Anyone Invested in crypto?

[ArcadiaGP]

I pay 39.6% tax on any short term gain. That's profane.

that's why I like crypto, keep assets away from .gov and big banks

???

You still have to pay taxes on Crypto gains, though.

 

[hoosierdoc]

???

You still have to pay taxes on Crypto gains, though.

Not if they were in a Roth. Again, we're all investing post-tax $ in them. Wouldn't it be nice if the gains were tax free?

 

[ArcadiaGP]

Not if they were in a Roth. Again, we're all investing post-tax $ in them. Wouldn't it be nice if the gains were tax free?

Not sure I follow that. Any money you invest into crypocurrency, and make a profit on, is taxable income. I don't think where it came from matters, does it?

I mean, if Coinbase et al get audited and the gov sees your account, your deposits, buys, and sells... that's all it sees, numbers. And it wonders why you didn't report those numbers.

 

[hoosierdoc]

Not sure I follow that. Any money you invest into crypocurrency, and make a profit on, is taxable income. I don't think where it came from matters, does it?

I mean, if Coinbase et al get audited and the gov sees your account, your deposits, buys, and sells... that's all it sees, numbers. And it wonders why you didn't report those numbers.

With an IRA you can deduct from your income however much you put into the IRA the year you fund it (up to allowed max). But when you take it out all the gains are taxed as income. With a Roth IRA, you invest funds but do not deduct them from the amount you pay income tax on. Since that money has already been taxed, all the gains and the balance can be withdrawn tax free later.

if we put $3000 in crypto as post-tax Roth IRA dollars and it's worth $3,000,000 at retirement, you withdraw it and get $3,000,000. As it stands now, you'd pay income tax on $2,997,000 if you withdraw it all at retirement. The numbers are extreme to highlight my point. I don't think we can currently buy crypto with IRA accounts. But if they are considered property by IRS and you can do self-directed IRA real-estate investing...why not????

i'm saying I would rAther pay the tax on $3000 and hope it spikes up. Because either way I've already paid income tax on the $3000, whether in Roth IRA crypto or normal account crypto. Alpo is arguing that the lack of ability to deduct the $3k loss if you lose everything negates the upside potential of tax-free gains. I strongly disagree.

alpo is concerned about people's future retirement savings but loves the social security system...

 

[A 7.62 Exodus]

Did a little diversifing this afternoon. Got a steal on some XVG. It was tanking when I bought, now it’s holding $0.04 higher from when I got some.

 

[hoosierdoc]

Nice. I'm in at 0.130356

last few hours have been rough

 

[bwframe]

...alpo is concerned about people's future retirement savings but loves the social security system...

 

[nra4ever]

Xvg is a dogecoindark. Wraith is a scam. Be careful with what you put your money into. Pump and dump by a whale and Mcafee.

 

[CHCRandy]

Not anymore. I'm whole, and then some. Now, I'm just letting it ride. I may throw a couple hundred in the sub one cent coins, just to gamble.

Gotcha....basically you are playing with the houses money then? I bet if BTC pops back to $20,000 you may take a little profit.........or am I wrong on that. I am waiting patiently for LTC to come back down.....I sort of expect a sell off tomorrow, but who knows with this stuff. I see Ripple is up now that Doc sold.

 

[CHCRandy]

that's basically what I'm doing now. I hope to let my GPU mining rig purchase more GPU mining rigs through revenue. Three days ago my $3400 was worth $2300. Yesterday it was worth $4900. Now it's $3920. Insane swings, and I'm not even drinking for free from waitresses in lingerie . XRP and CVC are my most expensive holdings

My buddy is in CVC and he sold on that spike today.....did you buy before or after it spiked?

 

[CHCRandy]

Did a little diversifing this afternoon. Got a steal on some XVG. It was tanking when I bought, now it’s holding $0.04 higher from when I got some.

They claim XVG gonna have a big week.....some fraudster caused a selloff on fake news today. Interesting stuff.

 

[hoosierdoc]

My buddy is in CVC and he sold on that spike today.....did you buy before or after it spiked?

after of course. still lots of upside though. It's down 15% from where I bought in. Boo. Verge is still up 36%, Bytecoin 20%, and DigitalNote 125%.

I am really geeking out over the mining. I am going full excel-sheet geek to determine how to set things up and what to mine. It looks like dual mining Expanse and Decred is the most profitable at this very moment. With a rig of six NVIDIA 1080Ti cards I should make $42/day at current prices and difficulty levels. That scales up quite nicely. The rig would cost about $4800,but would generate $15,300 annually based on today's prices and difficulty levels. If it holds for two years then that's a 530% ROI., profit of $25,800 with the asset still remaining.

The more I look at it the more I realize mining is how I'll move forward with investing more money into crypto. I may pull the second $3000 straight back out of coinbase and buy video cards. Ah, decisions, decisions.

 

[dave29]

With an IRA you can deduct from your income however much you put into the IRA the year you fund it (up to allowed max). But when you take it out all the gains are taxed as income. With a Roth IRA, you invest funds but do not deduct them from the amount you pay income tax on. Since that money has already been taxed, all the gains and the balance can be withdrawn tax free later.

if we put $3000 in crypto as post-tax Roth IRA dollars and it's worth $3,000,000 at retirement, you withdraw it and get $3,000,000. As it stands now, you'd pay income tax on $2,997,000 if you withdraw it all at retirement. The numbers are extreme to highlight my point. I don't think we can currently buy crypto with IRA accounts. But if they are considered property by IRS and you can do self-directed IRA real-estate investing...why not????

i'm saying I would rAther pay the tax on $3000 and hope it spikes up. Because either way I've already paid income tax on the $3000, whether in Roth IRA crypto or normal account crypto. Alpo is arguing that the lack of ability to deduct the $3k loss if you lose everything negates the upside potential of tax-free gains. I strongly disagree.

alpo is concerned about people's future retirement savings but loves the social security system...

Doc, I believe this can be used in your Roth IRA account.

GBTC Bitcoin Investment trust

https://snapshot.fidelity.com/fidresearch/snapshot/landing.jhtml#/research?symbol=GBTC&appCode=

I don't have the balls to buy in to it with my Roth.

 

[hoosierdoc]

the above posts about using post-tax dollars to invest with is exactly why I do not deduct the cost of my disability policy from my income. I pay about $300/mo for the policy. If I ever need it, the money they pay me will be tax free "income" since I paid for the policy with post-tax dollars. If I wanted to take the tax deduction for my disability payment, I would have to pay income tax on the disability money. No way. It's already only like 2/3 replacement income, but if tax-free that should be close to a wash of where I'm at now.

whattomine.com is showing $47/day profit for a rig with six 1080i cards. I estimate that rig would cost $4800. At current prices a 102-day ROI is pretty freaking sweet. Then it's gravy, at $47/day for the rest of the year (Assuming revenues hold, which they won't)

 

[hoosierdoc]

It may be time to form a corporation to mine. Need to look into tax benefits of that with new passthrough income tax.

 

[Kutnupe14]

Keep your eye on BTC approaching $16K. If it cracks that mark, the bulls will be in control again.

 

[Kutnupe14]

Gotcha....basically you are playing with the houses money then? I bet if BTC pops back to $20,000 you may take a little profit.........or am I wrong on that. I am waiting patiently for LTC to come back down.....I sort of expect a sell off tomorrow, but who knows with this stuff. I see Ripple is up now that Doc sold.

Yeah, I'm all house money. If it hits $20K doubtful I'l take any profits. My profit taking points are 10% from a single coin at $50K and $100K.

 

[hoosierdoc]

CVC not doing well. I'm down $1000 from max, still up a bit

 

[Kutnupe14]

CVC not doing well. I'm down $1000 from max, still up a bit

Money is flowing back into BTC from the alts. Wait for that to subside, and then some of it will flow back to the alts.

 

[hoosierdoc]

Yeah I've seen the ebb and flows. Bitcoin up = Alts down usually. hodling for now, snacking on uncoiled rice