BitCoin
Quote: OnceDearHi Soopoo. With coinbase your coins are mixed in with their's and CB just maintain an account balance for you. You neither own nor control the coins at all. So No. You cannot direct them to sell chosen BTC.
Here in the UK, our tax authority HMRC, treat BTC like a stock or share and EVERY purchase with BTC or conversion to fiat, is deemed a disposal at the going rate. Because we have to report purchases and disposals on our CGT ( Capital gains tax) returns beyond a certain low level, it means a massive amount of record keeping. Failing to do that causes problems when disposing of big quantities.
NOTE: Coinbase is reporting transactions to IRS and HMRC. Personally I would not use CB for anything more than a few hundred dollars a year in transactions. I keep my BTC keys on a trezor hardware wallet.
It does not matter which BTC you sell. They are all the same. Coinbase is just keeping your BTC in "street name" which is how stocks work in the USA at least. The issue being discussed is for the capital gain.
Soopoo seems to be asking if he can use "LIFO" to reduce tax this year or "FIFO" to pay more in tax this year to avoid a probable Biden tax increase on capital gains next year. Or "weighted average" to make it easy. While it should all be tax-free if you use your BTC to buy something vs. selling it off reality is they are going to tax it so have to have the records.
Quote: SOOPOOI learned something today!
I might as well try to learn you something for today.
This is not the case for every crypto. While Ethereum is similar there is at least one, XLM, that you use plural. Those are Stellar Lumens and boy oh boy do I wish I had been dollar cost averaging them the last year. A low of 2 cents or so now near $0.39.
I am now buying them as while they are a few year play maybe the next cycle they have promise. Supposed to be the way immigrants send cash back home cheap and may go to $5 in a few years. I saw one prediction of $50. I forget the country that is giving them some push officially.
The long term play is if some Asian or/and African country uses them side by side with local currency they will have real value. So a few guys from wherever overseas living in Cheektavegas get paid, buy some at a bodega, then ship them home where their family simply pays for their groceries with them instead of paying Western Union to wire funds.
That is world changing. So the $50 a month I DCA in with would have been $400 if I did this last year. curses spoiled again!
Hi Pg. Let me know the 24 word pass phrase so I can send some more to it $:o)Quote: PokerGrinder🙄
OD I’m the same, I don’t use anything but my trezor.
Seriously... Did you know that you can create a duplicate trezor as a backup. Once done you can use the trezors interchangeably and they are effectively always in sync and always identical, like a pair of matching keys, or correctly two safes containing pairs of matching keys.
You can also replicate accounts on the trezor with electrum software.
That is just more hard evidence when they finally catch him.Quote: OnceDearHi Pg. Let me know the 24 word pass phrase so I can send some more to it $:o)
Seriously... Did you know that you can create a duplicate trezor as a backup. Once done you can use the trezors interchangeably and they are effectively always in sync and always identical, like a pair of matching keys, or correctly two safes containing pairs of matching keys.
You can also replicate accounts on the trezor with electrum software.
Quote: OnceDearHi Pg. Let me know the 24 word pass phrase so I can send some more to it $:o)
Seriously... Did you know that you can create a duplicate trezor as a backup. Once done you can use the trezors interchangeably and they are effectively always in sync and always identical, like a pair of matching keys, or correctly two safes containing pairs of matching keys.
You can also replicate accounts on the trezor with electrum software.
I didn’t know this but my trezor is currently almost empty as I have my btc invested in something else that is paying huge dividends.
Start it here, I reckon.Quote: BTLWIShould I create a new thread for Crypto loan math help or keep it in here?
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Cryptos Are Crashing, Coinbase Offline (for the second time in 3 days)
Bitcoin has plunged over $6000... to $34,000 (may have rebounded to $38,000 since).
And Ethereum is down almost $200... to $1,150
Crypto sales will take 3 business days to settle.
What’s up with Robinhood?
many owners of bitcoin are locked out their accounts and have no access to their funds because they lost their passwords and unlike a typical brokerage the exchanges do not assist an investor facing this dilemma
from the article:
"Of the existing 18.5 million Bitcoin, around 20 percent — currently worth around $140 billion — appear to be in lost or otherwise stranded wallets, according to the cryptocurrency data firm Chainalysis. Wallet Recovery Services, a business that helps find lost digital keys, said it had gotten 70 requests a day from people who wanted help recovering their riches, three times the number of a month ago.
the cryptocurrency’s unusual nature has also meant that many people are locked out of their Bitcoin fortunes as a result of lost or forgotten keys. They have been forced to watch, helpless, as the price has risen and fallen sharply, unable to cash in on their digital wealth."
https://www.nytimes.com/2021/01/12/technology/bitcoin-passwords-wallets-fortunes.html
CROSSING MY FINGERS THIS HAPPENS TO MY DEAR FRIEND PokerGrinder.Quote: lilredrooster............................
many owners of bitcoin are locked out their accounts and have no access to their funds because they lost their passwords and unlike a typical brokerage the exchanges do not assist an investor facing this dilemma
from the article:
"Of the existing 18.5 million Bitcoin, around 20 percent — currently worth around $140 billion — appear to be in lost or otherwise stranded wallets, according to the cryptocurrency data firm Chainalysis. Wallet Recovery Services, a business that helps find lost digital keys, said it had gotten 70 requests a day from people who wanted help recovering their riches, three times the number of a month ago.
the cryptocurrency’s unusual nature has also meant that many people are locked out of their Bitcoin fortunes as a result of lost or forgotten keys. They have been forced to watch, helpless, as the price has risen and fallen sharply, unable to cash in on their digital wealth."
https://www.nytimes.com/2021/01/12/technology/bitcoin-passwords-wallets-fortunes.html
Quote: AxelWolfCROSSING MY FINGERS THIS HAPPENS TO MY DEAR FRIEND PokerGrinder.
With friends like you, who needs enemies 😅
Quote: AxelWolfCROSSING MY FINGERS THIS HAPPENS TO MY DEAR FRIEND PokerGrinder.
the Germans have a word for that.................................𝘴𝘤𝘩𝘢𝘥𝘦𝘯𝘧𝘳𝘦𝘶𝘥𝘦
it means getting pleasure from someone else's pain
𝘦𝘱𝘪𝘤𝘢𝘳𝘪𝘤𝘢𝘤𝘺 is a rarely used English word that means the same thing
*
Some have speculated it will keep going up because there is a finite number of Bitcoin possible. To me this makes absolutely no sense, since they can be traded in fractional amounts quite easily. Makes as little sense as when a stock goes up because it has split. Like the stock is 'cheap' after the split.
Quote: SOOPOO$39.7k now.
Some have speculated it will keep going up because there is a finite number of Bitcoin possible. To me this makes absolutely no sense, since they can be traded in fractional amounts quite easily. Makes as little sense as when a stock goes up because it has split. Like the stock is 'cheap' after the split.
On the flip side
Its estimated that about 20% of bitcoin is locked up and can never be accessed insuring its value
I'm thrilled I listened to my nephew couple days ago
I'm up 179.60 on a 1k dip after only 2 days
I'm curious about whether exchanges can sell or loan out bitcoin that they don't have in the same way that banks can loan fiat money that doesn't exist. Obviously they can't do that where coins are taken from the exchange's account, but with the likes of coinbase, they just keep giving you an account balance. They don't provide you any private keys or endpoint addresses for what are nominally your own coins.Quote: SOOPOO$39.7k now.
Some have speculated it will keep going up because there is a finite number of Bitcoin possible. To me this makes absolutely no sense, since they can be traded in fractional amounts quite easily. Makes as little sense as when a stock goes up because it has split. Like the stock is 'cheap' after the split.
Remember, if you don't have exclusive access to the private keys, you don't have the BTC!
Quote: SOOPOO$39.7k now.
Some have speculated it will keep going up because there is a finite number of Bitcoin possible. To me this makes absolutely no sense, since they can be traded in fractional amounts quite easily. Makes as little sense as when a stock goes up because it has split. Like the stock is 'cheap' after the split.
You are missing the second half of it.
The whole idea is to split it instead of inflating it. Imagine we are in an imaginary city, lets call it Williamsville. No trade in anything besides our currency, we will call it the flutie. And no trade in or out. Now, if there is a central bank they can print more fluties at will. Say there are 5,000 fluties chasing 5,000 orders of wings for dinner tonight, Each order will cost 1 flutie. But if the central bank prints an additional 500 fluties now the wings will cost F1.10.
With bitcoin there never will be any more and no matter how you split it does not matter. So say an order of wings cost 10 BTC. The price of wings will not have any effect on the price of wings, it should stay stable assuming steady supply and demand. So while the price is now F1.10 it is still 10 BTC. But the price in BTC will vary as the flutie gains or falls on the open market.
If it helps, think in therms of gold. The classic thing with gold is a men's suit cost the same in gold 100 years ago as it does today, say 1 ounce. Just that the dollar price of gold has changed. Gold can be subdivided to grams, but theoretically you could get it down to atoms.
Looking for a recommendation for apps/technology to dip my toe in the cryptocurrency market. More to learn about it from a "hands on" approach, than to invest and make billions.
I have an unfunded Bitstamp account. What other apps do I need? Would you recommend?
Or, is there a post that outlines how to get started you could link?
Thanks folks!
Quote: SOOPOO$39.7k now.
Some have speculated it will keep going up because there is a finite number of Bitcoin possible. To me this makes absolutely no sense, since they can be traded in fractional amounts quite easily. Makes as little sense as when a stock goes up because it has split. Like the stock is 'cheap' after the split.
Most speculation that BitCoin will, generally, hold its value is based on scarcity. Not a limitation for how many individuals are allowed to possess these coins.
With finite numbers of BTC units by means of the design of intrinsic scarcity necessary for anything considered to be "money" as opposed to a fiat currency, there is still nothing prohibiting all 7 billion people on the planet from holding a fractional bitcoin unit.
Quote: IndyJeffreyYes, I am being lazy and not conducting a quick search of this (and other posts)...
Looking for a recommendation for apps/technology to dip my toe in the cryptocurrency market. More to learn about it from a "hands on" approach, than to invest and make billions.
I have an unfunded Bitstamp account. What other apps do I need? Would you recommend?
Or, is there a post that outlines how to get started you could link?
Thanks folks!
Coinbase is nice and easy. PM me for a link for a $10 bonus if you like.
On the other hand, there is nothing preventing all 7 billion people from owning an AxelCoin.Quote: AhighMost speculation that BitCoin will, generally, hold its value is based on scarcity. Not a limitation for how many individuals are allowed to possess these coins.
With finite numbers of BTC units by means of the design of intrinsic scarcity necessary for anything considered to be "money" as opposed to a fiat currency, there is still nothing prohibiting all 7 billion people on the planet from holding a fractional bitcoin unit.
That would seem Logical since that would create more demand. Or just people who are unwilling to sell..Quote: rxwinePeople in Bitcoin want more and more people to get in it because they will make more money. Am I wrong?
Quote: rxwinePeople in Bitcoin want more and more people to get in it because they will make more money. Am I wrong?
That's right. It's a ponzi in a way. Early adopters/holders get to obtain value in time based on nothing more than buying in early at lower price and the late/last adopters get less/none value.
FYI most of the offshore online casinos use BTC. I'm to understand correctly by 2023 its expected to generate 92 billion a year. I have no clue what percentage BTC is used, but I have a feeling it's a big chunk.Quote: rawtuffThat's right. It's a ponzi in a way. Early adopters/holders get to obtain value in time based on nothing more than buying in early at lower price and the late/last adopters get less/none value.
Quote: AxelWolfThat would seem Logical since that would create more demand. Or just people who are unwilling to sell..
...until the price starts to decrease, people freak out, and the price crashes. I'm not saying this will happen, but...
Quote: IndyJeffrey...until the price starts to decrease, people freak out, and the price crashes. I'm not saying this will happen, but...
BTC and all crypto has been peaks and crashes for 11 years. But the low of the year has been higher every year. Not sure if this will hold after the covid crash in March, but that is classic charting good.
Was up about 175 on a 1k buy the next day
Currently up just 34 right now but at least its up
Quote: rawtuffThat's right. It's a ponzi in a way. Early adopters/holders get to obtain value in time based on nothing more than buying in early at lower price and the late/last adopters get less/none value.
No it's not right. And your answer is flatly wrong.
References disproving your wrong statements:
* Wikipedia on "ponzi scheme."
* Reductio ad absurdum assuming premise that "BitCoin is a Ponzi Scheme."
* Knowledge of basic principles of markets
* Reductio ad absurdum assuming that getting in early guarantees a lower price
Does that also add credibility to it?Quote: ChumpChangeI'd figure the IRS taxing all bitcoin transactions would bring the price down, but maybe most of the traders are foreigners.
I am aware of the story. but I assumed that was over a much shorter time period than Bitcoin has been around.Quote: billryanI'd say it has more in common with the Tulip craze or land in South Florida in the 20s than a ponzi scheme.
Bitcoin really started to take off in 2013. The digital currency began the year trading at around $13.50 per bitcoin. The price rallied in early April 2013, briefly reaching a height of over $220 before dropping back down to around $70 by mid-April. This was the first real rally and associated crash for the currency.
The Meteoric Rises and Falls of Bitcoin
In the fall of 2017, the price of bitcoin began to rise. In October of that year, the price broke through $5,000 and doubled again in November to $10,000. Then, on December 17, the price of one bitcoin reached $19,783. Several commentators and critics called this a price bubble, many of whom made comparisons to the Dutch Tulipmania of the 17th century. Indeed, just a few weeks later, the price of bitcoin fell rapidly, crashing all the way down below $7,000 by April 2018 and below $3,500 by November 2018.
Quote: AxelWolfI am aware of the story. but I assumed that was over a much shorter time period than Bitcoin has been around.
I don't know much about the tulip craze but the Florida land craze lasted about ten years, maybe a bit more.
Quote: TDVegasBitcoin? Digital currency? Is it even used as currency? Best I can tell it’s like having a Ferrari that never gets driven, it just trades from one garage to the next for varying amounts of money.
I just got into it a few days ago due to the big dip
Just 1k but I plan on holding for a while
As to spending
I think I can setup an online poker account and easily make a deposit
Anybody know anything about doing this?
Quote: terapinedI just got into it a few days ago due to the big dip
Just 1k but I plan on holding for a while
As to spending
I think I can setup an online poker account and easily make a deposit
Anybody know anything about doing this?
But how is the value quantified without selling it? What if you deposit it....burn $35,000 in poker losses (current value, give or take) on the weekend and on Monday Bitcoin is selling for $28,000? What then?
Did most of the early investors see profits like they have on BTC? Could you invest $10? if not, I don't really see a comparison. Its all fun to say and we can compare it to just about anything that was a bubble, con, or ponzi scheme; Let's just make sure its an accurate description. I think it's going to be like the early internet stocks, many will run up big time but end up big losers and some will become like Amazon and you will regret not getting in early.Quote: billryanI don't know much about the tulip craze but the Florida land craze lasted about ten years, maybe a bit more.
Quote: ChumpChangeThe casino has the bitcoin and they'd suffer a $7,000 devaluation overnight. You'd have no bitcoin because you lost it all at the tables.
It’s a bit strange that any business would even take that risk. Would a car dealership accept a $35,000 Bitcoin for payment on a vehicle, knowing the fluctuations?
Quote: TDVegasIt’s a bit strange that any business would even take that risk. Would a car dealership accept a $35,000 Bitcoin for payment on a vehicle, knowing the fluctuations?
The business wouldn't hold the bitcoin. I imagine it would do just what I did a few weeks ago where someone paid me with bitcoin. While the buyer used bitcoin, through the magic of the internet, I received good old US dollars, and instead of it costing me the three percent paypal would have charged, I paid a fraction of that for the exchange. I guess I was taking a chance that bitcoin would not crash in the minute or two between the payer sending it and the time it took me to exchange it.
Quote: AxelWolfDid most of the early investors see profits like they have on BTC? Could you invest $10? if not, I don't really see a comparison. Its all fun to say and we can compare it to just about anything that was a bubble, con, or ponzi scheme; Let's just make sure its an accurate description. I think it's going to be like the early internet stocks, many will run up big time but end up big losers and some will become like Amazon and you will regret not getting in early.
I don't think bitcoin is going to end well. That is my gut feeling. At this point in my life, I'm much more concerned about preserving capital than chasing it so it isn't for me. If I was 25 and had forty years to recover from my mistakes, I would feel different.
As I prepare to move for the second time in two years, and third in five, I am appreciating the joy of downsizing more than ever.
Hi Bill,Quote: billryanand instead of it costing me the three percent paypal would have charged, I paid a fraction of that for the exchange.
Would you mind identifying the exchange that had low charges? With Bid/Offer spread on the exchange rate, I usually expect it to cost a few percent.
I have been hearing that from the beginning, and yet, here we are. Why don't you think it will end well? When do you think the end will come? 2 years, 5 years, 100 years? Anyone can say, I don't think x stock/company will end well and never be wrong no matter how well something does in the meantime, with a chance to be right.Quote: billryanI don't think bitcoin is going to end well.
Back in 98/00 who would have guessed AOL would have went down the tubs so fast? I had a feeling them buying Time Warner was bad news.
Amazon... really? I didn't get it, I thought they were just going to sell books online.
Quote: TDVegasIt’s a bit strange that any business would even take that risk. Would a car dealership accept a $35,000 Bitcoin for payment on a vehicle, knowing the fluctuations?
If they know what they are doing there is little reason not to. Just immediately swap the bitcoin for a stable coin that trades at $1USD. Better yet just have the buyer make the swap then sent the crypto.
Sort of like Rick buying silver and the price moves against him at the end of the day.
