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SPECIAL RUSH ALERT: TWO “PURE PLAY” BLOCKCHAIN …

1 SPECIAL RUSH ALERT: TWO PURE PLAY BLOCKCHAIN STOCKS TO BUY TODAYBy Teeka Rush Alert: Two Pure Play BLOCKCHAIN Stocks to Buy TODAYBy Teeka TiwariWe re in the middle of an amazing time in crypto. Coinbase, the world s largest centralized crypto exchange, listed its shares on the Nasdaq stock exchange recently. It closed its first day with a valuation of $86 its first public filing, Coinbase disclosed it had 43 million users. And during 2020, the compa-ny generated $ billion in revenues with $322 million in its first-quarter results, Coinbase announced revenues were roughly $ billion. Net income is expected to be in the range of $730 to $800 million. And verified users jumped 30% to 56 are amazing results. Should Coinbase keep it up, it could book over $3 billion in profits for the year. That puts it in the same league, profit-wise, as companies such as Deere, Nike, Baidu, Charles Schwab, AstraZeneca, and Northrop ve called Coinbase s public listing a Netscape moment for crypto.

early on what will become a blue-chip stock of the crypto space. Action to Take: Buy Galaxy Digital Holdings (BRPHF). Buy-up-to Price: $42.25 per share Stop Loss: None Position Size: No more than $400 for smaller accounts or $500–1,000 for larger accounts. Blockchain Stock Pick No. 2 In August 2020, a small tech firm blazed a trail

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Transcription of SPECIAL RUSH ALERT: TWO “PURE PLAY” BLOCKCHAIN …

1 1 SPECIAL RUSH ALERT: TWO PURE PLAY BLOCKCHAIN STOCKS TO BUY TODAYBy Teeka Rush Alert: Two Pure Play BLOCKCHAIN Stocks to Buy TODAYBy Teeka TiwariWe re in the middle of an amazing time in crypto. Coinbase, the world s largest centralized crypto exchange, listed its shares on the Nasdaq stock exchange recently. It closed its first day with a valuation of $86 its first public filing, Coinbase disclosed it had 43 million users. And during 2020, the compa-ny generated $ billion in revenues with $322 million in its first-quarter results, Coinbase announced revenues were roughly $ billion. Net income is expected to be in the range of $730 to $800 million. And verified users jumped 30% to 56 are amazing results. Should Coinbase keep it up, it could book over $3 billion in profits for the year. That puts it in the same league, profit-wise, as companies such as Deere, Nike, Baidu, Charles Schwab, AstraZeneca, and Northrop ve called Coinbase s public listing a Netscape moment for crypto.

2 Just as Netscape s IPO brought the internet to everyday folks homes, so too will Coinbase s public listing make crypto a household s a big milestone for the company, for bitcoin, and for the broader crypto community in general. And the entire space is reacting with recently saw bitcoin smash through the $62,000 threshold for the first Ethereum soared above $3,000, reaching all-time there s another area that s seeing a lot of mo-mentum in light of Coinbase going public: crypto- and BLOCKCHAIN -related picks-and-shovels plays use crypto in their day-to-day business or help onboard institutional investors. Bottom line is: By hitching their carts to the power of crypto, they benefit from its over-all because they re stocks, we can get exposure right through our brokerage ve had great success with these pure play picks-and-shovels plays so far. Two of our port-folio holdings, Silvergate Capital (SI) and Hut 8 Mining (HUTMF), are quadruple-digit winners.

3 But we have to act fast on my latest recommen-dations. Thanks to Coinbase becoming a publicly traded company, I think the interest in this space is only set to grow exponentially. And some of the best names in this industry won t be flying under the radar much s why I wanted to get this alert out to you as soon as I can. I think it s crucial we add these names : Use limit orders and wait for the price to come within buy range if it s trading above our recommendation. You don t need to risk a lot to make huge gains in this fast-moving Stock Pick No. 1 Cryptocurrency has long been dominated by retail traders. However, Wall Street is licking its chops at the returns we ve seen in this Galaxy Digital Holdings (BRPHF) is opening the door for them to break s goal is to be the bridge for institutional capital to invest in crypto markets. Like our other crypto equity plays, Galaxy moves in conjunction with the overall crypto market. While shares may be down as a result of the entire crypto market being down, I want you to treat this temporary pullback as a great buying there are two catalysts that will send shares soaring in the coming first is one of the biggest acquisitions we ve ever seen in crypto.

4 And the second is an up-list-ing to a major exchange. I ll get to both of these catalysts in a moment. But first, let me give you some background on the investor Mike Novogratz founded Galaxy in 2018. Before that, he was a hedge fund manager for Fortress Investment Group and Goldman Sachs. Novogratz is also an early bitcoin bull he first bought BTC at $98 in its launch, Novogratz has turned Galaxy into a one-stop shop for institutional crypto investors. Today, it has five divisions: Trading, asset management, investment banking, crypto mining, and principal s main line of business is trading. It s an established market-maker for 200-plus institu-tional and currently trades over $1 billion in digital assets each day. In the first quarter of 2021, this division generated $597 mil-lion in profits up 103% from the prior other profit-driver for Galaxy is its asset man-agement division. It holds $ billion in assets or about double what it held at the start of 2021.

5 And in Q1 2021, the division generated over $248 million in up 75% from the prior you can see, the growing demand for digital assets from both retail and institutional clients is having a direct impact on Galaxy. In fact, Morgan Stanley recently became the first big bank to offer its wealth management clients access to bitcoin through two of Galaxy Digital s these two segments provide Galaxy with steady streams of cash flow at an increasing the real jewel is its principal investment division. This unit gives investors exposure to dozens of pre-IPO companies in the crypto its EOS Venture Capital fund, Galaxy has raised $775 million in institutional assets to fund up-and-coming crypto businesses. It s paired up with companies like Citigroup, Gold-man Sachs, and Wells Fargo to raise these funds. And past investments include Ripple, Bakkt, Bitfury, and its investment banking division, Galaxy assists crypto-related businesses with tradition-al debt and equity offerings.

6 So far, it s helped Silvergate Capital and Canaan through their IPO processes. And it s assisted in capital raises for Habitas and Confidential, to name a has also accumulated a sizable amount of bitcoin, Ethereum, Litecoin, and Tether in its corporate treasury. As of 2020, it held 14,932 BTC, currently worth $948 million. As demand for cryp-to assets increases, Galaxy will directly it s the two recent catalysts I mentioned above that will kick shares into first is one of the biggest acquisitions we ve seen in the crypto space to date. In May 2021, Galaxy bought digital asset company BitGo for $ billion. BitGo is a major crypto custodian for clients. According to BitGo, it holds over $40 billion of assets under custody, with more than 150 exchanges and over 400 institu-tional acquisition of BitGo further cements Galaxy Digital s position as the premier one-stop shop for institutional crypto clients. And BitGo will open another major stream of income with its best-in-class custody second major catalyst is Galaxy s pending up-listing from over the counter (OTC) to a major exchange later this year.

7 If Galaxy pulls it off, it ll be a huge , it gives the company increased exposure to institutions and retail investors. And second, it attracts Big Money, including capital from mutual funds, ETFs, pensions, endowments, and insur-ance typically have rules excluding them from investing in smaller companies or stocks on OTC exchanges. The Nasdaq and NYSE are the world s largest exchanges. And we expect the up-listing to light a fire under the BRPHF stock you can see, the future is very bright for Gal-axy Digital. And that s excellent news for its share prices over the long s It Worth?To determine Galaxy s potential value, we seg-mented out its mining and investment banking divisions. We believe they have great but their revenues are unpredictable at this point. So we consider them left us with its trading, asset management, and principal investing we showed above, the first two are generat-ing steady cash flows at an increasing rate.

8 And the third owns private crypto-related companies with huge upside. We then recombined the val-ues of those three divisions to come up with its overall s start with the trading and asset manage-ment divisions. If those two grow at half the rate they achieved over the last two quarters, they would generate $ billion alone through on those projections, we used the price-to-earnings (P/E) ratio to value Galaxy s trading and asset management segments.[The P/E ratio measures how much investors are paying for each dollar of current profits.]Galaxy s current P/E ratio is But we think it should be much higher. Crypto companies gener-ally fetch valuations similar to high-growth tech companies. So we wouldn t be surprised to see Galaxy eventually achieve a multiple double s be conservative and give Galaxy a P/E mul-tiple of 30. Based on the revenue generated from its trading and asset management divisions, that would give us a value of $ , we valued Galaxy s principal investing di-vision.

9 In its most recent filing at time of writing, that division held $775 million in total assets. Re-member, these are private deals leveraged to the price of bitcoin. So when bitcoin rises, it acts as a slingshot propelling them even higher. For in-stance, if bitcoin goes up these assets could go up 20 50x on bitcoin hits my target price of $500,000, the principal investing division could be worth $43 billion. When you add that projection to the value of Galaxy s other two the company s to-tal combined value would be $ billion. That s over 20x higher from today s value of $ find Galaxy Digital s potential valuation based on how high bitcoin goes, my analyst team ran a variety of scenarios involving different bitcoin price projections ($100,000; $200,000; and $500,000) and company strategies. At $100,000 per bitcoin, BRPHF would be $328 a 1,619% increase from today s prices. At $200,000 per bitcoin, BRPHF would be $353 a 1,751% increase from today s prices.

10 At $500,000 per bitcoin, BRPHF would be $429 a 2,146% increase from today s , for this valuation we only factored in three of Galaxy s five business units. So our model doesn t account for future revenues from its crypto mining and investment banking opera-tions. But whatever they generate would be icing on the you haven t established a position in this com-pany yet, now s the time. This is a chance to get in early on what will become a blue - chip stock of the crypto to Take: Buy Galaxy Digital Holdings (BRPHF). Buy-up-to Price: $ per share Stop Loss: None Position Size: No more than $400 for smaller accounts or $500 1,000 for larger Stock Pick No. 2In August 2020, a small tech firm blazed a trail no company of its size had done before: It added bitcoin to its corporate treasury. Today, it s the largest holder of bitcoin among publicly trad-ed companies. And it plans to continuously buy more with its future company is MicroStrategy (MSTR).


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