“Aren’t there a lot of scams?… I seem to see a news article once a month that reveals somebody getting ripped off …”
It was exactly the right question to ask, and Louis Navellier posed it to me in our Race to 40K debate this week.
I was explaining why I believe bitcoin will soar nearly 250% to reach $40,000 before the Dow gains 50% and hits that same 40K level. Louis had already talked about why his money is on stocks getting there first … and he’s a legendary growth investor, so he’s worth listening to.
But I was sharing a largely unknown secret about bitcoin and cryptocurrencies, which is this:
As well positioned as bitcoin is with multiple catalysts to drive it higher, alternative cryptocurrencies called “altcoins” are set to return much bigger profits … on the order of 10X and more.
That can be life-changing wealth. But Louis’ question hit on the nail on the head. It’s a concern a lot of investors have — and rightfully so.
There are crypto crooks out there, so it’s imperative to separate legit altcoins with explosive potential from the scams, frauds, and just plain hype-jobs.
Here’s how I do it…
A major event slipped by largely unnoticed in May when the reward for mining new bitcoins was cut in half. It’s called the “halvening.” This is hard coded into bitcoin’s code, and it had happened twice before.
Both times, the reduced supply of new coins coming onto the market propelled bitcoin many times higher in the months that followed — 2,135% in 2012-2013 and 3,122% in 2016-2017.
Those returns are amazing. But even more mind blowing is that select altcoins blew them away.
After the second halvening, a little-known cryptocurrency called Spectrecoin climbed 64,600% in just 10 months.
After the second halvening, an altcoin called Verge shot up 1,362,400% in 12 months!
Altcoins represent one of the greatest investment opportunities of your life, but I won’t sugarcoat it.
Plenty of dangers await uninformed altcoin investors.
You must know which ones to buy … and that can be tough in a developing industry that still feels a bit like the Wild West.
But the good news is that it can be done. I shared with Louis that altcoins can be analyzed with a systematic, numbers-based approach. Just like stocks, altcoins have fundamental attributes we can measure and evaluate to separate the best from the worst.
To pinpoint the world’s most valuable altcoins, my research team and I created what we call the “MAG System” — McCall’s Altcoin Grading System. This proprietary system analyzes 10 critical attributes of every altcoin, scores them on each attribute, and produces a total score. This allows us to evaluate if it’s an opportunity, a danger, or somewhere in between.
In fact, one of our critical factors for evaluating cryptos is the same as for stocks — total addressable market, or TAM. You want to own stocks that address a large concern or desire, not a small one.
The best-selling drugs of all time address common ailments, not obscure or rare diseases. Think Lipitor for high cholesterol, Humira for arthritis, and Advair for asthma.
It’s the same with cryptos. You want to own the ones that address big markets and avoid those that are too niche oriented.
For example, one crypto with a low TAM is Dentacoin. It was created for the global dental industry. Now dentistry is important to everyone’s health, but compared to other healthcare sectors, it’s a pretty small fish.
Even worse, growth in the sector is virtually non-existent.
That gives Dentacoin a very low TAM … and it’s down more than 99% from its 2018 high.
My crypto grading system has sophisticated screens to evaluate coins of all shapes and sizes. We look at data that’s stored on a crypto’s blockchain, trading statistics, risk, the team behind the coin, user ratings, the strength of its community, and more. You’d be surprised how many you can eliminate right out of the gate with a common-sense measure like TAM.
I believe my proprietary grading system is a breakthrough in the altcoin space. It provides a tremendous edge over other investors and shows you the absolute best altcoins with the greatest potential upside … while allowing you to avoid the dangers and weak players.
In fact, in our Race to 40K debate, I even shared the name of one of my top crypto picks right now. This altcoin is well positioned to benefit from the booming smart contract market, which is expected to grow 32% per year between now and 2023 to hit $300 million.
The coin I talk about has a new kind of smart contract platform with a superior algorithm, so it is one of the top scorers in my system. It’s below my buy limit today, but it may not be for long. So don’t wait.
You can click here to watch the replay of the Race to 40K now while it’s still available and catch my full discussion of the big opportunity.
P.S. One of this coin’s founders is also a co-founder and former CEO of Ethereum, the second-largest crypto behind bitcoin.
His new team has what I consider to be world-class engineers, researchers, mathematicians, and scientists … which gives the crypto high scores in my MAG System’s “Team/Governance” criterion.
As of last Friday, this coin is up more than 280% in my Ultimate Crypto portfolio — in just seven months.
In fact, all the coins in the portfolio have shot up 123.9% on average in those seven months … during a time when the Dow is down nearly 4.5%.
Matthew McCall left Wall Street to actually help investors — by getting them into the world’s biggest, most revolutionary trends BEFORE anyone else. The power of being “first” gave Matt’s readers the chance to bank +2,438% in Stamps.com (STMP), +1,523% in Ulta Beauty (ULTA) and +1,044% in Tesla (TSLA), just to name a few. Click here to see what Matt has up his sleeve now. Matt does not directly own the aforementioned securities.