Today I’m looking into a Marc Lichtenfeld presentation about a “tiny crypto stock,” which is essentially a pitch for his $1,497 Predictive Profits research service.
According to Lichtenfeld, one so-called “crypto stock” that costs under $30 a share “has investments in more than 36 pre-IPO crypto companies,” and he believes it could help us “collect a substantial sum from the crypto markets.”
I’ve seen a lot of crypto presentations from gurus who claim their recommendation is “better than bitcoin” in one way or another. And that was more or less the case here, too. But instead of pitching a crypto token, Lichtenfeld teased a crypto-focused company.
He didn’t reveal his pick in the presentation, but I looked into the clues he shared to see what it was. And in this post, I’ll show you two picks I uncovered.
Marc Lichtenfeld’s “Tiny Crypto Stock” Revealed
Marc Lichtenfeld’s presentation centers around the idea that, while he believes bitcoin is “one of the best inflation hedges of all time” given its hard-capped supply, his crypto stock pick is “even better.”
Why does he think that?
According to Lichtenfeld, the company has its hands in “pretty much every aspect” of the crypto industry and represents the “next evolution of the financial system.”
He claims the company gets paid when people buy and sell crypto (regardless of the price), manages over a billion dollars in crypto assets, and has investments in over 36 pre-IPO companies, allowing you to “get in on the next generation of crypto projects.”
“This stock has investments of its own in 36-plus pre-IPO crypto companies.
And it manages $1.2 BILLION in crypto assets for clients, the way BlackRock manages stock portfolios for the ultra-rich.
So by owning shares in this crypto stock, you can get in on the next generation of crypto projects BEFORE anyone else.
Just as if you were a private investor.
I challenge you to find another investment opportunity that can give you ALL of this… for just $30.
This company is ESSENTIAL to the industry…
Which is why I believe it’s the easiest no-brainer investment of this decade.
Yes, even better than Bitcoin.”
But in short, I believe many of these so-called “crypto projects” (AKA altcoins) are going to zero in the long run (as many already have) because a lot of them are scams.
That said, I have a position in bitcoin, so you should probably assume I’m biased. And to be clear, Lichtenfeld’s “crypto stock” pick isn’t a cryptocurrency. It’s a crypto-focused company that, among other things, has invested in “36-plus pre-IPO crypto companies.”
Whether that includes altcoin projects or not is unclear, but Lichtenfeld likens his pick to Amazon because many individual businesses use Amazon to sell their products.
“Don’t try to just pick your favorite coin and go all-in.
There’s too much risk in that.
Instead, get a piece of 36 of the very best crypto companies and technologies set to take off.
Now, of course, no one can predict the future. So you should never invest more than you can afford to lose.
But there are dozens of historical examples where a single stock investment can let you profit from the success of many businesses all at once.
Think of a company like Amazon.
Most people think of it as a single stock.
But how many businesses use the Amazon platform every day to sell their products?
Buying Amazon is like buying into the entire American economic system.
And its stock is up 120,000% since its 1997 IPO.”
What else did Lichtenfeld say about his pick? According to Lichtenfeld, there are four different “pillars” of this company’s business model.
“This company has taken aim at the ENTIRE $7.4 TRILLION financial market…
I’m going to show you not one or two pillars of this stock’s business… but FOUR different ways it’s profiting from crypto.”
Here’s a quick overview of each “crypto pillar” Lichtenfeld mentioned:
- “Trading Unit” – According to Lichtenfeld, the company has a trading desk that “facilitates buys and sells from traders” and “takes a small commission for each transaction.”
- “Asset Management” – Lichtenfeld says that the company he’s recommending has a “crypto fund” with $1.2 billion in assets under management and that it has “several different crypto investment funds” people can invest in.
- “Investment Banking” – According to Lichtenfeld, the “third pillar” of his recommended crypto company’s business is investment banking. In short, he says it “arranges financing for other crypto companies.”
- “Venture Capital” – Lichtenfeld claims that “this stock has 36-plus investments in pre-IPO crypto companies.” And he suggests that, instead of being an accredited investor (which is typically required to invest in private companies), we “could just buy this tiny crypto stock instead” and “essentially become like a VC with just $30.”
Aside from those four “pillars,” Lichtenfeld also said that there’s a fifth aspect to the company’s business model – bitcoin mining.
“Well, my #1 crypto stock JUST launched its own mining operation. It’s going to mine Bitcoin as well as provide financial services to other miners in the industry.”
What other clues did he share?
The last main clue Lichtenfeld shared was about the company’s CEO:
“The CEO of this stock is very well-connected to the big money on Wall Street!
He was with Goldman Sachs for 11 years, where he was named partner. There’s a good reason I call this stock the Goldman Sachs of crypto!”
And lastly, he reiterated that, even though it’s a stock (not an altcoin), it doesn’t trade on major exchanges like the NYSE or Nasdaq:
“Remember, it does NOT trade on the New York Stock Exchange… the Nasdaq… or even Coinbase… despite the fact that it’s right in the heart of New York City!”
What could his pick be?
The “tiny crypto stock” Lichtenfeld’s teasing appears to be Galaxy Digital Holdings.
The clue that initially led me to this conclusion was an image Lichtenfeld shared in the presentation of an “unassuming office building,” which shows an address in New York that (roughly) lines up with where Galaxy Digital’s office is located.
Next, I looked into what this company does, and it seems to match what Lichtenfeld described. According to Galaxy Digital’s Q1 2022 investor presentation, it has five “Business Lines” that seem to match the “crypto pillars” Lichtenfeld discussed.
Third, the company’s stock doesn’t trade on the NYSE or Nasdaq. Instead, it trades on the Toronto Stock Exchange (TSX: GLXY) and on the OTC market (BRPHF). What’s more, the presentation is dated April 2021, and Galaxy Digital was trading at just under $30 at around that time (in USD). Although it’s traded down considerably since then.
Fourth, the clue about the company’s CEO matches. The founder and CEO of Galaxy Digital is Michael Novogratz, who spent 11 years at Goldman Sachs and is pretty well-known in the crypto space.
As for what “36-plus pre-IPO crypto companies” Lichtenfeld is referring to, that part is unclear. But my understanding is that Galaxy Digital has invested in a wide range of crypto-related companies as part of its overall business model.
So, bottom line, Galaxy Digital looks like Lichtenfeld’s pick.
And if you want to find out if my guess is correct, the best thing to do would be to check out his Predictive Profits service because it comes with a report called “The Tiny Crypto Stock Every American Should Own,” which details exactly what he’s recommending and why.
We’ll take a closer look at that service in a moment, but for now, I want to give you the heads up about a second pick Lichtenfeld teased in the presentation.
A so-called “pick-and-shovel” crypto play…
What About Lichtenfeld’s “Pick-and-Shovel” Play?
Marc Lichtenfeld says he’s found a stock that he believes could help us profit “no matter which crypto wins,” and he refers to it as a “pick-and-shovel” play.
Here are the clues he shares about the company:
“All this crypto mining and keeping the networks running require heavy-duty computer power.
There are only a few companies that have the right patents for this tech… so all the miners have to buy their equipment from them.
And I predict one will take the lion’s share of the profits as it sells the ‘picks and shovels’ to crypto miners.
Its machines run blockchain networks all over the world.
In fact, it was the FIRST to invent computers dedicated SOLELY to mining Bitcoin.
I’ve assembled everything you need to know in your second dossier, ‘My #1 Pick-and-Shovel Play for the Crypto Revolution.'”
Based on that, he appears to be teasing the first company to have built a dedicated bitcoin mining machine known as an ASIC (application-specific integrated circuit) miner.
And according to CoinDesk, Canaan Creative, a China-based computer hardware manufacturer, was the first to release an ASIC mining machine.
So it looks like Canaan (CAN) is Lichtenfeld’s second pick.
On the one hand, I like the idea of getting some exposure to companies that make ASICs. And given how beaten down Canaan’s stock currently is and my long-term positive outlook on bitcoin, this is one I’ll be keeping an eye on.
On the other hand, the company is based in China, which has “banned” bitcoin. And with U.S.-based Intel stepping into the ASIC mining rig space, I wonder what impact that could have on overseas ASIC manufacturers in the future.
I guess time will tell.
In the meantime, if you want to find out more about Marc Lichtenfeld’s picks, the best thing to do would be to check out his service, Predictive Profits, and see his reports.
Recommended: Go here to see my #1 rated stock advisory of 2022
What Is Predictive Profits?
Predictive Profits is a $1,495 per year investment research service run by Marc Lichtenfeld of the Oxford Club. And according to Lichtenfeld, the service is focused on helping subscribers achieve “the fastest gains possible” in the “safest possible way.”
“Predictive Profits is a high-end VIP research service designed to help regular folks achieve the fastest gains possible – in the safest possible way.
The idea behind this service is something I call the ‘Targeted Win-Win Strategy.'”
Lichtenfeld says that his service targets stocks with “big moonshot potential” and “rock-solid financials.” And based on the examples of companies he’s recommended in the past, his picks include stocks in a variety of industries (not just crypto).
Does the service have a good track record?
According to the presentation (which is dated April 2021), Lichtenfeld has recommended numerous triple-digit stocks, and he said the following regarding the model portfolio:
“These are some of my top wins, to be clear… but this model portfolio has still generated 11% since starting in mid-2018.”
It’s unclear exactly what model portfolio he’s referring to, but his statement appears to be in reference to the Predictive Profits portfolio.
Either way, it’s unclear how well the service has performed since the presentation was made. And regardless of how well any service has done, on any time horizon, that doesn’t guarantee how well it will do in the future.
What do you get if you join?
The Oxford Club website states that subscribers receive “two to three” stock recommendations each month, along with Lichtenfeld’s research and analysis.
You also get the research reports I mentioned earlier, which detail Lichtenfeld’s crypto-related picks, weekly updates on the model portfolio, and other resources.
Who Is Marc Lichtenfeld?
Marc Lichtenfeld is the editor of a handful of services published by The Oxford Club, including his flagship Oxford Income Letter, Predictive Profits, and several others.
The types of investments Lichtenfeld recommends vary from service to service, but his specialty seems to be dividend investing. And before getting into the world of stock picking, his Oxford Club profile states that he was a professional trader and investment analyst.
He’s also written a best-selling book called “Get Rich With Dividends: A Proven System for Double-Digit Returns,” shared his insights in Barron’s, and appeared on popular shows like CNBC and Fox Business over the years.
None of that means you’ll make money following his investment recommendations, but Lichtenfeld claims to be a “25-year market veteran” in the presentation, and my research suggests that he is a real investment guru.
I recently looked into another stock teaser he has released, too. It’s a presentation he dubbed “The Era of Valorem,” which centered around value stocks.
So if you want to get a better idea of what other companies he has recommended, check out the post I just linked to, where I uncover his so-called “Valorem” stock pick.
Marc Lichtenfeld’s “crypto stock” presentation was about a company that he believes could help investors “collect a substantial sum from the crypto markets.” He also talked about a “pick-and-shovel” company he’s tracking that makes bitcoin mining machines.
At the end of the day, I haven’t read the research reports he created about his picks because I’m not a member of his Predictive Profits service, but my research suggests that his first pick could be Galaxy Digital, and his second pick looks like Canaan.
I’m curious to know if you agree with my guesses or not, but those seem to be the companies he’s recommending based on the clues he shared in the presentation.
Either way, I hope you found this post helpful.
Thanks for reading!