Unveiling the Frontier Fortunes Value Cryptos Portfolio
History is laced with examples of steel-stomached investors who dived into what would appear to be difficult markets…and came out far wealthier on the other side because they bought at the lows and rode the return to bullishness that has literally happened every single time.
That’s why today I’m unveiling a brand-new portfolio as part of Frontier Fortunes: The Value Cryptos Portfolio.
Now that prices have come off, a sea of bargains exists in both large, high-quality cryptos, as well as smaller, fast-growing cryptos.
To that end, I want to tell you about five deeply discounted tokens that represent excellent value today because of their rebound potential.
In this alert, I’m going to offer a brief introduction to these assets. I will send you a larger analysis on these five cryptos in the next Frontier Fortunes quarterly issue in October. However, I didn’t want to wait that long to unveil these cryptos because their prices could well have surged higher by then…
See, crypto initially fell out of bed when the Federal Reserve realized it was completely wrong about inflation being “transitory” and began hiking interest rates at a torrid pace and pulling money out of the markets by curtailing its monthly bond purchases.
Crypto and stocks freaked out because they are both “risk-on” assets, and the Fed was telling the world it was moving to a “risk-off” mode.
Now, however, the Fed has fired all the arrows in its quiver. It just told the markets as much.
After raising rates by 0.75 percentage points in July, the Fed acknowledged that its goal is now to achieve what economists call a “neutral rate” of interest—a rate that neither stimulates nor slows the economy. A neutral rate is right around 2.5%…and rates currently sit at 2.25% to 2.5% after the July hike.
This means that any future rate hikes will be small, if they happen at all. So, the markets saw that…and promptly turned bullish.
Cryptocurrencies actually rallied strongly on that 0.75 percentage point rate hike and the news afterward. Solana, for instance, surged 14%. Ethereum was up 29% in less than a day, and has largely held its gains. Bitcoin gained 18%.
That tells me we have likely seen the bottom in crypto, unless something dramatic happens to the economy that forces the Fed to shove interest rates sharply higher.
Which means now is the time to look for crypto assets with strong growth potential.
So, let me tell you briefly about five cryptos that I believe represent excellent value right now, so you can position your crypto portfolio for the rebound that seems likely.
- Polkadot (symbol: DOT)
DOT, as it’s called, is its own blockchain like Ethereum, but it’s structured differently using something called “parachains.”
In the analogy I like to use, in which blockchains are like train tracks, parachains are like multiple train tracks all running in parallel to the main rail line. This creates multiple lanes for transactions/traffic, leaving less chance for congestion or network overload.
There will be huge demand for network services like this as crypto rebounds and further integrates into mainstream finance.
Polkadot is available through Crypto.com, Coinbase, and Binance.US.
My Recommendation: Buy DOT at prices up to $10 per token.
- Enjin (ENJ)
Enjin began as a social-gaming blockchain in which the ENJ coin was used to facilitate transactions.
However, it has since morphed into a platform that allows companies to create and market NFTs to their users, and to create their own wallets to hold those NFTs.
Microsoft has been using this technology to create digital rewards—known as Badges—to reward developers who work to improve the tech giant’s Azure cloud-computing services.
Ultimately, NFTs are going to be a part of everyday life—event tickets, proof of attendance tokens, IDs, etc.—and Enjin will have a role in that.
Enjin is available through Crypto.com, Coinbase, and Binance.US.
My Recommendation: Buy ENJ at prices up to $0.85 per token.
- Ethereum Classic (ETC)
This is a play on Ethereum and its ongoing efforts to upgrade its network as part of the Ethereum 2.0 project.
Through this upgrade, Ethereum is moving from a system called proof-of-work to something called proof-of-stake. Under proof-of-work, transactions on the Ethereum network are validated by energy-hungry computers competing to solve complex math equations, just as with bitcoin. When a computer solves an equation, it’s rewarded with some Ethereum. This process—called “mining”—is effective, but slow.
Under proof-of-stake, participants who want to validate transactions simply need to “stake,” or deposit, Ethereum tokens on the network. Those “validators” then compete for the right to verify transactions on the blockchain, and earn some Ethereum for doing so. This system is faster and less energy-intensive, since there are no math problems to solve.
Most of the crypto world is hugely excited about the move to the new system, myself included. But there will be plenty of Ethereum-based companies and services that will want to remain on the proof-of-work system. That’s where Ethereum Classic comes in.
Ethereum Classic will continue to operate the original Ethereum blockchain in the original way. So, after the ETH 2.0 release, there will be a lot of movement into this token.
ETH Classic is available through Coinbase and Binance.US. You will not find it on Crypto.com.
My Recommendation: Buy ETC at prices up to $44 per token.
- Chainlink (LINK)
Picture a bridge. On one side is the analog world—the real-world data we deal with every day, from stock prices to temperatures to home values.
On the other side is the digital world, where data isn’t physical but is instead a series of 1s and 0s whipping through the ether.
Chainlink, or LINK as it’s widely called, is the bridge linking those two worlds. It’s a so-called oracle that pulls real-world data onto the blockchain so that it can be used to structure “smart contracts” that execute without the need for human intervention.
There are immense use cases for this technology, such as real estate contracts that execute automatically when various bits of data have been collected: proof of tax payments, proof of down payment, proof that a deed is unencumbered, etc.
Chainlink will replace all the people and effort in those individual transactions by pulling that data out of the real world and putting it onto the blockchain so that a real estate contract could execute in minutes or even seconds instead of months.
Chainlink is available through Crypto.com, Coinbase, and Binance.US.
My Recommendation: Buy LINK at prices up to $10 per token.
- GenesysGO Shadow Token (SHDW)
Shadow is the in-house token of a tech company on the Solana blockchain called GenesysGO.
At present, Solana has a structural weakness in that certain data is stored in the cloud online, rather than on its blockchain. GenesysGO has found a way to solve this problem. It has created a method for storing data on the blockchain itself, which serves to strengthen the Solana blockchain.
It has also created a so-called “canary network,” which allows developers to test their services and coding in a Solana blockchain environment, but without actually being on the live blockchain.
To access these services, users will need to own Shadow Tokens.
Given the speed at which Solana is growing (it’s the #2 competitor to Ethereum in the NFT space, and on certain days has actually surpassed Ethereum’s NFT trading volume), GenesysGO is in a position to scale up alongside the network. Which means the Shadow Token should see markedly higher prices.
Because Shadow operates on the Solana blockchain, you have to buy these tokens on a decentralized exchange, or DEX, that provides access to Solana network tokens. The one I recommend is Orca.so. It’s simple to use. You can learn how to use this DEX in The Frontier Fortunes Guide to Trading Crypto.
My Recommendation: Buy SHDW at prices up to $0.50 per token.
Now, before we conclude, a few important notes:
First, a point of disclosure. I always aim for 100% transparency with you, so I want you to know that I own four of these five cryptos in my personal portfolio—Polkadot, Enjin, Chainlink, and Shadow Token. My commitment to you is that I will never sell any of my personal holdings in these cryptos without informing you first. If my recommendation on these cryptos changes, I will let you know in a special email alert and give you ample time to act before I exit my own positions. You can also view my latest advice on our new positions in the online Value Cryptos Portfolio tracker, which you can view on the Frontier Fortunes website here.
Second, my advice on portfolio allocation remains unchanged. Crypto remains a volatile space. While I believe we have seen the bottom in crypto, this is not guaranteed. So, if you choose to act on these new recommendations, I still advise that you invest no more than 5% of your overall investment portfolio in crypto and never more than you can afford to lose.
Finally, I have also added another section to our Frontier Fortunes website called: Value Blue-Chip NFTs.
Lots of people regularly ask me how to get started in NFTs when the quantity of existing projects is so very large. So, I’ve put together this list as a starting point.
It outlines NFTs that I think are undervalued right now so that you can read about them and learn what quality NFTs look like in terms of team, product, and roadmap.
To be clear, I am not saying you should rush out to buy these projects. Instead, they’re my list of high-quality NFTs to get to know. You can view the list on the website here, along with key links to these projects such as their Twitter pages and Discord channels.
I hope you find it informative and many thanks for joining me in exploring the new frontiers of the cryptoconomy.
