I know cryptocurrencies are still mysterious to a lot of investors.
I also know that they have their own terminology and language, which makes them sound more complicated and difficult to understand.
So let me demystify a couple of very important points for you.
First, think of cryptos as revolutionary software and not fantasy internet money. When you do that, you begin to see the massive opportunity.
And second, investing in cryptocurrencies isn’t a shot in the dark. It’s not a matter of picking one black box over another and hoping for the best.
You can analyze cryptos similar to how you would analyze a stock.
In fact, let me tell you about the system I used to identify altcoins (cryptos other than bitcoin) that have now soared more than 990% on average. Parts of it will sound very familiar …
Investing in cryptos doesn’t have to be a crapshoot. If it is, you’re playing with fire.
It’s critical to understand this because we are now entering a new phase in the evolution of cryptocurrencies… what I call “Blockchain 2.0.”
Blockchain is the technology cryptos run on. Bitcoin earned the bulk of the gains during the first phase, and this new era belongs to hypergrowth altcoins. I would hate for anyone to miss out because cryptocurrencies seem too mysterious.
Don’t think of altcoins as money in the traditional sense. Think of them as revolutionary new software programs that will unleash tsunamis of productivity and profits… and that will make their owners very, very rich. Just like we saw with Microsoft (NASDAQ:MSFT), Alphabet (NASDAQ:GOOGL), Oracle (NYSE:ORCL), and even Uber (NYSE:UBER) in the early days.
Cryptocurrencies and blockchain will change just about everything. The way you buy everyday goods and services… purchase a home… pay your taxes… vote… place bets… even how you order a pizza.
The transformation is happening. More consumers, investors, corporations, and governments are waking up to the fact that cryptos and the blockchain are some of the most valuable technologies ever created.
When a new industry booms — when billions and billions of dollars are up for grabs — you can be sure all kinds of people will rush in to try to get their share.
You can also be sure that some of these folks will be smart, hardworking, and great people to invest with, while others aren’t the kind of people you’d ever want to invite over for dinner… or ever do business with.
There will be great investments, and there will be crappy investments.
Although some great businesses like Amazon (NASDAQ:AMZN) started in and emerged from the 1990s tech mania, many internet businesses turned out to be losers. Remember Pets.com?
The challenge of differentiating between the winners and the losers is magnified in a new industry with massive potential. It is also magnified if a technology is a little harder to understand, like biotechnology in the 1980s and cryptocurrencies now.
I won’t sugarcoat it: There are plenty of dangers awaiting uninformed altcoin investors.
In the stock market, you’ll find many great small companies poised to create huge value for society and hand their early shareholders 10X… even 100X gains. But you’ll also find plenty of companies that you shouldn’t touch with a 10-foot pole.
Altcoins represent one of the greatest investment opportunities of your life, but you need to know which ones to buy. That can be tough in a developing industry that still feels a bit like the Wild West.
The good news is 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. If an altcoin earns a score above our “buy threshold,” we immediately consider it for investment. If an altcoin scores poorly, we stay away and recommend you do, too.
We begin our analysis with — what else? — opportunity. What problem is the crypto trying to solve? What process is the crypto trying to improve? And ultimately, what is the potential upside?
This leads to one of the most important factors — total addressable market (TAM). This factor determines the revenue and growth potential of the market the crypto (or a company) focuses on. It makes up about 10% of the total MAG Score.
One example of a crypto with a small TAM is Dentacoin (CCC:DCN-USD), which was created for the global dental industry. That industry is not very big when compared to its peers, and growth in the sector is virtually non-existent. That’s why Dentacoin fell more than 95% from its 2018 high.
Our system evaluates altcoins on everything from TAM to the data that’s stored on a crypto’s blockchain to trading statistics. From risk to the team behind the currency project to the user ratings to the strength of its community.
You can think of these as the “fundamentals” of altcoins. Some are very similar to stocks, like TAM, the trading action, and the team behind the coin or company. Others are more specific to cryptos, like our On-Chain Data metric for analyzing the data stored on the blockchain, or our Social metric for measuring the strength of an altcoin’s community.
Altcoins that earn elite MAG scores are much like public companies poised to earn a big share of a huge potential market because they have excellent products or services, strong revenue growth, clean financial statements, and an excellent management team that owns a lot of company stock — that is, they have “skin in the game.”
I believe our proprietary grading system is a breakthrough in the altcoin space. It provides a tremendous edge over other altcoin investors and shows you the absolute best altcoins with the greatest potential upside… while allowing you to avoid the dangers and weak players.
So far, so good. Our portfolio of 15 coins is now up 990% on average in a little over 15 months since we started it.
We continue to use our system to identify new opportunities, and I tell you about one of my newest recommendations in The Mainstreet Revolution Event. You can learn more about it and how best to take advantage of this once-in-a-lifetime opportunity simply by watching a replay. Click here to view it now while it’s still available.
Matthew McCall left Wall Street to actually help investors — by getting them into the world’s biggest, most revolutionary trends BEFORE anyone else. Click here to see what Matt has up his sleeve now.