Money Morning https://moneymorning.com Money Morning is here to help investors profit handsomely on this seismic shift in the global economy. In fact, we believe this is where the only real fortunes will be made in the months and years to come. Money moves markets. But Money Morning lets you move first. en Thu, 29 Oct 2020 21:58:40 +0000 Thu, 29 Oct 2020 21:58:40 +0000 5 It's Like We're at the Starting Line for the Greatest Wealth Journey of Our Lifetimes https://moneymorning.com/2020/10/03/its-like-were-at-the-starting-line-for-the-greatest-wealth-journey-of-our-lifetimes/ There was a reason Bill Gross was known as "The Bond King."

Gross co-founded Pacific Investment Management Co. (better-known as PIMCO) - and built it into a powerhouse.

At its peak, PIMCO was the biggest bond investor on the planet - indeed, the Total Return Fund that Gross ran held more than $290 billion in assets.

I worked for "The Bond King."

And I loved it.

As a vice-president in charge of growing PIMCO's inflation-related products, it was my job to get institutions to invest in commodities, inflation-linked bonds (ILBs), a suite of asset allocation strategies, and commercial real estate investments.

Working from an office in sunny Newport Beach, Calif., I courted pension plans, mutual-fund managers, foundations and endowments, and wealth advisors from all around the world.

We referred to these folks as "institutional investors." But it's probably more appropriate to refer to them as the "Big Money Crowd."

When I first started working for "The Bond King," almost none of the Big Money Crowd was investing in commodities or ILBs. We also took asset allocation to the next level - so that was new - and we also innovated the way the institutional folks invested in real estate.

The bottom line: We had to convince a lot of really smart people to change the way they saw their business, to innovate and to do something completely new.

And we did it well.

During my five-year stint, the amount of money the Big Money Crowd invested in our cutting-edge strategies zoomed from about $6 billion to more than $60 billion. By 2006, we basically owned the inflation-related investing space.

And that tenfold move grew the pile of money PIMCO made each year more than any other product - including Bill's baby, the aforementioned Total Return Fund.

My time at PIMCO, and the years since, taught me two things - both of them critical:

  • The importance of innovation, and how inventiveness can muscle open the pathways to massive new growth.
  • The massive power of the Big Money Crowd, and the catalytic power their investments can have.

Mesh the two - innovation and capital - and you're looking at the wealth equivalent of the universe-creating "Big Bang Effect."

"Meshing" is what we're about to see in the cannabis sector.

And a stock market "Big Bang" is what I'm predicting - one that's a starting line for perhaps the greatest wealth journey of our lifetimes.

Here today, I'm going to show you exactly how to take this insight and win with it...

A Big-Money Blueprint

When I say Big Money, I mean exactly that.

As you read this, more than $21 trillion sits in U.S.-based mutual funds. Pension plans control even more money. And exchange-traded funds (ETFs) hold another $4 trillion.

It's a mind-boggling amount of money. But understand this: When these guys identify an opportunity - an investment "target" - they move in size.

And when that tidal wave of cash comes in, it causes the value of those sector assets to skyrocket.

When innovation spawns new sectors, it's usually the Big Money that floods in first - ahead of the grassroots money from Main Street investors. That's how it played out with info-tech and biotech. And it continues to happen with social media.

But cannabis has been different.

It's giving regular investors the kind of moneymaking chance that comes along maybe once or twice in a lifetime.

You see, with cannabis, Big Money has up to now been frozen in place on the sidelines - its indecisiveness spawned by the reality that cannabis remains illegal at the federal level.

But as I hinted here last Sunday, Big Money's patience has run out.

Just look at the latest moves by Putnam Investments LLC. This Boston-based mutual-fund firm controls $182 billion. And it just bought 6 million shares of 4 Front Ventures - a U.S.-based multistate operator (MSO) - giving Putnam a 5% stake in the company.

Wasatch Advisors Inc., a smaller player with only $18 billion (yes, $18 billion is "small" in the institutional world), now has the second-biggest stake in Cresco Labs Inc. (OTC: CRLBF).

But this next Big Money player is gargantuan: With more than $2.4 trillion in assets, Fidelity Investments now owns a stake in Curaleaf Holdings Inc. (OTC: CURLF) - the biggest cannabis company (by revenue) on the planet.

And now that the New York Stock Exchange (NYSE) has listed an ETF holding plant-touching U.S. based cannabis companies, the "listing" door has been kicked wide open for other U.S. cannabis companies to list.

This means major stock-index operators - like Standard & Poor's and FTSE Russell - will soon add those companies to their offerings. Additionally, another crucial group of Big Money players - the big pension plans - will have to allocate billions of dollars to cannabis stocks to keep their own investment performances from falling behind.

Packing a Pension Punch

For proof, just look at who owns another "must own" cannabis stock for pension plans.

Innovative Industrial Properties Inc. (NYSE: IIPR) trades on the Big Board. It's also a part of the Russell 3000, the Russell 2000, and S&P 600 stock indexes - to name a few.

As I know from my days with "The Bond King," hundreds - heck, even thousands - of mutual funds, ETFs, and pension plans align their investments with these indexes. And because IIPR is part of these indexes, these Big Money players have no choice but to own the stock.

Here are just a few, along with how much money they actually move around:

  • New York State Teachers Retirement System - $122 billion
  • New York State Common Retirement Fund - $207 billion
  • California State Teachers Retirement System - $246 billion

Back during my PIMCO days, I worked the boardrooms of all these players. That was one of the ways I "courted" that institutional money. So I know how it all works. And I've seen how, when these guys target a stock, its share price just zooms.

At last count, 17 state pension plans owned a piece of IIPR. And as other cannabis stocks - the big ones like Trulieve Cannabis Corp. (OTC: TCNNF), Curaleaf Holdings Inc. (OTC: CURLF), and Green Thumb Industries Inc. (OTC: GTBIF) - start trading on the NYSE or Nasdaq, the pension plans and all the other Big Money players will have to own them.

Within this Big Money arena, the cannabis story only gets better.

You see, most of the players I've been talking about so far are what's known in the business as "passive" investors. They're "passive" because they aren't traders - their investments mirror the holdings of whatever index they are benchmarked against.

There's a second group of Big Money players we need to talk about - the "active" crowd.

Their influence is just as big. And an exchange listing of a cannabis stock will draw the "active" players in, too.

The Key to 10x Gains

Active investors see how cannabis stocks can lead to billions in profits. To make that happen, the active players need the ability to trade the millions of shares of stock that a major exchange provides.

This includes pension plans, mutual funds, hedge funds - you name it.

They all see the innovation and growth that cannabis legalization sets up. And, before you know it, they'll be elbowing each other out of the way in a scramble to claim their billion-dollar stakes.

That hasn't happened, yet - but we'll see it soon. We're seeing that "meshing" of innovation and capital right now. That gives individual investors like you a bit more of a window to make your move.

The Big Bang moment for cannabis is here. Move now ahead of the Big Money influx - and you'll reap the windfall of the 10x returns that tidal wave of capital creates. You'll be the one selling your shares to them at prices five to 10 times more than you paid.

But you have to pick your spots. You can't just blindly buy a bunch of cannabis stocks and hope to make a fortune. You need insight into which companies stand the best chance at creating wealth for shareholders. Which management teams are top notch, and which are built to last.

And you can get the drop on everything you need to know to navigate the Wild World of Cannabis Stocks over at the National Institute for Cannabis Investors, or NICI. We tell you what to buy, when to buy, and when to sell.

The path to fortune is never a straight line. So click here to learn how you can become a NICI Member and secure your spot at the Cannabis Big Bang starting line today.

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About Money Morning: Money Morning gives you access to a team of ten market experts with more than 250 years of combined investing experience – for free. Our experts – who have appeared on FOXBusiness, CNBC, NPR, and BloombergTV – deliver daily investing tips and stock picks, provide analysis with actions to take, and answer your biggest market questions. Our goal is to help our millions of e-newsletter subscribers and Moneymorning.com visitors become smarter, more confident investors.To get full access to all Money Morning content, click here.

Disclaimer: © 2020 Money Morning and Money Map Press. All Rights Reserved. Protected by copyright of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including the world wide web), of content from this webpage, in whole or in part, is strictly prohibited without the express written permission of Money Morning. 16 W. Madison St. Baltimore, MD, 21201.]]> Sat, 03 Oct 2020 09:00:44 +0000 https://moneymorning.com/2020/10/03/its-like-were-at-the-starting-line-for-the-greatest-wealth-journey-of-our-lifetimes/ Why This "Sea Change" in Cannabis Is Rewarding Investors with a Huge Wealth Opportunity https://moneymorning.com/2020/09/27/why-this-sea-change-in-cannabis-is-rewarding-investors-with-a-huge-wealth-opportunity/ I'm in a jam of my own making.

Cold water sprints past just below my knees in a stream coursing by within a solid 1-wood of my front porch. I struggle to keep my water-logged Converse sneakers firmly planted on the slick river rocks underfoot.

Meanwhile, a rat's nest of fishing line rests in my hand.

I'm in this pickle because of a clumsy attempt at keeping my fly out of a limb flush with Autumn leaves reaching over the stream's edge. I panicked and jerked my backcast. Now this jumbled ball of frustration stands between me and another afternoon fishing that ends in a "shutout."

There's an easy solution - an easy "out," of course.

I can just cut the line.

But I don't.

Having arrived in this exact same position a thousand times before has taught me that patience and a couple of well-placed tugs will untangle this unruly mess

Instead, I hold the hopelessly tangled bundle in my hand and start gently teasing at the knotted mess.

The knots in my leader yield, and I get back to letting the fish outsmart me.

Patience has its own rewards. And sometimes it even pays.

The years have taught me that, whether through pastimes or my 26-plus-year-long investing career, patience has its place. Wield it well, and you get rewarded.

But I've also learned the hard way to recognize the point when patience must yield to action. And when that point comes, you either make your move or watch as one of those all-too-rare opportunities blows right past you.

Those of you invested in cannabis over the past year and a half have learned a thing or two about frustration - and about patience. But now that patience is paying off: We're witnessing a real "sea change" in cannabis stocks this year.

And this sea change means one thing - the time for patience has given way to action.

You don't want to miss the huge wealth opportunity that's coming directly our way.

Let me show you what I mean. And let me show you how to put this bit of investing insight to good use with cannabis stocks...

Why You Must Act Now

As someone who's been following cannabis stocks - indeed, the whole marijuana landscape - for you folks here at Money Morning for more than two years now, I can tell you in total candor that a sea change is underway in this promising slice of the stock market.

You'll hear the naysayers say otherwise. I get that. But you can't listen. Those naysayers don't get it.

But we do.

The cannabis gloom-and-doomers are waiting for Congress and the White House to act - to clear the way for totally legal cannabis. And they view Washington's failure to do this as a tangled mess of line that makes "fishing" for profits impossible right now.

So, they're cutting their lines and heading home.

That's a mistake.

Indeed, the investors waiting for Washington to take the lead were fishing in a barren stream to start with.

And embracing their "wait and see" approach to cannabis stocks will be the biggest, get-left-behind mistake you can make. The payoff is coming - fast. Now's the time for you to make your first bold move into cannabis stocks.

Because these four key players know that the time for patience has passed...

The Four Catalysts

As I see it, there are four very distinct players providing catalysts for the New Cannabis Boom. They are:

  • The U.S. states.
  • Cannabis entrepreneurs.
  • Cannabis customers.
  • The major financial exchanges.

Let's start with the states.

Legalization has been driven by the citizens of each state ever since California made the first move in 1996. Citizen-driven ballot measures made cannabis legal in state after state. And now, 46 states plus D.C. allow for access to cannabis - putting legal cannabis within reach of 97% of the U.S. population.

Clearly, states no longer wait patiently for the federal government to act. They see the jobs. They see the investment opportunities. They see a badly needed increased tax base. They see the very real positive impact legalized cannabis has on their economies and the benefit it has for citizens. This realization has spurred entrepreneurs the country over to set up shop and take advantage of the boom.

There are hundreds, perhaps thousands, of cannabis ventures established across America.

From small mom-and-pop dispensaries to craft growers to large, multi-state operators (MSOs), entrepreneurs didn't wait patiently for the feds to act. They seized the opportunity to set up shop, and now the customers are pouring in.

Just look at some of the biggest markets for cannabis. Sales in Illinois are up 63% this year. In Florida, 81% more cannabis got sold in August than in January. And in Michigan, sales have surged 212% from December to July.

So, you can see, customers aren't waiting patiently for Congress to act, either. And that massive surge in sales is paying off for investors - in a big way.

For a six-month stretch running through Sept. 18, Curaleaf Holdings Inc. (OTCMKTS: CURLF) and Cresco Labs Inc. (OTCMKTS: CRLBF) are up 170% and 190%, respectively.

Trulieve Cannabis Corp. (OTCMKTS: TCNNF) has rallied 233%, and Green Thumb Industries (OTCMKTS: GTBIF) is up 271%.

Planet 13 Holdings Inc.'s (OTCMKTS: PLNHF) stock, even though it was hampered by having to rely solely on deliveries during the COVID-19 shutdowns, has risen nearly five-fold - from a low of $0.63 to $3.12 - a stunning 395% surge.

This soaring climb in stock prices - and the spike in trading volume that came with it - has spurred yet another key player to conclude that the time for patience has reached its end.

A Strong "Signal"

On Sept. 1, the AdvisorShares Trust Pure U.S. Cannabis ETF (NYSE: MSOS) began trading on the New York Stock Exchange.

Listing an ETF composed of plant-touching U.S. cannabis stocks signals that exchanges - the fourth key player catalyzing a boom in cannabis stocks - no longer view these stocks as a risk. And, to me, this is a giant leap in the mindset of the fine folks running the exchange.

They're done waiting for Washington to move. So, they took control - and shrewdly so. The fact that a mainstream financial organization like the New York Stock Exchange is making the move shows that, in their view, the rewards massively outweigh any risks.

That's the right view to embrace.

Let me say here that, personally, I'm not a big fan of cannabis ETFs. I believe that the spot we're in now is a "stockpicker's market." You have to identify the "right" opportunities at the right moment to maximize your gains. And simply getting broad exposure to cannabis stocks instead of carefully picking your spots doesn't achieve that end.

Even so, the fact that this major exchange has listed this ETF represents the opening of a new wealth window phase with cannabis stocks.

Before you know it, stocks like Curaleaf and Trulieve - both among my favorite cannabis stocks - will be among the first on the Nasdaq or the New York Stock Exchange. And that will open the floodgates for Big Money Players like Fidelity Investments and Putnam Investments to make their moves.

The Two Cannabis Moves to Make - Now

With exchanges listing U.S. plant-touch cannabis stocks, mutual funds controlling trillions of investment dollars will start snapping up those shares. And major stock indexes will have no choice but to add these companies, opening the door to billions more in additional investor dollars.

And when it comes to cannabis, now is the time to fill your "profits creel."

Let me share two moves you can make right now.

The first is Curaleaf Holdings Inc. (OTCMTKS: CURLF) - which, thanks to a recent buyout deal, is now the biggest cannabis company in the world.

It's also one of my top long-term picks.

It's a chance to cash in on a market leader - at the bargain price of $7.30.

The Wakefield, Mass.-based Curaleaf operates 135 dispensary licenses, 88 operational licenses, 30 processing facilities, and 22 growing sites across America, and serves 350,000 registered patients in 23 states. It had more than $350 million in revenue over the last 12 months. And it's growing that top line at 30% a quarter - an annualized growth rate of 185%.

Curaleaf's buyout of GR Cos. Inc. (better-known as Grassroots), which closed back in July, was a bold move. It vaulted the firm into the No. 1 spot, launching it past well-known cannabis behemoths like Canopy Growth Corp. (NYSE: CGC) and Aurora Cannabis Inc. (NYSE: ACB).

It's a stock you want to buy and hold onto for the next few years - even adding to your stake on pullbacks.

I love this stock.

Then there's my favorite "private market" play...

"Ground-Floor" Wealth

As great an opportunity as stocks offer, private-equity investments are even better - offering returns that can be 10, 20, or even 30 times greater than stocks. You're actually getting in on the ground floor of a new company - and you profit with other "insiders" when that venture goes public or is bought out by a deep-pocketed suitor.

My other top pick right now is just such a venture. It's a privately held startup that's working to bring 27 cannabis-based therapies to market.

And it's a company I know very well, since I've been working with the management team for more than 10 months as they get their innovations up and running.

It's a great story.

And it's one I'm going to tell you here...

Follow Money Morning onFacebook and Twitter.

About Money Morning: Money Morning gives you access to a team of ten market experts with more than 250 years of combined investing experience – for free. Our experts – who have appeared on FOXBusiness, CNBC, NPR, and BloombergTV – deliver daily investing tips and stock picks, provide analysis with actions to take, and answer your biggest market questions. Our goal is to help our millions of e-newsletter subscribers and Moneymorning.com visitors become smarter, more confident investors.To get full access to all Money Morning content, click here.

Disclaimer: © 2020 Money Morning and Money Map Press. All Rights Reserved. Protected by copyright of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including the world wide web), of content from this webpage, in whole or in part, is strictly prohibited without the express written permission of Money Morning. 16 W. Madison St. Baltimore, MD, 21201.]]> Sun, 27 Sep 2020 10:00:01 +0000 https://moneymorning.com/2020/09/27/why-this-sea-change-in-cannabis-is-rewarding-investors-with-a-huge-wealth-opportunity/ Exploration of Ripple & XRP Price Prediction https://moneymorning.com/2020/09/24/exploration-of-ripple-xrp-price-prediction/


The coronavirus pandemic has created a great deal of uncertainty for investors. Uncertainty has become the new norm as volatility has been a constant in the markets since March.

One of the biggest factors that helped drive volatility down and the markets higher was the interjection of the U.S. Federal Reserve.

The Fed printed about $5 trillion to bail out distressed companies like the airlines and cruise lines, just to name a few. The government even handed out free $1,200 stimulus checks to much of the population to combat the tens of millions of job losses and encourage spending.

After all that money printing, investors are starting to question the soundness of their U.S. dollars. Supply and demand economics states that the more there is of something, combined with the ease with which it can be created, the less that thing is worth.

That's why some cryptocurrencies are so appealing. They can't be inflated and devalued because their supply is capped at a certain amount.

One of those cryptocurrencies with a limited supply is XRP, created by a company called Ripple.

In this article, we'll give you our best Ripple price predictions for the next five years.

We'll also break down advantages and disadvantages Ripple has compared to the U.S. dollar and its other crypto competitors.

Let's get started...

What Is Ripple and What Does It Do?

Prior to diving right into the underlying factors affecting XRP's price, let's explore Ripple and learn more about what it does.

Created in 2004 and launched in 2005 by Ryan Fugger, Ripple Labs is a tech company that enables worldwide payments between financial institutions, banks, payment providers, and digital asset exchange entities.

Using blockchain technology, Ripple's main goal was to offer a dependable, quick, and cost-effective solution for payments to be sent in real time throughout the world.

In 2012, it was rebranded to OpenCoin, when Chris Larson and Jed McCaleb took over the project from Fugger. The premise behind this rebrand broadened its scope to develop its protocol as a payment solution for banks and other major financial institutions. A few years later, in 2015, the San Francisco-based, all-in-one digital payment network then resumed its original name of RipplePay when McCaleb left the company.

Today, it's simply known as Ripple.

With its U.S. headquarters based in San Francisco and an office in New York City, Ripple has offices throughout the world in London, Sydney, India, Singapore, and Luxembourg.

Now that you have a better idea of the company, its key premise, and its history, let's talk about the native XRP currency.

Ripple uses XRP and the XRP ledger - a distributed ledger database - while it supports tokens that represent fiat currency (government-backed currency), other types of cryptocurrency, and commodities.

What Is XRP?

Here's where many are confused between the two - XRP is an independent digital asset (cryptocurrency) and the native currency of Ripple, while standing separate from the Ripple network.

XRP is one of the top 10 cryptocurrencies available. With a $10.2 billion market cap, it's currently the fourth-largest cryptocurrency by market cap. Only Bitcoin (BTC), Ethereum (ETH), and just recently, Tether (USDT), are larger.

While Ripple is often referred to as the parent company for XRP, it's important to note that it does not own nor control the technology behind XRP, despite holding 60 billion XRP.

XRP is essentially a bridge currency and can be used by practically anyone, whereas the main users of Ripple are banks and other financial institutions.

The main premise of XRP tokens is to move funds and facilitate financial transactions across the world via Ripple's real-time, quick, and low-cost ecosystem. As of today, about 45 billion of the total 100 billion XRP tokens have been issued and are circulating in the open market.

Advantages of Ripple (XRP)

Exploring the advantages is an integral part of investigating factors that affect Ripple and XRP's price prediction.

XRP's scalability is one of its key advantages over other cryptocurrencies, enabling it to meet today's evolving demands. In fact, its underlying architecture was built with high scalability in mind - according to Ripple Insights, it's capable of sustaining a throughput of 1,500 transactions per second (TPS) on commodity hardware.

That makes it the fastest and most scalable digital asset available with the ability to send global bank-to-bank payments anywhere in the world in real time.

Another advantage to XRP is the fact that it isn't in competition with other centralized or decentralized cryptocurrencies that support the current financial system. Instead, XRP takes a synergistic approach with intent of future integration via Ripple's network.

Peak history plays an integral role in XRP price prediction. In January 2018, it achieved a breakthrough high of $3.84 per coin, which was an explosive 1,029% jump from its first-ever peak in May 2017, when its rate was priced at $0.34.

While it hasn't seen this type of peak since, it's still deemed appealing due to its potential for rapid, exponential growth.

And while it's not geared toward being an investment vehicle, XRP's low price and huge market cap gives it an advantageous entry point for investors not looking to spend the money for either Bitcoin or Ethereum.

Disadvantages of Ripple (XRP)

There are also disadvantages that must be considered before you invest in XRP.

In general, the cryptocurrency market is a challenging one due to its dynamic, unpredictable, and volatile nature. This serves as a disadvantage to investors because prices have been known to encounter drastic fluctuations, making a long-term forecast for XRP price prediction quite difficult.

That said, XRP sales have declined since its highest peak, and there have not been any significant breakthroughs since 2018 (the last time it was priced over $1).

Meanwhile, a key concern for Ripple is its slow-moving adoption rate. This, coupled with the fact that it's no longer a new technology, is a disadvantage, since most would have expected for its service to be adopted by now.

Among the number of partnering banks and other financial institutions Ripple currently has, only a limited number of these larger partnering institutions are testing their services, which has hindered its broader acceptance, thus inhibiting wider adoption.

This is a key factor to consider in Ripple's price prediction because it may take a while for banks and financial institutions to fully adopt and utilize Ripple until more advancements in technology are made and improvements in infrastructure are implemented.

This leads to another potential challenge that could essentially risk Ripple's livelihood - the notion of competing technology being adopted in its place.

Ripple and XRP Competitive Differentiating Factors

As with all businesses, having a competitive advantage is integral to achieve success. Here's how Ripple and XRP are different from their competitors...

For starters, governments favor XRP's transparency and the fact that Ripple has established, real-world, viable partnerships versus focusing its efforts on the mere chase of investors. Additionally, Ripple has a solid regulatory framework, which has enabled it to win numerous misconduct lawsuits over the years.

And, unlike other cryptocurrencies, XRP is actually advocating for compliance to greater crypto market regulations. This could essentially lead to an exponential XRP price explosion that could leave competing digital assets in the dust.

Ripple also aims for XRP to integrate with banks, governments, and the current financial system places it at a competitive advantage over those in opposition. Many believe this is positive for Ripple based on the fact that it has signed over 300 banking and financial partner institutions all over the world, including Bank of America, HSBC, Accenture, MoneyGram, and the National Bank of Egypt, just to name a few.

In addition to Ripple offering a faster solution at a lower price point than that of its current competitors, XRP's transaction speed of 1,500 transactions per second (TPS) highly exceeds that of both Bitcoin (at 6 TPS) and Ethereum (at 15 TPS).

Ripple & Our Best XRP Price Prediction for Potential Investors

The question remains... Is XRP a good investment?

The truth is, financial analysts and industry experts are split in their opinions and forecasts.

While some focus on the many advantages of XRP over competing digital assets combined with the unique infrastructure of Ripple, they are optimistic in the potential of XRP reaching another bullish peak back to $4 per XRP and as high as $20 by 2025.

That would mean potential returns of 1,670% to 8,750% from its current $0.226 price.

Meanwhile, others may lean toward the disadvantages and may be inclined to potentially predict a steady decline relative to Bitcoin over the next decade.

Whichever side you're in agreement with, it's important that you take into consideration the many factors involved that affect your vantage point toward making your XRP and Ripple price prediction.

Think you're ready to invest? Check out this article on penny cryptocurrencies and discover which crypto assets investors are predicting to be profitable in 2020. Let Money Morning show you how to make passive income with cryptocurrency.

Learn How You Could Become the Next Crypto Millionaire

Bitcoin's critical "expansion phase" is expected to create billions in new wealth - and our Bitcoin Master Class could be your ticket to cashing in.

Get access to profit tips and strategies from one of Bitcoin's earliest backers: how to buy and sell, avoiding fees and commissions... and, best of all, how to trade cryptocurrencies every day for the potential to make huge gains.

Check out our Bitcoin Master Class here...

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About Money Morning: Money Morning gives you access to a team of ten market experts with more than 250 years of combined investing experience – for free. Our experts – who have appeared on FOXBusiness, CNBC, NPR, and BloombergTV – deliver daily investing tips and stock picks, provide analysis with actions to take, and answer your biggest market questions. Our goal is to help our millions of e-newsletter subscribers and Moneymorning.com visitors become smarter, more confident investors.To get full access to all Money Morning content, click here.

Disclaimer: © 2020 Money Morning and Money Map Press. All Rights Reserved. Protected by copyright of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including the world wide web), of content from this webpage, in whole or in part, is strictly prohibited without the express written permission of Money Morning. 16 W. Madison St. Baltimore, MD, 21201.]]> Thu, 24 Sep 2020 20:00:50 +0000 https://moneymorning.com/2020/09/24/exploration-of-ripple-xrp-price-prediction/ What Is DeFi? This Crypto Boom Exploded 10x in 3 Months https://moneymorning.com/2020/09/24/what-is-defi-this-crypto-boom-exploded-10x-in-3-months/

Even people familiar with crypto have been asking, "What is DeFi?"

Short for "decentralized finance," DeFi is a catch-all term for a digital ecosystem of smart contracts, decentralized exchanges, and special-purpose tokens built on the Ethereum network.

It's also the latest obsession in the world of crypto investing. DeFi erupted from obscurity to a mania over the summer.


According to the website DeFi Pulse, the amount of money invested in DeFi projects soared from about $950 million in the latter part of May to more than $9.5 billion by the first week of September.

That's puny by Wall Street standards - or Bitcoin standards, for that matter. The total value of Bitcoin is a bit south of $200 billion these days.

Still, the rise in DeFi represents a 10x increase in just three months. It has huge buzz in the crypto world, at least for now.

And people who are using DeFi are making money - in some cases a lot of money. Investors have earned returns of 20% or more on their money over the past six months.

But it's wild, unregulated, and extremely risky - even more so than most things crypto.

This is why most investors should avoid putting any money into DeFi projects. But that doesn't mean investors should ignore DeFi.

As we've often seen with cryptocurrency, DeFi is teaching the old dog of finance several new tricks.

"These are experiments in finance," Preston Byrne of law firm Anderson Kill told Reuters in August. "They're not necessarily legally compliant in a lot of cases. But that doesn't mean that they can't be at some future [time]."

As crazy as it looks now, DeFi has the potential to be the most disruptive development crypto has yet produced.

Here's a look at what's going on...

What Is DeFi?

The key part of DeFi is that it's decentralized. That just means that no person or company is in control. Instead, the system is controlled by digital code.

You could say Bitcoin was the first instance of DeFi, in that it's a decentralized digital currency.

But today's DeFi goes a step further. Rather than just moving money from one wallet to another as Bitcoin does, DeFi covers a range of more complex financial activities. There's stablecoins, trading on decentralized crypto exchanges, lending and borrowing, and "yield farming" (more on that in a minute).

All of this stuff runs on the network of the No. 2 cryptocurrency, Ethereum. That's because Ethereum allows for "smart contracts." These smart contracts are code created and executed on the Ethereum blockchain.

Smart contracts are the magic sauce of DeFi. They allow transactions to happen without a central authority acting as a middleman - the function of a bank or other financial institution in the conventional world.

So the transactions are conducted anonymously between strangers over the Internet. That's where DeFi becomes a disruptive technology.

"Immature and experimental though it may be, the technology's implications are staggering," Coindesk reporter Brady Dale wrote in a July article. "On the normal web, you can't buy a blender without giving the site owner enough data to learn your whole life history. In DeFi, you can borrow money without anyone even asking for your name."

How Investors Are Profiting from Decentralized Finance

In addition to being decentralized and anonymous, DeFi offers opportunities to earn outsized returns for such actions providing crypto funds to a borrower. Interest rates are all over the place, but double-digit returns are common.

Stablecoins, which have a value pegged to a fiat currency like the U.S. dollar, are a slice of DeFi I've previously written about. Several crypto services allow customers to loan their stablecoins out in return for hefty interest payments in the 8% to 11% range.

The decentralized exchanges (DEXs), also known as Automated Market Makers (AMMs) are what have been drawing the most attention, though. The AMMS started out giving users who provided liquidity (by making their crypto available for trades) a tiny cut of the fees.

But then Compound had the bright idea of rewarding liquidity providers with its own COMP token. This quickly became common practice among the AMMs. And the promise of what essentially is "free money" drew still more people into DeFi.

These tokens, which include SushiSwap's SUSHI and UniSwap's UNI, also trade on numerous crypto exchanges. When their prices rise, those "free tokens" start to represent real gains.

For instance, UniSwap gave 400 free UNI to anyone who had ever used its crypto exchange website. Those tokens trade for about $4 apiece now - a $1,600 windfall available to about 250,000 accounts.

WARNING: 22 million shares of this stock trade hands every day - make sure you're nowhere near it. Click here...

That brings us to the yield farmers.

These folks scour DeFi looking for the best possible yields. That may be interest from staking crypto on a particular site (like Compound or Yearn Finance) or from providing liquidity to an AMM. With no penalties for early withdrawal, yield farmers can and do swap funds rapidly to chase the top yields.

People willing to bear a lot of risk have been able to reap significant profits - we're talking about tapping into interest rates in the 40% to 50% range.

But as your eyes are bugging out, let me show you why DeFi is such a dangerous place to park money...

Why You Should Stay Away from DeFi - For Now

As tempting as those huge returns may look, DeFi is very much a "Wild West" on investing. Investors need to be aware of multiple risks and pitfalls.

Let me count the ways:

  • No protections. DeFi projects by definition have no central authority. So investors have no recourse if something goes wrong. And they do: the Yam Finance project fell apart within just two days. If the project you're using goes under or gets hacked, you could lose some or all of your money.
  • No regulatory oversight. DeFi is so new the U.S. Securities and Exchange Commission (SEC) hasn't yet weighed in on it. But as with the Initial Coin Offering (ICO) craze of 2017, the SEC may well find that at least one aspect of DeFi - its tokens - are securities and violate U.S. securities laws. SEC actions against DeFi tokens could cause a big drop in value of those tokens and would harm the projects that issued them. Crypto regulation in the United States is inconsistent as well, with different states having different rules.
  • Tech complexities. As crypto is tech-based, you need to have at least some tech savvy. The "addresses" used to send crypto are long strings of characters. Getting it wrong - or sending one kind of crypto to the address of a different kind - usually results in the permanent loss of those funds. DeFi adds another layer of complexity. The smart contracts that run most of DeFi can have bugs or security holes. It's definitely not as straightforward as buying some Bitcoin from Coinbase.
  • Tax headaches. Gains from interest on crypto investments are taxable just like any other gains. But few crypto companies send you a year-end statement. A DeFi project certainly won't. But the IRS considers virtually every crypto transaction a taxable event. So DeFi investors need to keep detailed records for the taxman or use a service like TokenTax.

That's some pretty daunting stuff.

But make no mistake - DeFi is a pivotal moment in the history of crypto.

ICOs fizzled out because letting people invest in new projects with no disclosure of the merits and flaws of the project made it too easy for scammers to exploit the idea.

DeFi is different. It seeks to replace financial middlemen with the decentralized code of smart contracts. The code only executes when certain mutually agreed-upon conditions are met.

It's a whole new form of finance - one that gives individuals more control over their money.

And though DeFi is very rough around the edges now, it will mature with time.

"There is an actual value on what is being built on these protocols," Maya Zehavi, a founding board member of the Israeli Blockchain Industry Forum, told Reuters. "It might end up being an instant financialization ecosystem for any project. That's the promise."

Are These "Toxic" Stocks Lurking in Your Portfolio?

Almost no one realizes, but some of the most dangerous, portfolio-wrecking stocks are also some of the most popular picks on the market.

Our chief investment strategist is going live and shining a light on the specific stocks that should be nowhere near your portfolio.

In this fast-paced lightning round event, he'll also detail the stocks that every investor in the world should have in their portfolio right now.

This event could revolutionize how you make money this year. Watch now...

Follow me on Twitter @DavidGZeiler and Money Morning on Twitter and Facebook.

About Money Morning: Money Morning gives you access to a team of ten market experts with more than 250 years of combined investing experience – for free. Our experts – who have appeared on FOXBusiness, CNBC, NPR, and BloombergTV – deliver daily investing tips and stock picks, provide analysis with actions to take, and answer your biggest market questions. Our goal is to help our millions of e-newsletter subscribers and Moneymorning.com visitors become smarter, more confident investors.To get full access to all Money Morning content, click here.

Disclaimer: © 2020 Money Morning and Money Map Press. All Rights Reserved. Protected by copyright of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including the world wide web), of content from this webpage, in whole or in part, is strictly prohibited without the express written permission of Money Morning. 16 W. Madison St. Baltimore, MD, 21201.]]> Thu, 24 Sep 2020 18:37:55 +0000 https://moneymorning.com/2020/09/24/what-is-defi-this-crypto-boom-exploded-10x-in-3-months/ How to Trade Options on Nikola Stock https://moneymorning.com/2020/09/23/how-to-trade-options-on-nikola-stock/


Electric truck-maker Nikola Corp. (NASDAQ: NKLA) has been one of the wildest stocks of 2020.

The company went public in a reverse merger on June 4 at $34 per share and jolted 176.5% higher to $94 just three trading days later.

Since then, NKLA has experienced a significant drop and sits near $27 per share today.

But that doesn't mean we can't make money on it...

You see, Nikola's volatility is actually a good thing if you want to make fast money trading options.

So today, we're going to show you how to make money with options from the fall of NKLA stock using a strategy known as a "put spread" that Money Morning's own options trading expert, Andrew Keene, just revealed.

Here it is...

Nikola's Fraudulent History

Nikola has set some lofty goals for itself as it attempts to disrupt the $6.5 trillion global transportation sector.

Essentially, the company's mission is to eliminate the need for truck drivers with its autonomous electric 18-wheelers.

The problem is, Nikola has not built anything that is even close to being ready for the road today.

In fact, a report from Hindenburg Investment Research earlier this month just accused Nikola of being an "intricate fraud."

In the report, it accused Nikola of having no functioning prototype, nothing in pre-production, and a deal with General Motors Co. (NYSE: GM) made out of desperation.

Hindenburg concluded that it took a short position in NKLA stock, which really got short-sellers excited.

On Sept. 21, Nikola founder Trevor Milton resigned as executive chair amid those fraud allegations. And the stock dropped 19.33% that day alone.

The Best Options Trade Using Nikola Stock

Since GM owns an 11% stake in Nikola, its fate is tethered to what happens to Nikola.

So, Money Morning's options expert, Andrew Keene, suggests selling rallies in GM stock. But not simply by selling it short and exposing yourself to infinite risk...

Rather, he is looking at a bearish put spread on GM to exploit the inherent drag on the company's profitability, while controlling your risk.

A bearish put spread is a strategy where you buy a put option on the underlying stock and then simultaneously sell a put option on the same stock with the same expiration date.

The only difference is that the strike price of the put you sell is lower than the strike on the put you buy.

Generally, the underlying stock will be at or near the strike price of the put you buy and above the strike of the put you sell.

There are two benefits to this trade.

First, your risk is limited should the trade not work. Second, your net cost - the debit - is lower than it would be by just buying a put alone.

Of course, there is no free lunch. In exchange for lower risk, you have to give up some profit potential.

The most you can make is the different between the two strikes less the cost of the spread.

The most you can lose, however, is the net cost of the spread.

As long as you have a reasonable downside price target for the stock, put spreads on GM are a great way to make money on the fall of NKLA.

He Made Millions Trading for an Hour Before Breakfast

Andrew Keene was living with his parents. Two years later, he had $5 million to play with - all because of this one strategy.

The crazy thing is you can do it in less than 90 minutes a week.

To see how easy your life could be, click here.

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About Money Morning: Money Morning gives you access to a team of ten market experts with more than 250 years of combined investing experience – for free. Our experts – who have appeared on FOXBusiness, CNBC, NPR, and BloombergTV – deliver daily investing tips and stock picks, provide analysis with actions to take, and answer your biggest market questions. Our goal is to help our millions of e-newsletter subscribers and Moneymorning.com visitors become smarter, more confident investors.To get full access to all Money Morning content, click here.

Disclaimer: © 2020 Money Morning and Money Map Press. All Rights Reserved. Protected by copyright of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including the world wide web), of content from this webpage, in whole or in part, is strictly prohibited without the express written permission of Money Morning. 16 W. Madison St. Baltimore, MD, 21201.]]> Wed, 23 Sep 2020 18:16:14 +0000 https://moneymorning.com/2020/09/23/how-to-trade-options-on-nikola-stock/ Stellar Lumens (XLM) Price Prediction https://moneymorning.com/2020/09/23/stellar-lumens-xlm-price-prediction/


Stellar Lumens (XLM) is the native cryptocurrency of the Stellar network, a blockchain platform that allows the exchange of digital to fiat currency.

Servers around the world record and store all transactions on the Stellar network. The network's capability of international transactions involving any two currencies has investors closely following every new XLM price prediction.

On the user side, the Stellar network and XLM are especially popular among those without access to traditional banking. Through Stellar, the unbanked are able to store wealth and make transfers at extremely low costs.

Investors are often attracted to penny cryptocurrencies such as XLM because they offer an inexpensive way for new investors to get started investing in crypto, while at the same time offering potentially huge profits to experienced traders who can anticipate the next big upward swing and properly time their investment.

In order to maximize profits on any cryptocurrency, it is important to know how and why the coin was developed, the coin's price history, and what makes it stand out in the crowded field of alt coins.

Today, we're looking at the allure of Stellar Lumens and why it could be a worthwhile addition to your portfolio.

What Is XLM?

According to the World Bank, 31.5% of the world's population is without access to a bank.

The main goal of the Stellar network is to provide access to financial services to people across the globe, regardless of their income level. Powered by blockchain, the platform is able to offer a decentralized service without any owner that is a faster and less expensive way of sending and receiving money.

At the launch of the Stellar network, its native crypto was known as Stellar, but the name was later changed to Lumens (XLM).

Stellar Lumens' price prediction has been a popular discussion since the network debuted in 2014, especially among those who see Stellar as an opportunity to make a big impact on the almost one-third of the global population that otherwise is shut off from traditional financial services.

In addition to its appeal to impoverished people without bank access, Stellar has caught the eye of financial institutions, banks, and larger enterprises. The network's ability to easily handle micropayments (transactions involving small amounts of money made online), access to mobile banking, and low remittance and transaction costs have all generated such interest.

XLM investors see a future of further adoption by financial institutions and big banks as the Stellar network extends its reach into more developing countries, pushing the coin's value higher.

XLM Price History

On Sept. 15, 2014, shortly after its initial coin offering (ICO), XLM was valued at $0.003. A few months later, in November, XLM dipped to its all-time low of $0.001227. Over the following three years, XLM fluctuated between $0.001 and $0.003.

In May of 2017, XLM briefly reached what was then an all-time high of $0.05 before retracing to $0.01. However, big things were in store for XLM - and crypto in general - over the remainder of the year...

Bitcoin broke $10,000 for the first time by December, and altcoins followed the upward trajectory, including XLM, which at one point gained more than 50% overnight. On Jan. 4, 2018, XLM reached its all-time high of $0.938144.

XLM began 2020 valued at $0.0451 and spent the early part of the year fluctuating between $0.05 and $0.06 before starting an upward trend in July. Eventually, the coin reached $0.118987 in mid-August before settling around $0.08 in early September.

Smart investors who keep up to date on news and fluctuations to make an accurate XLM price prediction can stand to make big profits. Those who bought at the beginning of 2020 could have doubled their money by the end of the year, while those who bought at the ICO would have seen a 2,615% return.

Reasons to Consider Investing in XLM

There are a lot of cryptocurrencies to choose from for those looking to invest. So, before buying, it is important for investors to take into account what makes a coin unique and what could lead to its further adoption. When looking at Stellar Lumens, there are a few factors that could be enticing to crypto investors.

One of the biggest draws to XLM in its early days was the fact that it was founded by an influential crypto pioneer, Jed McCaleb, who first rose to prominence in the cryptocurrency sphere as the founder of Mt. Gox - one of the earliest Bitcoin exchanges, which at one point handled as much as 70% of the world's Bitcoin transactions.

In addition to founding Mt. Gox, McCaleb was also a co-founder of Ripple. XRP, the native coin of the Ripple network, is the third largest cryptocurrency in terms of market capitalization.

Stellar Lumens' connections to Ripple don't end there; XLM has been compared favorably to XRP by some investors due to the fact that they both offer similar services but Stellar is more decentralized than Ripple. Further decentralization is currently a hot trend in cryptocurrency.

Another reason for optimism when it comes to a Stellar Lumens price prediction is the platform's ambition and partnerships that hint at further expansion...

While Stellar's primary goal is to appeal to the unbanked and democratize access to financial services, it also is appealing to traditional banks and companies. This can be seen in banks such as Bank of America and RBC using the technology as well as enterprises such as IBM, Deloitte, SatoshiPay, and others being associated with the network.

Of particular note is the association with IBM, which has a $1 billion AUD technology contract with the Australian government. Should cryptocurrency adoption grow in Australia, IBM's contract could give XLM a boost.

What is known for sure is that XLM is affordable and fast. The network can handle 1,000 transactions per second at less than $0.01 each. This is significantly quicker and less expensive than most major cryptocurrencies, increasing the chances that it could achieve widespread use.

Add on the fact that XLM can be traded anywhere on the planet in less than five seconds, and you have a coin with great reach and great potential.

Interesting XLM Price Predictions

Investors hoping to earn a passive income with cryptocurrency need to stay on top of the latest Stellar Lumens price predictions, as well as those of other coins, to know where to allocate their money and when to buy and sell. Below we'll look at some of the more noteworthy recent XLM price predictions.

Crypto Rating looks at trading volume and shifts in supply and demand to assess future returns. The site notes XLM's standing as 18th in market capitalization (with a current price of $0.07 and market cap of $1.48 billion), as well as its significant increase over the past year to issue a prediction of $0.46 in 2021 and $0.69 by 2025.

A particularly bullish XLM prediction from CoinSwitch sees the coin reaching $1 as soon as 2025. The reason cited for the potential 1,328% increase is Stellar's association with IBM and, in turn, its partnership with the government of Australia.

CryptoGround, which uses a deep learning neural network to predict price trends, sees XLM breaking $0.20 in mid-2021 and continuing an upward trajectory over the next five years. Although it doesn't foresee quite the same highs as CoinSwitch, it does see XLM hitting $0.74 by 2025. That's a potential increase of 957%.

Crypto investors who truly have their finger on the pulse of the market are able to successfully anticipate price fluctuations and can score big returns by swing trading. On the other hand, some are willing to buy early and hold, looking for the price to rise year after year.

Learn How You Could Become the Next Crypto Millionaire

Bitcoin's critical "expansion phase" is expected to create billions in new wealth - and our Bitcoin Master Class could be your ticket to cashing in.

Get access to profit tips and strategies from one of Bitcoin's earliest backers: how to buy and sell, avoiding fees and commissions... and, best of all, how to trade cryptocurrencies every day for the potential to make huge gains.

Check out our Bitcoin Master Class here...

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About Money Morning: Money Morning gives you access to a team of ten market experts with more than 250 years of combined investing experience – for free. Our experts – who have appeared on FOXBusiness, CNBC, NPR, and BloombergTV – deliver daily investing tips and stock picks, provide analysis with actions to take, and answer your biggest market questions. Our goal is to help our millions of e-newsletter subscribers and Moneymorning.com visitors become smarter, more confident investors.To get full access to all Money Morning content, click here.

Disclaimer: © 2020 Money Morning and Money Map Press. All Rights Reserved. Protected by copyright of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including the world wide web), of content from this webpage, in whole or in part, is strictly prohibited without the express written permission of Money Morning. 16 W. Madison St. Baltimore, MD, 21201.]]> Wed, 23 Sep 2020 15:44:09 +0000 https://moneymorning.com/2020/09/23/stellar-lumens-xlm-price-prediction/ Tron (TRX) Price Prediction https://moneymorning.com/2020/09/22/tron-trx-price-prediction/


TRON (TRX) is a cryptocurrency that made its initial coin offering (ICO) in 2017 and quickly became one of the top 10 cryptocurrencies in the world. Its fast rise in terms of market capitalization has made TRON price predictions a popular discussion point among crypto enthusiasts and investors.

Adding to the interest in TRX is the fact that its developer, Justin Sun, was both the chief representative for Ripple (XRP) in China and the protégé of Jack Ma - the founder of Alibaba.

Available to purchase for only a few cents per coin, TRX is a penny cryptocurrency that attracts both investors new to cryptocurrency who are looking to dive in with little risk as well as long-time crypto supporters familiar with Sun's history.

Before investing in any cryptocurrency, it is important to be aware of its history, its price fluctuations, and what makes it different from other coins.

Today, we'll break down what makes TRON such an appealing altcoin and why you might want to consider adding it to your portfolio.

What Is TRON?

At its heart, TRON is a decentralized blockchain platform that allows peer-to-peer (P2P) sharing of content among its users.

TRON began using the Ethereum (ETH) blockchain but has since broken free to operate on its own and become one of the world's largest blockchain operating systems with the goal of providing a decentralized Internet.

The cryptocurrency, TRX (also referred to as TRON or Tronix), allows producers of content to be paid for their creation.

By using the TRON blockchain, developers of decentralized applications (DApps) can make their applications available to the public and earn money in the form of TRX without having to go through middlemen such as the Apple or Android stores.

Those with a bullish TRX price prediction see the TRON blockchain as an opportunity for creators to use a free and secure P2P platform that is empowering and offers a fair return for their work.

As such, TRON and TRX have a strong base of support (as evidenced by Justin Sun's 2.1 million Twitter followers).

TRON Price History

On Sept. 7, 2017, TRON made its ICO at $0.0019. A week later, the coin dropped to its all-time low of $0.001091.

Like all other cryptocurrency prices, there have been a lot of ups and downs in recent years in terms of price, but those keeping a keen eye on TRX have certainly had their opportunities to turn a profit...

In its second year of existence, TRON made some big moves, which were reflected in its price. The development of the TRON Virtual Machine, as well as the company's move off of Ethereum's blockchain in 2018 allowed for further on-chain development.

In the same year, TRON acquired BitTorrent, a popular P2P file-sharing platform founded in 2001. An abundance of positive news about the events led to TRX skyrocketing in price to its all-time high of $0.30063 in early 2018.

Although TRX came back to earth and has remained far from its 2018 high, the coin gained a lot of momentum once again in 2020. In mid-August, TRON entered the decentralized finance (DeFi) sector by launching its first decentralized token exchange protocol: JustSwap.

JustSwap presents a challenge to Ethereum's DeFi protocol, UniSwap. The unveiling of UniSwap led to an increase in Ethereum's price, and JustSwap immediately had a similar effect on TRX.

In early September, 2020, Justin Sun announced a new token, SUN, which TRX holders could mine by staking some of their currency. The new coin adds another DeFi project to the TRON network.

The positive news generated in 2020 rallied the price of TRX from $0.0133 on Jan. 1 to upwards of $.04 in early September.

Why Should You Consider TRON

Important factors to consider when investing in any cryptocurrency are what makes the coin unique and what it offers that can't be found elsewhere. In the case of TRX, there are quite a few characteristics that make it a crypto of interest.

A good place to start is with TRON's charismatic founder, Justin Sun. As mentioned, Sun has important connections in big business stemming from his time learning from Jack Ma, but he also is capable of making big news on his own...

Sun brings attention to TRON through breaking news via Twitter and high-profile events such as having lunch with Warren Buffett (which he donated $4.56 million to charity for). In the world of crypto, any newsworthy event that elevates awareness of a coin can be enough to give its price upward momentum.

What truly makes TRON unique is its goal of reinventing the way we purchase, create, and interact with digital content. If the TRON platform succeeds, all digital content - from apps to movies, music, video games, and more - will go straight from the creator to the consumer.

Ideally, removal of the middle man would allow creators to make more money from their products while at the same time lowering costs.

Much of the future success of TRON relies upon its acceptance by artists and creators. It seems likely that startups, especially those in the music and publishing industry, will be willing to be early adopters of the platform as a means of distributing their products to a large audience for free.

If there is one thing TRON is certainly not lacking, it is ambition. The TRON Foundation has mapped out six stages of growth that will take it through the end of the decade.

The first (now completed) stage was Exodus, which was leaving the Ethereum blockchain and establishing its own decentralized platform where users can share content for free.

The second stage, Odyssey, uses blockchain technology and TRX coins to create, host, and promote content on the platform. Unlike other platforms where clicks are tracked to generate revenue, creators are "tipped" with coins by users; the size of the tip depends upon how much the user enjoyed the content.

The four upcoming stages are Great Voyage, Apollo, Star Trek, and Eternity. Goals of the final four stages include new ICOs (such as the mining of SUN coins) and the establishment of a decentralized gaming platform.

With big plans for the future and deals already being made with players in the gaming industry, it's easy to see why TRX price predictions tend to see upward movement.

Interesting TRON (TRX) Price Predictions

Successfully predicting price swings can help you earn a passive income with cryptocurrency, and paying attention to the experts can help set you on the right path.

The crypto prediction service CoinLiker sees the price of TRX rising to $0.193099 in 2021, with a steady surge to $0.554055 by 2025.

CoinSwitch is even more bullish, predicting a rise to $0.763 over the next five years. This prediction is a bit tempered, and it assumes both greater adoption of blockchain technology and the embracing of the TRON platform by creators. CoinSwitch warns of a "worst-case scenario" of TRX pricing at $0.20 by 2025 if such adoption does not occur.

Looking even further ahead, CoinSwitch names TRX as one of the cryptocurrencies with the most room to grow, citing its enthusiastic community of supporters and developers. The site explains, "TRON's adoption rate might grow manifold, and its accessibility might take a higher stand as compared to its competitors. By the end of 2030, Tron might reach as high as $1.00 USD, considering the volatile market."

Even by Coinswitch's most bearish prediction, holding TRX through 2025 would net a 700% return from its current price of $0.025. On the other hand, if the 2030 TRON price prediction of $1 comes to fruition, you'd net a whopping 3,900% return!

Learn How You Could Become the Next Crypto Millionaire

Bitcoin's critical "expansion phase" is expected to create billions in new wealth - and our Bitcoin Master Class could be your ticket to cashing in.

Get access to profit tips and strategies from one of Bitcoin's earliest backers: how to buy and sell, avoiding fees and commissions... and, best of all, how to trade cryptocurrencies every day for the potential to make huge gains.

Check out our Bitcoin Master Class here...

Follow Money Morning onFacebook and Twitter.

About Money Morning: Money Morning gives you access to a team of ten market experts with more than 250 years of combined investing experience – for free. Our experts – who have appeared on FOXBusiness, CNBC, NPR, and BloombergTV – deliver daily investing tips and stock picks, provide analysis with actions to take, and answer your biggest market questions. Our goal is to help our millions of e-newsletter subscribers and Moneymorning.com visitors become smarter, more confident investors.To get full access to all Money Morning content, click here.

Disclaimer: © 2020 Money Morning and Money Map Press. All Rights Reserved. Protected by copyright of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including the world wide web), of content from this webpage, in whole or in part, is strictly prohibited without the express written permission of Money Morning. 16 W. Madison St. Baltimore, MD, 21201.]]> Tue, 22 Sep 2020 20:52:37 +0000 https://moneymorning.com/2020/09/22/tron-trx-price-prediction/ The Marijuana Stock to Buy Before New Jersey Cannabis Legalization in November https://moneymorning.com/2020/09/17/the-marijuana-stock-to-buy-before-new-jersey-cannabis-legalization-in-november/ Sometimes it takes a few baby steps to get things moving, which is what we have with cannabis legalization in New Jersey.


But that's okay, because I'm incredibly excited for the leap the Garden State can take in November to vote for full legalization. That will open up a whole new group of buyers and mean dispensaries can sell more products and generate more sales, and stock prices can climb higher.

A report from analysis and advocacy firm New Jersey Policy Perspective projects that 343,000 New Jersey residents could spend $1 billion on cannabis each year.

So ahead of this exciting development, I wanted to provide a quick overview of current cannabis laws in New Jersey, what's happening in November, and some of the companies already operating in the Garden State.

History of Cannabis in New Jersey

Medical cannabis was legalized in the Garden State in 2010, but only patients suffering from debilitating conditions, like cancer, glaucoma, and multiple sclerosis, just to name a few, could access it.

In 2011, the state had the unfortunate honor of having one of the most restrictive medical programs, according to The New Jersey Times.

Things didn't get much better for accessing medical cannabis in New Jersey, with only 11,569 qualified patients as of 2017. In comparison, just four years after Florida legalized medical cannabis, it had over 300,000 patients.

Efforts to fully legalize recreational cannabis stalled in 2018, but as I mentioned earlier, the early baby steps made in the state could lead to a giant leap on Nov. 3.

Full Recreational Marijuana Legalization in New Jersey in 2020

New Jersey Public Question 1 - also known as the Marijuana Legalization Amendment - will appear on New Jersey ballots on Nov. 3, 2020.

With a "Yes" vote, the possession and use of marijuana for anyone 21 or older will be legalized.

Also, the Marijuana Legalization Amendment would allow for the cultivation, processing, and sale of retail cannabis.

There would be a state sales tax of 6.6%, but additional state taxes would be prohibited.

Taxes are always a big issue when it comes to legalization, and New Jersey clearly wants to make sure the program gets off the ground successfully, without consumers being overly taxed and turning to the black market.

For example, sales tax in Colorado is 15%, and this proposed sales tax from the Garden State would be even lower than Michigan (10%) and Illinois (7%), two states that just kicked off recreational sales in 2019.

And if a poll from the marketing company DKC Analytics is right, New Jersey Public Question 1 is going to pass.

The company found in a survey published on July 28 that 68% of respondents supported cannabis legalization in New Jersey.

Today, instead of looking through lists of cannabis stocks that operate in New Jersey, I want to remove the guesswork and simply show you the best cannabis stock to buy in New Jersey.

It's a favorite of the National Institute for Cannabis Investors, and there are even more gains on the way once New Jersey legalizes marijuana...

Best Cannabis Stock to Buy Now

If you told someone you took a job as a cannabis CEO in 2015, they likely would have given you a skeptical look and wished you luck.

The landscape was drastically different then. Colorado had only just begun legal recreational cannabis sales in 2014, the idea of cannabis as a wellness product had not hit the mainstream yet, and it would be another three years before CBD was sold everywhere from gas stations to grocery stores.

It took some forward-thinking and conviction to lead a cannabis company - and Joseph Lusardi had both in spades when he joined Curaleaf Holdings Inc. (OTCMKTS: CURLF) as CEO in 2015.

At that time, Curaleaf could only claim a single license in a single state.

And in just five years, Joe turned it into the biggest cannabis company in the world with operations stretching all the way across the United States.

Whether it's a soon-to-be recreational state like Arizona or an established market like Oregon, Curaleaf is there in part because of Joe's vision. And now his company is well on its way to becoming a household name.

It's the biggest cannabis company in the world by revenue.

The top multistate operator (MSO) in the country.

A massive footprint across 23 states.

Control of 89 open dispensaries with 46 more in the pipeline.

No matter how you look at it, Curaleaf is dominating the U.S. cannabis market with Joe at the helm. And my friend and colleague, Don Yocham, recently had the pleasure of sitting down with him for an exclusive one-on-one that can only be found here at the National Institute for Cannabis Investors.

Get the full story behind Curaleaf's rise to power directly from the man leading the charge.

Editor's Note: Don is going live today at 4 p.m. to answer all your cannabis investing questions. Reserve your free spot by clicking right here. You don't want to miss this!

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Disclaimer: © 2020 Money Morning and Money Map Press. All Rights Reserved. Protected by copyright of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including the world wide web), of content from this webpage, in whole or in part, is strictly prohibited without the express written permission of Money Morning. 16 W. Madison St. Baltimore, MD, 21201.]]> Thu, 17 Sep 2020 15:24:25 +0000 https://moneymorning.com/2020/09/17/the-marijuana-stock-to-buy-before-new-jersey-cannabis-legalization-in-november/ The Irish Knight Who “Invented” Gatorade Pioneered Medical Cannabis – and Led Us to This $7 Cannabis Stock https://moneymorning.com/2020/09/13/the-irish-knight-who-invented-gatorade-pioneered-medical-cannabis-and-led-us-to-this-7-cannabis-stock/ This is my kind of "Knight's Tale"(and it's one that can make you rich...)

His name was William O'Shaughnessy, he was born in 1809, and he was a true Victorian Era Renaissance Man.

He pioneered use of the telegraph... experimented with color photography... sparked research into intravenous therapies... and discovered the importance of electrolytes (Gatorade anyone?) to human health.

But this Irish knight was destined for an even greater achievement: He got Western medicine to acknowledge the importance of cannabis to human health.

O'Shaughnessy earned his MD from the University of Edinburgh in 1829, then immigrated to India, where he saw firsthand how Cannabis Indica was employed as folk medicine for treating arthritis and spasms in infants.


He went on to develop cannabis as a treatment for spasticity in general. He used cannabis resin to treat the wrenching muscle spasms for patients suffering from rabies and tetanus.

With his return to England in 1841, O'Shaughnessy became an evangelist for medical cannabis: He started to publish his research. And doctors throughout the West - including those here in America - incorporated marijuana into their treatment regimens.

By 1850, Americans could find cannabis in medical preparations in pharmacies across the United States.

Indeed, in the decades that followed, cannabis became a common, readily accepted therapy.

By 1930, pharma firms like Eli Lilly and Co. (NYSE: LLY) were actually cultivating huge fields of marijuana to manufacture cannabis-based drugs.

Then came "Reefer Madness," the 1936 exploitation flick that supercharged what had been a slowly growing, anti-cannabis sentiment - demonizing it as the "Marijuana Menace" and setting the stage for seven-plus decades of regulation, politicization, and criminalization.

I'm sharing this intriguing bit of cannabis history here today for a key reason: The medical cannabis saga has come full circle.

As a guy who spent 26 years in the world of finance and investment banking, I can tell you that big shifts in innovation and legalization fueled by billions in new money flows have blasted open the biggest wealth window I've seen in decades.

Now my "Knight's Tale"is getting a good old "reboot." Its next chapter includes two of my favorite opportunities:

  • A $7 pot stock that I believe will give you a "ten-bagger" return in the next three to five years.
  • And ground-floor access to a still-private cannabis biotech that's the kind of future unicorn that will create "legacy wealth" for you and your family.

Let me show you exactly what I mean...

As Cheap as They've Been in Years

For folks who point to the "pot stocks wipeout" of 2019 as a reason to completely avoid the sector, I counter with this: Look at the "Knight's Tale." The saga of cannabis is a story of cycles - in favor then out of favor, only to return to favor anew.

William O'Shaughnessy helped bring cannabis into favor - spawning a cycle of acceptance and bullishness that lasted from 1850 well into the 1930s. Then came the equivalent of the "Cannabis Dark Ages" - a down-cycle that put marijuana out of favor for the next 60 years.

The new "upcycle" began in 1994. That's when California state legislators passed a bill legalizing cannabis for medical use.

But California Gov. Pete Wilson shot it down by veto.

In 1995, it happened again.

Fed up with asking permission from politicians, cannabis advocates said "to heck with it."

Those new knights of cannabis took a ballot initiative directly to voters. And on Nov. 5, 1996, the Compassionate Use Act became law - meaning cannabis was legal medicine once again.

By 2000, another seven states had passed medical cannabis laws - and only one was passed by legislators. By now, it was clear that bottom-up, direct initiatives from citizens was the best way for people to get what they wanted.

And that movement has put legal cannabis within reach of 97% of the population.

Today, 46 states (plus the District of Columbia) have laws that allow for the sale of cannabis.

Then came the great cannabis stock wipeout - a "down-cycle" move that put marijuana investments out of favor once again.

As someone who's watched this sector for a long, long time, let me share my view.

All that sell-off really did was make cannabis stocks cheap (and I mean "bargain" cheap). The industry's still growing. New catalysts are emerging.

Indeed, the next "up-cycle" will be a true boom. In fact, that boom is already here - and it's one you don't want to miss. (Just look at the trillions in wealth created since that you'd have missed had you stepped away from - and forever stayed out of - tech stocks after the dot-com debacle.)

A wave of cannabis wealth is being created - and you don't want to miss it. While other investors dither with indecision, you can act.

And you want to act now.

Having embraced medical cannabis, states are primed to take the next step, a move that will cause the cannabis market to double - two times over - in the next three years.

And that's happening at a time when cannabis stocks are as cheap (on a valuation basis) as they've been in years.

"Going Rec"

We've talked quite a bit about how medical innovation is driving the cannabis market. And make no mistake: That medical catalyst is huge. Indeed, just the growing demand for medicinal marijuana and related cannabis products is causing the overall market grow at a hefty 35% a year.

But as big and promising as the medical cannabis market looks to be, the recreational market is even bigger.

And this whole medical-to-rec transition is just getting started.

Of the 46 states that have legalized marijuana sales, only 12 of those states, plus D.C., have gone fully recreational - meaning they allow sales to all adults.

Right now, the U.S. medical market is worth about $15 billion. Even with mostly medical sales, the legal cannabis market has managed to grow at about 35% per year.

But "going rec" is the so-called "X-Factor." That could rev up the annual growth rate to 45%.

And 45% sales growth means the market doubles twice over the next three years - and maybe five-fold by 2024.

Wall Street is massively underestimating the potential here: An investment bank report I saw a few months back predicted that the U.S. cannabis market would get to $85 billion by 2030.

I see that happening much, much faster. The "growth accelerator" I just described will bring the U.S. cannabis market to $66 billion in a bit more than four years.

With so much to gain, the progression from medical to rec is irresistible.

Here's how we're going to ride that wave ...

Follow the Leader (to Wealth)

Thanks to a recent acquisition, Curaleaf Holdings Inc. (OTCMKTS: CURLF) is now the biggest cannabis company in the world.

It's also one of my top long-term picks.

It's a chance to cash in on a market leader - at the bargain price of $7.50.




The Wakefield, Mass.-based Curaleaf operates 135 dispensary licenses, 88 operational licenses, 30 processing facilities, and 22 growing sites across America, and it serves 350,000 registered patients in 23 states. It had more than $350 million in revenue over the last 12 months. And it's growing that top line at 30% a quarter - an annualized growth rate of 185%.

Curaleaf's buyout of GR Cos. Inc. (better-known as Grassroots), which closed back in July, was a bold move. It vaulted the firm into the No. 1 spot, launching it past well-known cannabis behemoths like Canopy Growth Corp. (NYSE: CGC) and Aurora Cannabis Inc. (NYSE: ACB).

It's a stock you want to buy and hold onto for the next few years - even adding to your stake on pullbacks.

I love this stock.

Then there's my favorite "private market" play.

"Ground Floor" Wealth

As great an opportunity as stocks offer, private-equity investments are even better - offering returns that can be 10, 20, or even 30 times greater than stocks. You're actually getting in on the ground floor of a new company - and you profit with other "insiders" when that venture goes public or is bought out by a deep-pocketed suitor.

My other top pick right now is just such a venture. It's a privately held startup that's working to bring 27 cannabis-based therapies to market.

And it's a company I know very well, since I've been working with the management team for over 10 months as they get their innovations up and running.

It's a great story.

And it's one I'm going to tell you right here...

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About Money Morning: Money Morning gives you access to a team of ten market experts with more than 250 years of combined investing experience – for free. Our experts – who have appeared on FOXBusiness, CNBC, NPR, and BloombergTV – deliver daily investing tips and stock picks, provide analysis with actions to take, and answer your biggest market questions. Our goal is to help our millions of e-newsletter subscribers and Moneymorning.com visitors become smarter, more confident investors.To get full access to all Money Morning content, click here.

Disclaimer: © 2020 Money Morning and Money Map Press. All Rights Reserved. Protected by copyright of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including the world wide web), of content from this webpage, in whole or in part, is strictly prohibited without the express written permission of Money Morning. 16 W. Madison St. Baltimore, MD, 21201.]]> Sun, 13 Sep 2020 09:00:49 +0000 https://moneymorning.com/2020/09/13/the-irish-knight-who-invented-gatorade-pioneered-medical-cannabis-and-led-us-to-this-7-cannabis-stock/ The "Lindy Effect" Shows Why Bitcoin Has a Shot at $1 Million https://moneymorning.com/2020/08/27/the-lindy-effect-shows-why-bitcoin-has-a-shot-at-1-million/ That Bitcoin has survived as long as it has is something of a miracle.

But according to something called the "Lindy Effect," Bitcoin's hard-won survival - it will be 12 years old come January - suggests it will endure for at least another decade.


And longevity bodes well for Bitcoin price gains. The value of one Bitcoin has soared from just pennies in 2009 to more than $11,000 today. Bitcoin price predictions foresee gains to as high as $1 million over the next 10 years.

The rising likelihood that Bitcoin is indeed here to stay - coupled with the allure of stunning gains - is what has attracted an increasing number of deep-pocketed investors to the cryptocurrency.

Among the notable recent converts is billionaire hedge fund manager Paul Tudor Jones.

Back in May, Jones talked to CNBC about why he was investing in Bitcoin, and that he had put "just over 1% of [his] assets" into it.

The one-time Bitcoin skeptic said that the inflationary central bank response to COVID-19 got him looking for stores of value. He called cash a "wasting asset." And he started looking seriously at Bitcoin.

"We're watching the birthing of a store of value," Jones said of the cryptocurrency.

But he said something else - something that speaks directly to the role the Lindy Effect is playing in the growing investor interest in Bitcoin.

"Every day that goes by that Bitcoin survives, the trust in it will go up," Jones said.

That's the Lindy Effect in action.

What Is the Lindy Effect?

The story behind the Lindy Effect is an unlikely one. According to Nassim Nicholas Taleb, who wrote a book called "Antifragile: Things That Gain from Disorder" that incorporates the Lindy Effect concept, it all started in a New York deli.

This particular deli - Lindy's - had become a favorite haunt of Broadway actors. Naturally, there was a lot of "shop talk." And over time, the actors stumbled upon a heuristic: a show that lasted 100 days could be expected to last 100 more. A show that lasted 200 days was likely to last 200 more.

The Lindy Effect essentially states that the future life expectancy of a non-perishable thing, such as a technology, is proportional to its current age.

Bitcoin Master Class: Bitcoin's launching into a critical stage that could create billions in new wealth, and our Master Class offers access to everything you need to know to cash in. Watch now...

Taleb linked this to the notion of fragility. Events that cause disruption and stress will destroy fragile things, usually sooner rather than later.

But "antifragile" things survive such events. And the more "hits" a thing endures, the more it shows its ability to last.

In other words, the thing has "stood the test of time" - to borrow a common idiom.

Here's how this applies to Bitcoin...

Why Bitcoin Is Antifragile

Bitcoin has survived for nearly 12 years (its "birthday" is Jan. 3, 2009, the date the genesis block was created). If it were fragile, it would have disappeared long ago.

It's been a very, very challenging road.

Bitcoin has suffered through several catastrophic crashes. In 2012, when it was less than three years old, Bitcoin had two major crashes of 49% and 57%. In 2013, there were three crashes - one of which was 83%.

Bitcoin survived.

After Bitcoin peaked in November 2013 at just under $1,200, it started a 14-month long crash of 87%.

In early 2014, the primary Bitcoin exchange, Mt. Gox, collapsed. The exchange lost more than 744,000 bitcoins, including 624,400 bitcoins in customer accounts. Just one year earlier, it was by far the biggest Bitcoin exchange, serving as the conduit for 80% of Bitcoin trading.

In the years that followed, many other crypto exchanges were hacked and large amounts of Bitcoin and other cryptocurrencies were stolen.

Bitcoin survived.

In 2017, Bitcoin went on an incredible bull run to nearly $20,000. Then it crashed. Again. Over 12 months, it fell 83%. Investing gurus called Bitcoin a bubble that had burst and left it for dead.

Legendary investor Warren Buffett declared Bitcoin "rat poison squared."

Still, Bitcoin survived.

And none of these events takes into consideration the constant attempts to hack into the system. Despite the successful breaches at many crypto exchanges, the Bitcoin protocol itself, however, has never been hacked.

That's antifragile.

And it's a big deal for Bitcoin.

If you're looking for a store of value, you want to know it's going to be around for the long term. Gold passed that test a long time ago. Humans have used gold as a store of value for at least 4,000 years.

Bitcoin is still proving itself. But in its relatively short life, it has endured the most brutal of tests.

And that's getting the attention of folks like Paul Tudor Jones.

How the Lindy Effect Gets Bitcoin to $1 Million

Bitcoin's ability to survive will give it the time it needs to realize its potential.

It could change how we think of money.

So far, Bitcoin has been something of a novelty, but as Jones pointed out, it's now evolving into a store of value - like gold.

Bitcoin enthusiasts see it evolving even past that, to a medium of exchange and then on to full global money. In fact, because it's decentralized and has supply capped at 21 million, Bitcoin would make an ideal reserve currency.

But to earn the trust needed for Bitcoin to fulfill that promise, it will need to survive quite a bit longer. The Lindy Effect suggests that it will.

Dan Held, the growth lead for crypto exchange Kraken, recently posted a chart on Twitter that illustrates this relationship.

So far, Bitcoin is right on track:


Bitcoiners will need to be patient, though. If this chart proves prescient, it will take a couple of decades for Bitcoin to achieve the trust and use needed to push prices close to $1 million.

In the meantime, I suspect they'll just continue to HODL.

Learn How You Could Become the Next Crypto Millionaire

Bitcoin's critical "expansion phase" is expected to create billions in new wealth - and our Bitcoin Master Class could be your ticket to cashing in.

Get access to profit tips and strategies from one of Bitcoin's earliest backers: how to buy and sell, avoiding fees and commissions... and, best of all, how to trade cryptocurrencies every day for the potential to make huge gains.

Check out our Bitcoin Master Class here...

Follow me on Twitter @DavidGZeiler and Money Morning on Twitter and Facebook.

About Money Morning: Money Morning gives you access to a team of ten market experts with more than 250 years of combined investing experience – for free. Our experts – who have appeared on FOXBusiness, CNBC, NPR, and BloombergTV – deliver daily investing tips and stock picks, provide analysis with actions to take, and answer your biggest market questions. Our goal is to help our millions of e-newsletter subscribers and Moneymorning.com visitors become smarter, more confident investors.To get full access to all Money Morning content, click here.

Disclaimer: © 2020 Money Morning and Money Map Press. All Rights Reserved. Protected by copyright of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including the world wide web), of content from this webpage, in whole or in part, is strictly prohibited without the express written permission of Money Morning. 16 W. Madison St. Baltimore, MD, 21201.]]> Thu, 27 Aug 2020 16:08:00 +0000 https://moneymorning.com/2020/08/27/the-lindy-effect-shows-why-bitcoin-has-a-shot-at-1-million/