as someone who’s been in crypto since 2021 this is a bullish signal. Also, Bitcoin halving isn’t till April 19 2024 meaning that crypto will continue to rise because everyone is waiting for that event. Now the duration of a bull market after each Bitcoin halving can vary significantly. The bull market following the first Bitcoin halving in 2012 lasted approximately 18 months, which is around 540 days. After the second halving in 2016, the bull market lasted roughly 12-18 months, so that would be between 365 and 540 days. Therefore, if the next halving occurs on April 19 2024, the bull market could potentially end between April 2025 and October 2025. There is still a lot of money to be made.
Wednesday, March 13, 2024
Was I scammed? Or did I m make a smart investment!?
In 2016, I received communications from Mycelium. They were having a promotion - looking for investors:
"Whereas, in order to finance further development of the Mycelium Wallet Project managed by Mycelium SIA (“SIA”), a Latvian limited liability company, having its registered office at Rigasgatve 8, Adazi, Adazu novads, LV2164, Riga, Latvia, Mycelium Holding Ltd. conducts the saleof Mycelium Tokens (“Tokens”), which grant its holder a right to participate in the increase ofthe Mycelium Wallet Value and become a stakeholder of Mycelium Wallet.Whereas, on the Sale Event site term “Mycelium” refers to the Mycelium Wallet Project alone.All money raised through Sale Event will be exclusively used for development and marketingpurposes of Mycelium Wallet Project and related products and activities.Whereas, the Sale Event starts on May 1 st , 2016, 23.59 PST and ends on May 18 th 2016, 23.59PST. Whereas, the Participant is a valuable Participant of Mycelium, identifiable by his/her emailaddress and able to prove his ownership of Mycelium Tokens by sending Mycelium Tokensover the blockchain, and Mycelium considers it desirable and in its best interest that theParticipant be given an added incentive to advance the interests of Mycelium. "
1. G rant of Stock appreciation rights (SARs). Mycelium offers SARs to SIA stock through SaleEvent by way of sale of Tokens. A total number of Tokens sold will be equal to SARs for 5% oftotal stock of SIA. After the closing of Sale Event for the SARs conducted by Mycelium,Participant will be assigned SARs based on the number of Tokens purchased.
2. T erm of SARs. After the Sale Event’s closing Participant will have perpetual SARs with noexpiration date. SARs would not be diluted by any subsequent grants of SARs or options andTokens will represent the same number of SARs as determined after Sale Event’s closing.
3. T oken repurchase. In the event of SIA’s IPO Mycelium shall have a right to repurchaseParticipant’s Tokens and corresponding SARs at Tokens’ Nominal Value equal to the Tokens’purchase price during Sale Event in the USD based on BTC to USD BitcoinAverage exchangerate at the time of the Sale Event closing. When SIA decides to start paying dividends,Participant will have a right to sell Tokens to Mycelium for the Nominal Value or convert theTokens into class B nonvotingpreference shares of Mycelium SIA.
4. SARs Triggering Events . Participants SARs shall be triggered in the event of:a) sale of shares of SIA by Mycelium Holding Ltd . ;b) IPO and issuance of new SIA’s shares;c) SIA’s capital increase;d) sale, merger, or acquisition of the entire SIA company.
5. Exercise . After any Triggering Event, described in paragraph 4 of this Agreement, occurs,SARs shall be exercised automatically and Participant will receive an amount corresponding tothe SARs, assigned based on Participant’s Tokens, directly to Participant’s bitcoin account. Anypayment due to Participant shall be in bitcoins. No FIAT currency payments shall be madeunder this Agreement. It is Participant’s duty to keep the information related to Tokensownership as well as preferred bitcoin account, and email address, that Mycelium has on file,valid and updated. Participant must report any changes in Tokens ownership or bitcoin accountto Mycelium immediately.
I decided to give it a try and signed a 3 page contract (There's more than what I have posted here) - I never heard anything more. I am wondering if I may have $$ someplace and now do not know where to find it! OR was I scammed?
Bitcoin is the new gold. Hate it or love it, the dogs on top… and it’s gonna shine homie…
The volatility of Bitcoin was mostly driven by the predominance of Bitcoin exchanging being done P2P. Gold would be just as volatile in a situation which there’s been no evidence of value. In 1200 BC gold wouldn’t be more valuable than a bison pelt; because that pelt was needed to make clothing; clothing was needed to survive the winter.
With the large ETFs, the sailor guy, and governments now on their way to holding the majority share of Bitcoin, the price of the coin will stabilize and the market fluctuations? You could kiss those goodbye; once enough of the supply is controlled by entities like corporations, governments, ETFs, and Trusts the only way you’d see Bitcoin hit zero is if everyone collectively decided Bitcoin has no value; but, to assume that Bitcoin would simply have no value would be ignoring the $73k value per coin (at the time of writing). Bitcoin is more valuable than a Troy ounce. Bitcoin and gold both have perceived value and if everyone decided gold was no longer valuable, it’s value would not increase each year — it would just tank until it just became some cheap metal like copper.
The reason gold is used as a hedge during inflationary periods and as a store of wealth is because there is a collective agreement about its value; and because it could still be used in commerce should a fiat collapse.
Now, why is Bitcoin even relevant? Why is it even worth so much? It’s fucking stupid, right? Wrong.
Bitcoin offers you the same convenience of gold in the event of an economic collapse or fiat devaluation. Bitcoin can be converted into any fiat currency and any digital currency; and can be directly used in international commerce. Bitcoin can be reduced down an amount small enough to ensure that goods are exchanged at a fair value; it’s harder to do this with gold; even if you grind gold to a dust, you’d lose some of the dust and the trade for goods loses some of its fair value; also, it’s inconvenient to trade with 10 gold bricks than it is with 10 Bitcoin.
Gold is not safe anymore with Bitcoin present. Bitcoin offers more utility, asset safety features, and is easier to protect than a bar of gold. Bitcoin is future proof. Gold was good while it lasted and served it’s purpose but now Bitcoin fills that purpose and does a better job. Innovation sometimes happens in the most unlikely of places. Rockefeller thought people would forever use kerosene lamps— if I’m not mistaken.
As we progress as a civilization so does how we store value in modernized economical societies. Eventually the government won’t even print money, they’ll be producing their own digital currency which is already in the works. Gold is surging but it’s officially going to hit its peak before it begins to decline as Bitcoin takes its’ place.
The digital world we live in is moving faster each day. Gold had been a safe haven for years but Bitcoin is taking its place and it will continue to do so. Things change. The world progresses. We move forward. The only constant is change; the only thing that’s inevitable is change. Bitcoin is the future, whether people like it or not. You can either try to catch it early or miss it, while fighting it.
People have been fighting Bitcoin for years; since pre $5 per coin. It’s now at $73k a coin; that’s cheap for the new worlds value store — digital gold. Will there be technology better than Bitcoin, absolutely — but, the new technology will probably just be silver, platinum, or palladium in comparison.
Gold can’t do what Bitcoin can. If I had a Billion dollars in gold, I’d put it into Bitcoin once it’s stabilized. I’d never have to worry about storage, protection, minting, smelting, theft (to some degree), I have full custody and control and have 100% liquidity, can engage in international commerce, it appreciates in value, etc. holding gold when I could hold Bitcoin is dumb. I’d feel like the person trying to sell me gold was a con-man, trying to swindle me out of my money as if he was the Robinhood investing app — knowing the truth about Bitcoin is why people are snapping it up at any price. It’s undervalued.
It probably sucks to be England with all that gold… :(
Tuesday, March 12, 2024
WHY I'M BUYING WULF NONSTOP RIGHT NOW (Due Diligence)
I put together a little writeup I've been sending to friends, I'd honestly love any questions or concerns as I'll be keeping a very close eye on Terawulf over the coming months. It's also lacking a lot of technical jargon when it comes to Bitcoin Mining and investing since not all my friends are not super versed in crypto and investing.
Company : Terawulf
NASDAQ stock Ticker : WULF
Based out of Maryland, USA
SYNOPSIS
The WULF stock price of $2 is very very undervalued.
This belief is heavily based on the fact that after expenses the company is currently pulling in $500,000 a day (including weekends), yet its market cap or total value of the company is only about 500 million.
Imagine buying a penthouse for $5 million dollars and then being able to rent it out at a fair market price for $1.8 million dollars a year. It would seem as if the penthouse was sold for way under value.
Below is an in depth explanation on why Terawulf is way under value.
WHAT DOES TERAWULF DO?
Terawulf has built two facilities in New York and Pennsylvania that are basically two huge state of the art computers. They’ve built these computer facilities to create an enormous amount of computing power. They then use this computing power to make money.
For Example: AI or artifice intelligence requires a lot of computing power. Terawulf is currently working with Talen and Amazon where they might sell their computing power to Amazon to power Amazon’s AI. Basically Amazon rents Terawulf’s facilities computing power, instead of building their own.
This potential Amazon deal is however a speculative future endeavor and not why I am writing this today. It just helped me explain what Terawulf has built without using the scary B word... Bitcoin.
However, that’s exactly what Terawulf is doing with their computing power.
They are “mining Bitcoin” or using their computing power, to help run the Bitcoin network. Similar to how Google could hire Terawulf’s computing power, to help run their email system GMAIL.
Terawulf, gets paid in Bitcoin daily, and immediately sells it for a hefty profit. The Terawulf CEO has invested millions of his own money into Terawulf and stated that the company is not in the business of speculating on the price of Bitcoin. They simply “Mine” Bitcoin everyday for a profit in American Dollars, not Bitcoin.
TERAWULF’S BACKSTORY
TERAWULF was formed in 2021, and their plan was to lock in long term cheap North American power (5-20 year plans). Not just any power, but Zero Carbon energy. Not only is it better for the environment, but in a world where regulations are moving in that direction, it’s better to be ready for it.
Once they locked in inexpensive green power, they bought land and started construction on buildings. Right now they have buildings in New York and Pennsylvania. Two states that have had discussions and laws even passed against companies mining bitcoin... but mining bitcoin with “bad” energy. Since Terawulf’s goal is 100% carbon free energy, they don’t have to worry.
Terawulf spent all of 2021 - 2022 getting their facilities ready. They started turning on the computers in 2023, but are still building and turning on new machines for 2024, and anticipate this continuing into 2025.
This all leads into why I believe they are so undervalued.
STOCK PRICE
Terawulf began this venture in 2021, during the last cryptocurrency bull run. Speculation was crazy in 2021 around anything crypto and Bitcoin related. Along with many other assets and mining companies, WULF’s price rocketed to a high of $44 per share in Nov 2021.
However soon after Bitcoin’s price went down and so did Terawulfs. WULF shares dropped as low as $0.53 in March 2023.
Rightfully so, I mean Terawulf up until that point had just taking on hundreds of millions in debt to build their facilities. According to their earnings reports this company just lost money month after month, year after year. They were an idea in 2021.
Most people don’t know what Bitcoin Mining is, so they see Terawulf, they see it’s a bitcoin mining company and don’t really know what the hell that means.
They’re investors not computer tech folks. So they look at what they do know, the earnings reports and well, the earnings reports are terrible. They don’t know why or care, however we now know it’s because Terawulf is still in the building stages.
It’s as if Ferrari spent over two years building a race car. But every month people asked how fast the race car was, and Ferrari said it went 0 mph. So everyone continued to write off this race car as a failure, without knowing that it was going to take 3 years to build.
They shouldn’t judge how fast it goes until it’s built, just like the market shouldn’t have judged Terawulf on how profitable it was before it was built.
I think the stock market thinks Terawulf is a fully built race car that goes 0mph, when in reality it is a half built race car that when fully built, will be the fastest car in the race.
Earnings reports are a major factor in how investors judge a company. Most articles and reports online are based off Terawulf’s released earnings reports. Those earnings reports don’t go past sept 2023, and those reports are very bad.
Currently, when you research Terawulf online, you’re likely to find a writeup that an algorithm wrote based off earnings reports before Oct 2023. The reports are filled with BAD numbers, and don’t explain that Terawulf was simply building their race car.
Now normally everyone has to wait until the company releases its earnings report to know how everything going. Not with Terawulf though.
Terawulf is not your average company, they are very transparent and have been releasing their numbers on their social media and their website. They are proud of what they accomplished and believe in a company that doesn’t hide behind walls, but instead informs investors of exactly what is going on.
They don’t pay for fancy marketing, they just make a damn good product and wait for word to catch on.
However, NOBODY is reading Terawulf’s reports... their twitter posts get maybe 100 likes, and a few spam comments.
So unless you’re one of the few like me listening, you are judging their company on the terrible earnings reports from 2021 thru September 2023.
However they just started turning on their machines in 2023, and have been expanding at a rapid rate throughout 2024.
On Fidelity and Charles Schwab if you click on reports for Terawulf and look at earnings... MISSED in big red letters pops up.
For investors it’s basically saying LOSER LOSER LOSER, over and over and over.
However, on March 28th 2024 the official earnings report comes out for Oct-Dec 2023.
Now if you’re following Terawulf on social media and understand Bitcoin Mining you’d know that Q4 was a bit of a winner this time. You’d also know that Q1 of 2024 is an even bigger winner. However, the vast majority of people simply wait for the official earnings reports.
Basically we are ahead of curve by 6 months.
I don’t know when exactly Wall Street is going to catch up on this, but right now WULF seems like a diamond in the rough. The confusion around what exactly is Bitcoin and Bitcoin mining, mixed with the delayed earnings reports has falsely labeled Terawulf a loser.
I anticipate that between now and summer of 2024 the market will catch on.
We discussed the price of the stock versus the earnings of the company. This is called a P/E ratio for short. Terawulf’s P/E ratio right now is about 4/1 since the entire value of the company is four times more than their gross earnings for the year.
In comparison to the software industry average of 56/1 which is what fidelity chose to compare it to Terawulf to.
A 56/1 P/E for Terawulf would value the stock $28 a share instead of $2 a share.
MARA Marathon Digital is a mining company that has a current P/E of 23/1. WULF at $11 a share would be a 23/1 P/E.
Now there are many other factors to consider and I think $10 a share is closer to a fair value.
I also think the stock could go to $100 a share considering how crazy the market can get, especially around something with the word Bitcoin in it.
However I am not an expert with how to value a company like this, should it be 3 billion or 10 billion, I’m not sure. What the stock market values is a best guess.
There’s so many things to consider, and nothing is guaranteed in this world. A comet could hit the Terawulf facility and blow it up tomorrow and drive the price to a few pennies.
I’m not a finial advisor, I have no idea your finances nor can I guarantee my beliefs or that I am missing something. I’m simply stating what I find interesting about this company and sharing that info and my beliefs.
Anyway, thanks for reading. Below is some more info to consider.
DEEPER DOWN THE RABBIT HOLE
SHORTS
Another reason why the price is so low, are the shorts have been opening up on this stock since 2022. This is just speculation, but I believe these shorts are coming from knowledgeable traders, who understood they would be out of profit for two years, or lenders who have hedged their investment.
For anyone who doesn’t understand Shorts, it’s basically a way to make money if the stock price goes down, and coincidently, investing in a short position on a stock helps drive the price down.
The shorts are slowly beginning to close and I have a feeling those shorts will close up completely by June 2024. Shorts closing brings stock price up.
TRENDING BUZZ WORDS CREATING HYPE
To add fuel to the fire, Terawulf prides itself in using green clean energy that’s carbon free, a very popular narrative. One thing I’ve learned in trading is that the best “story” often wins out. They also announced in Dec 2023 that they’re working with amazon and A.I. to capitalize the use of their mining machines. Two great buzz words for investors, “A.I.” & “Carbon Free Energy.” This mixed with the hype around Bitcoin and Cryptocurrencies makes me think Terawulf’s stock price could go from highly undervalued to high over valued.
STOCK DILUTION
One negative I noticed was how Terawulf has been diluting their stock. Kind of how when the FED prints more dollars and as a result the price of groceries goes up. It’s normal for a company to be issuing stock to pay bills and incentivize employees. 40% of the company is owned by insiders, which means the people working for the company seem to believe in its success. They don’t seem to plan on heavy stock dilution for 2024 from what I’ve heard them say, and while it’s something to consider, I don’t see it as a major red flag.
WULF HISTORY
Terawulf was started in 2021, they bought IKONICS CORPORATION in 2021. So if you look at the history of the stock ticker symbol WULF, you will notice it goes back to 1993.
However, this price data doesn’t imply to the current company Terawulf, since as planned Terawulf sold Ikonics in 2022.
This WULF stock history adds to the confusion and messes with any algorithms taking in numbers from the old company and projecting it onto the new company.
Another reason why this company is flying under the radar... for now.
DEBT
Terawulf took on Debt, they have been paying off their debt enormously the last few months. So while the old earnings reports have their debt listed over 100 million, it’s more like 50 million and dropping.
BITCOIN PRICE
Bitcoins price does effect WULF’s profit, but they have set themselves up to be profitable well into the foreseeable future, including after the April 2024 Bitcoin Halving. Explaining the Bitcoin halving would be a lot right now, but it’s basically an event happening in April 2024 that effects the profits of Bitcoin miners. There’s a lot of miners that aren’t in a good position to capitalize on this event. Terawulf is in my opinion set up to be one of the most profitable mining companies after the halving. Once again this is a very complex thing to understand, but I’ve seen articles scaring Bitcoin Mining investors about the halving, and rightfully so. Just because Terawulf is set up for success doesn’t mean the Bitcoin Mining Market as a whole might not panic and temporarily drive down mining company prices. Another thing of many I’ve considered and any investor should too.
THANK YOU
Once agin, I could be missing something here, Terawulf could be lying like Enron for all we know, I do not know everything nor can I predict the future.
So if you do your own research please let me know if you find something I missed, I’ll be very grateful.
Thanks for reading!
Bitcoin tips for internet strangers who may capitalize on this info, I expect no tips and will be overjoyed at even an anonymous dollar.
BTC address: 3Cu1hbvWc6mVzZdDjkNsy66VgncKQ8pjVx
A smile to a stranger goes further than we could ever know : )
Ripple CEO Believes that Cryptocurrency Boom Relies on Real-World Applications and Bitcoin's Influence
Ripple Labs' CEO, Brad Garlinghouse, has pointed out two significant elements steering the course of the cryptocurrency market. The primary driver appears to be the surge in Bitcoin exchange-traded fund (ETF) volumes. Secondly, the forthcoming event of Bitcoin halving has been stirring up a lot of anticipation in the cryptocurrency world. According to Garlinghouse, these two factors are positively impacting cryptocurrencies and showing a significant influence on market behavior. He further noted the crypto market's historic tendency to trail the trajectory set by Bitcoin - a consistently observed phenomenon among multiple market cycles.
Garlinghouse's statements highlight a transformative phase in the crypto market, propelled by groundbreaking events like the rise of Bitcoin ETFs and the impending Bitcoin halving. This points to a crucial role of real-world utilization and Bitcoin's influence in maintaining the excitement of the 'Crypto is Back' movement.
The Bitcoin Extinction Event is Coming... (x-post from /r/Bitcoin)
https://www.reddit.com/r/Bitcoin/comments/1bd7j71/the_bitcoin_extinction_event_is_coming/
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