Welcome to your new Frontier Fortunes quarterly issue.
We come to this update at a particularly volatile moment for crypto. Prices that were up have retreated significantly in recent weeks amid wider concern about the health of the U.S. and global economies.
When I first started writing this issue in April, we were up in many of our positions. Now, we are down in most of them. That speaks to the speed with which crypto can move, but it also reflects the rebound potential crypto possesses. Assets that are down can quickly reverse course and move higher.
Right now, all markets are moving to the beat of the Federal Reserve as it tries to attack inflation with higher interest rates and by cutting back on the free money it pumps into the economy through bond-buying programs. These moves by the Fed have spooked investors globally, who are worried there’ll be less cash flowing into the markets.
Short term, the Fed and its actions are a definite hurdle. Fear and euphoria are the strongest short-term influences on risk assets such as stocks and crypto. Right now, there’s a lot of fear, so prices are down.
But longer term, all the trend lines are positive.
Crypto is the future of so much of our economy. I see this fear-driven moment as a buying opportunity for those who are patient. Indeed, in the months ahead, crypto is quite likely to disconnect from stock prices as investors realize they can earn more in crypto than they can in growth and tech stocks during an inflationary period.
So, in this issue, I wanted to focus on a longer-term trend that will drive our portfolio. And no trend will be more impactful and more important than the rise of the metaverse.
I’m sure you’ve heard of this term. It’s everywhere of late. Basically, it refers to the internet, but in 3D.
The metaverse is what the internet will become, and this future is already taking shape today.
While a great proportion of mainstream media writers pump out inaccurate, negative stories about the metaverse, the reality in the corporate world is exactly the opposite of what you’re being told.
I don’t want to steal the thunder of this quarter’s dispatch by listing a bunch of names here. But as you read the issue, pay particular attention to those corporate names investing in the metaverse and then ask yourself, “Who’s story is more reputable: the writers with no skin in the game and a couple days’ worth of reporting…or the global corporations putting tens and hundreds of millions of dollars to work right now in building out business models that include a metaverse component?”
I know that answer.
And I’m hoping that after you read this issue, you know that answer too.
As I told friends and acquaintances at a dinner in Playa del Carmen, Mexico recently, “This is part of the greatest wealth-creation event in human history.”
I wholeheartedly believe that.
And many of the investments in our portfolio are uniquely positioned to benefit as the metaverse becomes our future.
Get all the details in your new quarterly issue.
Also in your quarterly update, I tackle the here and now…explaining the current volatility in the crypto market and my view on what it means for our positions. And I offer an individual breakdown of our assets, sharing the latest news about each of them.
Read your quarterly issue here for all the details.
For this quarter, I’ve also prepared a brand-new special report on what’s known as “staking,” a concept very much like depositing money in a bank to earn interest. Only, instead of earning dollars, we’re earning crypto.
This is a nice strategy, particularly now when crypto is under pressure. The crypto you earn from staking today will be worth increasingly more as crypto prices rebound.
I mean, if you earn $1 today, it’s still worth $1 a year from now (although thanks to 8.5% annual inflation, it will really be worth about $0.915 in terms of purchasing power). But if you were to earn 1 Avalanche at, say, $65, and a year from now Avalanche is priced at $130, well your interest payment alone is worth 2x what you originally earned. This is one of the primary reasons why I love staking my crypto.
I will warn you upfront that staking interest rates on most of the crypto we own are low, and much lower than the rest of the world. That’s an Uncle Sam issue I will tell you about in the special report. Still, even little bits of crypto can become much bigger bits of crypto as prices rebound.
You can access this new bonus report right here.
Finally, a note for those following the Yaku NFT avatar mint. Recently, I sent you several updates about this non-fungible token project. (You can read the latest of those here.)
Well, the next Yaku mint will happen this Saturday, May 7. If you own both a Yaku Capsule and a Yaku Motorcycle NFT (and both are either staked or are in the same wallet), you should automatically receive a whitelist token in that wallet.
You will then have a 12-hour period to leisurely mint a Yaku Avatar for 1.75 Solana (plus a tiny bit of extra Solana for the gas, or transaction, fee). I expect these avatars will quickly jump into the 7.5 to 10 Solana range on the secondary market.
And if you mint one of the girl avatars, all bets are off. They make up only 30% of the collection and I expect they will be worth more, possibly much more. The mint will happen on the Magic Eden Launchpad. Check the “announcement” channel on the Yaku Discord page to make sure you’re connecting to the correct mint site. (You can access the official Yaku discord page here, or by clicking on the link on the official Twitter page here.)
I hope you enjoy your issue, and many thanks for joining me in exploring the new frontiers of the cryptoconomy.
