first Data Union, in private beta since October, is a browser extension
that allows individual users to monetize their browsing habits. With the public beta launch,
Streamr will promote more Data Unions.
During this public beta phase, Streamr will work out any outstanding issues. It aims to launch
Data Unions at the end of the third quarter. That’s great for DATA holders as Data Unions will
increase usage of the token.
Action to Take: Buy Streamr (DATA) up to $0.04.
The First Five Coins to $5 Million
Crypterium (CRPT)
Crypterium is making spending crypto as easy as cash for its 500,000-plus users in a few
ways:
First is with its Visa and UnionPay partnerships. These allow Crypterium users to spend
crypto in their Crypterium wallets through a card. It gives users access to merchants
across 175 countries.
Second, it’s offering more currency pairings. As of last month, it offers more than 200
cross-pairings, meaning users can exchange cryptocurrencies without needing to first
trade into a fiat currency.
It’s also burned 376,634 tokens to date. At current market rates, this equals over $112,000.
And as more transactions happen on Crypterium’s platform, more CRPT get burned,
essentially rewarding CRPT holders in the process.
Action to Take: Buy Crypterium (CRPT) up to $0.45.
Chainlink (LINK)
Chainlink’s oracles (or data feeds) enable smart contracts to access off-chain data in a
decentralized manner. Today, it’s the largest oracle provider with over $220 million in value
secured. And it’s continuing to expand its ecosystem.
Google, the internet search giant with a market capitalization over $1 trillion, is now using
Chainlink. It’s part of Google’s plan to adopt blockchain protocols and technologies by
integrating them with its Google Cloud services. Its ultimate goal is to create hybrid
blockchain/cloud applications.
The fact that the search engine giant is favoring Chainlink, in addition to Ethereum to make
internet-hosted data available in an immutable blockchain, is great PR for the project. For
now, Google is focused on specific use cases such as prediction marketplaces, futures
contracts, and transaction privacy.
Chainlink is also now part of China’s blockchain initiative. The state-backed Blockchain
Service Network (BSN) will use Chainlink’s oracles to source reliable information about the
real world.
Both these announcements are great news for Chainlink. It helps solidify its spot as the top
oracle provider. And each partnership will help accelerate LINK usage.
LINK has now soared well beyond our buy-up-to price. We’re up 916% since we
recommended it. We’re moving it to a “hold” for now and will update you if we change our
recommended action in a future issue or update.
Action to Take: Hold Chainlink (LINK).
Ripio Credit Network (RCN)
Ripio Credit Network connects lenders and borrows in a decentralized, P2P manner. It looks
to extend credit to those who can’t access traditional banking services.
This past month, Ripio updated its smart contracts to remain compatible with the liquidity
protocol Uniswap. Uniswap will help Ripio users find liquidity when needed.
Looking forward, the team is testing collateral-backed loans. We look forward to learning
more about these loan offerings. In the meantime, Ripio continues to progress, improving
usability and offerings for its 450,000 users across its app, exchange, and credit marketplace.
Action to Take: Buy Ripio Credit Network (RCN) up to $0.04.
0x (ZRX)
0x is an open-source protocol providing smart contract infrastructure and liquidity to enable
P2P token exchange on the Ethereum blockchain. As it moves to decentralize its governance,
the team is shifting focus.
The core team, 0x Labs, will focus on driving protocol adoption. It aims to build a healthy
business on top of 0x by focusing on three key areas: improving efficiency of existing markets,
establishing new markets, and creating novel trading experiences that’ll extend access to a
broader segment of users.
To that end, 0x Labs released its first product, Matcha. It’s a simple and intuitive
decentralized trading platform anyone can use. Under the hood, Matcha aggregates liquidity
from numerous sources to find the best prices. This provides a simple gateway for users to
conveniently trade cryptocurrencies on a P2P platform.
0x plans to use Matcha as a launch pad for new markets. And the goal is to eventually have
hundreds of assets with thousands of tradeable pair combinations. That will bring more
volume to 0x, benefitting ZRX holders.
Action to Take: Buy Project 0x (ZRX) up to $0.75.
Portfolio Update
By Teeka Tiwari and Greg Wilson
Bitcoin (BTC)
As you read in the issue above, bitcoin is the chief P2P decentralized currency. Almost
anybody entering crypto is first exposed to bitcoin before any other cryptocurrency.
In the early years, the main way users could get bitcoin was by directly mining the currency.
This limited exposure since there was an enormous barrier to entry. To mine bitcoin, users
needed the technical know-how. Not to mention the required computing power. This is why
by 2010, there were only 30,000 total bitcoin wallets.
By the time of the 2012 halving, the barrier to entry was lowered. Users could buy bitcoin on a
few exchanges, with the notorious Mt. Gox being the most popular from 2011 to 2014.
Mt. Gox and a few other exchanges were home to about 125,000 users – a significant jump
from early 2010.
In fact, the exchange helped bring the total number of bitcoin wallets from 30,000 in 2010 to
over 1 million going into 2013. That’s a 3,233% increase. (Mt. Gox went on to file bankruptcy
in 2014 after hundreds of thousands of bitcoins were reported missing. However, the
floodgates into bitcoin had been opened, and more users flocked to it through alternate
exchanges.)
Bitcoin was becoming more popular and easier to access. We saw the same pattern unfold
again soon after the 2016 halving.
After a substantial $75 million investment from the NYSE and several banks in 2015, digital
currency exchange Coinbase started to become the most popular destination to buy bitcoin.
Coinbase users grew to almost 5 million in 2016, a jump comparable to the one we saw after
the 2012 halving. Easier access to bitcoin was helping bring more buyers into the market.
In fact, by the end of 2017, the number of bitcoin wallets grew to over 26 million – a 2,500%
increase in four years. And by January 2018, Coinbase users jumped to 11.1 million.
Fast forward to today, and we’re on the precipice of the next wave of users entering the
market.
Big Wall Street players are preparing to bring bitcoin to traditional brokerage accounts,
making bitcoin even easier to purchase than it is today, like:
Fidelity, which has 32 million investors and holds $7.3 trillion in customer assets.
TD Ameritrade, which provides 12 million clients investing and trading services and has
assets worth approximately $1.2 trillion.
And the Intercontinental Exchange (owner of the NYSE) via Bakkt. It touches just about
any transaction across the traditional global financial marketplace via its 12 regulated
exchanges and six clearing houses.
So regardless of a bitcoin ETF getting approval, Wall Street is about to bring down the
barriers to entry.
According to a Gallup poll, 55% of U.S. adults or their spouses own stock. And with the adult
population near 210 million, it’s not far-fetched to imagine bitcoin reaching 100 million
investors… just in the U.S.
When we consider the huge markets in Asia, Europe, South America, and other locations, the
number of potential investors increases exponentially. Global crypto buyers are bound to
number in the hundreds of millions. That’ll lead to a minimum 285% increase in the total
amount of wallets from today.
The lower barriers of entry coming around the corner from Wall Street are why we consider
bitcoin a great buy today. Consider buying some before the next wave of investors enter the
space, driving prices much higher from here.
Action to Take: Buy bitcoin (BTC) up to $25,000.
Ether (ETH)
Ethereum is building web 3.0. It’ll bring the power of the internet to the hands of users,
moving away from platforms that lock you in like Facebook, YouTube, and Amazon. In its
quest to do so, it’s upgrading the entire network toward Ethereum 2.0 (ETH2). The upgrade
will allow for virtually unlimited scalability, increased decentralization and security, and
result in a transition from Proof-of-Work (PoW) consensus to Proof-of-Stake (PoS).
Earlier this week, Ethereum developers working on the ETH2 upgrade held an event to
discuss progress on its road map.
Phase 0 will include the launch of the Beacon Chain, which acts as the foundation for the rest
of the network. Users can then begin staking their ETH to verify transactions on the network
and earn rewards.
In effect, this will remove tens of millions of ETH from circulating supply, creating a supply
shock in the market. When we look back in time, whether it be in oil or food commodities,
supply shocks this large typically result in higher prices.
Now, Ethereum hasn’t given a date for its Phase 0 launch. But it’s eyeing November 2020 or
early 2021. Meaning we could see ETH2 in the first half of 2021.
To get there, the team wants to conduct extensive testing on testnets and ensure several
months of stable operation. This shows us it’s dedicated to delivering a solid product. After
spending years on ETH2, it won’t look for shortcuts now.
After Phase 0 launches, all eyes will move to Phase 1. This will introduce 64 shard chains.
These shard chains essentially act as extensions off the Beacon Chain and will exponentially
boost scalability.
The Ethereum Foundation revealed it’s already progressing on Phase 1. So we won’t need to
wait for it long once the Beacon Chain is operating successfully. After Phase 1 rolls out, the
stage will be set for ETH1 and ETH2 to merge.
This is a massive overhaul that’ll make the network the most robust in crypto, and we’ll
continue to bring you updates.
With an estimated 90% of crypto developers on Ethereum, we see this upgrade forming the
foundation to Web 3.0 in the years to come. Today is a great time to buy ETH before the
supply shock and network upgrade happen.
Action to Take: Buy ether (ETH) up to $550.
Monero (XMR)
Monero released its first General Fund Transparency Report. In it, the core team outlined
fund usage since inception.
Before diving into the report, it’s important to remember Monero is a community-driven
project. It doesn’t have venture funds allocating capital for network development, and it
didn’t have an initial coin offering (ICO) to raise funds.
Instead, Monero is set on decentralization. We see this in its initial XMR distribution, code
development, and mining. With this mindset, it’s attracted a strong group of coders to build
the project. In fact, 49 developers contributed code in its latest update. Most projects just
have a few dedicated developers working on the core code.
The General Fund report detailed spending over 2019 and 2020. There were only 10 General
Fund transactions in 2019 and a few in 2020. This reflects how much development comes
from the community and doesn’t rely on internal funds.
The report stated the fund currently has 2,108 XMR, which should last two years if it gets no
more donations. There’s no reason for donations to cease, so its road map will likely extend
past then.
The report reflects Monero is a project with a loyal following of coders applying bleeding-edge
cryptography to the network. And it’s why Monero is the top privacy coin in the space.
Action to Take: Buy Monero (XMR) up to $60.
Lykke (LKK)
Last month, the Crypto Finance Conference at St. Moritz, Switzerland, endorsed the Open
Initiative.
The Open Initiative is a Lykke project that creates solutions to improve the infrastructure of
the economy. Lykke teamed up with former Commodity Futures Trading Commission (CFTC)
chairman Christopher Giancarlo, an advocate of the U.S. digital dollar. He will be on the
committee that reviews proposals sent to the Open Initiative.
The St. Moritz conference is an investors-only gathering which attracts top professionals in
crypto, government, and central banking. There, presenters discuss the needs of the high-net-
worth attendees. This puts Lykke in a great position to discuss its newly formed Open
Initiative.
The deadline for proposals is October 2. We expect to learn more about winning submissions
as the date gets closer.
Action to Take: Hold Lykke (LKK).
Peerplays (PPY)
Peerplays is improving fairness in online gaming, an increasingly popular segment right now.
Its next-generation random number generator (RNG) is an upgrade over a typical computer
algorithm. Most algorithms tend to repeat numbers over time. And since Peerplays’ RNG
posts results on its blockchain, randomness can be validated any time.
The team expects to hear back from the Gaming Laboratories International (GLI) this month
on whether it’ll endorse its solution for the casino industry. GLI is a trusted agency that
guarantees compliance and ensures fairness with server-based gaming in 475 jurisdictions
around the world.
It’s also pushing forward on its latest project, PeerID. PeerID is a sign-on mechanism that
improves user onboarding across various games, regardless of whether the user has a
blockchain account.
One way to think of PeerID is having one login for all your accounts on the internet. It makes
it simple to login to any website. This is essentially how PeerID would work in blockchain
gaming.
In the next few months, we expect to hear results from the GLI regarding Peerplays’ RNG and
PeerID. These two items are helping push Peerplays closer to adoption.
Action to Take: Hold Peerplays (PPY).
Storj (STORJ)
Storj has its eyes set on Amazon S3’s margins by building a S3-compatible back-end storage
solution that’s safer, faster, and decentralized. It opened its network for users earlier this year
and is now adding solutions.
And it recently partnered with MongoDB, is a publicly traded company with a market cap
over $12 billion. MongoDB is one of the most popular databases for modern apps. The two
built a back-up solution for the open-source MongoDB database.
This helps Storj gain trust and momentum in the market by attracting new users. And to
make onboarding easier for new users, the team improved invoicing on its customer-facing
portal. This helps users see Storj as not only a viable Amazon S3 competitor, but an affordable
one.
The team expects to help back up databases for more connectors. Each connector established
is another entry point for new users into the Storj network.
Action to Take: Buy Storj (STORJ) up to $1.
Ethereum Classic (ETC)
Ethereum Classic improved its compatibility with Ethereum a month ago via its Phoenix
upgrade. The upgrade improves ETC by reducing transaction costs and letting developers
leverage Ethereum’s Virtual Machine, which executes smart contracts.
This makes ETC compatible with Ethereum’s latest upgrades. To bring it closer to the
Ethereum community, ETC is supporting ChainSafe, a blockchain research and development
firm, build ChainBridge.
ChainBridge is a multi-directional blockchain bridge that transfers data and value between
blockchains. It currently supports Ethereum and Cosmos-SDK-based chains.
One immediate benefit for the ETC network once ChainBridge is enabled is exposure to the
Ethereum decentralized finance (DeFi) network. Over time, there will be more opportunities
for cooperation and mutual development between ETC and Ethereum. ETC continues to
strengthen its relationship with the Ethereum network and offer users the benefit of a PoW
network.
Action to Take: Buy Ethereum Classic (ETC) up to $25.
Dash (DASH)
Dash is focused on providing a virtually instant and secure digital cash solution. It’s most
known for its activities in Venezuela and Colombia. But that’s not its only area of
involvement.
In April, Dash partnered with AnkerPay to grow its presence in Sub-Saharan Africa via 6,000
bitcoin ATMs. And this month, Dash announced it’ll be accepted in over 2,500 locations in
Austria.
This is first being rolled out in Austria. The team expects to expand into neighboring
countries in the near future.
As payment processors improve Dash’s visibility and acceptance in Europe, we expect this to
translate to more network activity later this year.
Action to Take: Buy Dash (DASH) up to $800.
Factom (FCT)
Factom brings integrity to data by anchoring it to the blockchain. But that’s not all. The team
is expanding the protocol to do even more.
To that end, here are a few improvements coming down the pipeline to look out for:
Smart contracts – popularized from Ethereum, where contracts are written and executed
without the need for a middleman. This enhances the functionality of the protocol beyond
its current limits.
Decentralized identifications (DIDs) – essentially digital identities. They can be used to
sign files or authorize processes to take place on the blockchain. Think of this like a
notary. You give a notary a set of rights via a certification that’s trusted by the community.
DIDs allow these rights to exist on the blockchain.
Badges – think of them as certifications. If you’re moving oil across borders, you want the
appropriate authorities to see the oil is certified and allowed to be exported. Badges can
be created to make oil shipments across borders faster with less fraud.
Of the list of improvements Factom is working on, these are the most immediate. Many of
these improvements are based on feedback it’s received from time spent working on
government contracts. Which means Factom is improving its code to be used in an everyday
environment.
Action to Take: Buy Factom (FCT) up to $50.
Ripple (XRP)
Through the Open Payments Coalition, Ripple helped launch PayID, a universal payment ID
to simplify global payments.
The Open Payments Coalition comprises crypto industry professionals such as
Blockchain.com, Brave, BitPay, and others. Its members launched PayID to create an open-
sourced payment ID for payments across any payment network and currency.
The best part is the solution satisfies FinCEN and FATF requirements, which are two of the
most important regulatory agencies in the world. These are requirements like Know Your
Customer (KYC) and Anti-Money Laundering (AML) rules.
The members of the coalition reach more than 100 million consumers worldwide. PayID
represents a standard to break down proprietary silos in payments and change the way money
is sent around the world.
Ripple is part of this initiative and benefits from PayID’s progress. As more members join and
adopt PayID, Ripple will be able to tap into their customer network.
Action to Take: Buy Ripple (XRP) up to $0.30.
OMG Network (OMG)
OmiseGo is now known as the OMG Network. It’s a subsidiary of Synqa, formerly known as
Omise Holdings. The company looks to push enterprise demand for financial technology
(Fintech).
Synqa recently raised $80 million in a series C funding round. Some notable investors
included 10X, Toyota Financial Services, and Sumitomo Mitsui Banking.
The raise will fund new cashless payment ventures. And since digital currencies represent one
of Synqa’s solutions, we see this as bullish news for OMG holders. As Synqa pushes forward
on cashless payment solutions, OMG is sure to enter the conversation as a viable solution.
One of the more noteworthy products Synqa helped roll out is Japanese car manufacturer
Toyota’s cashless app wallet. Currently, it doesn’t support crypto. But as businesses and
people across the globe grow more comfortable exchanging cryptos, we can see OMG being an
immediate beneficiary.
The relationships Synqa and its subsidiary OMG Network are forming are with top-tier
businesses in the world. OMG is a great add to a portfolio at current levels.
Action to Take: Buy OMG Network (OMG) up to $20.
Cindicator (CND)
Cindicator is an intelligence platform relying on the wisdom of a crowd theory. It’s the idea
that large groups of people are collectively smarter than individual experts when it comes to
predicting. Cindicator has 140,000-plus analysts on its platform, contributing daily
predictions on the market. Cindicator then packages these results in products.
One such product is Weekly Macro Sentiment Indicators, launched in April. Recently, a user
highlighted how they pocketed 141% gains in five weeks by using the product’s S&P 500
options.
Results like this highlight how valuable Cindicator’s platform can be for traders using its
signals. The Cindicator team continues to release new indicators and products each month.
And as more traders experience results like this, more will look to subscribe to Cindicator’s
signals.
Action to Take: Buy Cindicator (CND) up to $0.30.
Aion (AION)
Aion released its new Fintech app, Moves, earlier this year to target micro loans for gig
economy workers in Ontario, Canada.
The Moves app is still in beta to improve user experience and functionality. The app currently
has over 150 beta testers. Aion will begin releasing regular statistics on the app by the end of
Q3.
To help with Moves, Aion team hired 12 new team members since the start of the COVID-19
pandemic, while other companies furloughed or laid off employees.
This app is unique in crypto in that it faces non-crypto users to solve a problem. And Aion is
intentionally targeting this demographic. The gig economy is expected to grow 17.4% per year.
And according to Aion, this represents anywhere from 20–30% of the workforce.
So Moves casts a wide net in terms of users. It’s a sure way to gain adoption for the network
and reward AION holders in the process.
Action to Take: Buy Aion (AION) up to $10.
Quantstamp (QSP)
Audits are cheaper than hacks. And after the recent hacks of Uniswap and Balance, more
projects are turning to Quantstamp to audit their code for weaknesses.
A recent project Quantstamp began working on involves the World Economic Forum, the
inspector general of Colombia, and the Inter-American Development Bank. The goal of the
group is to create an Ethereum-based procurement system. A procurement system allows
organizations to automate the process of purchasing goods/services and maintaining
inventory.
The solution is expected to increase transparency and accountability in Colombia. The first
proof-of-concept will target vendors for Colombia’s school meals program, which feeds low-
income youth.
It’s great to see Quantstamp playing a central auditor role in providing technical and security
advice on such a high-profile project.
Ethereum and its community puts Quanstamp’s audits in its own tier. It’s why we see
Quantstamp being an integral project in crypto, rewarding token holders in turn.
Action to Take: Buy Quantstamp (QSP) up to $0.25.
Steem Power (STEEM)
The Steem community is focused on driving usage to Steemit, the social media blog powered
by the Steem blockchain.
Part of this drive included a program called “100 Days of Steem.” It’s a daily post geared
toward building a community with wide participation.
As the 100 days wrap up, the Steemit team mentioned the creation of a roadmap. Its
refocused goals moving forward will be the three R’s: recruitment, retention, and reward.
This is how it’ll see a strong, vibrant community emerge and take hold.
Steem is also electing country representatives. The elected representatives will be tasked with
spreading awareness in the countries they represent. And the application process should
begin this month.
Steemit is the most active application on the blockchain. And it’s starting to develop a
roadmap forward after March’s contentious hard fork. As Steemit regroups and begins to hit
roadmap milestones, we expect it to drive STEEM’s value higher.
Action to Take: Hold Steem Power (STEEM).
Hive (HIVE)
Before Hive forked, much of its development happened behind closed doors. But since the
fork from Steem to Hive, development proposals and costs are even more transparent.
The proposals being submitted on Hive are gaining traction over the last couple of months, as
developers get more comfortable with the submission process.
The engineers working on core software development are also picking Smart Media Tokens
(SMTs) back up. SMTs provide a way for publishers to monetize their online application and
community.
A good way to think of this is if Oprah decided to launch her own SMT. She could accept
payment of her own token for a one-on-one meeting, offer a discount on a clothing brand she
endorses for those who use her token, or let users pay for a ticket to her show. There are many
possibilities. And seeing Hive developers pick this back up is really exciting.
Hive is gaining momentum as developers begin organizing which direction they’ll be moving.
The decentralization of Hive and the strong community organized around it will reward HIVE
holders as development gains momentum.
Action to Take: Hold Hive (HIVE).
Stellar Lumens (XLM)
Stellar looks to become the de facto global settlement and payment platform. And it upgraded
its network last month.
You may recall its Protocol 13 upgrade underwent a vote last month. The upgrade
immediately went into effect after it was approved, and it switched over to the new protocol.
Token holders do not need to take any actions regarding their XLM.
The upgrade was significant because applications can now cover fees on behalf of users. In
effect, it can make applications more attractive to new users, and “sticky” for current users,
meaning they will not want to abandon it.
Stellar also made an adjustment to help custodial services and exchanges move XLM more
easily. The idea behind these developments is to make the Stellar network more user friendly.
Action to Take: Buy Stellar Lumens (XLM) up to $0.35.
VeChain (VET)
VeChain is focused on solving real world enterprise problems with blockchain. It recently
collaborated with DNV GL, one of the world’s largest assurance companies in the world with
over 110,000 customers worldwide. The two teamed up to develop My Care.
My Care is a hospital-grade infection-risk management solution. My Care’s goal is to mitigate,
assess, and manage infections. The solution is blockchain enabled and uses VeChain
ToolChain to operate. The ToolChain platform is its off-the-shelf solution for enterprises
integrating blockchain.
The first company to sign up for My Care is the Finnish cruise and ferry company, Viking
Line. It’s a publicly traded company making over $500 million in revenue per year.
This adds to VeChain’s list of partners. The list also includes Bayer China, Walmart’s
subsidiary Sam’s Club, and PricewaterhouseCoopers. VeChain is forming strong relationships
and is at the top of its class in Asia in terms of public blockchain networks.
Action to Take: Buy VeChain (VET) up to $0.016.
Maker (MKR)
On the MakerDAO protocol, users can collateralize assets like ETH to take out a loan. That
loan is in MakerDAO’s stablecoin, DAI. And one of the ways MakerDAO can expand usage is
by adding more collateral types to its protocol.
Recently, the decentralized autonomous organization (DAO) voted and approved adding
stablecoin TrueUSD (TUSD) and the decentralized exchange tokens Kyber Network (KNC)
and 0x (ZRX). These tokens can now be used to open Maker Vaults in order to generate DAI.
The DAO also approved a variant of the stablecoin USDC called USDC-B. It acts as an
emergency credit facility if keeper liquidity is overwhelmed. So adding this token helps
improve the security of the MakerDAO protocol.
The protocol also took a step closer to collateralized real-world assets. A community vote
signaled strong support for two new collateral proposals from crypto start-up Centrifuge.
Centrifuge has developed a protocol that lets users turn real assets into securities against
which interest-bearing, Ethereum-compatible ERC-20 tokens can be issued. Right now, it’s
focused on tokenizing music streaming royalties and trade invoices.
Real-world assets on MakerDAO are a huge deal, as the market size of real-world assets is
multiples larger than the entire cryptocurrency market. That would give MakerDAO a lot of
runway for further growth, benefitting MKR holders.
Action to Take: Buy Maker (MKR) up to $800.
Solve.Care (SOLVE)
Solve.Care is a global platform for health care benefit administration and payments. By
leveraging the blockchain and the SOLVE token, the platform can improve access to care,
administer care more efficiently, pay providers on time, improve outcomes, and reduce
overall costs.
Recently, Solve.Care announced its Global Telehealth Exchange (GTHE). It’s a revolutionary
Care Network that will enable patients to easily access health care services anywhere in the
world.
Per CEO Pradeep Goel, “The Covid-19 pandemic has severely tested the way health care
systems are organized and delivered from a number of perspectives. Now, more and more
patients are reluctant to visit their doctors due to the pandemic. Medical practitioners who
are not primarily involved in treating Covid-19 cases have experienced a significant drop in
patient appointments. The launch of GTHE is geared towards remedying this imbalance.”
In other news, Solve.Care has been improving access to the SOLVE token. Bittrex recently
added a SOLVE-USDT trading pair. VCC Exchange, a Vietnamese exchange, also added
SOLVE. And SOLVE is now available on digital currency exchange service StealthEX.
Action to Take: Buy Solve.Care (SOLVE) up to $0.20.
Short-Term Cryptocurrency Portfolio
NEM (XEM)
The Eurozone’s first central-bank-produced digital token will be issued on the NEM
blockchain.
On July 23, the Bank of Lithuania will issue 24,000 tokens through “LBCoin,” a
commemorative digital token exchangeable for physical legal tender, on the NEM blockchain.
They’ll be sold in packs of six for 99 euros.
These are part of a trial Lithuania is experimenting with to adopt digital currencies. They are
a state-backed digital currency and not sovereign currency. The tokens are better described as
a collector item which can be traded amongst others.
But the Bank of Lithuania’s choice to issue its first digital token on the NEM blockchain shows
its trust in the network. Not only is it a major stepping stone for central banks warming up to
blockchain technology, but NEM is cementing its reputation as a trusted leader in the space.
It’s encouraging to see NEM among the first projects to work with central banks, and we look
forward to additional opportunities this project attracts.
Action to Take: Buy NEM (XEM) up to $0.30.
Wings (WINGS)
WINGS is developing a DeFi protocol that facilitates the creation of financial instruments
called Dfinance.
The Dfinance platform will enable non-tech-savvy users to create financial instruments like
futures and options. These instruments can involve things ranging from Microsoft stock to a
pair of sneakers. In this way, Dfinance is trying to become the Robinhood of valuable items by
allowing users to create and place trades from their mobile phones on virtually any asset of
value.
Development of Dfinance is still in its early stages. Once Dfinance launches, WING holders
will need to do token swap. We’ll provide additional details on the token swap as details
emerge and alert you of any action to take.
Action to Take: Buy Wings (WINGS) up to $1.
Lisk (LSK)
The Arcado Network recently joined the Lisk Builders Program. The Arcado Network is a
decentralized reward system that links to any multiplayer game. And through the Lisk
Builders Program, it’ll receive development funds to use the Lisk SDK.
To understand how the Arcado Network works, imagine a battle-like multiplayer game. When
each player enters the arena, they pay an entry fee. When the bout finishes, the Lisk SDK
automatically implements the reward system and distributes the pool of entry fees to the
winner. This eliminates trusting a third party or player to hold and distribute the winnings.
And to help onramp game developers, the Arcado Network does not require any prior
understanding of Lisk programming.
The Lisk SDK would allow game developers to incorporate a cryptocurrency paywall in any
multiplayer game and monetize multiplayer matches in seconds. It’s a way for fellow gamers
to essentially put their money where their mouth is.
The Lisk Builders Program continues to be a great tool for attracting development to the
network. And, in turn, brings additional value to the network.
Action to Take: Buy Lisk (LSK) up to $1.50.
Bitshares (BTS)
Mainnet 4.0 is coming to the Bitshares decentralized exchange on July 30. The upgrade will
improve node performance, change fee schedules, and fix minor bugs.
The most notable change is how transaction fees will be redistributed. Half of the trading fees
generated from Bitshares’ decentralized exchange (DEX) will go toward a network
development fund. We see this as a great way for the network to continually improve its
features and remain competitive without diluting BTC supply to raise capital.
With this new model, we look forward to seeing Bitshares grow to one of the most sought after
DEXs in crypto.
Action to Take: Buy Bitshares (BTS) up to $0.40.
Waves (WAVES)
Waves is connecting to real-world data through its partnership with Band Protocol.
One of the biggest challenges blockchains face is access to secure and reliable data outside the
network. Gaining access to data outside the network allows developers to build decentralized
applications (dApps) that interact with the real world. An example could be a sports betting
app that enables users to bet on the outcome of a football game.
The Band Protocol plans to bring real world data to Waves via decentralized oracles. This will
allow developers to create customized oracles (which serve as bridges between blockchains
and the outside world) and pull data from any source.
Connecting the Waves platform to real world-data opens the door to endless possibilities for
developers. We believe this partnership will encourage more building on the network, leading
to greater activity on the Waves platform.
Action to Take: Buy Waves (WAVES) up to $4.
Golem (GNT)
Golem is looking to monetize unused computing power while enabling users to harness power
equivalent to a supercomputer.
To encourage users to test its solution, gain feedback, and help solve technical issues, the
Golem team is encouraging community participation. It’s incentivizing these activities by
rewarding GNT to contributors. This will help provide the support and services needed to
move the project along.
Golem is getting closer to a production-ready product by bringing in testers to provide
feedback and help solve minor technical issues. This will help iron out any wrinkles in its late
development stage. Golem is methodically moving along its roadmap toward providing
decentralized computing power to anyone.
Action to Take: Buy Golem (GNT) up to $0.60.
Aragon Network (ANT)
Last month, the Aragon Association revealed the Aragon Association Advisory Board. The
Advisory Board will help the Aragon Association and Aragon grow. The Aragon Association is
the non-profit legal steward of Aragon, which manages a treasury worth more $47.3 million.
Based on the current rate of spending, that’s enough runway for eight years.
The advisory board comprises three members, one of whom is Tim Draper. He’s a venture
capitalist known for backing companies like Tesla, SpaceX, and Coinbase. Back in February
2020, he purchased $1 million worth of ANT. He’s the type of top talent you want helping
drive your project toward adoption.
In other news, according to Santiment, Aragon was the second most active project in terms of
development on the Ethereum network last month. Aragon frequently sits near the top of this
list. It’s a testament to its hard work in building out the platform.
Over the coming months, we’ll hear more about the team’s transition to AragonChain. It’ll be
a network built using Cosmos SDK and will enable token holders to stake. We’ll update you as
progress is released.
Action to Take: Buy Aragon (ANT) up to $8.
Bitcoin Cash (BCH)
Encrypted messaging is coming to the Bitcoin Cash network.
When it comes to communicating and transacting with others, people expect a certain level of
freedom and privacy. To preserve it, developers are designing a privacy protocol called Stamp
that will operate on Bitcoin Cash.
Stamp will allow anyone to send and receive encrypted messages and payments from
anywhere in the world. The project is currently in the early development stages and running
on the testnet. We look forward to seeing this project hit mainnet and attract users who value
privacy in the process.
Action to Take: Buy Bitcoin Cash (BCH) up to $1,400.
Binance (BNB)
Binance is expanding its reach into the payment industry with its acquisition of Swipe. Swipe
is a digital wallet, crypto trading platform, and Visa debit card, all rolled into one.
Swipe users can deposit or trade over 30 cryptocurrencies, including Binance’s native BNB
token. The Swipe debit card then allows users to spend their crypto assets at over 50 million
locations worldwide, wherever Visa is accepted. The most intriguing part of the Visa card is
the merchant won’t know if you paid in crypto or fiat, as they only see their native currency.
All the conversions are virtually instant and in the background.
Binance will use this acquisition to further bridge the gap between traditional currencies and
digital assets. Binance previously announced plans to launch a debit card back in April, but it
didn’t materialize. The recent acquisition of Swipe now gives Binance the tools it needs to
connect its trading platform to traditional payment systems around the globe.
We see this Fintech type of acquisition adding yet another revenue stream to Binance’s other
recent developments, such as crypto pool mining, the derivative platform FTX, and
CoinMarketCap acquisition. Binance is clearly becoming a dominant player in crypto, which
is why we think BNB will gain more from here.
Action to Take: Hold Binance (BNB).
EOS.IO (EOS)
On July 4, the creators of EOS released its new social media platform, Voice.
Voice is similar to Facebook and Twitter, but unique due to its reward-based system and the
way users receive content.
When others “like” users’ content, Voice rewards them with Voice tokens. And the more likes
a post gets, the more visible it becomes to other users. This ensures users discover the most-
liked content by fellow users – not the content big tech is incentivized to bring you.
Anyone can sign up to browse the site. But publishing content is temporarily restricted to
registered community members. The creators took this route to minimize fake accounts on
the network. Fake accounts are notorious for spreading false and misleading information. In
2019 alone, Facebook removed over 5.4 billion fake accounts.
On August 15, the site will open up to more users. From then on, users can invite their friends
to further expand the network.
As Voice gains more users, demand for EOS will increase since the token powers the
networks.
Action to Take: Hold Eos.io (EOS).
Qtum (QTUM)
Qtum is in the final stages of bringing offline staking to the network.
Offline staking allows Qtum holders to earn rewards for securing the network without
needing to run a full node. This new feature reduces the barriers to entry for anybody wanting
to stake and ensures greater community participation. In effect, this new form of staking
makes the network more secure.
Offline staking is expected to go live on mainnet August 28. Once activated, we anticipate a
spike in QTUM tokens leaving circulation to earn staking rewards. This type of supply shock
tends to result in higher prices as fewer tokens find their way to exchanges.
For these reasons, we believe QTUM is an attractive buy at today’s prices. If you have yet to
add it to your portfolio, consider picking some up before Qtum launches offline staking on
August 28.
Action to Take: Buy Qtum (QTUM) up to $65.
Dragonchain (DRGN)
On July 4, Open Source Money, a five-part TV series on the Discovery Science channel,
featured Dragonchain. The series discusses cryptocurrency, U.S. regulation, and how the
regulatory environment is hampering development in the sector. It’s equally enlightening for
non-crypto users and crypto die-hards alike.
What’s great for Dragonchain is it’s the main character in the series. This provides a great way
for viewers to learn about Dragonchain and take an interest in the project moving forward.
During the show, Dragonchain showcased its Provably Fair blockchain in the form of a
treasure hunt. During the episode, participants were (and still are) given clues to unlock
500,000 DRGN in prize money. The results of the contest are fully auditable on its
blockchain.
It’s an interactive way to showcase new ways to use blockchain and get people excited about
the technology. The TV series should educate more people on and draw them to Dragonchain
as an investment.
Action to Take: Buy Dragonchain (DRGN) up to $5.
Cardano (ADA)
Emurgo, the founding entity of Cardano, recently entered two partnerships:
The first is with Trace Alliance. It will help bring enterprises to the Cardano network.
Specifically, businesses seeking a blockchain solution for supply chain management.
Trace Alliance will essentially connect these two entities to form future collaborations.
The second is with online travel agency Travala.com. Travala.com features 2 million
accommodations in 230 countries and recently partnered with Expedia. It now accepts
ADA as a form of payment. So travelers can book hotels and flights around the world
using Cardano’s native currency.
These two partnerships are encouraging for ADA holders, as Emurgo continues to drive
adoption and usability of the Cardano network.
Action to Take: Buy Cardano (ADA) up to $0.90.
Power Ledger (POWR)
Power Ledger just completed a project with the Australian government. It’s called the RENeW
Nexus Project, a first-of-its-kind model showing how cities can simultaneously share green
energy and reduce waste.
The recent project comes as the Western Australian state government researches ways to shift
away from centralized power systems. Its solution is a hybrid system integrating rooftop solar
and battery storage solutions. This will reduce grid management costs and achieve
decarbonization goals.
To help achieve these goals, the government is turning to Power Ledger. It launched its
RENeW project in December 2018. It involves 48 households in Fremantle, Western
Australia, that use Power Ledger’s platform to trade excess energy from solar panels with
neighbors via the existing electricity network.
The results from the project suggest the Australian government should shift away from
centralized power systems. In a report by Curtin University, results show Power Ledger’s
system increases the network’s ability to function on its own by 30-68%. The hybrid system
also reduces cost by scaling back the resources needed to upgrade and maintain the current
electrical grid, while reducing the dependency on external networks.
In short, Power Ledger is helping governments achieve decarbonization goals, reduce costs,
and utilize groundbreaking technology. It’s why we see Power Ledger helping transform
energy infrastructure over the coming years.
Action to Take: Buy Power Ledger (POWR) up to $0.85.
Worldwide Asset eXchange (WAX)
As you recall, the WAX team formed the WAX Advisory council last month to accelerate
adoption. This group brings together the greatest minds in tech, video games, and
entertainment. And this month, WAX revealed two additional key members:
Peter DeBenedictis – chief marketing officer for Microsoft in the Middle East and Africa.
Last year alone, Microsoft generated $20.7 billion in gaming revenue. Several Microsoft
games, such as the world-renowned Minecraft, allow users to acquire in-game assets. In
2018, the game generated $110 million in revenue through the Google Play app store.
Integrating the WAX marketplace would give users a secure platform to buy and sell
items confidently.
Jay Ong – executive vice president, head of Marvel Games, and strategic lead of Marvel
Asia. Some of Marvel’s top series include Spiderman, Iron Man, Captain America, and the
Avengers. Current Marvel trading cards are subject to counterfeit and lack a trusted
marketplace for traders. The WAX exchange gives collectors a sense of ease by verifying
each card’s authenticity, ownership history, and recent transaction prices.
DeBenedictis and Ong will provide input on potential roadblocks and requirements WAX may
encounter when incorporating blockchain into their respective businesses.
These additions are encouraging for WAX token holders as the team works to expand its
foothold as the leading marketplace for in-game assets.
Action to Take: Buy Worldwide Asset eXchange (WAX) up to $1.40.
Litecoin (LTC)
Litecoin is getting closer to implementing private transactions on the network.
As you may recall, it’s collaborating with Grin developers to bring its MimbleWimble (MW)
protocol to the Litecoin network. MW allows users to transact anonymously by eliminating
identifiable addresses. It only keeps essential information such as the amount of coins in
circulation to prevent double spending.
Over the past month, developers successfully modified the code, allowing node validators to
save MW transactions to the Litecoin disk. This breakthrough eliminates the need for a
second database to store MW transactions, dodging potential issues down the road.
Looking forward, the project will see additional code development through the summer with a
testnet scheduled in September. Implementing MW will expand Litecoin’s market to users
seeking confidential transactions.
Action to Take: Buy Litecoin (LTC) up to $175.
ICON (ICX)
ICON is stepping up in the fight against COVID-19.
The blockchain company behind ICON announced it would offer free support to its DID app
VisitMe for all buildings in South Korea through COVID-19.
VisitMe is a DID phone app that provides a contactless and more secure visitor management
solution. It eliminates the need to fill out a guestbook or leave sensitive information with the
front desk. All personal information on the VisitMe app is protected by encryption and
blockchain technology.
The VisitMe app will be particularly helpful to small businesses unable to respond promptly
to quarantine guidelines. While providing a contactless solution to help prevent the spread of
COVID-19, VisitMe also eliminates the burden of securing sensitive information.
This is an opportunity for ICON to expand users as contactless solutions gain popularity.
We anticipate new users to join the platform in the weeks ahead. Every invitation sent and
check-in verified through the VisitMe app is a transaction on the ICON blockchain, bringing
more usage to the network overall.
Action to Take: Buy ICON (ICX) up to $5.50.
Stocks
Sandstorm Gold (SAND)
As of writing, gold is up 19% year-to-date and 29% over the past year.
The yellow metal shows no sign of slowing down, and for good reason… The U.S. government
passed a $2 trillion stimulus package back in March for economic relief from the effects of
COVID-19. And another stimulus package appears to be on its way as COVID-19 cases are
back on the rise.
As the money printing continues, gold will continue its climb higher as fear over inflation
looms. And, as you know, one of our favorite ways to invest in gold is through gold royalty
companies such as Sandstorm.
Gold royalty companies benefit from rising gold prices through purchase agreements.
Here’s why…
Assume Sandstorm has the option to purchase gold at $1,000 per ounce and gold sells for
$1,250. Sandstorm profits $250 per ounce mined.
Now, if gold were to climb 20% to $1,500, Sandstorm’s profits would double from $250 to
$500 per ounce.
That’s a 100% increase in royalty profits from only a 20% increase in gold’s price.
This is how gold’s recent surge in price has led to even greater gains in Sandstorm for our
portfolio. Sandstorm is up over 30% year-to-date and around 78% over the past year.
Action to Take: Buy Sandstorm Gold (SAND) up to $8.
Silvergate Capital (SI)
Silvergate Capital is bringing financial solutions to the cryptocurrency industry. Last month,
the company announced it was expanding its Silvergate Exchange Network (SEN) Leverage to
a company called Anchorage, an institutional investor platform for custody, trading, staking,
and more.
This expands Silvergate’s network to over 500 institutional investor customers looking to
open bitcoin collateralized loans 24/7/365.
Silvergate witnessed over $17 billion in transactions take place during the first quarter of
2020. This recent partnership will boost these figures higher in the months to come.
Action to Take: Buy Silvergate Capital (SI) up to $16.50.
Hut 8 Mining (HUTMF)
Hut 8 Mining completed its share offering for $7.5 million on June 25. The offering price was
$1.45 per share, which is around 65% higher than the current share price. Each common
share will come with a warrant that can be exercised at $1.80 per share after 18 months.
It will use funds from the offering to upgrade some of its machines with the most efficient
chips on the market. Additionally, raising money in this manner means Hut 8 doesn’t need to
sell some of its bitcoin balance, which we think will be much more valuable in the future.
Action to Take: Buy Hut 8 Mining (HUTMF) up to $1.25.

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