Update - June 15, 2021
Things Are Getting Crazy… Good News for Us
The billionaires are reading our playbook.
Famed macro investor Paul Tudor Jones took to the airwaves yesterday to say what we’ve been saying for years.
The market is “batsh*t crazy” these days.
Like us, he blames the heavy hand of the Federal Reserve. It’s slaughtered interest rates, printed trillions in cash and taken a blowtorch to any semblance of traditional economic logic.
The only thing the billionaire trusts these days… is Bitcoin.
That’s a big deal.
Look how much things have changed from the Bernanke Fed to the Yellen Fed and now the Powell Fed, he says.
Look at how things have changed from Trump to Biden, he continues.
“Bitcoin is math,” the billionaire says. “It’s reliable.”
Nothing the government does is.
But here’s where things get interesting. Jones lays out his portfolio allocation.
It’s 5% gold… 5% Bitcoin… 5% cash… and he doesn’t know what to do with the rest.
He’s waiting on the Fed and its announcement tomorrow afternoon.
Meeting Madness
As you may know, the Fed is meeting this week. While Jones says it’s the biggest meeting in years, I don’t expect the Fed to do much. To give in to inflationary pressure now would be admitting defeat, shaking the market and its confidence.
But I do expect the infamous dot plot – which shows where the various members of the board expect rates to be in the future – to do some serious talking. It will show dissent among the ranks and hint that the group may appease inflation hawks and raise rates sooner than the 2023 promised date.
As we’ve seen in recent years, though, the forecasts aren’t much good. They’re little more than a signaling tool… a look at what the Fed is thinking, not what it has the guts to do.
Either way, it’s all good news for crypto.
Not only does the Fed’s bickering and wavering create demand for a reliable store of value, but, even more powerful, all that dirt-cheap money it will continue to create must find a home.
It boosts asset prices across the board, pushing the price of speculative assets (like crypto) higher.
Of course, we’re a bit more aggressive with our crypto allocation.
When rates are this low, we call for a 10% stake. And it’s paid off.
Up Big
Monero (XMR) is up 190% since we got in.
I’m confident that gain is about to get a lot bigger.
If you’ve followed Bitcoin over the last year, you know it’s gone through a bit of an evolution. It’s become less of a currency story and more of a store of value.
Long story short, it’s become an inflation hedge.
That’s why Jones likes it.
The idea that Bitcoin is an anonymous decentralized token that can’t be tracked by the government has largely been debunked.
If you’re buying Bitcoin for that reason, you’ve got a blunt wake-up call in the future.
But Monero is secure. That’s why I recommended it.
It does what Bitcoin once promised to do. The privacy it offers adds a premium that grows as folks across the globe look for a way of transacting that remains out of the eye of ever-encroaching governments across the planet.
Remember, nearly 1,000 merchants across the globe now accept Monero. The number is growing quickly. In 2018, after all, it was just a few dozen.
Monero will not be the world’s reserve currency anytime soon… or, likely, ever. But that doesn’t mean it’s not a great investment.
Things are crazy out there.
The old rules are being rewritten.
Rest assured, though, the world’s smartest and biggest investors are following our playbook.
Buybacks are hot.
Tech stocks have come roaring back.
And gold and crypto are getting a lot of much-deserved attention.
As more folks see things the way we do, the value of our portfolio will continue to outpace the broad, “old school” market.
We’ll keep leading the way.
Note: For the details on another hot coin that’s beating Bitcoin, click here. This one isn’t aiming to become a currency. It’s a much bigger story. All the details are here.