Editor's note: A Nasdaq-like stock exchange will soon launch in China...

The country's 1.4 billion mainland citizens will be able to invest in Chinese tech startups when that happens, potentially igniting a massive bubble in Chinese stocks.

And as our friend and colleague Steve Sjuggerud writes in today's Masters Series essay – adapted from the December issue of True Wealth Opportunities: China – this major move will allow another "wrong" to be righted in the country in the coming years...

What's Happening Right Now in China Is Almost Too Hard to Believe

By Steve Sjuggerud, editor, True Wealth Opportunities: China

Within the year, Chinese citizens will be able to pour money into exciting Chinese tech startups.

This could ignite a tremendous bubble... a dot-com bubble of sorts, but in China.

As I told you yesterday, Netscape's initial public offering was one of the catalysts for the U.S. tech bubble more than two decades ago. Now, Chinese companies will have the ability to go public with far fewer requirements. If just a few of these companies succeed, it could take the market by storm.

We could soon hear stories of paper millionaires in China... and folks quitting their day jobs to trade Chinese tech stocks. We could see the dot-com bubble all over again... on the other side of the world.

I can't stress how big this really is. I believe it could be the catalyst to get Chinese stocks moving in the right direction.

The "New Nasdaq" exchange is slated to launch later this year. And it could cause a firestorm of activity...

What's crazy is that – again – this is just one of two "wrongs that need to be righted." The next is even crazier... And the investment implications for us could be even greater.

As Americans, it's nearly impossible to accept that something like this is even possible... It just seems silly. It seems made up or fake... like no one would allow it to happen.

This, my friend, is the definition of a wrong that needs to be righted... It makes no sense, and it has to change. The only questions are exactly how and when.

And when the change occurs, it'll mean as many as 100 million new buyers will pour money into China's largest tech businesses.

To understand what's happening, we'll flip the existing scenario around to the U.S. That's the easiest way to see how ridiculous China's system actually is...

Let's assume that you are an American, and you are a passionate user of Apple (AAPL) and Google products. However... you aren't allowed to buy shares of these companies.

Why not?

Well, because the rules about initial public offerings of tech companies from the U.S. Securities and Exchange Commission are so tough, Apple and Google's parent company, Alphabet (GOOGL), choose to list their stocks outside of the U.S. – in China.

So now, the only way anyone can buy shares of Apple or Google is on the Shanghai Stock Exchange. But there's a catch...

As an American investor, you can't buy stocks on the Shanghai exchange. In other words, you have no way to own Apple or Google!

That sounds crazy, right?

It would never happen here in America. Heck, it should never happen anywhere. But if you "flip the script," that's exactly what has happened in China...

The country's system is broken.

The companies that turned out to be China's most popular and influential tech darlings had to list outside of China... either in Hong Kong, through "H-shares," or in the U.S. You can't buy them with "A-shares" traded locally in China. And that means Chinese investors in the mainland can't own them at all.

Today, Chinese investors can't buy shares of China's biggest, most beloved companies on the Shanghai Stock Exchange.

These are China's most beloved tech giants – like China's version of Google, China's leading travel-booking website, and one of China's top online-retail companies.

This scenario is unthinkable, but true: China's most popular tech businesses do not currently trade in China.

This. Is. Nuts.

This situation will not last forever. It can't. Local Chinese investors want to own these businesses. And the Chinese government should want them to own shares as well.

No matter how this situation plays out going forward, the end result should be the same...

China's tech giants will trade in Shanghai within five years.

Nothing else makes sense. Chinese investors are waiting, cash in hand, to invest in their homeland's tech darlings. They want to do it.

A few things could happen to allow them to put money to work. And I'll admit up front, no one knows exactly how this will play out today.

But the New Nasdaq is a logical place for these companies to begin trading in China, thanks to its looser requirements.

In fact, Chinese regulators recently published the rules for the new stock exchange.

The rules answered plenty of lingering questions... But the exciting part of the story was a single piece of information from Yi Huiman, chairman of the China Securities Regulatory Commission ("CSRC") and a key financial regulator in the country.

At the release, he talked up the new exchange, confirming some of the details. He also noted that Chinese companies that trade abroad would be able to return to China on the new exchange.

What's crazy to me is that no one is interested in this story yet...

The media has barely covered China's new stock exchange, despite the radical impact it's sure to have on both the U.S. and Chinese markets.

The media just doesn't yet see how big this New Nasdaq could be. It has no idea of the moneymaking potential for investors who "get" what's going on... and act fast.

Chinese citizens want to own China's most beloved tech giants. They use their products and services daily, but they can't own shares in their brokerage accounts. It's a wrong that will be righted.

The New Nasdaq could be the solution. And even if it isn't, it should lead to a once-in-a-lifetime boom. This could be the dot-com bubble all over again... but in China.

And that's reason enough to expect big gains in this market soon.

Good investing,

Steve Sjuggerud

Editor's note: Even if you've ignored what's happening in China until now, you still have time to act. But you can't wait much longer... Once news of the New Nasdaq goes mainstream, it'll be too late. That's why Steve just put together a special presentation to explain how you can make triple-digit gains as this situation unfolds. Watch it right here.