Hello and welcome to my Crypto Cashflow review.
I decided to put this review together after watching the Crypto Cash Summit presentation on the Stansberry Research website. In it, crypto investor Eric Wade talks about how you could potentially 25X your money and “conservatively” earn yields of 8% or more.
It sounded interesting, so I decided to take a closer look. And in this review, I’ll show you what I found, and share my thoughts, to help you decide if it’s right for you.
Breaking Down The “Crypto Cash Summit”
The Crypto Cash Summit is a presentation on the Stansberry Research website featuring host Tom Mustin and their top crypto investing expert, Eric Wade.
The presentation begins with Tom talking about the current state of the U.S. financial markets. Specifically, he talks about how inflation is high, the so-called “safe haven” assets like bonds have really low yields and how the stock market is the most expensive it’s ever been.
He makes a good point.
As of writing (July 2021), investing in U.S. government bonds virtually guarantees you’ll lose purchasing power, given the current rate of inflation. Because bond yields are lower than the current rate of inflation, which means there are negative real yields in bonds.
For example, if the bond yield is 2% and inflation is 5%, then the “real yield” is -3%.
Anyway, Tom points out that, as a result, many people are unsure where the best place to invest their money is, especially since the stock market is the most expensive it’s ever been.
And says that this is why Eric Wade, Stansberry Research’s top cryptocurrency investing guru, is joining him for the presentation.
According to Eric, there’s a “complete disruption happening in the financial markets” that, despite the current price correction, could mean now is the best time to get into crypto.
Eric says there’s a “second phase” of crypto coming that is “going to make what’s happened with bitcoin look quaint” and that it could be the start of a new financial revolution.
He even goes as far as to say it could be a $128 trillion opportunity. Which is more than the current GDP of the entire planet, so that’s quite a bold statement.
What opportunity is he talking about?
Eric says the opportunity he’s talking about involves lending and borrowing crypto assets:
But this time it is going to be much bigger than just sending and receiving money. This time the crypto community is disrupting the true heart of the financial system: lending and borrowing.
Specifically, Eric is talking about earning high yields (of 6% to 1,000% or more) on your money through a combination of buying and lending stablecoins, and speculating on the price of individual cryptocurrencies going up over time.
How does it work?
There are two broad approaches that Eric talks about in the presentation, and both have to do with earning yields with crypto. It’s just that one approach is fairly basic and conservative, while the other approach is more complicated and speculative.
Here’s an example of how Eric’s first, most basic, strategy for earning yields with crypto works:
- Open an account with a site like BlockFi (for example a BlockFi Interest Account).
- Purchase a stablecoin, like USDC or USDT, which are crypto assets with a price that’s pegged to the US dollar. So for example, 1 USDC typically equals (about) $1 USD.
- Deposit your USDC into that account to earn the estimated yield according to the amount you deposit and the interest they agree to pay you each month.
- As this article explains, BlockFi then takes the asset you just deposited (in this case USDC), and loans it to “trusted institutional and corporate borrowers” they work with.
- When the agreed upon period of time has ended, you get your USDC back, and can then exchange it for regular USD if you like.
As you can see, it’s not exactly as simple as depositing money into a regular savings account with your bank, but it’s not that difficult to grasp either, and the yields can be much higher.
How much can you earn?
The rate of interest isn’t fixed, you can earn more or less depending on how much you deposit, and for how long you deposit it, among other factors.
But there’s a calculator on the BlockFi website homepage that lets you have a play around to see how much you could earn. And the following is a screenshot of an estimate of how much it’s possible to earn with a $10K investment over five years using USDC:
Why are the yields so high?
One of the reasons the yields can be so high compared to regular savings accounts is because you are taking a risk by doing this. Even though stablecoins are gaining popularity and USDC in particular is pegged to the value of USD, there are still risks involved.
There’s no guarantee that stablecoins like USDC will maintain their value. They’re meant to, and hopefully will, but they’re run by private companies, so there are no guarantees.
Second, even if stablecoins like USDC do succeed, you are trusting your crypto assets and funds with a crypto exchange with all kinds of business-related risks. The companies they lend your assets to could default, they could get hacked, or the business could simply fail.
So, my point being, the yields are awesome, and there’s lots of potential, but there are risks.
And that’s just the “conservative” play that Eric is talking about. He also talks about potentially amplifying the yields you can earn on this type of thing up to 135% in a single year.
Eric’s second approach involves depositing a stablecoin like USDC in the same way we just talked about. However, instead of earning interest in USD, you opt to earn your interest in crypto.
On one hand, this is an interesting concept. And if history is anything to go by, there could be significant money to be made doing this sort of thing.
However, on the other hand, this (massively) increases the risks involved. Especially when it comes to betting on smaller altcoins (alternative cryptocurrencies to bitcoin). Not only can these can be extremely volatile, but in some cases they can be pump and dump scams.
That said, Eric openly acknowledges that not all cryptos are worthwhile, and he does point out that his second approach (of earning your interest in crypto) can be more risky.
He also states that this is where his Crypto Cashflow service can help.
Because instead of trying to figure things out on your own, and losing money to dud cryptos, he says he shares his top crypto recommendations with you as a subscriber of his service, and shows you how to generate the highest yields possible.
So let’s take a look at what it’s about and how it works.
What Is Crypto Cashflow?
Crypto Cashflow is a monthly advisory service headed up by Eric Wade of Stansberry Research, that’s aimed at helping subscribers generate income through crypto investments.
In particular, it’s about generating yields of between 6% to 1,000% through crypto.
Eric already runs a different crypto service for Stansberry Research, called Crypto Capital. But he says he created the Crypto Cashflow service because there aren’t many good options out there for investors to earn decent yields. And he wants to show you how it’s possible with crypto.
So that’s what this service is focussed on – generating income with crypto. And as I explained earlier, there are two main types of opportunities he recommends.
The first is more conservative and involves using stablecoins to earn yields of around 6-8%. And the second involves a higher degree of speculation, where you bet on different cryptocurrencies going up in price, while also using them to earn a monthly yield.
Both are focussed on cashflow, and both can be risky as well as potentially rewarding, but the second approach is much more speculative overall.
How Does The Crypto Cashflow Service Work?
At the core of the Crypto Cashflow service are the monthly issues, which detail Eric’s latest crypto recommendation and the fundamentals behind why he’s recommending it.
According to Eric, every opportunity he and his team recommend to subscribers has to pass his “proprietary six-point test” for it to even be considered.
Then, once he’s confident in the opportunity he’s recommending, he shares it in the latest newsletter each month, along with a detailed breakdown each recommendation.
You also get instructions on how to take advantage of his recommendations. For example, you learn how to buy into his recommendations, how long to hold, and when to exit.
As well as time-sensitive updates on when he recommends selling something he’s recommended, and insight into developments that are impacting the crypto space.
Finally, subscribers receive three special reports that detail some of Eric’s top recommendations, and a guide that walks you though his strategy.
Here are the bonuses you get (if you join through the Crypto Cash Summit presentation):
- How to Generate Annual Income of 8%+ WITHOUT the Volatility of Cryptos: This is a special report that details five of Eric’s top recommendations for earning 8% yield with stablecoins.
- How to Generate Annual Income of 9% AND Earn Capital Gains Of 2,500%: This report details four of Eric’s recommendations and shows you the crypto he thinks could 25X in two years.
- This 35% Income Stream Could Soon Pay You 700% Per Year: This is similar to Eric’s other recommendations, but doesn’t involve using stablecoins. Instead, Eric only suggests using cryptos and essentially betting on their price going up over time.
- The Ultimate Crypto Cashflow Guide: This is a detailed guide that walks you through Eric’s entire strategy, including how to get started with crypto, and how to implement his strategies.
All of this is contained within the members area of the Stansberry Research website. So all you need to do is signup on the website and login to get access.
From there, you learn how to use your own accounts with the websites Eric and his team recommend, so that you can take advantage of the recommendations.
How Much Does It Cost To Join?
According to Stansberry Research, the cost of joining Crypto Cashflow is normally $5,000.
However, if you join through the Crypto Cash Summit presentation, the price is reduced to $2,500 and you get two years instead of one.
So it costs $2.5K for two years access, which gives 24 monthly issues in total.
Can you get a refund if you’re not happy with Crypto Cashflow?
There are no cash refunds with this service, but there is a 60 day guarantee in place that allows you to get a credit to use on a different service Stansberry Research runs. So if you join and don’t like it, you can’t get a cash refund, but you can essentially “swap” it for another service.
Who Is Eric Wade?
Eric Wade is the lead editor of the Crypto Cashflow service, as well as another service on the Stansberry Research website called Crypto Capital.
According to his bio on the Stansberry Research, Eric started picking stocks while he was still in college, and eventually went on to become a certified financial manager for one of the largest retail brokerages in America.
Which, based on his LinkedIn profile, seems to have been Merrill Lynch. His LinkedIn profile states that he worked there between 1994 to 1998 and was an “expert in matters of personal finance, taxation, small business needs.”
Aside from finance, he’s also worked in business development, sales and marketing, and has done consulting work related to crypto mining and investing.
All in all, he seems to have a lot of experience as an entrepreneur and investor.
And according to Stansberry Research, he began mining bitcoin in 2013, before expanding into mining other cryptocurrencies like Ethereum in 2016.
How have his recommendations peformed?
Based on the Crypto Cash Summit… Eric Wade is one of their highest performing analysts, boasting multiple 1,000% plus recommendations in the past 18 months alone.
Apparently, the last 45 out of 51 recommendations have been winners. And out of those, most have doubled, and at least eight of them have seen returns of more than 10X.
He also recommended bitcoin at one point, which according to the website helped his followers see a 1,576% gain, but it seems that most of his recommendations are related to betting on different altcoins and generating yield with both altcoins and stablecoins.
Bottom Line – Is Crypto Cashflow Legit?
Crypto Cashflow is legit, it’s a monthly advisory service that’s primarily focussed on helping subscribers generate income through buying and lending out cryptocurrencies.
And what Eric teaches is a real way to make money.
The first main approach he shares revolves around investing in stablecoins (like USDC or USDT) and, using sites like BlockFi or Coinbase, earning interest on that each month. This is the more conservative approach, but may not have as much upside potential.
The second approach he shares with subscribers is similar, but involves investing in cryptocurrencies and betting on their price going up over time. This could provide higher upside potential, but the downside risks are very high, perhaps even extreme.
That said, it does depend on which crypto asset you invest in.
Personally, I’m a fan of bitcoin, not of altcoins (alternative cryptocurrencies).
I’ve come across a number of gurus in the financial education space recently who suggest that bitcoin is more or less “old news” and that altcoins (or just blockchain tech) is the future.
For example, Teeka Tiwari says Genesis Technology (blockchain technology) will be bigger than bitcoin. Charlie Shrem and Matt McCall say a similar thing, and recommend altcoins, in their service called The Crypto Investor Network.
I do agree that blockchain technology is just getting started. But I also think bitcoin is the better option compared to altcoins.
Maybe I’m just biased, because I do have a position in bitcoin, but I’ve spent a lot of time learning about it, and there’s a lot of innovation taking place in the bitcoin space, especially with things like the Lightning Network. So I believe there’s still a lot of upside potential to come.
In any case, Eric does point out that there are risks, and he doesn’t suggest putting all your money into it. In fact, the Stansberry Research only recommends putting 1-5% of your investing assets into it, and points out that it’s “very speculative” relative to their other services.
Either way, Crypto Cashflow isn’t a scam. It’s a real service headed up by a real expert on trading cryptos and generate passive income with them.
So I guess the important thing is to make sure you’re aware of the potential risks, don’t rush into it expecting to get rich quick, and only invest what you can afford to lose.