June 27, 2021 - Don’t Miss This Boat!!
If I was to tell you about a cryptocurrency that was poised to power a brand new paradigm in finance, would you be bullish? Or what about a cryptocurrency that was about to undergo one of the most radical protocol upgrades ever?
A cryptocurrency that could eventually become deflationary and thereby make it even better than “sound money” - it would be ultrasound money.
If you don’t know what cryptocurrency I am talking about, then here’s a clue: It makes up the most of my portfolio.
That is right, I am talking about ETH and I am even more bullish today than I was a month ago. If anything, the recent fall has given me a unique opportunity to buy the dip on ETH and that is exactly what I have been doing.
Given that my last Ethereum video was over 2 months ago, it’s only fitting that I did an update. There has been so much that has happened in that time including more institutional updates, upcoming protocol upgrades and further evidence of whale accumulation.
I dig deep into the weeds in my latest video. I cover some of the most essential news, updates and market moves - as well as throw in a few of my personal predictions on ETH.
You can watch that here.
🙏🏻 Special Thank You 🙏🏻
As you guys no doubt noticed, we were able to regain access to the channel. Given the intense risks that exist for channel hacks, Google has really strict rules to protect high value accounts.
While it was a harrowing experience, all of the messages of support that I got from you guys was just what we needed. We got so many offers to help that we were a little overwhelmed.
Thanks to an extremely helpful viewer, we managed to regain access and can (hopefully) look past this debacle.
However, the whole experience just showed me exactly how supportive and helpful you guys are. This is what drives me to give my all in service of you and the wider crypto community!
👀 Something is Up 👀
I am on a mission to spread adoption and education in the crypto space. While my influence on YouTube has grown recently, I know that it is naturally limited by the amount of people that regularly browse the Tube.
This is such a limited group of people which naturally means that many are in the dark when it comes to cryptocurrency. They are forced to rely on the narrative that is constantly being spun in the mainstream news.
Turns out that she has taken out multiple London Underground ads for us! A great opportunity for people to hear about crypto and the Coin Bureau, even if they have never browsed the tube.
You will be seeing a lot more of these over the coming days - but I just had to let you know about it today.
📊 Portfolio Update 📊
No changes this week chaps. I am pretty comfortable with my allocation right now and there are no unique opportunities that I can spot right now - will still be keeping that USDC as dry powder.
In terms of tokens that are on my radar - considering some more SOL (see below) as well as potentially picking up some DOT on the back of those Kusama PLOs.
You can follow my regular portfolio moves in my dedicated Telegram Channel.
ETH 29.58% | BTC 28.07% | USDC 13.53% | ADA 8.15% | SOL 4.36% | DOT 3.56% | YFI 2.99% | LINK 2.64% | INJ 2.23% | RUNE 1.74% | ATOM 1.40% | AVAX 0.74% | REN 0.60% | LIT 0.41%
🔭 Trends I have Noticed 🔭
✅ The Most Traceable Cash
Since a few weeks ago when we had that colonial pipeline hack, I wondered to myself why the hackers would consider using Bitcoin as a method to receive their ill gotten gains - but they did.
That is because the Bitcoin blockchain is one of the most scrutinized on earth. Every single Bitcoin transaction is completely traceable and every movement can be traced back to a source. Be that source a hack, a ransom payment, a dark web vendor or a mixer.
In the case of the colonial pipeline hackers, the FBI was able to catch the funds and secure them on a cloud server before the hackers could even move it. The blockchain auditing tools that they use are so advanced that they can even deterministically predict flows before they even land in further wallets.
This is why when I read news this week about the supposed rug pull by a South African exchange, that it was only a matter of time before they would be able to locate those funds. If it was not because of the authorities, every single coin that came from that exchange would now be tainted.
It is also highly likely that every international exchange has now blacklisted every single address that has emanated from the exchange. They all use third party software by the likes of Chainalysis and Ciphertrace that will immediately block all funds linked to these hacks.
Not only that, but they will immediately hand over all information about that hackers & account to the authorities. The point is that given the transparent nature of the blockchain, it’s near impossible to use Bitcoin for illicit activities.
There is a reason that those Bitfinex hackers have not been able to liquidate their haul. By some accounts, the addresses tied to the hack must be some of the most monitored on the blockchain. Every single move that is made doesn’t only have the eyes of the authorities and tracking firms on it, but also the media.
In fact, it’s perhaps easier to commit crime and launder funds with physical cash than it is to do with Bitcoin. Something that most news outlets don’t ever tend to mention. But that is neither here nor there.
Now, this traceability of Bitcoin is good and bad depending on which lens you view it through. Firstly, it’s going to make it a lot harder for people to engage in cybercrime or money laundering with Bitcoin. This means that it will be less threatening for broader adoption as retail investors and institutions know that stolen Bitcoin is not necessarily lost forever.
It will also mean that we are likely to see a lot less headlines talking about the millions lost in a hack here or a ransomware attack there. It will be one less excuse for the politicians to start banging on about Bitcoin regulation and restrictions.
Of course, this complete transparency of the Bitcoin blockchain is not entirely positive. While it’s great that people are able to use it to stop cybercrime, the tools can also be used for nefarious purposes.
You have very little privacy when it comes to your transactions. It is the antithesis of what Satoshi envisioned when he thought about private and peer-to-peer digital cash.
So, I am in two minds about this tracking ability. It makes the space safer, but it also makes it less private.
Thankfully, there are a number of privacy coins that have developed some pretty advanced tech to be able to deal with this. One of the most prominent is of course Monero - a project that I have covered on numerous occasions.
Of course, privacy coins have their own adoption challenges - but that’s a topic for another day.
✅ Solana Looking Sunny ☀️
I have talked about Solana quite a few times on the channel and, of course, hold it in my personal portfolio. However, I wanted to go over some of the most compelling investment cases I have seen for this blockchain.
Firstly, if you don’t know what Solana is then the video I did about a 1 month ago should help inform you a bit.
As I covered in the video, the Solana blockchain is one of the most advanced I have seen recently. Their use of a unique consensus mechanism makes it one of the most scalable smart contract chains that I have seen so far.
However, something else that I think is far more consequential than that is the immense backing that is behind this project. This backing is not only able to help increase development on Solana but also its broader awareness.
As you may know, Solana Labs recently raised over $314m from a number of VC funds in order to help develop its ecosystem. It will help to speed up those projects that are already building on top of it as well as fund new projects that are looking for the best blockchains to build on.
While there are a number of other blockchains that have their own development funds, none are as large as those that I have seen Solana raise. If it is adequately deployed, it can be a neat incentive to encourage developers who have built on other chains to port over to Solana.
This also brings me onto the broader point of projects with funding. There may be a blockchain that has superior tech, but if they can’t get developers to take a leap of faith and build on it, they will always languish.
However, if a project is backed by a large pile of cash, it will make it a lot easier to smooth over that adoption and developer building.
Of course, the tech has to be there. You can only fund projects for a certain period of time until they realise that the underlying technology is lacking - looking at you Eos…
When it comes to Solana, I think they have both.
There has already been a great deal of development taking place on Solana. For example, FTX is building the Serum Dex here which is looking to become one of the premier scalable decentralised exchanges.
More recently, you have also had the news that Solana was chosen as the blockchain of choice by Digital Assets AG in order to tokenize these stocks. These stocks will then be traded on the FTX exchange.
I guess you saw the connection?
Yep, Solana appears to be the blockchain of choice for the FTX / Alameda research stable. These guys are some of the most prolific investors in the space and FTX has been on a marketing drive the likes of which you have never seen.
The point I am trying to make is that you should not be ignoring the capital or companies that are backing a project. So long as it has tech to rival the rest, it is possible it could come out on top - something I will be covering in an upcoming video.
I hold a number of “competing” Ethereum blockchains each with their own advantages, but none have the firepower of Solana.
🔝 Top Newbie Tips 🔝
Countries around the world seem to be cracking down on cryptocurrency exchanges. This can be a bit frightening, but it's nothing new. If you ask me, all these governments are just trying to get a slice of the pie. They're desperate for tax dollars, and this can be seen in all of the lawsuits they've launched against crypto projects.
Still, you should check to make sure that you're not in a jurisdiction that's at risk of having this sort of crackdown. The last thing you want is to have your ability to trade cut off. Think about alternative exchanges that you could potentially use, and remember to have multiple fiat on/off ramps for your crypto holdings.
Apart from the potential for restricted trading, this is just best practices in general. You never want to have one single point of failure that could potentially limit your cryptocurrency trading. The same can of course be said about seed and private seed backups.
This isn’t even about just a newbie mistake. Even cryptocurrency custodians and companies with over $70 million in ETH forget this rule with disastrous consequences.
Related to the first point, if you happened to panic sell during the dip this week, remember that this is probably a taxable event that you'll need to keep track of. Even though you might have sold at a loss, if you had realized a gain earlier you might still find yourself owing a bunch of tax. You can learn more about some useful tax tips by watching my video about that.
Unless you bought prior to 2021, you're probably not feeling too good right about now. If this is your first big dip, then welcome to crypto! Stuff like this is normal, and it's not the end of the world by any means. It's hard to lose sight of that when you're being bombarded by FUD from every angle.
Remember that cryptocurrency is a revolutionary industry, much like the early days of the internet. Those who play the long game are always the ones that win in these sorts of environments.
You need only look at the experience of the Dot Com era. Yes, it flushed out a lot of the really subpar internet companies, but what emerged has gone on to dominate corporate America (Amazon, Google, Apple etc). This is how I view the crypto markets. Back a strong project you believe in and the long term fundamentals will bear out in future.
🔥 Deals of The Week 🔥
“Be greedy when others are fearful” is the famous phrase uttered by the legendary investor Warren Buffet. Yes, that chap doesn’t like crypto too much. However, that doesn’t mean we cannot learn a thing or two from his pearls of wisdom and apply that to crypto markets.
After all, the aim of the game is to buy low and sell high. Given that markets are down about 50% from their all-time-high, it might be a good time to start increasing that crypto position to reap the benefits of the next upswing.
But what crypto platforms should you be looking at to take advantage of the current market conditions? Well, I have a thought or two on that!
💰 Blockfi: Let’s be real, most of us have crypto sitting in some hardware wallet like Trezor. The problem is that it’s doing absolutely nothing for us and not earning a single Satoshi. What many people don’t know is that you can supply cryptos like BTC and Ethereum to crypto lending platforms like Blockfi and earn crypto interest, whilst still retaining price exposure to those crypto assets!
Blockfi, runs one of the most popular crypto lending platforms out there and you can get up to 8.6% APY on that crypto. Not too shabby when you think about the interest rates available at your local bank.
Yes, Blockfi is a centralized solution and I certainly wouldn’t keep all my crypto there. However, it might not be a bad idea to take a portion of your portfolio and earn some crypto interest whilst you are waiting for those markets to get hot again!
👉 Sign up to Blockfi & get up to 8.6% crypto interest + a bonus up to $250 when you dep $100 or more!
📈 Kucoin: Realistically, it is unlikely that you’ll get those crazy return multiples from super established cryptos like BTC or ETH. After all, they already command gigantic marketcaps. That’s why so many people are interested in dabbling in more exotic altcoins.
But if that’s your cup of tea, where do you go to get them? Well, I personally use Kucoinfor that very purpose. Even better, I’ve been able to secure you guys a very special deal there too!
Need help trading on Kucoin? Well, I’ve done a dedicated video on that and show you what else is on offer at this exchange!
👉 Get exotic alts on Kucoin & get a trading fee discount up to 44%!
If you want to check out the other great deals that I have managed to secure for you guys, then be sure to take a look at my exclusive deals page! There you will find the hottest crypto deals.
🗞️ Crypto News Focus 🗞️
- John McAfee - The legendary anti-virus entrepreneur and crypto savant has been found dead in his prison cell. Rest in peace!
- Dogecoin FUD? - FInancial expert claims that Doge is the worst crypto available in the market.
- Hong Kong & Blockchain - Activists put pro-democracy newspaper on the blockchain!
🔮 Video Pipeline 🔮
- Top 10 ICOs by ROI & why they did so well!
- Fantom update: Is this on
- The top crypto VC firms
- 101 guide to the new Binance NFT marketplace
- Shiba Inu: Is the hype real?
- El Salvador & South American Bitcoin adoption!
- 5 most well funded Cryptocurrencies
- Stablecoins: A Black Swan?
🏆 What's New At CoinBureau.com This Week? 🏆
✅ Binance NFT Review: The NFT Marketplace From Binance
That’s all for this week's newsletter. However, I would like to let you know how grateful I am for all your support. You are the reason why I have been able to build such a great team and to do my small bit to spread the word about crypto.
Honestly, it is a privilege to have so many of you join me in this crazy crypto journey.
But rest assured, I will not rest on any laurels and will certainly be looking to continue raising the bar when it comes to content.
For now, I hope you have a great weekend and I hope you like my latest video!
Guy your crypto guy
Disclosure: Authors may own cryptoassets named in this newsletter. These are unqualified opinions, and a Coin Bureau newsletter, is meant for informational purposes only. It is not meant to serve as investment advice. Please consult with your investment, tax, or legal advisor.
Guy is one of the founding members and face of the Coin Bureau. Like many of us, he is just an average joe who became “crypto curious” back in 2013. After recognising the potential of blockchain technology, Guy set off on a mission to create crypto educational content, working with others to start the Coin Bureau website and released our first video on YouTube in 2019. You can learn more about him in his Who is Guy? blogpost.