How To Magnify Your Returns From Bitcoin — The Easy Way…
The biggest gains are often the least obvious ones. In other words, you have to look a little harder for them.
That might seem obvious. But whenever there’s a major bull market underway in a particular corner of the market, most folks take the most apparent trades.
Of course, there’s nothing wrong with that, as they’ll typically enjoy some solid returns.
But if you want truly outstanding returns, sometimes you’ve got to dig just below the surface. That’s where you can frequently score the biggest gains.
Same Bull Market, Different Results
I’ve talked about this frequently when it comes to gold. Sure, you can buy physical gold or a gold ETF when the precious metal is enjoying a bull market. And you’ll likely do well.
But if you buy the small companies that are pulling the gold out of the ground (called junior miners), you can do even better. To see what I mean, let’s take a look at what happened during a previous big run-up in the price of gold…
To put this into dollar terms, a $10,000 investment in gold would have turned into $13,340. Not bad at all. But that same amount in junior gold miners would have turned into $19,174.
Same bull market, but drastically different outcome.
This isn’t isolated to just gold, either. This happens in every corner of the market… including cryptocurrency.
How To Magnify Your Returns… From Bitcoin
As you may know, I told my Capital Wealth Letter readers that it was time to venture back into the cryptocurrency waters back in early May.
We’ve dabbled in and out of this space, dating all the way back to my first crypto prediction in 2021. (Back then, my bullish prediction about one particular crypto led to a 400% gain within a year.)
And before I go any further, let me repeat something. There’s nothing wrong with buying a cryptocurrency like bitcoin.
But…
Every time cryptocurrencies take off, another group of investments takes off even higher. The best part is you can buy them through your stockbroker. For instance, in 2020, bitcoin soared 720%. But consider that at exactly the same time, a niche group of crypto investments soared even higher (we’re talking 8,240%… 7,210%… 1,450%… 6,490%.)
Now, I can’t guarantee lightning will strike again. Those are truly life-changing returns.
But even if bitcoin shoots up, say, 50%, these investments can multiply your gains. And the best part? It can do so without touching the crypto market directly.
I’m talking about bitcoin miners, if you haven’t guessed by now.
What Is Bitcoin Mining?
What is Bitcoin mining, you might ask?
So, Bitcoin the currency runs on the Bitcoin blockchain. The blockchain is a transformative technology that stores information. It’s transformative because the information stored on the blockchain is very, very difficult to change, hack, or manipulate. So, there’s no questioning the authenticity of the information on the blockchain.
Bitcoin mining is the process of validating the information on the blockchain by solving complex mathematical puzzles. When the math problem is solved, the miner gets rewarded with bitcoin. The company will then sell the bitcoin to generate revenue.
These Bitcoin “miners” are really just computers. So, we’re really talking about an expansive network of computers furiously working in the background to make Bitcoin exchanges possible.
For example, here’s a picture of a crypto data mining center in Alberta, Canada.
There’s a lot more to it, of course. But the key thing to know is that anytime you buy or sell bitcoin, there’s a good chance a bitcoin miner’s computers made it possible.
How To Invest
Now, you might be surprised to learn that at least half a dozen crypto miners are available on public exchanges.
You can research them on your own — or check out one of the special reports available to Capital Wealth Letter subscribers that covers this very topic (where I’ve handpicked three favorites).
Of course, since these are sort of leveraged plays on the price of bitcoin, you can probably guess that these names can be quite volatile.
But if you do this correctly, you could supercharge your returns.
Just remember, do not bet the farm on this. Treat it like a speculative pick — not an investment. Make sure you know what you’re getting into, and don’t bet any more than you can afford to lose.
Editor’s Note: As I explain in my latest report, we now have a short window of time before crypto transforms our financial system. I’ve identified three coins that are set to unleash a new wave of wealth as crypto goes mainstream. Go here now for all the details.