I recently celebrated my first anniversary working with Daily editor Teeka Tiwari and the gang here at Palm Beach Research Group.
So, when they sent me an Amazon gift card as a little present, it was only fitting that I used the money to buy a Ledger Nano X hardware wallet for storing cryptocurrencies.
See, I’ve been investing since I was in the sixth grade…
I’ve been researching, writing, and trading professionally for more than 20 years…
And I was well aware of bitcoin when it was trading far below $500…
But it took a bet with Teeka to get me to put my own money into the crypto market.
Today, I own bitcoin and ether…
I have a small stake in a $500,000 CryptoPunk non-fungible token (NFT)…
And I’m about to create my own NFT out of a piece of digital art I made back in 1999, during the heyday of the original internet boom.
Before I get into any of that, though…
Here’s Why Teeka Challenged Me in the First Place
I watched bitcoin go from $500 to $5,000 with some surprise.
I had always admired the reasoning behind its creation. In fact, my own beliefs on privacy and personal freedom made me a prime candidate for early adoption. But I never bought-in because I figured the mainstream would never embrace cryptos.
Then, at $5,000, I figured it was just a fad… Or maybe under some kind of market manipulation. And clearly not something the government would ever allow to gather any more steam.
Then here it was earlier this year, now past $50,000…
Yet I still hadn’t put one red cent of my own money into it.
When I mentioned this to Teeka back in March, he didn’t laugh, gloat, or throw it in my face.
Instead, Teeka said I should just get involved in some small way… That I’d surely spent money on dumber things than buying a little bitcoin.
He could tell I was still hemming and hawing, so he made me an offer: If I put $5,000 into bitcoin by midnight that day, he’d buy it back from me for the same price at any point in the future… even if it was far below my entry. (You can read more about our bet right here.)
Initially, I thought he was joking.
And my pride had me brushing him off for several minutes.
Then I realized only an idiot wouldn’t take him up on the deal.
So, after we hung up, I went and purchased 100 shares of the Grayscale Bitcoin Trust (GBTC) in my Roth IRA account at Vanguard.
My total cost was just under the $5,000 mark.
GBTC was the fastest and easiest way for me to get a stake in bitcoin by the midnight deadline.
The fact that it was trading at a discount to its net asset value made it an even better deal.
And by putting it in my Roth IRA, I would avoid all future tax liability if it ended up going as high as Teeka thought it would.
Of course, I still felt sick to my stomach as I pushed the “buy” button, and it had nothing to do with the money involved.
Even without the “Tiwari put,” I can afford to lose the $5,000.
It was more about stepping outside my comfort zone and into something completely alien.
How I Won the Bet
I’m still largely invested in traditional investments, especially income-producing ones. That has been my area of expertise for more than two decades now.
However, I’m also still holding my stake in GBTC, and I plan to increase my overall exposure to bitcoin further – either directly through a crypto exchange, the purchase of a mining rig, or both.
The reason why is simple: I’ve been researching the crypto space alongside the rest of our team for more than a year now.
I’ve seen the adoption rates. I’ve studied how the mining process works. And I’ve looked at the environment we’re in right now – everything from rising inflation to institutions embracing crypto as a legitimate asset class.
Everything I’ve looked at argues for more upside to come.
This is precisely why I declined when Teeka offered to buy back my stake in GBTC during the last big selloff in July. And he’s happy I did…
What’s the point in taking a little money from him because of a short-term drop when I had every reason to believe it would just go much higher in the long run?
After all, Teeka predicts bitcoin will hit $500,000 in the coming years. So he sees at least 10x more upside ahead. And his long-term bitcoin forecasts have been spot-on so far.
Plus, I’m already back above my original purchase price… So even though Teeka was right, I’ve still come out as a winner in this bet.
My stake in the Grayscale Ethereum Trust (ETHE) is up roughly 56% since I bought it in late May, two months after my GBTC purchase. By comparison, the S&P 500 is up 10.8% since then.
And as I mentioned, I’ve even taken a small fractional position in a CryptoPunk NFT.
The bottom line is that I’ve grown and evolved quite a lot over the last year.
I’m excited about all the new opportunities we’re finding here at Palm Beach Research Group.
And I can’t wait to share more of them with you in 2022 as well.
If you’re still on the fence about some of these things, I get it 100%.
I’d just recommend keeping an open mind and getting involved, at least in some small way.
The rewards greatly outweigh the risks… plus, as I’ve shown you, you don’t have to bet much to make a lot in crypto.
Best Wishes,
 |
Nilus Mattive
Analyst, Palm Beach Daily
P.S. Looking toward 2022, it’s clear to me that bitcoin and blockchain projects are an unstoppable megatrend. That’s why I think every investor should have exposure… but you need to act soon.
There’s a bitcoin supply shock on the horizon, and it’s set to reduce the amount of new bitcoin coming to market all the way down to near zero in 2022.
Teeka calls this catalyst the “Final Halving,” and as excited as we are about what that means for the price of bitcoin… we’re even more excited about what that will do to a handful of tiny altcoins.
On average, they have outpaced bitcoin’s move up by as much as 50 to 1 under similar circumstances… and Teeka believes this catalyst could be the equivalent of pulling forward 118 years of bitcoin halving gains in one year’s time.
That’s why this Wednesday at 8 p.m. ET, Teeka is holding a “Final Halving” Summit where he’ll explain all the details… and discuss six under-the-radar altcoins that could be among his biggest winners yet.
Plus, event VIPs will receive a special halving report just for showing up.
Event attendance and VIP status is absolutely free, but you must reserve your spot. Click here to learn more.