teeka’s top six super halving plays

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TEEKA’S TOP SIX SUPER HALVING PLAYS

By Teeka Tiwari

www.palmbeachgroup.com 2

It’s one of the basic laws of economics. Yet, it’s also one of the most profitable…

I’m talking about the law of supply and demand.

Put simply, if supply decreases while demand simultaneously increases… prices have nowhere to go but up. It’s Economics 101.

Think about the big supply shocks we’ve seen over the years:

• In 1979, people thought we were going to run out of silver due to higher inflation. Silver prices ran from as low as $4 per ounce to as high as $49. You could have made as much as 13,025% on certain silver mining stocks from the surge in demand.

• In 2008, we saw a mild oil shock. Geopolitical instability in the Middle East and the aftereffects of Hurricane Katrina led to worries over shrinking petroleum reserves. Had you invested in oil drillers during this time, you could have made as much as 1,272%.

• In 2011, China decreased its rare earths exports. These are small minerals that go in electronic devices. China has a stranglehold on this market… and it did some mild hoarding, cutting just 19% of its supply. In a year, you could have made gains like 979% on gadolinium and 1,209% on holmium.

In each of these cases, we saw unprecedented cuts in supply meeting unprecedented demand.

But those gains are nothing compared to the supply crunches we’ve seen in the crypto space. The most well-known example is the bitcoin halving.

If you’re not familiar with the halving, it’s when the supply of new bitcoin is cut in half every four years. It’s preprogrammed in bitcoin’s code.

But here’s the important thing you need to know about bitcoin halvings: You have to position yourself before they start. That’s how you profit from the explosive surge in price, fueled by reduced supply and increased demand.

My subscribers who positioned themselves before the 2016 bitcoin halving saw the chance to make gains as high as 14,619% and 26,977%. And those who got in before the 2020 halving saw some of my picks soar as high as 2,950% and 5,121%.

Even after bitcoin’s 2020 halving, my team found six altcoins (coins other than bitcoin) with similar halvings embedded in their codes. They’re up over an average of 1,000% since we added them to our portfolio in November 2020.

If you didn’t position yourself before those halvings… I have some bad news for you. It’s too late to make life-changing gains from them.

But the good news is I’ve found a once-in-a-lifetime event happening in the crypto market that’ll be bigger than all the other halvings combined.

I call this event the “Super Halving.”

TEEKA’S TOP SIX SUPER HALVING PLAYSBy Teeka Tiwari

https://members.palmbeachgroup.com/palm-beach-confidential/20201111-pbo-issue-svm835


Let me explain what I mean by that…

There can never be more than 21 million bitcoins in existence. Their issuance is strictly regulated by computer code. However, the rate of issuance is cut in half every four years until the last bitcoin is mined in 2140.

The first halving in 2012 reduced the amount of bitcoin produced every day from 7,200 to 3,600. The second in 2016 dropped it from 3,600 to 1,800. And the most recent halving in 2020 cut it from 1,800 down to 900.

That’s where we are today.

But this Super Halving I’ve discovered – and that I believe will go into effect in 2021 – will be different.

It’s not tied to bitcoin’s code. And it’s not going to reduce supply to 450. In fact, I believe it’ll knock supply all the way down to zero.

The implications of this are critical. It means very soon, there will be zero new bitcoins available for purchase.

And once that happens, you can imagine what will happen to the price of bitcoin. Already, institutions have started buying up as much bitcoin as they can get their hands on. Once no new coins are coming to market, where do you think that’ll send prices?

That’s the opportunity in front of us today.

But just like previous halvings, the best gains to be made aren’t in bitcoin itself… It’s already at a $1 trillion-plus market cap. It just can’t make the same extreme moves it did in its early days.

The best potential gains from here are in the small projects tied to bitcoin that still have a massive runway ahead.

In this special report, I’ll reveal six small crypto-

themed investments I believe will skyrocket as the Super Halving kicks in this year.

I’ve never published a word about these special recommendations before. I haven’t mentioned them in any of my research services… video updates… or articles.

This is the first – and only time – I’m making them available.

Friends, this is a once-in-a-lifetime opportunity in front of you. And as a Palm Beach Infinity member, you have exclusive access to these ideas.

Before I get to them, let me explain what a Super Halving is. Because when it’s over, it’ll be gone for good.

Secret Halvings

For five years now, I’ve probably talked about crypto halvings more than anyone in the newsletter business. And thanks to those halvings, I’ve arguably helped more people become millionaires than anyone else in this industry.

So you can see, halvings are important events with the potential to change your financial life. But not every halving is known.

There are what I call “secret” halvings.

If you watch the news, you haven’t heard a word about these secret halvings. The mainstream financial media has not picked up on them.

That’s because they’re not in the room with crypto founders like I am. They don’t have phone numbers of dozens of the top crypto and blockchain venture capitalists on speed dial like I do.

They’re not meeting with developers… They’re not getting pitched to join the boards of blockchain startups. They have no idea what’s truly going on in this space.


What they’re missing is this: The biggest “halving” of all is about to happen. And it all has to do with some shocking evidence I’ve uncovered.

I predict bitcoin will reach $500,000 within the next five years. And when it does, we’ll trace it back to this Super Halving.

Let me be clear… The Super Halving is not a pre-programmed, one-day supply drop like we’ve seen in the past. It’s unlike anything we’ve seen before. It has nothing to do with bitcoin’s code.

Instead, it all has to do with bitcoin miners.

Miners are the people providing the computing power necessary to run the bitcoin blockchain. They solve complex equations to verify transactions and keep the network humming along. To incentivize them to do this, the network rewards them with new bitcoin each day.

Since May of last year, the bitcoin code issues 900 new bitcoins per day. This goes directly to miners. At current prices, that’s the chance to earn around $50 million worth of new bitcoin every day.

Not bad for a day’s work. But there’s one problem…

Historically, bitcoin miners haven’t been able to hold the bitcoin they mine. They’ve had no choice but to sell it to fund their operations.

Think about it. Ever since bitcoin’s been around, it’s been plagued with negative connotations to the drug market, pornography, and money laundering. That made it taboo for the gatekeepers of traditional finance to touch.

So bitcoin miners haven’t had access to traditional sources of capital.

But we’ve seen major adoption take off in the crypto market over the past few years. And huge

players like Morgan Stanley, Goldman Sachs, and MassMutual are taking notice.

One after another, these big institutions are now coming into crypto. And that means now, for the first time ever, miners can raise money through the capital markets – through issuing shares (equity) or bonds (debt).

We’re moving to a world where bitcoin miners will no longer have to sell their bitcoin to fund their operations. And that’s going to change everything.

This is a fundamental shift the mainstream press is missing…

Let me give you an example of this trend…

Cipher Mining Technologies is a little-known company that’s been mining bitcoin for years. But it had to sell its bitcoin because nobody would give it funding.

Recently, Fidelity and Morgan Stanley plowed $425 million into this project.

Do you think they’ll ever have to sell their bitcoin again just to keep the processors running… now that they’re sitting on $425 million in cash?

The value of that cash isn’t going to budge. If anything, it’ll go down. But the value of the bitcoin they’re mining… over time it’ll only continue to rise. So you can see which one they’re more likely to part with now that they have the option.

When I saw this, I realized we’d entered a new phase in the crypto market. Going forward, the game will completely change. Miners will start tapping public markets for capital. And they’re never going to sell their bitcoin again.

2021 may be the last year anyone is able to ever buy a newly mined bitcoin again.


This year, crypto companies have already raised 10 times more capital than all of last year. So miners don’t have to sell all their bitcoin anymore. They can hoard it.

And they’ve already started doing just that…

• One miner recently launched what it’s calling a bitcoin “retention program.” Under this program, for the first time, it’s no longer selling all the bitcoin it earns.

• Another miner launched a program of its own. It plans to add millions of dollars’ worth of bitcoin every week.

• A third just increased its hoard by 76%.

Take a look at the chart on the right. You can see over the past month, the net position change among all bitcoin miners has firmly swung into an accumulation stage (the green bars). They’re holding thousands more coins daily.

This is opposed to the red lines earlier in the year, which signal the net selling of coins miners were doing.

We’re seeing this trend pick up across the board. And it’s not just bitcoin miners who are hoarding.

According to a November 2020 report by Pantera Capital, payment platforms Square and PayPal alone are buying up 100% of all newly created bitcoin.

But the demand is just continuing to grow.

Multiple bitcoin exchange-traded funds (ETFs) have launched in Canada. And federal regulators

are reviewing at least nine proposed ETFs in the United States as early as June.

BlackRock just approved bitcoin trading. And Fidelity’s rolling out bitcoin for its institutional clients.

And on top of that, an entirely new source of demand is coming from credit card companies. Both Visa and Mastercard plan to launch bitcoin rewards cards this year.

By 2025, credit cards will process $45 trillion in transactions per year. Now, imagine even 10% of those transactions involve a bitcoin reward system. That would mean those credit card companies would have to give 2% of every purchase in bitcoin to give people as a reward. 2% of $45 trillion is $900 billion per year.

Can you see where this is going?

All of this demand doesn’t even account for lost bitcoin. According to one study, nearly 20% of bitcoin is unrecoverable because owners have lost their private keys or access to their hard wallets. These bitcoins will never go back into circulation.

Net Change in Miner’s Bitcoin HoldingsDaily Change in Miner Holdings (in Thousands)

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Feb 8

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8Over the past month, bitcoin miners have begun holding their mined bitcoins, rather than selling them

Source: Glassnode

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Feb 22 Mar 8 Mar 22 Apr 5 Apr 19 May 3


Tell me…

What happens to bitcoin’s price when miners are hoarding it… companies are adding bucketloads of it to their treasuries… payment companies are buying nearly 100% of newly minted coins… and credit card companies are paying out $900 billion a year in bitcoin rewards?

It shoots through the roof.

And more importantly, what does that do to the price of the small plays attached to bitcoin and bitcoin mining, in particular? They could go up 50x or more.

Here’s What I See Ahead

I predict very soon, we won’t see any new bitcoin come to the market. All 900 coins will be hoarded... never to be brought to the public markets.

And based on my research, it’ll send bitcoin to at least $500,000 within the next five years.

Meanwhile, the companies that are responsible for mining this new bitcoin will become extremely hot commodities.

My team and I have spent months diving into the financials of public and private miners to uncover those that have raised enough money to cover their mining costs.

And in this special report, we’ve found the top five miners we believe will skyrocket due to the Super Halving... plus one company that will act as an onramp to anyone looking to buy crypto in this high-demand environment.

We selected them for very specific reasons.

They’re directly connected to this Super Halving. They’re almost completely unknown. And they have the potential to see altcoin crypto-like moves of 25x, 50x, maybe more.

These are projects that won’t have to sell their bitcoin. So we’ll see their balance sheets balloon as the price of bitcoin soars.

It could take six months… three months… two months… or even less for this Super Halving to kick in. So the time to act is now.

Friends, you need to get ahead of this event. The difference between getting in before a phenome-non like this versus after is night and day.

When this happens, it’s going to hit the crypto market like a lightning strike. You must take action now or run the risk of getting left behind.

If you miss out on this once-in-a-lifetime event, you could end up regretting it for the rest of your life.

So let’s get to them…

Note: We’ve listed the investments in this report in alphabetical order, not necessarily the order we suggest you purchase them. As always, use small, uniform position sizes to create a basket of these miners in your crypto portfolio. Using this asymmetric betting style, you can set yourself up for outsized gains without taking outsized risks.

MY TOP SIX SUPER HALVING PLAYSSuper Halving Play No. 1

The first pick in our Super Halving portfolio is Bit Digital (BTBT).

Bit Digital is relatively new to the mining industry. The company started setting up its mining operation in New York in February 2020.

Before that, it began as a Chinese company. In recent years, however, Chinese authorities have used their regulatory powers to drive out bitcoin miners.


For example, in 2019, China ordered local authorities to shut down mining operations, although it didn’t set a deadline to do so. And in 2021, regulators banned all crypto miners within the Inner Mongolia region of the country.

Miners are still operating in China, but they’re in a precarious position.

So Bit Digital smartly moved its operations to the United States where the regulatory environment is friendlier than China.

Since then, it’s focused aggressively on growth and rapidly expanding its operations. It’s set itself on a path to become one of the most efficient miners in the world. And it’s ramping up capacity as quickly as possible to get there by increasing its hash rate.

Let me explain what that is…

Miners need to solve complex math problems to win the right to mine the next block. That’s how they earn their bitcoin reward.

To solve these problems, each mining machine makes millions of guesses per second. This requires a lot of power. That power is called the “hash rate.”

It’s simply the measuring unit of the processing power of the bitcoin network. And it refers to the number of calculations per second bitcoin miners are making to solve those complex math problems.

A higher hash rate means higher processing power for the network, which creates greater security. Right now, the entire bitcoin network is near an all-time high total hash rate of 189 exahashes per second, or EH/s. (An exahash is 1 quintillion hashes.) That means the network is more secure now than ever.

As of this publication, Bit Digital operates 45,736 mining rigs, which amounts to a total production capacity of 2.5 EH/s. It may seem like a small

percentage of the total hash rate, but that’s the highest current rate out of any publicly traded miner.

We believe Bit Digital’s business should flourish in the U.S. And the company has already taken many steps to acclimate to its new environment.

Last year, it replaced the CEO and chief strategy officer with two U.S.-based executives. Each has 20 years of experience in the fintech and financial services industries.

Since relocating headquarters to New York, it’s also opened facilities in Texas and Nebraska.

Even though it was expensive for Bit Digital to move its mining rigs to the U.S., it’s still growing in size. In the first quarter of 2021, it added over 4,700 mining rigs to its capacity, which boosted its hash rate by 0.3 EH/s.

This allows the company to mine more bitcoins, and that’s exactly what we’re looking for.

Hoarding Bitcoin

Bit Digital is also prioritizing holding its mined bitcoin on its balance sheet.

In 2020, it mined 1,510 BTC. It sold 1,242 to fund operations, which left 268 BTC on its books – or about 17% of its bitcoin reward.

Since then, bitcoin has exploded by as much as 500% in price. And the company changed its strategy to hold more of it.

Bit Digital has provided January and February data for its operations. And from just those two months, we can see a dramatic shift in its bitcoin hoarding.

The company mined 757 BTC – and sold just 357 of them – in the first two months of 2021. So Bit Digital held 53% of its mined bitcoin – 3x more than last year.


Plus, Bit Digital entered into an $80 million private equity line facility from an institutional investor. It has yet to fully draw on this funding. So it has plenty of breathing room to fund operations without spending any of its mined bitcoin.

In 2020, Bit Digital spent $4.5 million on capital expenditures... including building out its production capacity, maintaining equipment health, and moving miners to the U.S.

With the $80 million equity line of credit, the company now has six-plus years of spending runway... even if it doubles or triples its capital expenditures as it grows.

As bitcoin’s price continues to rise, and Bit Digital begins drawing on its credit line, we expect the miner to hoard even more of its bitcoin.

What’s It Worth?

Bit Digital has yet to provide an outlook on its potential future hash rate.

However, at its current 2.6 EH/s hash rate... we believe it has tremendous growth potential.

Based on our research, Bit Digital should mine at least 4,024 BTC in 2022. (This is a conservative projection, as the company mined 1,013 BTC in just the first quarter of 2021, and it’s already ramping up its hash rate.)

New York’s Proposed Bill to Halt Mining

We’ve heard a lot of chatter about crypto’s energy consumption lately. Specifically, how much energy it takes to mine bitcoin and how much carbon mining machines emit.

A new bill was recently proposed to New York’s Environmental Conservation committee in early May to address this. If passed, it would place a three-year moratorium on mining, pending an environmental review by the state.

The good news is this bill is still in its infancy. It will likely be a while before it’s debated in the legislature. Another point to note is this bill specifically targets gas-powered mining operations.

So, will this impact our Super Halving plays based in New York?

Well, Bit Digital, while headquartered in New York, doesn’t actively mine in the state... Making it immune from such legislation.

As for the other two miners in this report that operate out of New York, we believe they’ll be able to withstand and overcome the bill if it does pass – which again, is no guarantee at this point.

One of the selection criteria during our research for these mining companies was a focus on renewable energy. Not only does that make them more profitable by reducing energy costs, it also makes them much less likely to be negatively impacted by such legislation.

In the writeups below, we’ll explain exactly how these two are emphasizing renewable energy.

Thanks to their foresight, we believe they’ll pass any environmental reviews and remain strong investments despite any future proposals.


If Bit Digital keeps the same 53% of its mined bitcoin next year as it did in Q1 this year, it would have more than 2,132 bitcoin on its books. At $60,000 apiece, this bitcoin alone would be worth nearly $128 million.

Please note: We calculated the numbers below and in the rest of this report based on a BTC price of $60,000. Since our initial research, BTC has dipped slightly. But we believe it’ll be back up to – and surpassing – its recent highs soon. In the meantime, that means the potential gains are even higher than we anticipate. So these plays are especially compelling at current crypto prices.

To find Bit Digital’s valuation, my analyst team ran a variety of scenarios involving different bitcoin price projections ($100,000; $200,000; and $500,000) and company strategies. (We’ll use the same model for all five mining plays.)

My team also calculated how much Bit Digital would profit if it sold some of its bitcoin to cover its operating expenses.

This profit represents the value of the bitcoin Bit Digital is holding on its books. When added to existing equity… we can forecast the future book value of the company.

[The book value of a company is the assets on its books minus liabilities.]

For this valuation, we’ll assume Bit Digital maintains its current price-to-book (P/B) multiple of 13.1. Currently, it trades at $10.45.

Here’s what its price would be under our three scenarios:

• At $100,000 per bitcoin, BTBT would be $108.97 – a 943% increase from today’s prices.

• At $200,000 per bitcoin, BTBT would be $217.83 – a 1,984% increase from today’s prices.

• At $500,000 per bitcoin, BTBT would be $544.40 – a 5,110% increase from today’s prices.

Under the blue-sky $500,000 scenario, you’d see every $1,000 turn into $52,100.

Bit Digital boasts the highest hash rate of any publicly traded miner. And it’s already been expanding to boost it further in the first few months of this year.

Now that it can draw on funds from traditional sources, Bit Digital will have even more incentive to hold as much of its mined bitcoin as it can – without having to sacrifice on growth.

This will boost the value of the company’s balance sheet as bitcoin rises in price. And as the amount of bitcoin in the market dwindles and the Super Halving kicks in, we expect to see shares skyrocket.

Opportunities like this show how it’s possible to make crypto-like gains from small, crypto-related stocks. And the time to get in is now.

Action to Take: Buy Bit Digital (BTBT). Buy-up-to Price: $22 Stop Loss: None Position Size: $200–500 for smaller investors, $500–1,000 for larger investors

Super Halving Play No. 2

The next pick in our Super Halving portfolio is Bitfarms (BFARF).

Bitfarms runs a vertically integrated mining operation in Canada. That means it houses and maintains every aspect of a successful operation under one roof.

Bitfarms owns computing infrastructure and monitors machine performance at its facilities. It also has on-staff electricians to repair equipment.


By operating its business without relying on third-party contractors, production is more effective and cost-efficient than many competitors.

Bitfarms operates five industrial-scale facilities in Quebec. It’s prime real estate to take advantage of the natural resources in the area.

Quebec is famous for its lakes and rivers. More than 40% of Canada’s water resources are located in the province. And that means easy access to hydropower.

Hydro-Quebec is a public utility in the area that operates 63 hydroelectric power stations. Bitfarms has secured long-term partnerships with the utility to provide cheap, renewable energy for its mining facilities.

This partnership has helped Bitfarms reduce its cost of mining from $7,500 per token at the start of last year to its current cost of $5,600.

Bitfarms has a current production capacity of 1.4 EH/s. That’s third-best among all publicly traded bitcoin miners. And it’s determined to increase that rate.

The company recently struck a deal with MicroBT for 48,000 mining rigs delivered through the end of next year.

It also recently started renovating its Cowansville mining facility, the smallest among its five. Expanding that facility will support an additional 20,000 mining rigs.

All this growth leads Bitfarms to project an estimated capacity of 3 EH/s by the end of this year. And by the end of next year, its capacity should reach over 8 EH/s. That’ll equal about 5% of global production by that time.

On May 7, the Nasdaq approved its application to uplist from the smaller over-the-counter (OTC) market to the Nasdaq Stock Exchange.

It’s working on final requirements and confirmations. It hasn’t announced its first day yet, but Bitfarms should start trading on the world’s second largest stock exchange by market cap soon. At that point, its ticker symbol will change to BITF. This is the symbol we’ll be tracking in our model portfolio.

Bitfarms joins Marathon Digital and Riot Blockchain, the only two other bitcoin miners on the exchange (and two of our six Super Halving plays). Both have seen their popularity skyrocket.

A Nasdaq uplisting is a huge milestone for Bitfarms…

First, it gives the company increased exposure to institutions and retail investors. And second, it attracts the Big Money, including capital from mutual funds, ETFs, pensions, endowment, and insurance companies.

Institutions typically have limits excluding them from investing in smaller companies or over-the-counter exchanges. The Nasdaq is a much bigger stage. And we expect the uplifting to light a fire under Bitfarms’ stock.

Hoarding Bitcoin

Bitfarms has been a trailblazer among miners when it comes to retaining its mined bitcoin.

It was one of the first miners to launch a formal bitcoin retention program. Under the program, the company will always hold a portion of its bitcoins mined within its reserves.

Currently, Bitfarms mines around 9.5 bitcoins per day (about $532,000 at current prices). And it stores 7.5 of them, or 79%. However, that number will continue to grow as it ramps up its mining rig count. As that number rises, the company plans to hoard more bitcoin in proportion to that.

At the moment, Bitfarms has over 650 bitcoins ($39 million worth) in reserves.


The company expects this to grow to 1,000 bitcoins by the middle of June – or about $60 million at current prices.

At this pace, over the next three years, Bitfarms will accumulate over 5,400 BTC in its reserves. And once bitcoin reaches our target price of $500,000, Bitfarms’ reserves would be worth $2.7 billion.

What’s It Worth?

To value Bitfarms, we used the same valuation method we used for Bit Digital.

If Bitfarms can raise its capacity of 3 EH/s (and global hash rates increase at their current clip), it can mine 4,697 bitcoins annually.

Let’s say bitcoin remains static at $60,000. In this scenario, $93 would be a fair value for Bitfarms shares. That’s a 1,594% jump from today’s prices.

• At $100,000 per bitcoin, BFARF would be $159.68 – a 2,809% increase from today’s prices.

• At $200,000 per bitcoin, BFARF would be $326.38 – a 5,845% increase from today’s prices.

• And at $500,000 per bitcoin, BFARF would be $826.48, a 14,954% increase from today’s prices.


This is an exciting time for Bitfarms. After getting approval from the Nasdaq, it’s quickly on its way to start trading on the exchange.

The increased visibility and access to institutional investments should take shares much higher from here. We have the rare chance to get in before its first day of trading.

So let’s not wait another minute. Bitfarms has already proved it knows the value of keeping its mined bitcoin on its balance sheets. And once its hash rate increases and the Super Halving cuts supply, this stock may never be this cheap again.

Action to Take: Buy Bitfarms (BFARF). Buy-up-to Price: $10 Stop Loss: None Position Size: $200–500 for smaller investors, $500–1,000 for larger investors


Our third pick to play the Super Halving is Digihost Technologies (HSSHF).

Digihost is a small, up-and-coming bitcoin miner that has tremendous potential to grow quickly. The company operates out of a data center in Buffalo, New York. Currently, it houses 11,500 mining rigs that produce a hash rate of 0.2 EH/s.

As a new miner, its production capacity isn’t as high as the more seasoned players in this space (and in this report). However, Digihost is aggressively expanding capacity. And our opportunity today is to get into this smaller player on the ground floor – before growth and demand put it on the mainstream’s radar.

In March, Digihost purchased a 60-megawatt power plant in New York. The company can now generate its own power, which will significantly reduce electricity costs.

In fact, it estimates it’ll be able to generate power at a cost of $0.03 kilowatts per hour (kW/h). For perspective, the average industrial customer in the U.S. pays $0.06 kW/h – double what Digihost is paying.

Plus, it’s also actively engaged in acquiring renewable energy certificates. Not only does this cut costs, but it helps Digihost avoid getting targeted by a potential ban on miners in New York on the grounds of extreme energy consumption.


In addition, Digihost recently purchased 700 new Bitmain mining rigs. (Bitmain is the world’s largest designer of mining-specific ASIC chips.) It’s all part of the company’s near-term goal to fill its New York data center to full capacity.

At full capacity, its data center can hold over 29,000 mining machines. The company estimates that would be enough to bring total production capacity to 3 EH/s. That would instantly propel Digihost into the top tier of bitcoin miners.

Thanks to Wall Street finally embracing bitcoin as an asset, Digihost has taken advantage of the capital flowing into bitcoin miners. So far in 2021 alone, the company has raised $44 million through private placement deals with institutional investors.

This gives Digihost a long runway to pay for growth and improve its business. In fact, it recently paid down all $3.9 million of debt held on its balance sheet. It’s now a lean machine, ready for its next stages with plenty of cash on hand.

Hoarding Bitcoin

With its recent capital raise, Digihost can now comfortably operate its business without selling any of its mined bitcoin.

From the start of this year through the end of April, the company has mined 142.8 BTC. And it’s been able to store its BTC without any pressure to sell them to raise cash.

As of now, it holds a total of 309 BTC in its reserves at a current value of $17 million. Digihost is on pace to mine an additional 300 BTC by the end of 2021, which would bring its total holdings to 609 BTC, or $33.5 million.

As Digihost continues to expand, and successfully reaches its short-term hash rate goal of 3 EH/s, we project it can mine 4,700 BTC annually.

That’s enough to add $285 million to its books at current prices.

Not bad for a small miner that’s just lifting off.

What’s It Worth?

Because it’s still a relatively young miner, Digihost has yet to provide a time frame to reach its goal of 3 EH/s. So for the purposes of our valuation, we’ll rely on a forecasted mined bitcoin amount.

Based on our calculations, if Digihost maintains its pace of 37.5 BTC per month, the company will end 2021 with 447 mined BTC. At current bitcoin prices, that’s about $26.8 million in revenue.

We’ll use the same P/B valuation method we’ve used for our other miners.

Should bitcoin stay at $60,000, Digihost’s fair value would be $5.09, a 394% increase from today’s trading price.

• At $100,000 per bitcoin, HSSHF would be $8.01 – a 678% increase from today’s price.

• At $200,000 per bitcoin, HSSHF would be $15.33 – a 1,388% increase from today’s price.

• And at $500,000 per bitcoin, HSSHF would be $37.26 – a 3,518% increase from today’s price.


These are great forecasts, but they mostly rely on bitcoin’s price soaring due to the Super Halving.

Ultimately, we believe these numbers could potentially undershoot Digihost’s near-term potential. Given how quickly the company is building itself into a serious player in the mining space, that means a huge boost from its current humble beginnings.


Digihost is a less-established and little-known miner right now. But we believe it has what it takes to become one of the biggest producers out there. Getting in this company now will allow us to be in the perfect position to ride its exponential growth higher.

Action to Take: Buy Digihost Technologies (HSSHF). Buy-up-to Price: $3 Stop Loss: None Position Size: $200–500 for smaller investors, $500–1,000 for larger investors


Next up is Las Vegas-based Marathon Digital Holdings (MARA).

Marathon is the largest publicly traded bitcoin miner on U.S. exchanges. It’s also one of the newer miners on the scene… It just started ramping up its mining capacity in 2019.

The company has since prioritized growth and rapidly expanded operations. And it’s set itself on a path to becoming one of the most efficient miners in the world.

Remember, hash rate measures the processing power of the bitcoin network. Currently, Marathon’s hash rate is 0.7 EH/s.

That’s small potatoes compared to most other North American miners. That’s because Marathon only has around 6,800 mining rigs running.

But as I mentioned above, Marathon is ramping up its capacity… big time. By almost 1,400%, in fact.

Over the second half of 2020, Marathon purchased 100,500 Next Generation Antminer S19 mining machines from mining equipment maker Bitmain. These are the most efficient and profitable mining rigs on the market today.

Marathon’s planning was key. It placed larger orders for future delivery just as bitcoin’s price was rising.

Orders for these machines have flooded in as bitcoin’s price rises. The increased demand has pushed manufacturers to the brink. They can’t keep up.

Marathon’s management strategically spaced out its deliveries, so it’d receive a portion of its overall order each month throughout 2021.

This virtually guarantees Marathon stays ahead of the crowd clamoring to get their orders processed. And it minimizes the chance it’ll fall behind due to supply crunches.

Marathon is targeting full deployment of its 100,500 machines by the end of 2021.

At full capacity, its total fleet will operate at a 10.3 EH/s hash rate. That would be the highest production capacity of any publicly traded bitcoin miner today.

And it would be enough to generate 55–60 BTC per day – or over 20,000 BTC per year.

At current bitcoin prices, that’s over $1.2 billion in revenue. And it’s over 200x higher than its annual revenue recorded last year.

On top of that, it would allow Marathon to mine bitcoin at a cost of $4,541 per coin. At that level, it’d be one of the most efficient bitcoin miners in the industry.

Currently, no other publicly traded miner can match that potential.

One reason Marathon can mine bitcoin at this low cost is a joint venture with Beowulf Energy. Beowulf owns and operates power generation facilities that create over $5 billion worth of power worldwide.


Beowulf provides Marathon with a stable supply of cheap electricity, at a near-industry low of $0.028 per kW/h. (Remember, the average industry price is $0.06 per kW/h. So that’s 53% lower than most other industrial customers pay.)

The partnership also offers opportunities for future growth. It includes 500-plus megawatts of power earmarked for future data center expansion. (1 megawatt = 1,000 kW.)

As part of the deal, Beowulf owns over 6 million shares of Marathon’s stock. That means Beowulf has skin in the game. So it’ll do everything it can to make sure Marathon can mine bitcoin as cheaply as possible. A win-win for both parties… and shareholders.

Hoarding Bitcoin

Over the past year, Marathon has put itself in a great position to hold its bitcoin, rather than selling it to generate cash.

At the start of 2021, Marathon raised $200 million in a share offering. It used a portion of the funds to purchase more mining machines to further grow its business. As of its most recent filing, Marathon is now sitting on a $140 million cash war chest.

Based on current daily operating costs, Marathon has enough cash to last 17 years. So it no longer needs to sell mined bitcoins to raise cash... And probably won’t ever need to again.

One of my analysts joined a recent webcast on crypto assets, in which Marathon executive chairman Merrick Okamoto was a panelist.

Among ambitious growth plans, Okamoto stated of the company’s future outlook:

Our board would like to never sell bitcoin. If you have machines that can produce a coin worth $53,000, $55,000, $60,000, and it costs you $4,000 to make it, you

should really think about holding that coin. It’s not certain we’ll never sell our bitcoin. But it’s pretty certain it would be a last resort.

This is further validation the Super Halving is playing out before our eyes. Mining executives are savvy to the benefit of holding their bitcoin. And its effects will soon hit the crypto markets…

Once it does, and bitcoin hits our target price of $500,000… they’ll be even less likely to sell. That will make outfits that are small today, like Marathon, extremely valuable.

With Marathon holding all its bitcoin mined, we believe there’s a tremendous amount of upside in its share price.

What’s It Worth?

To find Marathon’s fair value, my analyst team ran it through the same scenarios featured above. We took into account the value of the bitcoin Marathon mines and how much it would need to sell to keep up expenses.

For this valuation, we assume Marathon maintains its current P/B multiple of 7.3. Currently, it trades at $27.82.

To start, we also assume bitcoin’s price stays at $60,000. In this scenario, Marathon’s fair value comes out to $107.74 – a 287% increase from today’s price.

• At $100,000 per bitcoin, MARA would be $168.79 – a 507% increase from today’s prices.

• At $200,000 per bitcoin, MARA would be $321.41 – a 1,055% increase from today’s prices.

• And at $500,000 per bitcoin, MARA would be $779.28 – a 2,701% increase from today’s prices.



We believe given Marathon’s aggressive expansion plans, effective operations, and bitcoin retention plans alone make it a great buy.

But when the Super Halving kicks in, it’ll really take off. That’s why you absolutely want to have this miner in your portfolio before the market catches on and this event hits.

Action to Take: Buy Marathon Digital Holdings (MARA). Buy-up-to Price: $50 Stop Loss: None Position Size: $200–500 for smaller investors, $500–1,000 for larger investors


Unlike new-kid-on-the-block Marathon, our next Super Halving play, Riot Blockchain (RIOT), is one of the oldest bitcoin miners in the industry.

It began building its mining capabilities in 2017. Over the following three years, it operated a mining facility out of Oklahoma City. And in 2020, it decided to move its entire mining fleet to Massena, New York.

This move led to a seismic shift in the company’s operations and kicked off an aggressive growth path. In Massena, it partnered with Coinmint, which operates the largest digital currency data center in the world.

Coinmint’s compound is a former aluminum smelter. It’s over three times larger than any other digital currency data center. There, it hosts bitcoin mining companies and leases its facility. Riot Blockchain is its largest customer.

This data center offers Riot an abundance of hydroelectric and wind-generated electricity… Which has dropped Riot’s mining costs to one of the lowest in the industry.

The benefit here isn’t just the lower cost. In our search for the best Super Halving plays, we wanted to find miners that could scale and wouldn’t be tied down by traditional energy consumption limits.

By using a facility that prioritizes renewable energy, Riot fits that bill. And despite being in New York, where the moratorium on bitcoin miners has been proposed… Riot has prioritized using electricity from renewable energy sources, and that makes us confident in its viability.

These moves have helped Riot grow into one of the largest bitcoin miners in the world. Its 1.6 EH/s mining capacity is currently the second highest among all of the publicly traded bitcoin miners.

But Riot isn’t stopping there. When it comes to details that stand out in the miners we look for, plans to grow aggressively are a high priority.

Riot Blockchain is no exception. In early April of this year, it announced the purchase of 42,000 Antminer mining machines from Bitmain.

These machines will boost total mining capacity to 7.7 EH/s. That would be the second largest among the public bitcoin miners. It would also cause Riot to outgrow its Massena facility.

But Riot is ahead of this eventual outgrowth. It just made one of the most exciting acquisitions we’ve ever seen within the mining industry. Just a few days after announcing its new mining rigs, Riot revealed it acquired Whinstone.

Whinstone is the owner and operator of North America’s largest bitcoin mining facility in Rockdale, Texas. It has 300 megawatts of developed capacity, with room to expand to 750 megawatts. That’s nearly 75% larger than Riot’s Massena facility.

The benefits of this acquisition go beyond Riot simply gaining more room to grow.


Whinstone’s facility offers multiple ways to earn passive income outside of mining the coins themselves.

That’s because it also hosts mining operations for three institutional clients, which generates recurring revenue for the owner.

Another benefit is Whinstone’s experience deploying cooling technology for its mining clients. Cooling increases the lifespan of mining equipment. It’s been a big focus of Riot’s research and development (R&D).

It initially planned to run preliminary tests on its own cooling technology by the end of Q1. Those efforts seemed to have stalled. But by acquiring a facility with existing cooling infrastructure, Riot can immediately achieve its goal of running immersion cooling technology on its existing mining rigs.

With the addition of new miners and the benefits from its recent acquisition, Riot can potentially run at a full mining capacity of 7.7 EH/s. That puts it right behind Marathon as the second-highest forecast for any publicly traded bitcoin miner.

Hoarding Bitcoin

Riot has also begun to recognize its own opportunity to hoard a lot more of its mined bitcoin.

Over 2020, Riot mined 1,033 bitcoins. Across that same period, it increased the number of bitcoins held on its balance sheet by 564.

That implies Riot was selling about 45% of its mined bitcoin and keeping 55% for reserves.

That was already a fair percentage, but it’s kicked that into overdrive in 2021. Over the first quarter of this year, Riot has mined 491 bitcoins. So far, it’s kept 487 of them for reserves. That means the company has kept over 99% of its mined bitcoin.

Again, this means the incoming supply of new bitcoin to the crypto market from one of the oldest and biggest players in the space… has gone down to nearly zero. It’s another sign that gives us confidence in the Super Halving catalyst.

If Riot simply maintains the level it’s currently mining and holding – without accounting for its new mining rigs or expanded operations in Texas – it should add 1,473 bitcoins onto its balance sheet by year-end.

That would leave it with 3,038 bitcoins, a value of $173 million.

What’s It Worth?

We ran Riot through the same valuation model as our other Super Halving plays.

We forecasted the amount of bitcoin it would mine annually, based on total capacity. Then we determined what Riot’s future revenue and expenses would be, assuming it would sell only enough bitcoin to cover expenses.

Riot’s profit represents its remaining bitcoins mined. We add that onto its balance sheet to calculate future book value.

We can then determine what Riot’s fair value would be based on its current P/B multiple and various bitcoin pricing scenarios.

Based on our research, Riot will be able to mine 12,058 bitcoins annually. This is based on a future capacity of 7.7 EH/s and a higher forecasted global hash rate.

Let’s say bitcoin remains static at $60,000. In this scenario, $92.55 would be a fair value for Riot’s shares. That’s a 209% jump from today’s prices.

• At $100,000 per bitcoin, RIOT would be $141.23 – a 372% increase from today’s prices.


• At $200,000 per bitcoin, RIOT would be $262.92 – a 778% increase from today’s prices.

• And at $500,000 per bitcoin, RIOT would be $628.01 – a 1,997% increase from today’s prices.


These price projections don’t factor in the potential revenue generated from the income earned at Whinstone’s Rockdale facility. We believe this could very well lead to an even higher repricing as those numbers become clearer.

Riot is in a great position and gearing up for even more growth. 2021 will prove to be a big year for the miner. Thanks to the Super Halving, we believe this seasoned business in the mining industry could reach new levels in the coming months.

Action to Take: Buy Riot Blockchain (RIOT). Buy-up-to Price: $50 Stop Loss: None Position Size: $200–500 for smaller investors, $500–1,000 for larger investors


Our sixth and final Super Halving pick is Voyager Digital (VYGVF).

Unlike our other plays, Voyager Digital is not a bitcoin miner. But it will get a significant boost from the Super Halving.

Voyager is a cryptocurrency broker. It offers commission-free trading, interest on digital assets, and has a host of other innovative products in its near-term pipeline.

The company has experienced a dramatic rise in popularity over the past year. As bitcoin’s price has risen over 7x, new investors have flooded into the crypto universe. And they’ve gravitated to

Voyager as their preferred exchange.

This is due to its superior benefits and features compared to competitors. (I’ll cover more details on them below.)

As the incoming supply of bitcoin drops thanks to the Super Halving and its price inevitably rises, we’re confident Voyager’s popularity will continue to skyrocket.

It has soon-to-be released features like credit cards, crypto-backed loans, and more coin and staking options in the pipeline. These will drive more investment dollars from existing users – and more new users to the platform.

Voyager is the ideal on-ramp to crypto. Its goal is to provide ordinary investors an easy way to begin investing in cryptocurrency. And it features more options than its peers.

Voyager offers 58 investable coins on its platform, including bitcoin, Ethereum, and even Dogecoin. That’s more than its well-known rivals Coinbase, Gemini, Kraken, and Binance.US.

Users can also learn about the history and usage of smaller coins with Voyager’s detailed descriptions. You won’t find this feature on most other exchanges.

Voyager plans to increase its unparalleled offerings by rolling out an additional 20 coins soon.

Users can buy and sell these coins on Voyager without paying a commission. In contrast, its closest competitor Coinbase charges 1.5–3% fees depending on the transaction size. Even Kraken and Gemini charge up to a 1.5% transaction fee.

Much of the company’s growth over the last year is thanks to its expanded coin offerings and lower fees. However, it’s Voyager’s other offerings that set it apart and give it a 99% customer retention rate.


Voyager also makes it easy for users to earn interest on their coins. They can earn up to 6.25% on their bitcoin holdings and up to 9% on stablecoins.

In a yield-starved world, Voyager stands out as an attractive option for those looking to earn more on their money. Remember, traditional savings vehicles like savings accounts and money markets yield 0.06%. So Voyager’s rates are up to 14,900% higher.

Its rates for BTC and ETH are also better than top crypto interest-paying platforms, like BlockFi and Gemini.

Plus, Voyager has up to 24 coins users can earn interest on. BlockFi only offers eight coins, and Gemini offers 18. So not only is Voyager able to offer higher rates than competitors, it also has more variety.

Voyager has big plans to roll out a suite of products designed to make it a one-stop shop for crypto users. This includes features like:

• Credit and debit cards. With credit cards, users can earn rewards and cash back in Voyager’s own native token, VGX. Similar to a rewards program, the more you spend, the more points in VGX you can get. These points will translate into higher deposit rates and reduced loan rates.

• And expansion of its trading options. This includes margin trading and crypto-backed loans.

These additions will go a long way in building brand loyalty and diversifying the company’s revenue streams.

Voyager also recently launched a partnership with Blockdaemon to integrate validator nodes on Ethereum, Polkadot, and Tezos onto its platform. So it’s launching itself into the decentralized

finance (DeFi) trend… And its users can take advantage right through the easy-to-use platform.

It’s already drawn up plans to expand this offering to include more of the 30-plus digital assets Blockdaemon currently supports.

This partnership will allow Voyager users to earn interest using a wide scope of blockchain networks. In addition, integrating Blockdaemon’s infrastructure onto its platform will reduce counterparty risk when Voyager begins rolling out crypto-backed loans.

Because of its attractive offerings and the surge in demand for crypto, Voyager’s user base has skyrocketed.

At the start of 2020, Voyager had a total of 18,000 funded accounts on its platform. By March of this year, it had grown to over 270,000 funded accounts.

The company’s assets under management (AUM) have grown even faster. At the start of 2020, Voyager had around $5 million in deposited assets. By March 2021, that had grown by 480x to $2.4 billion. This implies that Voyager’s average account size per user is growing.

It’s also dramatically increased the number of trades it processes. In February 2021 alone, it processed over 2 million trades. That’s 235x higher than the 8,500 trades processed in all of December 2019.

This rapid growth has led to eye-popping financial results. In January of this year, Voyager reported revenue of $8.5 million. In February, that jumped 135% to $20 million.

If Voyager can maintain the same level of revenue for March, its Q1 revenue should equal around $48.5 million. Compare that to the $282,078 the company earned in Q1 2020.


That would be a year-over-year growth of 17,094%. In 2021 so far, Voyager has raised over $145 million through private placements with institutional investors. CEO Steve Ehrlich stated over half of that will go toward marketing its brand through direct-to-consumer advertisements.

Ultimately, Voyager’s goal is to reach 1 million accounts by the end of 2021. Looking out further, its goal is to break 3 million funded accounts by 2023. At an average account size of over $17,000, that would give it an AUM of $50 billion.

A potential catalyst in Voyager’s future is an uplisting to the Nasdaq. As we mentioned with Bitfarms, this can open up the floodgates to investor attention and ease of raising institutional capital.

Voyager has announced its intent on beginning the application process. The company anticipates approval as early as the end of this year. As early investors, we could see an immediate boost from an uplisting.

What’s It Worth?

Historically, Voyager’s revenue has equaled about 10% of its AUM.

To be on pace to reach its $50 billion goal by 2023, it would have to reach $12 billion in AUM by 2022.

By taking 10% of these goals, we can forecast 2022 and 2023 revenues.

Then, we can apply a conservative price-to-sales (P/S) multiple of 8.8 to those revenue forecasts. We determined that multiple by averaging the implied P/S multiples of BlockFi, with the P/S multiples for Coinbase, Interactive Brokers, and Charles Schwab based on their expected sales for next year.

Using that 8.8 P/S multiple and assuming it stays on track to reach its growth goals, we can forecast the future price per share of Voyager:

• In 2022, Voyager’s fair value price would be $89.55 – a 348% increase from today’s prices.

• In 2023, Voyager’s fair value price would be $363.10 – a 1,717% increase from today’s prices.

We believe Voyager has proven it can reach those goals. As the friendliest exchange to new users, and with more attractive features than its competitors, it’ll be a great option for new users coming into crypto.

Although not a miner, Voyager will be positioned to absorb the demand from crypto buyers flocking in on the heels of the Super Halving. And this should send shares soaring higher.

Action to Take: Buy Voyager Digital (VYGVF). Buy-up-to Price: $32 Stop Loss: None Position Size: $200–500 for smaller investors, $500–1,000 for larger investors


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