FORM ADV 2A BROCHURE

This brochure provides information about the qualifications and business practices of Advisors Crypto, Inc. If you have any questions about the contents of this brochure, please contact us at 800-542-4916 (administrative/technical only, no investment advice). The information in this brochure has not been approved or verified by the United States Securities and Exchange Commission or by any state securities authority. Registration as an investment adviser does not imply a certain level of skill or training. 
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Additional information about Advisors Crypto, Inc. (CRD #: 109201) also is available on the SEC’s website at www.adviserinfo.sec.gov.
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From the CEO’s Desk
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‍April 2025
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Dear Investors,
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We stand at a pivotal moment in financial history. Decades of fiat money creation have distorted markets, concentrating wealth among those closest to the source—while inflation steadily erodes the foundation of everyday savers. This imbalance fuels financial nihilism: a quiet despair that planning for the future is futile, that the system favors only the privileged. 
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Advisors Crypto, Inc. (AC) was created to challenge that narrative. We exist to serve those overlooked by legacy institutions and closed-door minimums. Our mission is clear: to deliver automated, unbiased investment advice through a modern, resilient platform—built for accessibility, not exclusivity. 
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As of April 2025, all advisory services are offered exclusively through our operational interactive website, in accordance with SEC guidance. Powered by system software and enhanced by artificial intelligence, our platform operates continuously—bringing precision and discipline to every portfolio we serve. 
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We employ tools designed to meet the challenges of this era. Bitcoin, as a scarce digital asset, offers a compelling counterweight to monetary excess. Our investment strategies include risk-aware models that prioritize protection and long-term resilience. While markets remain volatile, we aim to equip users with frameworks that reward patience and discipline over hype and speculation.
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While our delivery is digital, we remain deeply human in our heart: supporting users with platform walkthroughs, responsive tech support, and a commitment to education at every step.
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Advisors Crypto is not a trend. We are a long-term presence—evolving with our users, aligned with a changing financial and regulatory landscape, and driven by the belief that a more inclusive system is both possible and necessary. 
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With respect and resolve,
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Eric W. Kendrick
Founder & CEO

Item 2: Material Changes

Since the filing of the annual amendment on March 30, 2024, Advisors Crypto, Inc. has transitioned to a fully digital model, effective April 5, 2025, under SEC Rule 203A-2(e), requiring all investment advice to be delivered exclusively through our operational interactive website, www.advisorscrypto.com. No human advisers provide investment advice; all recommendations are automated via the platform. Prior services involving personal interaction have been discontinued. User support is limited to administrative and technical assistance via support@advisorscrypto.com. Fees have shifted to quarterly billing in arrears effective Q1 2025.

Item 3: Table of Contents
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1. Cover Page 
2. Material Changes 
3. Table of Contents 
4. Advisory Business 
5. Fees and Compensation 
6. Performance-Based Fees and Side-by-Side Management 
7. Types of Clients 
8. Methods of Analysis, Investment Strategies, and Risk of Loss 
9. Disciplinary Information 
10. Other Financial Industry Activities and Affiliations 
11. Code of Ethics, Participation or Interest in Client Transactions, and Personal Trading 
12. Brokerage Practices 
13. Review of Accounts 
14. Client Referrals and Other Compensation 
15. Custody 
16. Investment Discretion 
17. Voting Client Securities 
18. Financial Information
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Item 4: Advisory Business
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Business and Owner
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Advisors Crypto, Inc., hereinafter referred to as "AC," "the firm," or "we," is an SEC-registered investment advisory firm founded in December 2012, primarily owned by KG Advisors IV, LP, which is majority owned by KG, Inc. Eric Kendrick, KG, Inc.’s majority owner, serves as President and Chief Compliance Officer, leading a team of two focused on platform integrity and compliance.

Advisory Services
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Advisors Crypto, Inc. provides discretionary investment management services exclusively through its operational interactive website, www.advisorscrypto.com, pursuant to SEC Rule 203A-2(e), effective April 5, 2025. No investment advice is rendered by human advisers; all recommendations are generated by proprietary system software, enhanced by artificial intelligence (e.g., Grok, ChatGPT). Operating 24 hours a day, 7 days a week, the platform manages user assets over multi-year horizons, designed to weather full market cycles. New features may be introduced in closed beta to select users, always via the platform.
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Users complete an online risk and suitability questionnaire assessing employment status, income level, investment objectives, time horizon, and net assets. The system recommends one of over ten portfolio models—primarily utilizing exchange-traded funds (ETFs) and digital assets—based on this data. Higher risk tolerance may lead to models with greater cryptocurrency exposure (e.g., Focus5, Managed Bitcoin), while conservative preferences favor diversified ETFs (e.g., AC Classic). Users accept or reject recommendations via the platform; pre-onboarding holdings are illustrative, with final positions set post-engagement. Inaccurate or incomplete responses may result in unsuitable model assignments, a risk users bear.
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Artificial intelligence reviews portfolio holdings using charts uploaded weekly by staff, with analysis conducted no less than monthly—daily or weekly for active models. Leveraging proprietary methodology and technical data from TradingView and Finviz, the AI executes actions—sell, swap, buy, hold, or maintain cash—replacing out-of-trend assets with trending performers. Users receive quarterly custodian statements reflecting these decisions; chart analysis demos are available upon request, though tax consequences are not considered. Third-party providers (e.g., AWS, GitHub) support platform functionality, which we continuously refine for efficiency.
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Support is limited to administrative and technical assistance via support@advisorscrypto.com, an audited channel ensuring no off-platform investment advice. Recommendations are model-level, excluding personal factors (e.g., taxes) not input by users. Historical data drives AI decisions, which may not predict future results; users should assess this automated approach against their goals.

User Needs and Restrictions
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Recommendations rely solely on the accuracy and completeness of questionnaire responses. AC does not seek additional data beyond this to assess risk or provide advice. Users may change models at any time by resubmitting the questionnaire, but intra-model restrictions (e.g., excluding specific assets) are not permitted. Model changes may disrupt AC’s investment philosophy, potentially impacting performance positively or negatively.
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Wrap Fee Programs

AC does not participate in any wrap fee programs.

Assets Under Management
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As of December 31, 2023, AC manages $11,145,307 in discretionary regulatory assets under management. Post-transition figures will be updated after April 5, 2025.
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Item 5: Fees and Compensation

Fee Description and Schedule

Our base fee schedule is as follows:‍

Fees are assessed quarterly in arrears based on the prior quarter’s end balance, effective Q1 2025, with no upfront charges. This enhances billing accuracy and eliminates refund processing. Fees are generally non-negotiable.
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Fee Deduction
With user authorization, fees are deducted directly from accounts. Users should verify fee calculations against custodian statements, which reflect deducted amounts. Upon termination, users are charged only for services rendered, prorated to the termination date. Termination is permitted at any time.
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Third-Party Fees and Expenses
Users incur third-party charges (e.g., brokerage commissions, transaction fees, custodial fees) from custodians and broker-dealers. Investments in ETFs include embedded management and administrative fees, per their prospectuses, borne by users. These costs factor into our asset-based fee calculation. AC does not receive any portion of these fees.
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Compensation for the Sale of Securities or Other Investment Products
AC, its officers, directors, and employees do not receive compensation for the sale of securities or other investment products.

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Item 8: Methods of Analysis, Investment Strategies, and Risk of Loss
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Analysis and Investment Strategy
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Advisors Crypto, Inc. (AC) designs and manages risk-based model portfolios, each with a predetermined investment objective and risk profile, delivered exclusively through our interactive online platform at www.advisorscrypto.com, operational 24/7 as of April 5, 2025, under SEC Rule 203A-2(e). Over ten models—including AC Classic, Focus5, Dynamic Absolute Return, Strategic, and the forthcoming Managed Bitcoin (planned for 2025)—are assigned via an online questionnaire capturing user risk tolerance, goals, and time horizon. Each model maintains independent asset allocation and rebalancing criteria, blending passive and active strategies to navigate full market cycles, typically spanning four years or more.
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Our proprietary system software, enhanced by artificial intelligence (e.g., Grok, ChatGPT), drives portfolio decisions, analyzing technical data from TradingView and Finviz, uploaded weekly by staff. Reviews occur at least monthly—daily or weekly for active models—using classical charting, fundamental, technical, and cyclical methods. Qualitative insights (e.g., macro trends) and quantitative factors (e.g., price momentum) inform actions—sell, swap, buy, hold, or maintain cash—swapping out-of-favor assets for trending performers. Third-party research (e.g., capital markets analysis) supplements real-time data. Users receive quarterly custodian statements; chart demos are available on request, though tax impacts are not considered.

Portfolio Models

• AC Classic: Targets long-term appreciation through broad diversification and passive allocations to custom-weighted ETFs, tailored to current business cycles and macro conditions. Spanning U.S. and international equities, bonds, and real estate, it aims to reduce volatility, lower turnover, and protect against inflation with acceptable returns. Rebalancing occurs annually or during opportunistic market windows, suiting moderate-risk users seeking stability.
• Focus5: A dynamic digital asset strategy, Focus5 targets five cryptocurrencies (e.g., Bitcoin, Ethereum, and promising newcomers) chosen for trade volume, liquidity, and proprietary technical signals. AI-driven swaps occur quarterly or during market events, replacing fading assets. It offers single-point crypto exposure for higher-risk users chasing alpha, though volatility exceeds AC Classic.
• Dynamic Absolute Return: Live since 2023, with strong 2023-2024 performance, Dynamic seeks positive real returns regardless of market direction, using individual stocks, leveraged ETFs, and inverse funds. This tactical, contrarian model adjusts weekly, capitalizing on market inefficiencies for high-risk users willing to endure amplified swings over a full cycle.
• Strategic: A live companion to Dynamic, Strategic pursues long-term growth and absolute returns via thematic ETFs (e.g., innovation, tech, clean energy), guided by monthly signals. This rules-based approach diversifies across stocks, bonds, and commodities, balancing active trend-following with moderated volatility for growth-focused users. Rebalancing is opportunistic, keeping turnover low.
• Managed Bitcoin: Planned for 2025, this model focuses solely on active Bitcoin exposure, shunning diversification for outsized returns. Daily or weekly AI adjustments target crypto’s upside, designed for extreme-risk users—volatility surpasses even Focus5, aiming for pure Bitcoin alpha over multi-year horizons.

Absolute return models (Focus5, Dynamic, Strategic) target positive real returns after inflation over 4+ year cycles, using inverse/leveraged ETFs for hedging when opportunities arise. Users can opt out of crypto via the questionnaire.

Risk of Loss

Securities and digital assets carry inherent risks of loss that users must be prepared to bear. Advisors Crypto, Inc. (AC) does not guarantee future account performance, the success of any investment decision or strategy, or the effectiveness of our AI-driven management. Operating solely via our online platform under SEC Rule 203A-2(e) as of April 5, 2025, our models—AC Classic, Focus5, Dynamic Absolute Return, Strategic, and Managed Bitcoin—face risks from market dynamics, technology, and asset volatility. Equities, fixed-income securities, and cryptocurrencies may decline due to economic shifts, interest rates, or external crises. High-concentration strategies (e.g., Managed Bitcoin) amplify single-asset risks, while inverse/leveraged ETFs and digital assets heighten potential losses. Investment decisions reflect market, currency, political, and technological uncertainties—users could lose all or part of their capital.

This list outlines key risks but is not exhaustive. Our 100% robo-adviser model, without human oversight, increases reliance on AI and platform stability, exposing users to traditional and digital threats.
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• Equity and ETF Investments: AC Classic and Strategic use diversified and thematic ETFs, while Dynamic includes individual stocks. These face market risk—values may drop due to economic downturns, liquidity issues, or issuer-specific problems (e.g., corporate failures). Strategic’s thematic focus (e.g., tech, clean energy) risks underperformance if sectors weaken, while Dynamic’s stocks amplify single-company volatility.
• Fixed-Income Exposure: ETFs in AC Classic and Strategic hold bonds, vulnerable to credit risk (issuer defaults) and market risk (rate hikes lowering prices). Floating-rate or zero-coupon securities add price sensitivity tied to issuer creditworthiness.
• Cryptocurrency and Digital Assets: Focus5 and Managed Bitcoin target volatile cryptocurrencies (e.g., Bitcoin, Ethereum). Prices may crash due to regulatory bans, exchange hacks (e.g., Gemini), or blockchain flaws—total loss is possible. Managed Bitcoin’s single-asset design intensifies this versus Focus5’s five-coin spread. Supply/demand shifts, developer abandonment, or quantum computing advances could render crypto valueless, lacking central backing.
• Inverse and Leveraged ETFs: Dynamic’s heavy use (and Strategic’s occasional use) magnifies gains and losses—daily resets erode value in flat markets, clashing with long-term goals. A 2x inverse ETF could lose over 50% in a day if its index doubles, a risk Dynamic users must accept.
• Automated Investing Risks: Our robo-model relies on a static questionnaire—limited questions may miss nuanced needs. Inaccurate responses (e.g., risk tolerance) may lead to unsuitable models, a user-borne risk. No staff clarify goals; updates are user-initiated. Software bugs or AI errors (e.g., overfitting historical data) could skew recommendations without human checks.
• Platform and Cybersecurity Threats: Our 24/7 platform depends on third-party infrastructure (e.g., AWS, Gemini). Outages, bugs, or cyberattacks (e.g., phishing, ransomware) could disrupt trading or data. Industry-standard safeguards apply, but uninsured losses (e.g., hacked Gemini accounts) fall to users. AI tools risk external breaches or misuse.
• Model Design and Data Risks: AI models hinge on TradingView/Finviz data and proprietary algorithms. Flawed designs or bad inputs could fail—past success (e.g., Dynamic 2023-2024) doesn’t ensure future gains. Data lags or failures hit active models like Dynamic hardest.
• Hedging and Leverage Risks: Dynamic and Strategic hedge with inverse/leveraged ETFs, but mistimed moves or flat markets could amplify losses. Opting out via the questionnaire leaves users fully exposed to market drops.
• Regulatory Uncertainty: Crypto models (Focus5, Managed Bitcoin) face shifting rules—SEC or NYDFS could classify tokens as securities, halting trades or crashing values. Robo-adviser regs may raise costs or limit strategies, indirectly affecting users.
• Short-Term Volatility vs. Long-Term Goals: Absolute return models (Dynamic, Strategic, Focus5) aim for 4+ year gains but may swing wildly short-term—negative years could unsettle users. Managed Bitcoin’s crypto focus triples this risk, diverging from traditional markets.

AI reviews historical trends weekly, analyzed monthly (daily for Dynamic), but cannot predict black swans—pandemics, wars, or tech failures. Absolute return models may defy market norms, requiring patience through dips. Users must weigh this automated approach against their risk tolerance—our strength is adaptability, not certainty.
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Item 9: Disciplinary Information
Registered investment advisers must disclose material legal or disciplinary events relevant to evaluating Advisors Crypto, Inc. or its management’s integrity. Neither AC nor its management persons have faced legal or regulatory findings or pending criminal proceedings material to users’ evaluation of our business or integrity. Additional details from Part 1A of Form ADV are available upon request.
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Our firm may undergo routine regulatory examinations or litigations. If any matter becomes material to our advisory business, we will promptly notify affected users, subject to applicable laws. Disclosure varies by user based on service materiality.

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Item 10: Other Financial Industry Activities and Affiliations
Advisors Crypto, Inc. has no relationships with firms regulated by FINRA, the CFTC, or other entities to disclose. No affiliations or conflicts of interest materially impact our advisory services.

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Item 11: Code of Ethics, Participation or Interest in Client Transactions, and Personal Trading
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Code of Ethics
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Advisors Crypto, Inc.’s Code of Ethics (“Code”) complies with Rule 204A-1 of the Investment Advisers Act of 1940. The Code mandates: (i) adherence to federal and state securities laws; (ii) submission of personal securities holdings and transaction reports by access persons; (iii) pre-approval of certain personal investments; and (iv) policies to prevent misuse of material, non-public information. All personnel certify compliance annually.
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Material Financial Interest in Securities
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AC holds no material financial interest in securities recommended, bought, or sold for users.
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Concurrent, Same Securities
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Access persons may invest personally, subject to restrictions, and may transact in the same or related securities as users, potentially concurrently. The Code manages conflicts via pre-clearance and reporting. The Compliance Officer approves transactions only if they comply with the Code and avoid adverse user impact, ensuring ethical consistency.
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Item 12: Brokerage Practices
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Selecting and Recommending Broker-Dealers
Advisors Crypto, Inc. uses FINRA-registered, SIPC-member broker-dealers as qualified custodians for user securities. Our primary custodian is Charles Schwab & Co., Inc. (“Schwab”), unaffiliated with AC. Custodians are chosen for advantageous terms, including execution quality, costs, and services. Transactions typically execute through the custodian, though other brokers may be used for best execution, possibly incurring extra costs. Cryptocurrency holdings use custodians like Gemini (New York Banking Law-licensed) or Anchorage Digital (federally chartered), uninsured by FDIC or SIPC.
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Research and Soft Dollar Benefits
AC has no formal soft dollar arrangements. Schwab provides research and non-soft dollar services (e.g., institutional trading, custody, execution, investment access), used for user account management and operations. These benefits influence our Schwab recommendation, creating a disclosed conflict of interest.
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AC does not receive user referrals from broker-dealers. Users cannot direct execution to specific broker-dealers. AC may aggregate orders (block trades) for efficiency, allocating at an average price with costs shared pro rata.

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Item 13: Review of Accounts

Artificial intelligence monitors user portfolios using weekly uploaded charts, reviewed no less than monthly—daily or weekly for active models. Trend swaps occur as assets deviate from favorable trends. Users are emailed annually to update their financial situation and objectives via the questionnaire. Pre-onboarding, illustrative holdings are shown; final positions are set post-engagement and AI-reviewed.
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Users receive custodian statements and transaction reports at least quarterly, reflecting AI-driven decisions.

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Item 14: Client Referrals and Other Compensation

See Item 12: Brokerage Practices for custodian benefits. Advisors Crypto, Inc. has no referral relationships to disclose.

Item 15: Custody
AC is deemed to have custody when deducting fees from user accounts. Assets are held with qualified custodians, who send quarterly statements directly to users. Users should review these statements and verify fee calculations against deducted amounts.
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Due to a Gemini platform change, AC has temporary custody risk for cryptocurrency accounts. Per SEC rules, these undergo surprise independent verification while transitioning to a new qualified custodian.

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Item 16: Investment Discretion
Users complete an online questionnaire, receiving an automated portfolio recommendation. Upon platform acceptance, AC exercises discretionary authority at the model level. Users may switch models via a new questionnaire, but intra-model restrictions are not allowed.

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Item 17: Voting Client Securities
Advisors Crypto, Inc. does not vote proxies on behalf of users. Users retain responsibility for voting proxies and making voting decisions.

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Item 18: Financial Information
Advisors Crypto, Inc. does not require or solicit prepayment of fees. The firm has no financial condition reasonably likely to impair contractual commitments to users. AC has not faced a bankruptcy petition in the past ten years.

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Privacy Policy
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At Advisors Crypto, Inc., we respect your personal financial privacy. We recognize that you entrust us with sensitive information, and we are committed to safeguarding it. These policies apply to current and former customers.

We collect personal financial information from: 

• Investment advisory agreements, brokerage applications, and other documents you complete; 
• Information you provide orally; 
• Data from third parties (e.g., brokerage firms) about your transactions with us or others.

This includes your name, Social Security number, address, telephone numbers, net worth, annual income, and account numbers.

We do not disclose nonpublic personal financial information to nonaffiliated third parties, except: 

• When required to execute transactions or provide requested services; 
• When you authorize it in writing;
• When permitted or required by law.

Within AC, access to your information is restricted to employees needing it for service delivery. We maintain physical, electronic, and procedural safeguards—including off-site backups, anti-virus software, and password-protected access—to protect your privacy.
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These policies apply to all customers in our role as a registered investment adviser. Information may be shared with regulators as required.
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For more details, contact Eric Kendrick, Compliance Supervisor, at (800) 542-4916.