Cathie Wood Buys the Crypto Dip (Big Mistake)

Now that the FTX scandal has reached new heights, it’s the beginning of the end for crypto. Government regulation is coming fast, along with a possible government-backed digital currency. There are three trends this week that prove the point. Now that the FTX scandal has reached new heights, it’s the beginning of the end for crypto. Government regulation is coming fast, along with a possible government-backed digital currency. There are three trends this week that prove the point.   [Wealth Daily]      Alexander Boulden / Dec 14, 2022 Cathie Wood Buys the Crypto Dip (Big Mistake) I was still in college when Bitcoin was invented. Admittedly, I didn’t care much about finance back then. We were smack-dab in the middle of the Great Recession, and people were not happy with our financial leadership. It’s no coincidence that Satoshi Nakamoto, whoever that is, released Bitcoin into the world at this time. Nevertheless, it was so new that it wasn’t really on anyone’s radar yet. So it wasn’t until the summer of 2010 that crypto gained traction and I started paying attention. That’s when the first-ever crypto transaction occurred. On May 18, 2010, Florida resident Laszlo Hanyecz posted a request on the Bitcointalk forum saying that he would send 10,000 Bitcoins to whoever would send him two large pizzas. Jeremy Sturdivant, then a student in California, fulfilled the request, creating the first crypto “transaction,” even though it was really more of a trade. But it cemented the technology behind Bitcoin, the blockchain, as a viable means of performing a transaction. Remember — and this is important for what's happening today — it’s the blockchain, not cryptocurrency, that holds the true power. The coins were reportedly worth $41 at the time (they’d be worth more than $170 million today). That pizza order opened the crypto floodgates. We started hearing about Bitcoin, then Ethereum, then Litecoin… (There are now over 20,000 different cryptos — can you say oversaturation?) Then we heard about the dark web and people buying narcotics off Silk Road using Bitcoin. All this made me very skeptical. How could you not be? People were using it to buy pizza and narcotics, really groundbreaking stuff... History Is About to Repeat Itself Again In 2010, China sent shock waves through the market when it cut off Japan’s "imperial metals" supply... Sending prices of these prized metals straight to the moon along with dozens of stocks that went on to reward investors with four-digit returns. If you weren't one of those investors, I have good news for you. I believe this exact scenario is about to happen again. China is planning to cut off America's "imperial metals" supply. When it does, there's a good chance it will send "imperial metals" stocks soaring, just like what happened in 2010. One company in particular has already positioned itself to reap all the benefits of this cutoff. It recently purchased the rights to one of the biggest "imperial metals" reserves in the world — a reserve big enough to replace China for good. [Get in on this firm now before China sends this stock to the stratosphere.]( But that was the point. Crypto was never supposed to be worth anything as a store of value. According to The Telegraph, Sturdivant said, “If I had treated it as an investment, I might have held on a bit longer." But no one treated it that way. In fact, the first people to use Bitcoin were just proving the power of the blockchain. It was supposed to be a new form of money. But then people got greedy and started a fad. The rest is history. But now that the FTX scandal has reached new heights, it’s the beginning of the end for crypto. Government regulation is coming fast, and along with it, a possible government-backed digital currency. There are three trends this week that prove the point. Sam Bankman-Fried Goes to the Slammer First, the breaking news is that Sam Bankman-Fried, also known as SBF, has finally been arrested in the Bahamas after the SEC filed charges. According to The New York Times, the charges include wire fraud, wire fraud conspiracy, securities fraud, securities fraud conspiracy, and money laundering. The problem for SBF is that he had a private crypto hedge fund called Alameda Research, to which he funneled FTX customers' funds. He then allegedly used this money to back VC investments, buy expensive real estate, and donate to politicians. The BBC wrote, "The SEC also alleges he concealed FTX's exposure to Alameda's significant holdings of overvalued FTX-affiliated tokens." Biden’s Spending “Blitz” Set to Launch $5 EV Firm Over $9 billion in federal cash is set to rain down on one overlooked sector of the EV market... And this flood of government capital could send one $5 stock soaring in short order. This could be the biggest EV story of our lifetime. [Learn about the shocking EV company nobody’s talking about.]( People are calling him a modern-day Bernie Madoff, but it looks like he's just the fall guy. His entire team had to know what was going on. Or maybe they were so hopped up on meth they didn't care. CEO of Alameda and supposed girlfriend of SBF Caroline Ellison tweeted about her regular amphetamine use. [meth] According to the FDA, there's a shortage of amphetamine mixed salts, aka Adderall. Maybe that's where all the drugs went... Meth's a hell of a drug. Mysterious Goings-On Second, if you thought the FTX scandal was bad, wait until you hear about a string of mysterious deaths in the crypto world. Tiantian Kullander, co-founder of Amber Group, a crypto trading platform valued at $3 billion, died in his sleep last week at just 30 years old. Then 29-year-old crypto millionaire Nikolai Mushegian drowned in Puerto Rico after tweeting that the CIA and Mossad were after him. Businessman Vyacheslav Taran, co-founder of trading and investment platforms Libertex and Forex Club, died in a helicopter crash in Switzerland. According to the Daily Mail, "Mystery surrounds his death, as the crash happened in good weather — and after another passenger reportedly cancelled last minute." Obviously, we don't know if any of these deaths are related, and we're not trying to fuel any conspiracy theories. But it does make you wonder whether something else is going on beneath the surface. Cathie Wood’s ARKK Takes on Water And last but not least, fund managers are still pumping crypto. According to a recent Wall Street Journal article, Cathie Wood's taking a lot of heat lately for her risky tech growth stock purchases. Investors are pulling out. Her latest misstep? Buying more Coinbase stock. Unexpected Stock Could Rocket 30x Because of the Chip Shortage Because of the unprecedented demand for tech devices around the world driven by the explosive growth of Bitcoin and crypto mining... the rapid adoption of electric vehicles... the rollout of 5G wireless networks... and countless other emerging technologies... Most chipmakers simply can’t keep up. One CEO admitted “we’ll be chasing supply for the next 10 years.” However, one American chip stock is perfectly positioned to dominate in this environment while its peers struggle. Over the next 90 days, shares could blast 30x higher. [Now is the time to get in on the action.]( Her ARK Innovation ETF purchased 78,982 shares of Coinbase stock, valued at $3.2 million. That puts the fund's total Coinbase holdings at 3.39%. Oof. As for the fund? Well, it's not doing so good. [arkk] Down 62% year to date. Sorry to be the bearer of bad news, but the crypto ride's over, folks. BIG Crypto Announcement This Week Like a bad gambler returning to the roulette wheel “just one more time,” these fund managers just can't let it go. Gollum needs his “precious” after all. As we saw above, crypto was never intended to be a store of value. It was meant to prove the utility of the blockchain — that's it. And now, because of people's greed, the great crypto experiment has failed miserably. Investors greedily sprinted in the first mile of this long-distance marathon. So don't be fooled twice. Bitcoin's days are numbered. In fact, President Biden is about to unleash what the CoinDesk calls an ["anti-crypto offensive."]( It could come as soon as this week. And it will impact anyone who has a bank account, collects Social Security, or gets a paycheck. I urge you to [get the details here today](. Stay free, Alexander Boulden Editor, Wealth Daily [[follow basic]Check us out on YouTube!]( After Alexander’s passion for economics and investing drew him to one of the largest financial publishers in the world, where he rubbed elbows with former Chicago Board Options Exchange floor traders, Wall Street hedge fund managers, and International Monetary Fund analysts, he decided to take up the pen and guide others through this new age of investing. Want to hear more from Alexander? [Sign up to receive emails directly from him]( ranging from market commentaries to opportunities that he has his eye on. [Feedback? get in touch](mailto:/newsletter@wealthdaily.com?subject=Wealth%20Daily%20feedback) [Read this email online]( [Manage Newsletters]( [Share on Twitter]( You signed up for our newsletter with the email {EMAIL}. You can manage your subscription and get our privacy policy [here](. This email is from Angel Publishing, 3 East Read Street, Baltimore, MD 21202 © Wealth Daily.  Â