Do you want to go from being a stock market dreamer to a high earner? A new tool could be what you need to transform your hindsight into insight.

How Rich Would You Be? uses market data from the past 12 months to reveal exactly what you could have made if you invested in a variety of cryptocurrencies, commodities and companies. It also forecasts the potential gains for each over the coming months to predict the next big investment opportunity.

Via a bespoke algorithm that uses machine learning, the tool feeds historical data on all 15 options through a recurrent neural network to unveil the future rise and fall in value for each investment.

The 15 commodities monitored include:

• Bitcoin
• Ethereum
• Ripple
• Bitcoin Cash
• EOS
• Gold
• Oil
• Copper
• Wheat
• Coffee
• Apple
• Alphabet (Google)
• Microsoft
• Amazon
• Facebook

All data is displayed in concise visualisations, allowing you to compare individual or multiple investments side-by-side.

The future predictions reveal that the cryptocurrencies will experience the highest percentage increase, yielding more profit than commodities or companies.

The algorithm also reveals that the value of Ethereum will skyrocket from $289.26 per unit to $788.42 if it continues on its predicted path - an astounding 173% increase by October 28th.

Similarly, Ripple investors should look forward to the next month since the cryptocurrency is charted to rise in value by 159% - surging from $0.34 per unit to $0.88 per unit.

Alphabet Inc should perhaps be avoided as the value of the company is set to drop -10% per share. Following in Alphabet’s footsteps is Apple, which is set to fall -8% from $227.63 per share to $208.47.

Despite the unpredictability of the cryptocurrency market, the historical data shows that when compared against commodity and company investments, EOS, Bitcoin and Ripple boasted three of the top five investments.

EOS aficionados who invested in September 2017 will have noticed a 786% increase in price per unit over the last year - a jump from $0.73 per unit to $6.47.

Though it is now set to undergo a negative percentage change, Amazon experienced a 106% increase in value per share between September 2017 and September 2018.

Unfortunately for commodity investors, the two investments that have made the biggest losses over the past year include coffee and copper. Coffee has made the most significant loss over the last year, with a -20% change - dropping from $129.65 per pound to $1103.33.

Copper investors will also have been disappointed with the -12% change in value over the previous year from $3.06 per pound to $2.68.

Commodity investors who chose to invest in oil over copper would have enjoyed a 46% rise from $48.07 per barrel to $69.97 in just one year.

Values: Historical and predicted change in 15 leading investment choices

(Source: How Rich Would You Be?)

Warren Buffett’s comments on cryptocurrencies highlight how he needs to be educated on the future of money, affirms the boss of the deVere Group.

The observation from deVere Group founder and CEO, Nigel Green, follows Mr Buffett’s address to an audience gathered for the Berkshire Hathaway annual meeting.

Mr Buffett opined: “Cryptocurrencies will come to a bad ending.”

However, as he spoke, Bitcoin, the largest cryptocurrency, had added $2,563.48 to its value in the last month, marking a price hike of 37.9 per cent.

Mr Green comments: “It comes as little surprise that Mr Buffett and his 94-year-old business partner, Charlie Munger, criticized cryptocurrencies at their annual meeting. They have done so consistently.

“But what I do find monumentally baffling is that two of the world’s most successful investors cannot see the intrinsic value of some form of cryptocurrency.

“Do they honestly believe that there is no place for, and no value of, digital, global currencies in an increasingly digitalized and globalized world?

“Do they not see many of the world’s major tech companies, established banking groups and household name investors investing in, using and/or beginning to adopt cryptocurrencies?

“Do they not see governments, central banks and financial regulators recognizing the need for regulatory frameworks because cryptocurrencies are becoming so mainstream?”

He continues: “One of the world’s greatest investors, Warren Buffett is a hero.

“However, he admits he does not understand cryptocurrencies.   He once told CNBC,‘I get into enough trouble with the things I think I know something about. Why in the world should I take a long or short position in something I don’t know about?’

“I believe his recent comments on cryptocurrencies illustrate his lack of understanding in this area and how he perhaps needs to be educated on what is likely to be the future of money.”

The deVere CEO concludes: “Financial traditionalists, like Mr Buffett and others, appear to exclusively believe in and be motivated by the old, centralized system of money.

“I would suggest that they need to also be open to a new, decentralized, digital, global currency.

“Whether they like it or not, the world has profoundly changed and moved on in recent years. It can’t, and won’t, go backwards.”

(Source: deVere Group)

One of the biggest trade crazes of 2017, Bitcoin and cryptoculture is a young profit-making hobby turned job for many. Now recognized as a serious business through the regulatory backing of governments and large corporations, it’s future is almost certainly one of continued proliferation, but what does its history look like? Below, Finance Monthly hears from trusted cryptocurrency expert, Fiona Cincotta, Senior Market Analyst at City Index, on the past 10 years of Bitcoin.

So far Bitcoin has only had a short life. However, the few years that it has been in existence have seen the currency go from almost unknown, to hitting the headlines on a daily basis.

Let’s take a look at a brief history of Bitcoin.

2008 – The Legend of Satoshi Nakamoto

Satoshi Nakamoto, or someone working under that alias, allegedly started the bitcoin concept, or so the legend goes. In 2008, Satoshi Nakamoto published a paper, which outlines the concept of the bitcoin. Most notably this paper addresses the problem of double spending, so as to avoid the currency being copied and spent twice. This was an essential foundation brick, that allowed Bitcoin to expand where other attempts at cryptocurrencies had failed.

This same year Bitcoin.org was born. The domain was registered through a site which permits its users to buy and register domain names anonymously.

If we think back to August 2008, it was just weeks before the collapse of Lehman Brothers and at a time when banks were notorious for behaving as they pleased. Bitcoin was intended as a decentralised alternative, controlled and monitored by market forces rather than banks and governments

2009 – Bitcoin becomes public

Bitcoin software is made available to the public for the first time. The first ever block is mined – it was called Genesis. Mining is the process by which new bitcoins can be created. The transactions are recorded and verified on the blockchain. The first ever Bitcoin transaction occurred between Satoshi and Hal Finney, a developer and cryptographic supporter.

By the end of 2009, the first bitcoin exchange rate is established and published. Bitcoin receives a value like a traditional currency. At this point $1 = 1309 Bitcoin

2010 – Bitcoin’s first real world transaction

As global economies continued to recover from the financial crash, the first real world Bitcoin transaction occurred, when a Florida programmer paid 10,000 bitcoins for 2 pizzas worth around $25. Later that year bitcoin was hacked, drawing attention to its principal weaknesses; security. Bitcoin had been trading at around $1, prior to the hack, which then sent the value through the floor. Further bad press this same year, which suggested it could be used to fund terrorist groups did little to increase its popularity.

2011 – Parity with the dollar

Bitcoin reaches parity with the dollar for the first time. By June of the same year each bitcoin was worth $31 each, which meant the total market cap reached $206 million. 25% of the projected total of 21 million bitcoins have now been mined. Encrypted currencies in general were starting to catch on around now and alternatives were appearing, such as Litecoin. Each virtual currency tries to improve on the original Bitcoin. Today there are around 1000 cryptocurrencies in circulation.

2013 – Security Issues; Price Crashes

June of this year saw a major theft of bitcoin take place, from a digital wallet - once again highlighting some of the cryptocurrency’s weaknesses. In the same year, another major security breech saw the value of bitcoin tumble from $17.50 to just $0.01. 2013 also saw the US Financial Crimes Enforcement Network issue the first bitcoin regulation. This would be the start of an ongoing debate as to how best regulate the virtual currency. Bitcoin’s market capitalisation had reached $1 billion.

2014 – Mt.Gox disappears along with 850,000 bitcoins

This year was characterised by growing understanding and desire to regulate bitcoin. Not surprising after the world’s largest bitcoin exchange Mt.Gox suddenly went offline and 850,000 bitcoins were never seen again. Whilst there is still no answer to what happened to those Bitcoins, valued at the time at $450 million, at today’s value those coins would be worth $4.4 billion. The same year US released the Bit License – proposed rules and guidelines for regulating virtual currencies. Microsoft begun accepting payment in Bitcoins.

2016 – Bitcoin boomed

Bitcoin saw an annual gain of 54%, outperforming all fiat currencies. This was the year that the bitcoin really started to establish itself and provided holders of the currency various ways to generate a return or indeed use the currency. It was seen as a safe haven from traditional assets in a year of Brexit, Trump winning Presidency, the continued rise of ISIS and the refugee crisis in Europe.

2017 – Legitimacy and $20,000

The value of bitcoin jumped from $997 to over $19,661 and its popularity has soared exponentially. The currency went mainstream as it became listed on two futures exchanges CBOE and CME. The listing of Bitcoin Future contracts on these exchanges has boosted the legitimacy of bitcoin and made it more widely available. Despite the futures contracts providing ability to short bitcoin, the value of the cryptocurrency hits an all time high.

Finance Monthly also recently heard from Fiona Cincotta, Senior Market Analyst at City Index, on the spread of cryptoculture and the passion for conversion among entrepreneurs globally.

Bitcoin will see-saw in coming weeks but the cryptocurrency mania is set to grow, affirms the CEO of one of the world’s largest independent financial services organisations.

The observations by Nigel Green, founder and chief executive of deVere Group, come after Bitcoin fell by $2,500 last weekend after hitting record highs.

Mr Green comments: “Bitcoin investors have been on a rollercoaster this year.  The world’s biggest cryptocurrency soared to a new record of $17,000 on Thursday before nosediving by $2,500 hours later.” Bitcoin has since seen a rise to $18,000 and then $19,000 in the past week, with some dips here and there.

“This correction is an appropriate one after such frenzied trading.  We should expect to see Bitcoin see-sawing in coming weeks. Sharp moves are likely, followed by subsequent corrections.

“This is due to the increased interest in this exciting new alternative currency, and especially with the Chicago Board Options Exchange allowing investors to trade Bitcoin futures in the next few days, driving hikes.”

He continues: “Bitcoin’s impressive rally has piqued interest in the phenomenon of cryptocurrencies in recent days and pushed demand further skywards.  I believe we will look back on this point as the start of digital currencies becoming mainstream.  They can no longer be dismissed as a fad or fraud.  Of course, Bitcoin and other cryptocurrencies will rise and fall – but all traditional currencies do the same.

“As they become ever-more established, cryptocurrencies will gain in popularity and the growing cryptocurrency mania will likely result in the launch of more and more digital currencies to meet demand.”

In a statement on a few weeks back, Mr Green also urged caution.  He said: “Bitcoin remains a major gamble as it is very much an ‘unchartered waters’ asset – we’ve simply not experienced this before. Also, an asset that goes almost vertically up should typically raise alarm bells for investors.  In addition, many would argue that there’s limited underlying economic value.”

The deVere CEO concluded: “Today’s digital world needs cryptocurrencies. One or two of the existing ones will succeed, whether it’s Bitcoin or not remains to be seen. But the dawn of the financial technology era has arrived.”

(Source: deVere Group)