Yesterday I wrote to you about the 'hottest investment sector on earth'. Today I'm writing to you to apologise.
|
|
| Sam Volkering | 09 Feb 2021 |
Correction: The hottest investment sector
In today's Exponential Investor…
- I was wrong
- Look left while over here…
- Bitcoin is the gateway
Yesterday I wrote to you about the 'hottest investment sector on earth'.
Today I'm writing to you to apologise.
I was wrong.
Within 24 hours I've been proven wrong.
And it's all because of Elon Musk and Tesla.
Doge? No. Misdirection First let me correct my mistake from yesterday.
I was writing to you about a sector in the stock market that actually is what I believe to be the hottest sector in the stock market.
But is it the hottest sector on earth? No. Hence my correction today.
The hottest sector is crypto markets.
Crypto markets have been hot for some time. Albeit some people suggest they've boomed and busted, which they have. It's just that long term, over time they're easily one of the most exciting markets and investment opportunities we've ever seen.
Yesterday they got even hotter.
You may be interested inThe 5G Story They Haven't Told You
Forget the Covid-19 conspiracies…
Forget David Icke…
There's another 5G story the media isn't reporting.
But understanding this story could make you some of the biggest returns you have ever made in your life.
Capital at risk. Forecasts are not a reliable indicator of future results. |
That's because Tesla Inc. (NASDAQ:TSLA) filed their annual report.
In it was a paragraph that reads,
| 'In January 2021, we updated our investment policy to provide us with more flexibility to further diversify and maximize returns on our cash that is not required to maintain adequate operating liquidity. As part of the policy, we may invest a portion of such cash in certain specified alternative reserve assets. Thereafter, we invested an aggregate $1.50 billion in bitcoin under this policy. Moreover, we expect to begin accepting bitcoin as a form of payment for our products in the near future…'
| |
This is and isn't much of a surprise.
For a few months now Elon Musk has been tweeting about bitcoin. He even added the hashtag #bitcoin to his Twitter profile.
However there's also been an element of sleight of hand by Musk.
Most notably in recent days he's been actively tweeting about a crypto Dogecoin. 'Doge' is a meme crypto that was created back in 2013 as a joke.
I'm not kidding.
The crypto altcoin boom and bust (the first one) back in 2013 inspired the creation of many crypto that were just copies of other crypto (usually bitcoin) with a meme as their primary centrepiece.
Most of them had no other intention other than just a bit of fun and a joke.
A few of the well-known 'meme coins' over time have been ones such as 'Tips Fedora,' 'PepeCash,' and 'Dogecoin.'
Well Musk has been getting on the 'Doge' bandwagon recently. So much so that it pumped Doge's fiat-converted price to all-time highs. Many thinking that it would pump to $1 and be worth more than most Fortune 500 companies.
Remember, it's a joke meme crypto.
It now seems that with Tesla's bitcoin purchases, Musk has just been trolling the internet. He might have been tweeting about Doge, but all the while Tesla was adding bitcoin to their treasury.
Sleight of hand in full display. I wonder how the regulators will look at his activity…
Validation is here What this does however is show us how critical something like cryptocurrency will be to 'traditional' corporations in the future.
Bitcoin as the first, strongest, most distributed, most valuable is now providing a genuine financial alternative to companies with an eye on the future.
$1.5 billion of bitcoin isn't exactly chump change. And considering bitcoin is deflationary in nature, there's a red hot smash and grab for major corporations to get some on their balance sheets now.
Tesla, as the 6th largest US listed company in the world with a $807 billion valuation, buying bitcoin is big news.
It will also make a lot of other mega-cap companies take notice.
The question is, who next in their annual reports starts to drop in they too are buying bitcoin to add to their balance sheet? Apple, Amazon? Facebook?
Who's next?
This is a trend that we saw coming years ago. It's now playing out right in front of our eyes. The traditional world is validating bitcoin as a viable financial instrument.
Soon, they'll twig that other crypto are also as important and viable in their future. In fact they'll start to realise that the crypto ecosystem is the most important development we've seen since the abundant proliferation of the internet.
Bitcoin is their gateway. Now the biggest of the big are stepping through.
That's the significance of what's playing out now. And if you've taken some time to come around to the idea that bitcoin and cryptocurrency has a long, legitimate and valuable future, then what more validation do you need aside from Tesla adding $1.5 billion of it to their balance sheet?
If you're not on board with the crypto revolution yet, then why not?
What more do you need to see to realise what's happening?
Regards,
Sam Volkering
Editor, Exponential Investor
   |
|
|
| Received this email from a friend? |
Want money-making insights like this sent straight to your inbox every day? Click the button below to join Exponential Investor.
Plus, you'll get our latest FREE report "3 Buy and Hold Stocks for 2020" immediately.
|
|
|
|
| The hottest investment sector on earth? |
In today's Exponential Investor… Keen to hear your thoughts Companies that do absolutely nothing Virgin Galactic and DraftKings Let me ask you one simple question. What is the hottest investment sector on earth right now? Actually I'd love it if you took just a minute of your time to write…
|
|
| Sam Volkering & Kit Winder | 5.2.21 |
| Podcast: Bust Investing 101 |
In today's Exponential Investor… The Minsky Moment How to protect your backside A key indicator for the end of days Fatigue sets in. The pain of paper losses builds. Will it get better? Or have the good times past? Is it losses and pain from here? There's a sense of…
|
|
Although Southbank Investment Research Ltd, the publisher of Exponential Investor, is regulated by the Financial Conduct Authority, the editorial content in Exponential Investor is not regulated by the Financial Conduct Authority.
The editorial content is for general information only; it gives no advice on investments and is not intended to be relied upon by individual readers in making (or not making) specific investment decisions. Appropriate independent advice should be obtained before making any such decision.
From time to time we may tell you about other information services published by Southbank Investment Research Limited which do contain content which is regulated by the FCA. When viewing that regulated content, you should review the risk warnings accompanying it.
Email Reference: EXIED01
ISSN 2398-7189.
Contact Us
To contact customer services, please click here. Alternatively, telephone us on 0203 966 4580, Monday to Friday, 9.00am - 5.30pm. Full details of our complaints procedure and terms and conditions can be found on our website, www.southbankresearch.com.
To unsubscribe from Exponential Investor please click here
© 2021 Southbank Investment Research Ltd. Registered in England and Wales No 9539630. VAT No GB629 7287 94. Registered Office: 2nd Floor, Crowne House, 56-58 Southwark Street, London, SE1 1UN. Authorised and regulated by the Financial Conduct Authority. FRN 706697.
|
Tidak ada komentar:
Posting Komentar