I’m getting ready to cash most of mine out to get some rear tractor tires.
Started with $250 in crypto couple of months ago.($237 after buying fees on coinbase)
It’s now $450-465 depending on the day or even time of day.
Tires are $350 including shipping.
Gonna pull $300 out in crypto and leave $150ish in.
Will try to add back $50 here and $50 there.
First thing’s first, gotta get set up on coinbase pro for the cheaper fees.
Coinbase is good, however Binance US has cheaper fees.
What do you propose to do sounds like borrowing from your 401(k) or retirement plan. As long as you pay it back very soon you should be OK.
I bought 5 Bitcoin in 2013 for $550. That is worth about $350,000 today.
Take a loan to buy your tires. You will thank me in 5 years.
Great job on your investment! However, you will be trading an asset for a liability when you cash out. You will pay taxes and you lose your assets. If you cash out in under a year, then you pay regular taxes and not capital gains.
Instead let your assets work for you and don’t trade for liabilities. Meaning use them as collateral and borrow money. Why do this? Because it is tax free to borrow money. The reason it is tax free is because it’s not your money and you pay interest on it.
If you borrow you get to keep your assets. So the name of the game is accumulation and never sell. Assets are generally hold their value and go up over time. For instance, land and gold do that very well. So let your crypto work for you. You can use legit places like Block Fi to do this.
If you are paying taxes on tax day, then you are not doing something right.
Ideally with land you don’t want to borrow more than 30% of your asset value or you risk going upside down if the value drops over 70%.
If you are going to use crypto to get loans, then ideally I would not go over 10%. This is because the last Bear market it was 90% pull back. Which is pretty bad. Although to get the big gains in crypto you also get big pull backs.
We will be in a Bull market for a while. Why do I say this? This is because China is trying to go to a digital currency by the Olympics in 2022. I do not see U.S. just sitting on the sidelines and doing nothing about it. Furthermore, you have web sites like Coinbase going public. More Exchanges and adoptions coming.
Personally, I think we will be in this Bull Market at least 3 years minimum before the bubble pops. I’m thinking it will probably happen in 5 years and 7 years at the latest. It will be sort of like the dot coms initially all boomed, but then the bubble bursted.
As for crypto it is here to stay. Don’t be like that guy who purchased 1,700 Bitcoins for $0.06 cents and sold them at .30 cents.
https://twitter.com/GregSchoen/status/70261648811761665