In some ways, investing in crypto is like working at a startup.

Startups have traditionally awarded early employees with considerable equity stakes.

These employees benefit greatly when the company does well, so they’re incentivized to innovate and work harder.

With crypto, users also have skin in the game.

They have an opportunity to capture value when the network grows. This provides a greater incentive to participate.

And like startup employees gaining equity, crypto users typically receive tokens from the networks they participate in.

For example, a crypto holder may be given more when they vote for a platform change. Or a user can receive tokens for playing a blockchain game.

These are just a few of many scenarios in which users can be rewarded for their participation.

And since profits are distributed amongst users, there’s a wealth transfer from large corporations back to the community.

That means profits that had been padding the pockets of wealthy executives can now be enjoyed by everyday people.

The Network Effect

Crypto is building a new global economy deemed by many as the ownership economy.

The crypto ownership economy is premised on the idea that networks are created, owned and operated by their users.

Knowing this, it should be no surprise that the number of crypto users globally hit 221 million in June.

As the number of users grows, the network becomes more valuable, and its profits grow.

As profits grow, more people are attracted to the network. This concept is known as the network effect.

Network effects have helped build massive internet-based businesses like Facebook and Amazon, to name a few.

I expect they will also make the crypto ownership economy’s growth inevitable.

How to Trade the Crypto Ownership Economy

It looks like the market is catching on to the idea of an ownership economy.

The Bitwise 100 Crypto Index is up 833% in just a year and a half.

Bitwise 100 Crypto Index Graph

(Source: Bloomberg.)

There are many ways for investors to play cryptos as the ownership economy expands.

But with nearly 12,000 cryptos trading, it can be hard to find the ones that will go on to make huge gains.

Fortunately, Ian King’s Next Wave Crypto Fortunes service gives you all the resources you need to navigate the markets.

You can learn more about it by watching Ian’s presentation.


Steve Fernandez

Research Analyst, Strategic Fortunes