Be wealthy and smart episode 1170. Step into a world of wealth and Financial Freedom without budgets boredom or bosses on be wealthy and smart and now here's your host Linda P Jones welcome to be wealthy and smart I'm Linda P Jones America's wealth Mentor empowering women and men worldwide to Financial Freedom on today's show we'reGoing to talk about where Millionaires and possibly even billionaires are going to be created this decade now recently I was talking to a friend and I have to admit I was rather taken aback when they asked me if I still felt that crypto was going to create enormous wealth theReason I was taken aback is because I actually took a lot of time to write a book about it so that people would be informed knowledgeable know exactly where to invest and what to invest in and why and yet someone was asking me that question as if the price of cryptoWould impact my opinion about its future or as if somehow crypto going up in value and then pulling back in value changed my opinion about the technology well I'll tell you I was really dumbfounded because I thought I had done a good job of explaining the technology and explaining the disruptive technologyProcess that blockchain is bringing and how exciting our future is because of Technology not because of crypto scams or crypto scam artists or because of speculation which unfortunately is part of the crypto world but it's a part that we don't have to be a part of it's aPart that we don't invest in it's a part that we don't have to have anything to do with we didn't invest with FTX we didn't have anything to do with Sam bankman freed we didn't invest in his crypto coin wooden uses exchange none of that impacted what we are investing inWhat we are investing in is the technology of the future now the difficult thing is that not all cryptocurrencies or blockchains or Technologies are created equal in fact there are a lot that I wouldn't have anything to do with and we've often quoted Brad garlinghouse the CEO of Ripple saying that most cryptocurrenciesAre not going to survive and we completely agree with him and believe that to be true why because there are many that are just there for hype and speculation because they are easy to create but those are not the technologies that are going to change the world and the technologies that areGoing to scale and dominate and be the leaders of the future are the technologies that we want to invest in and that we are invested in maybe the right term is blockchain more so than cryptocurrency or digital asset more so than cryptocurrency but we're invested in technology businesses these areBusinesses with real customers real revenues Ripple as a business has 300 international banking relationships they have xrp as a digital asset that can be used to bridge anything of value into anything else of value and was predominantly created for the largest market out there which is cross-borderPayments Ripple has a billion dollars of cash in the bank seasoned management top software developers but just like back in the internet era when the internet was coming into being there were lots of companies that were around at that time some of them deserved to be in businessAnd became leaders in their field others didn't deserve to be in business and went out of business because they didn't have the revenues they didn't have the clients that didn't have the technology or the management some fell by the wayside because they were hype and others went on to become MicrosoftAmazon Google Apple some of the most successful technology companies in our lifetime and more importantly for investors some of the best investments of our lifetime that's where we are with these digital assets that we're investing in now technology is known for moving in cycles and according to the NASDAQ website NASDAQ being theTechnology stock market of course the cryptocurrency revolution has begun this is right from their website it says it's the end of bad cryptos just built on hype and the emergence of strong ones made from world changing technology again not my words this comes from NASDAQ they say we have strong cause toBelieve this including Gartner's hype cycle it teaches us that new technologies go through five phases and then they explain in the five phases one was technology trigger a new breakthrough technology emerges new companies are born early Venture Capital investors pour money into those businesses and a small wave of earlyAdopters take advantage of this new technology second phase is peak of inflated expectations mass media coverage begins tons of new companies emerge all hoping to capitalize on the trend everyone starts hyping up the tech as the next big thing and more and more mainstream folks begin hopping on board part threeOf the cycle the trough of disillusionment first generation products based on the tech disappoint new companies start to fail the media talks about those failures the hype train Fades and new Venture Capital money comes into the space as sky-high expectations crash down that's where I think we've just been the fourth step isThe slope of Enlightenment the mainstream media forgets about the new tech but the companies that remain work to fine-tune it and develop second and third generation products with much clearer value propositions and use cases and the fifth part of the cycle is the plateau of productivity the masses beginUsing the technology and the companies in the space enter a prolonged period of durable growth and further NASDAQ says the million dollar question is what are the best cryptocurrencies to buy today that have enormous long-term upside potential these are the ones that could help you achieve total Financial FreedomIn a very short time again this is off the NASDAQ website then they talk about blockchain a transformational technology taking shape big picture blockchain allows for disintermediation across all Industries I just want to pause and explain disintermediation means when money flows out of something into something else for example banks areBeing disintermediated money is Flowing out of Banks and into cryptocurrencies That's disintermediation goes on to say it's arguably the most disruptive technology since the internet and at its core is it centralized and immutable Ledger this Ledger enables innately untrustworthy entities to create trustworthy systems all without the needFor any Central Authority that's the beautiful thing about blockchain is it should get rid of all the corruption out there it should be something that is transparent we can see transactions and we know where money meant because it's all traceable and trackable it goes on to say blockchain enables folks toRemove the middleman from Legacy systems and replace them with a collective Ledger why would we do that because middlemen are often unnecessary profit takers yeah kind of like the banks they are in the middle when you send a wire it takes several days for the money toGet there and the fees are very high because you have a middleman that you have to go through rather than you being able to send the money directly yourself so the change that we're going to is for you to have control of your own moneyAnd be able to send it anywhere you want at any time of the day or night with very little cost the NASDAQ website goes on to say there's huge potential underlying cryptocurrency in the blockchain the applications here are theoretically infinite one that Wall Street is currently drooling over is dDecentralized Finance or defy with cryptocurrency we can create a new era of finance that doesn't involve big Banks as profit taking intermediaries and Defy is the future then it goes on to say during the internet craze of the late 90s and early 2000s the companies that succeeded did something very simpleThey didn't reinvent the wheel or create brand new Industries they just digitized what was already working in the physical world malls were already working so Amazon digitized malls and turned it into the digital Mall movie theaters were working so Netflix digitized movie theaters and turned it into the digitalMovie theater the winning playbook in the.com boom was astoundingly simple find something that's working in the physical economy and digitize it so NASDAQ gets it exactly right everything I've shared with you here they are on point about the future technology and where we're going and one form of digitization can also be calledTokenization tokenization is the process of putting ownership and other rights onto a blockchain powered asset and so far in 2023 some very large corporations are utilizing this technology why are they doing this because traditional models of buying and selling property or stocks is slow archaic and expensive there are restrictions involved whereYou can only trade assets During certain hours of the day and their slow settlement times and the costs are pretty high the co-founder of solargenic Bob Ross says imagine creating a digital representation of Tesla or Microsoft stock tokenizing them and enabling them to be traded 24 7 on chain while evenAllowing investors to trade a fraction of the tokenized stock moreover the cost would be a fraction of what they are now instead of relying on the whims of trusted third parties you have an underlying blockchain that can immediately Foster audibility and transparency he forecasts that the valueOf tokenized assets get this could grow to be in the quote trillions of dollars over the following decades let me say that again he forecasts that the value of tokenized assets could grow to be in the trillions of dollars over the following decades that is why I recommended investing in digital assetsThat's why I wrote a book about it because the opportunity is so phenomenal I wanted you to hear about it and the fact that someone asked me if I still believe it to be true just because we've had prices run up and pull back is crazy to me you can't judge future technologyAnd investments just on price action alone all assets will get overvalued and become undervalued and that's something that happens with stocks it's something that happens with real estate it's something that happens with many things that can get overvalued and then go in the other direction and get undervaluedFor a period of time that doesn't change the long-term prognosis that this new technology is going to revolutionize the world and create massive wealth so what companies that you've heard of are adopting this technology well for one Goldman Sachs in January 2023 Goldman Sachs announced its digital assetPlatform and it went live the platform is using a private which is permissioned blockchain known as Canton built by digital asset they will use it to enable issuance registration settlement and custody of digital assets another large company the German manufacturing company Siemens issued its first digital Bond onPolygon which has a one-year maturity and although the bond was issued on chain the proceeds from investors were collected via traditional banking channels and Siemens spotlighted its efforts saying the move away from paper toward blockchain would make transactions faster and more efficient Daniela Barbarossa executive director of hyperledger foundation said theTokenization of assets is still on underappreciated by many Market observers as they might be focused primarily on the tokens themselves but tokenizing a wide variety of assets from equities to index funds to real estate and carbon credits offers huge potential in terms of not only enhancing transparency auditability and efficiencyBut also access to people who otherwise might not be able to tap into traditional markets so again tokenization is just creating a digital representation of an already existing asset whether it be real estate whether it be a collectible whether it be stocks bonds index funds ETFsEtc any asset that exists today can be tokenized and when you tokenize it you have a digital version that can be further divided and sold in fractions that would allow hundreds of people to potentially be able to buy a piece of real estate for example that's just oneUse that's obvious that could happen in the future now what's really interesting is Mark yusco who is a respected money manager is someone who understands why tokenization of financial assets will create massive wealth in our lifetimes there was a video clip of him on Twitter that went around and one of the thingsThat he said was that tokenization will create massive wealth he said it was the greatest wealth creation opportunity I'm going to see in my lifetime for sure that was Mark yusco are you getting the picture yet this technology is bringing massive change massive value and it's going to have massive wealth creationDon't take my word for it though let's look at two billionaire investors who are investing in blockchain Stanley druckenmiller and Paul Tudor Jones Stanley druckenmiller is a billionaire hedge fund manager what did he say about cryptocurrencies he said that cryptocurrencies could have a Renaissance if central banks lose publicConfidence amid their efforts to fight inflation and Stave off recessions digital currencies could be the scapegoat for the lack of trust in centralized entities that's exactly what we're going through right now as the banking system has had some failures of Banks and the central bank is losing public confidence he says digitalCurrencies could be the scapegoat for the lack of trust in centralized entities meaning money can move from traditional banking areas into digital currencies as people lose trust in central banks Paul Tudor Jones another billionaire hedge fund manager who has delivered returns of 20 percent for about 25 straight years one of the bestInvestors out there what does he say about crypto he said it's hard not to be long crypto meaning to own it outright to invest in it and he plans to increase his exposure up to five percent in crypto eventually which is about right I recommend three to five percent of aPortfolio into digital assets his first take is that we're seeing intellectual Capital move to the industry similar to what happened in the 90s with the development of the internet the second one is that the macro conditions of a recession might lead to a rally of assets that were previously beaten downThis is likely to happen when the FED stops hiking rates so the combination of a digital world and the macro failures meaning of the fed and inflation and interest rates going up caused by monetary policies worldwide might lead to a higher demand for Bitcoin and other crypto assets so some of the wealthiestInvestors I've talked about Mark Cuban another billionaire invested in cryptocurrency Elon Musk another billionaire invested in cryptocurrency these very wealthy people and opportunity finders who have invested well in their lifetime are investing in digital assets so you might ask well where is the opportunity where can youGet the biggest bang for your buck if you're investing in digital assets again you want to invest in the digital assets that have real businesses real customers real cash flow real utility real management and are already having success we've talked about the messaging standard ISO 20022 which the financialSystem has already adopted and has standardized how financial information is formatted so that it can be sent accurately and without error eighty percent of all transactions of high value in the future will be traveling on these ISO 20022 standard cryptos that's where I believe the real value is andWhat's so crazy is the prices are still in the pennies to invest in these things so getting in early doesn't mean you have to invest a lot of money it means you have to understand what you're doing where to invest and how to do it thereIs somewhat of a steep learning curve to learn how to open an account with an exchange store it securely on a wallet and all of that and if that's something you'd like help with I can definitely help you in the be wealthy and smart VIP experience and if you'd like to knowMore about the be wealthy and smart VIP experience check out the special offer in my show notes so I wanted to share this with you to let you know that my opinion has not changed about the investment opportunity before us if anything it's gotten stronger becauseThe prices are now so much better to invest and the future is brighter than ever markets go up and markets go down that's only short-term noise in the long term companies like Amazon have been doing that for years where they've had major disruptions at least once a yearFor just about their entire lifetime the thing is when the markets are low that's when you want to get in and that's when risk is lower and that's where we are right now and that's why I feel so very excited about the opportunities that we have before us because prices are stillVery good to get invested the opportunities are better than ever the winners are getting clearer and clearer and moving farther ahead and I can't be more excited than having this opportunity to invest in this decade and I wanted you to know about it if you haven't yet subscribed to be wealthy andSmart hit the Subscribe button and you'll be notified as soon as new podcasts are available so you never miss one of them and all of my podcasting library is on my website at lindipjones.com forward slash podcasts that's all for today until next time live the good life and be wealthy and smartThank you for listening to be wealthy and smart with Linda P Jones share the wealth and tell your family and friends about the show check out our website blog and social media for more riches at www.bewealthyandsmart.com Foreign