We’ve been following one of the industry soothsayers semi-closely. We won’t mention his name here — you can certainly find it out through a couple quick Google searches — but we’re as skeptical as the next guy.
In short, this pundit claims that something is happening — a “phenomenon” — and that could make you rather rich. As long as you follow a couple of pieces of his advice:
- Buy his newsletter.
- Invest in these coins at the exact time he tells you to.
- Lather, rinse, repeat for maximum profits.
Okay…we’re not going to take issue with his attempt to make a living. In fact, with all this Coronavirus craziness happening out there, quite a few people of a bunch of different stripes are all wondering how they, too, can make a living.
But we will take issue with his Joel Osteen-esque peddling of false hope; as if 5 coins were all it would take to get you out of whatever financial hole you might be in and turn your situation around.
YMMV; Or, Past Performance Not Indicative of Future Results
First, let’s talk about the phenomenon he was blabbing about. (We watched his free webinar the other night and bolted right in time for the sales pitch.) Those who follow Bitcoin know that there is a concept called “halving” that takes place in May of this year. (Coindesk explains halving much better than we could over here.) But, our pundit friend cautions us, that alone will not drive the price spikes he sees. NO, that’s just the SUPPLY side of the equation. It’s the DEMAND side that makes for this one-two punch of a phenomenon that *could* — again, if you follow his advice as prescribed in the newsletter — drive the price higher.
And the Demand Is Coming From…
This pundit dude went so far as to ask us to guess his location, then he and his co-host — who we were led to believe were on a private jet; though, oddly, the private jet didn’t seem to encounter any sort of turbulence during this webinar — exited the jet when they arrived at the mystery location. AND THEN, while at the mystery location, they led us to believe that the Swiss banking universe was going to drive all of this price action on Bitcoin.
Where the Argument Goes Off the Rails
We’re to expect that the following happens all at once:
- Bitcoin supply is cut in half;
- Bitcoin demand, driven by Swiss bankers, ratchets way up;
- Other coins benefit;
- You can turn $500 in each coin into a $5,000,000 total.
The last two points really make us wonder.
Yes, you could have turned a small guess on something like XRP of Ethereum into a fortune back in the day (2017?) and we even talked about that possibility here when we told you about the jaw-dropping returns of the BRED Portfolio.
But you would have needed to be both lucky and good. And you would have had to HODL until the right time, then sold and not done anything foolish afterwards.
Hold On…Wait A Minute…
He proceeded to punctuate his presentation with testimonials from individuals who turned small stakes into huge fortunes, and then turned their own financial world around. All because they benefited from his advice to buy something like Ethereum when it was 70 cents and selling it when it was $1300.
AND they supposedly paid hundreds of dollars for his newsletter? And he called the market at the exact right time?
- Don’t invest more than you can afford to lose;
- Do your own research;
- A fool and his money are soon parted;
- AND be careful listening to webinars with guys who are supposedly on private jets.