Last month, I published an article about bitcoin…
In particular, I explained that bitcoin had just reached an important milestone:
For the first time in its history, it had become more valuable than gold.
But in that same article, I told you how you might be able to cash in on a different digital currency—basically, a newer version of bitcoin.
And here’s the thing:
Since I wrote about it 28 days ago, its value has skyrocketed by more than 250%.
And for investors like you, this might just be the beginning…
Before we continue, it’s important to first understand how currencies like bitcoin actually work...
Bitcoin is what’s known as a “crypto-currency.”
Crypto-currencies are similar to currencies like dollars or euros, but with a few key differences:
For one thing, they’re “encrypted.” Meaning, it’s impossible for an outsider (like a bank or government) to tell who owns them. This makes them very secure.
In addition, they only exist digitally…
You can’t hold them in your hand. Instead, currencies like bitcoin are stored on the Internet as computer code. You can access your holdings from any internet-enabled device like your computer or mobile phone.
Furthermore, unlike dollars or euros, you can’t “buy” them or store them at your local bank. You buy them online on a crypto-currency exchange (later in this article, we’ll show you the best place to do that).
Finally, you can’t just walk into any local store and spend them. However, you can spend them online.
For example, companies from Amazon to Overstock.com to eBay accept bitcoin as a form of payment. The IRS even lets you pay your taxes with the digital currency.
Currently, bitcoin is the world’s largest crypto-currency. Its market cap sits at roughly $18.8 billion.
But, to be clear, there are other crypto-currencies—and there’s one in particular that could become “the next bitcoin.”
First Inning for Ethereum
You see, there’s a new digital currency in town—and it has the potential to be even bigger than bitcoin.
It’s already being backed by some of the world’s largest banks including JP Morgan…
And as I wrote in my article last month, “In the past 18 months alone, its value has shot up by 994%. That’s enough to turn $1,000 into nearly $10,000.”
This new crypto-currency is called Ethereum.
I won’t go into the details of what makes ethereum different from bitcoin—you can find more information about that in my article from last month.
But just understand that if you’d invested in ethereum after I first wrote about it, you’d be sitting on a quick, 250% profit right now.
And that might just be the beginning…
Who Else is Bullish on Ethereum?
I believe we’re at the beginning of a massive profit trend in ethereum—and I’m not the only one…
If you’re a longtime Crowdability reader, then you’re probably familiar with our friend and business partner, Howard Lindzon.
Howard is a professional venture capitalist. In addition to being an early investor in Crowdability, he was an early investor in hundreds of other high-flying start-ups as well…
For example, Howard invested in the taxi start-up, Uber. On that single investment, he turned every $5,000 he invested into $2 million.
Well, last week Howard hosted a closed-door meeting here in New York City. He invited some of the most well-informed and well-connected early-stage investors in the country.
One of the most important speakers at that meeting was a man named Fred Wilson.
Fred is the founder and managing partner of the most successful venture fund in New York, Union Square Ventures. He’s been involved in many, many multi-billion dollar start-ups including Twitter, Tumblr, Twilio, and the list goes on.
Needless to say, when Fred talks, everyone listens.
And Fred’s most important message last week?
Invest in crypto-currencies—especially ethereum.
As Fortune Magazine reported, he’s already put “a small portion of his net worth” into ethereum. (Considering Fred’s net worth is estimated to be north of $1 billion, that “small portion” is likely a lot of money).
How to Get in on Ethereum
If you’re interested in dipping your toe into the “crypto-currency” waters, here’s what you need to know:
For starters, you don’t need to be accredited to invest here—anyone can do it. There’s no investment minimum either.
If you’re looking for a reliable place to buy these currencies, I recommend using Coinbase. It’s the exchange that I use and the exchange that Fred Wilson uses.
It only takes a few of minutes to get up and running. You can use your credit card to start buying ethereum (or bitcoin) immediately…
Or you can connect Coinbase to your bank account and it’ll take 5 to 7 business days to lock in your first trade.
Now, keep in mind: these are speculative investments and they could be very volatile. To protect yourself, only invest a very small portion of your investable assets here.
In addition, don’t invest everything at once. Dollar-cost average your position by purchasing a little bit of ethereum at a time—and by doing it over the course of many weeks and months.
This way, if the value of the currency pulls back, you can bring your overall cost basis down—and that can help bring your long-term profits up.
And if you’re worried about only having a small amount to invest, don’t worry:
Remember, over the past five years, Bitcoin has shot up by nearly 26,280%...
If the same thing happens here, even a small investment of $1,000 could turn into $263,000.
So be smart, be patient and don’t get greedy. We’re still in the first inning of this ballgame.