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Crypto Is Now “Too Large to Ignore”

Crypto Is Now “Too Large to Ignore”

In 1903, the New York Times ran an editorial titled “Flying Machines Which Do Not Fly.”

The piece made fun of the various inventors who had tried to build an airplane. It advised them that their “effort might be employed more profitably.”

It also predicted it would take up to “10 million years” to make an airplane.

Just two months later, Orville and Wilbur Wright soared through the skies over North Carolina.

My point is, skeptics have always ridiculed new tech.

We saw it happen with cars, TVs and even the internet.

And it’s happening again with cryptos.

But sentiment changes fast. And one major bank says crypto is now “too large to ignore.”

Blockchain Is Changing Everything

On Monday, Bank of America (BofA) released a crypto report.

The report was led by Alkesh Shah. He’s BofA’s head of digital asset strategy.

BofA estimates that 221 million people traded cryptos in June. That’s more than double the number of users back in January.

global crypto market size over time

This growth is the main reason crypto’s market size soared to $2.3 trillion.

BofA analyzed venture capital firms as well. They invested $17 billion in cryptos in the first half of 2021. That’s up from $5.5 billion invested in all of 2020.

The report emphasizes, though, that cryptos are only one use for blockchain.

“Bitcoin is important. But the digital asset ecosystem is so much more,” said Shah.

He noted that blockchain is changing many industries. That includes finance, social media and gaming.

Blockchain can also revolutionize our everyday lives. The report lists a few examples such as:

  • Trading stocks.
  • Unlocking your phone.
  • Buying a house or a car.
  • Borrowing or loaning money.
  • Paying for gas, food and other items.

Finally, the report lists 20 companies that should invest in blockchain tech.

It says they “may see market value expansion.” That’s a smart way of saying their stock prices will go up.

The list includes:

  • Banks (like JPMorgan Chase).
  • Fintech (like PayPal).
  • Energy (like Exelon).
  • Entertainment (like Walt Disney).

And those are just the established businesses.

The report also says “hundreds of companies are forming” because of digital assets.

It’s Full Speed Ahead for Cryptos

Airplanes transformed the 20th century. And cryptos are transforming the 21st century.

The only thing that can hold them back is regulation.

But on Tuesday, SEC Chairman Gary Gensler said the U.S. won’t ban cryptos.

And last week, Federal Reserve Chairman Jerome Powell said he had “no intention” of stopping cryptos.

That means it’s full speed ahead.

The crypto markets have already soared 25% in the past week. And much bigger gains are coming.

That’s why right now is the perfect time to sign up for Ian King’s “Crypto’s Third Wave” webinar.

Ian will show you how to potentially make 12 times your money in 12 months.

To enjoy VIP access to Ian’s exclusive event, click here now.

Regards,

Jay Goldberg

Assistant Managing Editor, Banyan Hill Publishing

 

Morning Movers

From open till noon Eastern time.

 

New Fortress Energy Inc. (Nasdaq: NFE) is a natural gas company. The stock is up 25% this morning after the company announced that it was doubling its operating margin forecast for Q4 from previous levels. It also raised its overall outlook for fiscal year 2022.

 

RLX Technology Inc. (NYSE: RLX) is a Chinese company that manufactures and sells vaping products. It is up 16% this morning on a bounce-back after persistently trending downward for months since the Chinese regulatory crackdown began.

 

Tata Motors Ltd. (NYSE: TTM), an Indian car company, is up 15% today as analysts become more optimistic about the company’s future. Morgan Stanley upgraded the stock from a hold to a buy.

 

Yatsen Holding Ltd. (NYSE: YSG) is a Chinese cosmetics and skin care company that is up 15% as part of a broader market bounce-back in Chinese stocks after they hit record lows recently.

 

Kuaishou Technology (OTC: KUASF) is short-form online content platform that is a rival to TikTok in China. It had its initial public offering earlier this year and has been caught up in the market moves caused by Chinese regulators. The stock is up 15% this morning as part of the rebound in Chinese stocks.

 

Meituan (OTC: MPNGY) is the operator of China’s top food delivery app. It is also up 12% today as part of the recovery in Chinese stocks.

 

iQiyi Inc. (Nasdaq: IQ) is a Chinese streaming service that is similar to Netflix. It is up 12% today as it forges ahead with its plans for a secondary listing in Hong Kong.

 

TUI AG (OTC: TUIFY) is a German travel company that operates hotels, airlines, tour businesses and cruises. It is up 12% on the announcement that it would be raising $1.3 billion in new stock sales to cut down on the debt burden it accrued over the pandemic. The company is joining the ranks of other European travel companies that are doing the same thing to drive their comeback from pandemic conditions.

 

Huya Inc. (NYSE: HUYA) is a video game live-streaming platform and is up 11%. It especially benefited from the bounce in Chinese stocks today since it was one of the stocks to be particularly beaten down over the recent Chinese restrictions over video games.

 

Duolingo Inc. (Nasdaq: DUOL), the language-learning website and mobile app, is up 10% this morning thanks to positive media attention on the stock from the Motley Fool.

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