Dogecoin’s cocreator explains how the ‘parody’ currency turned into a billion-dollar movement

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Dogecoin is a “meme” cryptocurrency, seemingly created as a joke.

  • Dogecoin has exploded in value in the past week, rewarding those who invested in the meme currency.
  • In 2013, Billy Markus and Jackson Palmer created the cryptocurrency as a parody.
  • Markus believes a “friendly, low barrier to entry” has allowed Dogecoin to surpass its meme status.
  • See more stories on Insider’s business page.

Dogecoin is the earnest cryptocurrency, born out of a meme that its creators thought was “hilarious.” Now, that random joke created to lampoon the market is becoming a valuable asset itself. Just this year, the animal-themed currency went from trading for less than a penny to hitting a price of 14 cents by mid-April, with 11.7 billion units circulating. Elon Musk, the founder of Tesla, tweeted pictures of Shiba Inus, and YouTuber Marques Brownlee described Dogecoin as “the more accessible, less intimidating crypto for the people.”

“There are many different reasons that people are buying it, and it’s more or less gone mainstream at this point,” said Billy Markus, an IBM engineer and a cocreator of Dogecoin. “It’s one of the most volatile assets you can make a bet on, but people right now have a lot of reasons to make that bet, and that is being reflected in the market.”

Dogecoin started as a joke that quickly grew into a larger movement

Most alternative cryptocurrencies, known as altcoins or clone coins, are fundamentally similar to Bitcoin. They can be “mined” by computers that run complicated equations to create these new assets that can be stored online or offline. In 2013, Markus had tried using his gaming computer to mine Bitcoin when he wasn’t gaming, but said that he found that it “was a very slow and expensive process.”

Using a guide he found online, Markus taught himself how to create his own altcoin. His first was “Bells,” based on the currency in the popular Nintendo life simulator “Animal Crossing,” which he said “flopped.” After spending some time in an internet chat room, he was directed to the Adobe developer Jackson Palmer, who had purchased the Dogecoin.com domain name.

“I found that there was a huge market with new coins coming out daily, and at times hourly, all touting how they were going to become worth zillions and take over the galaxy,” Markus said. “I thought it was silly, and also thought that, considering there were so many coming out, it was probably easy to make.”

Doge, one of the internet’s earliest memes to break through to the mainstream, features a 2010 picture of a yellow Shiba Inu looking quizzically into the camera. In 2013, the meme template of two-word phrases juxtaposed with the curious canine gained worldwide appeal, making it the perfect target for this project.

The pair collaborated, creating a currency so ingrained in meme culture that it would be impossible to take seriously. The website was covered with Comic Sans font, a popular motif of the Doge meme inspired by gibberish such as “much wow” and “so currency.”

“The original intent was a parody of all the ‘serious’ clone coins that were trying so hard to differentiate themselves, but all seemed the same,” Markus said. “Dogecoin was just another clone coin, but instead of taking itself seriously, it was just Dogecoin.”

dogecoin fieri.JPG

Over the next few years, Dogecoin would pick up with the irony-loving nihilists who feel the concept of currency is fundamentally flawed, and may have been more interested in “lulz” instead. In 2014, Dogecoin users raised $30,000 to send the Jamaican bobsled team to the Winter Olympics, a reference to the 1993 film “Cool Runnings,” and $50,000 to Charity: Water, which helps give clean drinking water to developing nations.

Palmer would leave the crypto community in 2015, giving over development duties to a group of community followers. “I saw the space being overrun by opportunists looking to make a buck, rather than people investing in evolving the technology,” Palmer wrote in a Vice story.

The value of Dogecoin comes from its meme status

As long as computers can run the equation, Dogecoin may never run out. Unlike Bitcoin, which has a set number of units that can be mined, the yellow dog on a coin can be bought and sold for cheap. For the past decade, Dogecoin could be bought by the thousands for almost nothing, making it easy to collect. This “friendly, low barrier to entry,” Markus said, has allowed the coin to go mainstream in a way that a lot of ironic art rarely does.

Over the past few years, cryptocurrency has exploded in popularity, with Bitcoin hitting a record $64,000 this week. This mainstream awareness created by this virtual gold rush has inspired a fear of missing out that is causing cryptos to skyrocket in value.

“I think the market has been trying to figure out what the intrinsic value of all cryptocurrency is over the last 12 years,” Markus said. “It hasn’t settled on one yet.”

Read the original article on Business Insider

Goldman Sachs is going through a big transformation under CEO David Solomon

Goldman Sachs CEO David Solomon
Goldman Sachs CEO David Solomon.

Goldman Sachs is going through some massive changes under CEO David Solomon.

The Wall Street bank has taken big steps involving transparency and inclusion to change up its culture. After its first-ever investor day in early 2020, the firm is looking to execute on targets including multi-year cost-cutting plans. And it’s making big pushes into wealth management and consumer banking.

Solomon, who took the reins as CEO in 2018, has also looked to reduce the number of partners overall at the firm to make the status more elite and exclusive. In 2018, there were 484 partners. But as of the newest partner additions, Goldman’s total partners amounted to fewer than 440.

Goldman Sachs reported first-quarter earnings on Wednesday, April 14, and turned in blowout performance on trading and dealmaking. Stephen Scherr, Goldman Sachs’ chief financial officer, said on the earnings call that the firm is increasingly leaning into cloud technology.

“Our new builds are largely, perhaps not exclusively, but largely cloud-based,” he said.

“We’re riveted and focused on doing that so as to eliminate legacy technology,” Scherr added.

Here’s a rundown of the latest news at Goldman, including the latest hires and exits, deep dives on its Marcus consumer bank, and how Goldman investment banking analysts are reacting after a year of rapid-fire deal while WFH.


The lastest news on Goldman’s Marcus

Marcus Goldman Sachs
Marcus offers savings and credit products online and through its app.

Goldman Sachs has built its consumer-banking arm into a $1 billion business over the past five years.

But it’s seen a wave of recent departures including the exits of top Marcus bosses Omer Ismail and David Stark. And JPMorgan has poached the head of product at Marcus to join the bank’s digital and product leadership team for consumer and community banking.

Insiders explained how Goldman Sachs’ hard-charging culture had contributed to exhaustion and high turnover within Marcus, and a Goldman spokesperson told us that the firm is eyeing beefing up the ranks by hiring some 200 to 300 new engineers.

Read more:


Who are the top leaders at Goldman?

Goldman Sachs org chart 2x1

Goldman in September shuffled its setup, creating a new standalone consumer division that includes its Marcus lending unit as well as its wealth-management and private-banking businesses.

Strategy chief Stephanie Cohen and Tucker York, the head of the private-wealth business, were tapped to colead the new consumer and wealth management division and the changes went into effect on Jan. 1.

The new setup matches the way Goldman reports financial results, a change the firm made in 2019 to better align with how Solomon wanted investors to think about the firm. Goldman now has four divisions: consumer and wealth management, asset management, investment banking, and global markets.

Read more:


Goldman’s junior bankers are feeling the heat

wall street burnout young talent junior analyst 2x1

A grueling year of increased demands while working from home has some Goldman Sachs junior talent reaching a breaking point.

In March, a presentation created by 13 analysts within the firm’s investment bank grabbed headlines. Meanwhile, the bank is prepping its latest cohort of young bankers for a return to in-person work.

Read more:

Goldman’s dealmakers

When Goldman announced its latest class of partners, one group was particularly well-represented on the list. Seven of the 19 investment bankers elevated to partner status came from the bank’s powerhouse technology, media, and telecommunications group.

The group has also seen some shakeups in recent months. Goldman Sachs veteran Gregg Lemkau, co-head of the firm’s investment banking division since 2017 and a member of Goldman’s management committee, left at the end of 2020. Instacart has tapped Nick Giovanni, Goldman Sachs’ head of the global technology, media and telecom group, to be its CFO. And in September, Goldman Sachs named new leadership in its M&A group.

Goldman has also been riding the SPAC boom, which went into overdrive in the first quarter. It ranked No. 2 among banks in terms of SPAC IPOs year-to-date by mid-March.

Read more:

Read the original article on Business Insider

Trading the infrastructure bill, plus strategies for Archegos fallout

Hello everyone! Welcome to this weekly roundup of Investing stories from deputy editor Joe Ciolli. Please subscribe here to get this newsletter in your inbox every week.

biden pittsburg infrastructure plan getty

Hello and welcome to Insider Investing. I’m Joe Ciolli, and I’m here to guide you through what’s been happening in markets. Here’s what’s on the docket:

If you aren’t yet a subscriber to Insider Investing, you can sign up here.

Have thoughts on the newsletter? Just want to talk markets? Feel free to drop me a line at jciolli@insider.com or on Twitter @JoeCiolli.


How to trade the infrastructure bill

Biden infrastructure

President Joe Biden recently announced a $2 trillion plan to rebuild American infrastructure. We spoke to Global X infrastructure analyst Andrew Little about 5 stocks he thinks stand to benefit.

UBS is also looking for opportunities specifically in the commodity space. The firm recently revealed 8 such trades it says can each lead to 10%-plus returns as raw-material prices surge.

Read the full stories here:

An analyst for the top-performing infrastructure ETF in the US this year shares 5 stocks set to benefit for years from Biden and Congress’ expected multitrillion-dollar package

UBS says these 8 commodity trades could make you a return of at least 10% as the reopening and Biden’s $2 trillion infrastructure plan send prices surging


Strategies for Archegos fallout

Bill Hwang

For investors that were spared serious fallout from the implosion of Archegos, the whole ordeal is a good opportunity to reevaluate certain approaches, and perhaps even capitalize on the chaos.

From a “Warren Buffett trade” investors can use to take advantage, to strategies designed to profit from mispricings, we’ve been busy compiling recommendations.

Read the full stories here:

An options expert breaks down how the secretive derivatives instruments at the center of the Archegos implosion work – and shares a ‘Warren Buffett trade’ that investors can execute to take advantage of stocks impacted by the $30 billion selling spree

2 experts in the risky product that triggered Archegos’ $20 billion margin call break down the market implications of the blowup – and share how traders can take advantage of the heightened volatility

An investor who used to work for Baupost’s Seth Klarman explains why he thinks the Archegos implosion is the ‘Frankenstein version of GameStop’ – and shares how to replicate hedge fund performance without taking on huge risks


99th-percentile internet investing

Ryan Jacob

Ryan Jacob’s mutual fund – the Jacob Internet Fund (JAMFX) – is up 201% over the last year. He shared with us 5 stocks he thinks will crush Wall Street estimates going forward. And while he tends to stay away from large-cap firms, he shared which two FAANMG stocks he likes most.

Read the full story here:

Ryan Jacob’s internet fund tripled in value over the last year and beat 99% of its peers over the past 3. He shared 5 stocks he’s betting on for their ‘very significant’ upside – and the 2 FAANMG firms he thinks will grow 20-30% per year.


Stock pick central

Seeking experts who are willing to name names? Look no further:

Read the original article on Business Insider

Crypto-art investors could face a surprise on tax day since NFTs can lead to a hefty tax bill

5,000 everydays artwork by Beeple, which was sold at Christies auction house for $69 million
5,000 everydays artwork by Beeple, which was sold at Christies auction house for $69 million

  • Crypto art is taxed when it is purchased and sold, as well as through the cryptocurrencies used to buy the NFTs.
  • NFTs are not yet subject to the same sales taxes as physical art pieces.
  • After his $70 million NFT sale, Beeple likely faces taxes worth tens of million of dollars.
  • See more stories on Insider’s business page.

While crypto art sales have boomed in the past month, catching the national spotlight with flashy price tags, what many buyers and sellers might not realize is that non-fungible tokens or NFTs can generate a large tax bill.

In March, a crypto art piece by digital artist Mike Winkelmann, also known as Beeple, made history when it sold for nearly $70 million. When told how he would be taxed on the sale, Winkelmann expressed surprise.

“Holy s—, that’s a lot of taxes,” Winkelmann told CNBC.

Winkelmann may be facing a tax bill worth tens of millions of dollars. As an artist, Winkelmann will also have to pay federal and state income taxes on his earnings from the sale, in addition to reporting the cryptocurrency gains on his 2020 tax return.

The Internal Revenue Services sees buying and selling NFTs as a realization of investment gains, and therefore subject to the capital gains tax.

There are multiple ways you can get taxed when buying and selling an NFT. Capital gains taxes apply to NFTs, in much the same way they apply to selling stocks. However, because NFTs are considered collectibles they are also taxed at an even higher rate of 28%.

NFT buyers and sellers also need to be aware of how the cryptocurrency they used to buy the NFT will be taxed.

Most crypto-art pieces are bought using digital currencies, including ether and WAX. These cryptocurrencies are also subject to a capital gains tax, depending on how much they’ve gained in value since they were originally purchased and how long the buyer held the digital currency.

If the buyer held the cryptocurrency for over a year, they would be subject to a long-term capital gains tax. Long-term capital gains are taxed at 15% for individuals who earn between $40,000 and $441,000 – and 20% for individuals that make more than that amount. Holding the digital asset for less than a year will create a short-term capital gain, which is based upon the effective tax rate for the taxpayer.

In short, NFT buyers and sellers will be taxed when purchasing an NFT using a digital currency, selling an NFT for another NFT, selling an NFT for a cryptocurrency, as well as when converting the cryptocurrency used to buy and sell the item back into US dollars.

On the other hand, NFTs are not yet subject to the sales tax that would be applied to a physical piece of art – an issue that art law expert Diana Wierbicki told ArtNet state tax laws could soon catch up to.

The IRS has been cracking down on cryptocurrencies in recent months. This year, the IRS put a question about crypto investments on the first page of 2020 tax returns. People that fail to report digital assets or attempt to hide them could face serious penalties from the IRS.

Many NFT buyers and sellers likely do not know the hefty tax fees they will face. Shehan Chandrasekera, head of tax strategy at CoinTracker, told CNBC that there’s so many unknowns when it comes to the emerging market of NFTs that many people probably won’t know what to expect on tax day.

“People’s knowledge of this tax in the U.S. is very poor,” he said. “I just don’t think people know about it.”

This article was reviewed for accuracy and clarity by Sheneya Wilson, an expert on Personal Finance Insider’s tax review board.

Read the original article on Business Insider

How to attract investors and raise funds for your business during the pandemic, according to an angel investor

Woman in flower shop talking on the phone
A founder may go through various iterations of their business, but it’s their determination that sets them apart for investors.

  • Active angel investor Heidi Zak says early-stage investors are still making deals during the pandemic.
  • A founder’s business needs to make sense for investors to get on board; dedication is key.
  • Before trying to raise money, show that your business model is profitable and sustainable.
  • See more stories on Insider’s business page.

In addition to being the CEO of ThirdLove, I am an active angel investor – predominantly in consumer-focused women-led startups. As an angel investor, I am always receiving inbound pitches from founders looking to raise their pre-seed, seed, and Series A rounds.

Despite what the pandemic has done to businesses, the economy, and society as a whole, there has been no slowdown in deal flow for early-stage investors. If anything, the general consensus in the entrepreneurship community is that now is a terrific time to start a company – because there are an abundance of problems still to be solved in the world.

That said, just because a lot of entrepreneurs want to start a business doesn’t mean they all receive funding.

As an angel investor and someone who has built and is still running a company that is scaling, there are a few things I look for in every founder and startup I invest in. So if you are starting a business, thinking about starting a business, or already well on your way and looking to raise your next round, here are a few things I encourage you to do to build excitement and successfully raise funding.

1. Make your business easy to understand. Do one thing, and do it extremely well.

Rome wasn’t built in a day. One of the biggest reasons entrepreneurs struggle to raise money is because they can’t decide which one of their ideas is their “core competency” and, as a result, try to build them all.

What this does, however, is make it very difficult for customers, investors, and even employees to get a firm grasp on what it is the business actually does. What’s the goal? What’s the one thing the business will be known for? What’s the problem, what’s the unmet need, and (in a single sentence) what’s the solution? Bam, bam, bam.

If you can’t explain what problem your business solves, how, and why, in a sentence or two, then chances are you aren’t quite sure either. And if you aren’t 100% sure of what problem your business is solving in the world, investors aren’t going to know what they’re investing in.

2. Become close to profitable before trying to raise money

Almost all the investments I’ve made over the past few years have been in companies that were profitable or very close to profitable.

This isn’t true for every angel investor (there are plenty of investors in Silicon Valley who bet on companies knowing they won’t be profitable for many, many years). But since I primarily focus on consumer businesses, I expect the founding team to have already made a bit of money before seeking additional investment. The reason is that, in 2021, it has never been easier to beta test consumer products, gather feedback from customers, and start generating revenue on the Internet.

Once that milestone has been reached, and the team has gathered some data around their unit economics, customer acquisition costs, and so on, the business becomes much more investable – because now, as an investor, I know my money is being used to accelerate something that’s already working.

3. Show you have the energy and dedication to build a meaningful company

At the end of the day, angel investors bet on founders and founding teams.

I have certainly made a few investments that bet much more on the founder than on the business. I call these types of founders “hustlers,” because something about their energy tells you they are willing to do whatever it takes to build a business. They might need to go through a few different iterations to get there, but they are determined to get there.

A few signals I look for:

  • The founders have great energy, and a true passion for what they are building and how they are helping consumers.
  • The founders have some sort of unfair advantage, such as access to other influential people, a large social media following, a unique combination of skill sets, etc.
  • The founders are good listeners, they are curious, and they showcase grit.

That said, at the end of the day, your business needs to make sense for investors to get on board. Very few angels will “take a chance” on someone just because that person is excited about entrepreneurship (and those angels are almost always family members or family friends). The real way to determine whether or not your business is investable is if you share what you’re working on with someone and they immediately say, “I love it. How can I help?”

That’s a sign you’re on to something, and your business is ready to move to the next level.

Read the original article on Business Insider

Robinhood is ditching the controversial confetti feature that critics say turns investing into a game

Robinhood on cellphone
Robinhood is preparing for its public debut.

  • Robinhood is getting rid of a confetti animation that appears when users make their first trade.
  • The company said Wednesday it plans to introduce new features to mark certain actions.
  • Robinhood has faced criticism over the way it gamifies investing for inexperienced traders.
  • See more stories on Insider’s business page.

Robinhood is getting rid of one of its most controversial features, the company announced Wednesday.

The stock trading website is redesigning the look of its interface, and that includes dumping one of its trademark features: a confetti animation that pops up after users make their first trade.

“In the past, we used the same confetti design to celebrate firsts with customers,” Robinhood said in a blog post. “Those included customers’ first trades, their first steps with cash management, and successful referrals of friends and family. Now, we’re introducing new, dynamic visual experiences that cheer on customers through the milestones in their financial journeys.”

The free stock trading app has caught heat from critics who say it makes investing too much like a game, enticing novice investors to trade obsessively and place bigger bets than they should. Robinhood’s easy-to-use, flashy platform leads some inexperienced users to play the market compulsively, Insider previously reported.

Read more: GENERATION ROBINHOOD: How the trading app conditioned its inexperienced users to obsessively play the market

Robinhood, for its part, rejects the notion that it gamifies investing, saying instead that its sleek interface helps people invest more easily.

“Robinhood was designed to help investing fit easily into people’s lives. That’s why our app is simple, easy-to-use, bright-maybe even delightful,” the company said in Wednesday’s blog post.

Starting next week, Robinhood will roll out new animations to mark actions like making an inaugural trade, depositing money, or signing up for Robinhood’s paid offering, Robinhood Gold.

The changes come as Robinhood faces heightened scrutiny over how traders use its app. In January, users pushed GameStop and other so-called meme stocks to record highs. The move comes as Robinhood prepares to go public.

Read the original article on Business Insider

Hedge funds vs. Chamath, plus finding gems in overlooked mid-cap stocks

Hello and welcome to Insider Investing. I’m Joe Ciolli, and I’m here to guide you through the current market and investing landscape. The newsletter will be taking a week off and returning on April 11. Here’s what’s on the docket:

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Have thoughts on the newsletter? Just want to talk markets? Feel free to drop me a line at jciolli@insider.com or on Twitter @JoeCiolli.


Check out our new investing e-book:

The definitive guide to picking long-term stock-market winners, according to America’s top-ranked fund managers.

Investing editor Akin Oyedele showcases eight star fund managers, their performance highlights, and their five biggest stock holdings.


Hedge funds vs. Chamath

iconq chamath palihapitiya

SPACs have been caught in a harsh sell-off along with growth stocks as bond yields rise. Billionaire Chamath Palihapitiya has been among those most affected, with short-sellers making $40 million betting against his SPACs year-to-date. We break down the wagers being made against Chamath’s three most high-profile SPACs.

Read the full story here:

Hedge funds are ramping up bets against Chamath Palihapitiya’s SPACs and have already taken home $40 million this year. Here’s a detailed look at the wagers they’re making.


The case for overlooked mid-cap stocks

Amy Zhang

Amy Zhang manages $11 billion across small- and mid-cap funds for Alger – one of which has generated a 138% return over the past year. She explains why the mid-cap equity space is teeming with opportunity, and shares 3 of her top stock picks.

Read the full story here:

A fund manager who’s returned 138% in the past year shares 3 mid-cap stocks poised to surge as the economic reopening accelerates – and breaks down why investors should consider this overlooked yet outperforming asset class


4 charts for the future

A trader waits for news while working on the floor of the New York Stock Exchange following a halt in trading in New York, July 8, 2015.  REUTERS/Lucas Jackson

David Keller is the chief market strategist at Stockcharts.com and an expert at technical analysis. We asked him what charts investors should be looking at now, and what they’re indicating assets might do going forward. He responded with four that he dissected in detail.

Read the full story here:

A chief market strategist shares 4 must-see charts that forecast the next big moves in stocks, bonds, and gold – and 6 trades set to surge on what happens next


Stock pick central

Seeking experts who are willing to name names? Look no further:

Read the original article on Business Insider

The SEC’s ‘Crypto Mom’ Hester Peirce says selling fractionalized NFTs could be illegal

Commissioner Peirce participates in a U.S Securities and Exchange Commission open meeting
  • SEC commissioner Hester Peirce reminded issuers not to accidentally create investment products.
  • Selling fractionalized NFTs, or NFT baskets could turn them into securities, which are tightly regulated.
  • ‘Crypto mom’ Peirce also thinks the Howey test is not a good way to see if digital assets are securities.
  • Sign up here for our daily newsletter, 10 Things Before the Opening Bell.

The Securities and Exchange Commission ‘crypto mom’ Hester Peirce said issuers of non-fungible tokens must be careful they do not accidentally create investment products when selling fractions, or derivatives, of these digital collectors items.

“People are being very creative in the types of NFTs they’re putting out there,” Peirce, who is an SEC commissioner and cryptocurrency supporter, said at Draper Goren Holm’s Security Token Summit on Thursday.

NFTs are designed to be unique and non-fungible, so they are less likely to be securities, Peirce said. However, considering the creative approaches some issuers have been developing, people should be asking questions and being careful, she said.

When selling fractions of individual NFTs, or NFT baskets, “you better be careful that you’re not creating something that’s an investment product, that’s a security”, the so-called “Crypto Mom” said. “The definition of security can be pretty broad,” she said.

NFTs, or non-fungible tokens, have soared in popularity recently and are selling for large sums of money. NFTs are data units, often digital content like a tweet, a meme, a piece of art, or music. Twitter founder Jack Dorsey’s first ever tweet, for example, sold for $2.9 million as an NFT and digital artist Beeple sold a work for almost $70 million, a record high for digital art.

Peirce said the Howey test, which is used to determine whether or not an asset is a security, does not work well for digital assets, as its basic logic does not apply in the same way as it does to physical assets.

Peirce stated the SEC is considering how, and whether, to refine her proposed safe-harbor policy and a revised plan would likely be presented soon. She said she hopes to collaborate with incoming SEC chairman Gary Gensler on this topic and is engaging with the approaches followed by other countries and regulators to help devise a potential regulatory framework.

Peirce’s safe-harbor policy would allow issuers of crypto assets and funds to claim exemption from SEC regulations for three years to protect them from token distribution being classed as securitization immediately. Digital asset investors and creators have shared concerns that SEC regulation would prevent them from being able to set up a broad, decentralized financial system.

“I don’t know how it will all play out, and again, I have a lot to learn from what’s going on in Europe, also what’s happening in Asia, what’s happening in the Caribbean. You know, there are a lot of places that are taking much more forward-looking approaches than we and by ‘forward-looking’, I mean really trying to provide some clarity.”

Read the original article on Business Insider

Investing in sports cards, plus a 3-part bitcoin strategy spanning the entire ecosystem

Hello everyone! Welcome to this weekly roundup of Investing stories from deputy editor Joe Ciolli. Please subscribe here to get this newsletter in your inbox every week.

NBA Top Shot Press Logo_Collectibles_
NBA Top Shot.

Hello and welcome to Insider Investing. I’m Joe Ciolli, and I’m here to guide you through what’s been happening in markets, as well as what to expect in the coming weeks. Here’s what’s on the docket:

If you aren’t yet a subscriber to Insider Investing, you can sign up here.

Have thoughts on the newsletter? Just want to talk markets? Feel free to drop me a line at jciolli@insider.com or on Twitter @JoeCiolli.


Your weekly outlook

This past week featured more tug-of-war in the stock and bond markets between fears of runaway inflation and confidence in the economic recovery. The highlight of the week was Fed Chair Jerome Powell’s press conference as part of the central bank’s rate decision, which seemingly soothed investor nerves and caused stocks to surge into the close.

Then the next day everyone seemed to get cold feet. The 10-year Treasury yield spiked yet again to a more than one-year high, signaling renewed inflation fears. That helped take a 3% bite out of the tech-heavy Nasdaq on Thursday. Now heading into next week the market once again finds itself seemingly rudderless and vulnerable to inflationary mood swings.

The input to watch this week will once again be the 10-year yield, which has become the foremost indicator of inflation fears. It’s the highest since January 2020 right now. If investors continue to question Powell’s insistence on maintaining stimulative asset purchases, it could spike even more. Then stocks – namely tech – could tank further. Stay tuned.


Investing in sports cards

Trading cards

The rise of sports betting and NFTs like NBA Top Shot have fueled a trading boom in sports cards. Collectable is a trading platform that allows fans to buy fractional shares of valuable cards. CEO Ezra Levine breaks down how digital collectibles could boost returns and hedge inflation.

Read the full story here:

NFTs like NBA Top Shot are fueling a trading boom in million-dollar sports cards. The CEO of a fractional sports investing platform breaks down why digital collectibles are the ‘perfect intersection of passion and profits.’


3-part bitcoin strategy

Bitcoin generic images

Norwegian tycoon Kjell Inge Rokke recently joined a growing list of billionaires to embrace bitcoin. In a recent 23-page shareholder letter, Rokke lays out his three-fold bitcoin investing strategy. He specifically details why he sees bitcoin as a solution instead of a problem for its perceived challenges.

Read the full story here:

A Norwegian billionaire who just set up a $59 million unit to invest in the bitcoin ecosystem breaks down his 3-fold strategy – and shares why he believes the digital currency is actually a solution to many of its perceived challenges


How to find long-term compounders

Polen Capital small cap PMs

Tucker Walsh and Rayna Lesser Hannaway manage the Polen US Small Company Growth fund, which has returned 104% to investors over the past year. They unpack the “flywheel criteria” they use to identify so-called compounders, and also share three long-term small-cap stock picks set to surge as part of the reopening trade.

Read the full story here:

The portfolio managers of a small-cap growth fund that returned 104% to investors in the past year share 3 stocks that are set to surge as part of the reopening trade – and lay out how they identify long-term compounders


Stock pick central

Seeking experts who are willing to name names? Look no further:

Read the original article on Business Insider