"Cashing Out" is for Losers

If you're thinking of "Cashing Out", you didn't understand anything.

You won't need to "cash out". Crypto is the new paradigm. If you wait a few more years, you can use crypto directly for everything. I already am using it for most of my purchases. Just bought a new smartphone and computer chair with crypto.

That should also solve your questions about taxes. You only need to worry about tax if you plan to cash out.

This is why I want the taxes to be high. The higher the taxes, the less cashing out people will do.

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I will cash out.

In fact, give me your contact details and you can buy my bags when I cash out.

Cashing out now is like selling your car for a horse.

>I will cash out.
You are a brainlet, you will regret it.

Cashed out begin januari, re-invested begin april. Not cashing out is for absolute brainlets

I've cashed out once.. in FEB. I took out my initial investment and 5x that.


I'm slowly putting back in 2x my initial investment over the course of this and next year.


I am not planning to cash out anymore actually.
Because yes I do understand that :

number of fiat money is every increaseing by the billions daily. while crypto can't be cheated and printed extra like this.

the only logical thing to happen is that all that bad money is going to flow into good money ( cryptos ) who the hell wants to hold a dollar that just loses in value by the day bc the top is cheating u with banking systems not in anyones favour but the ones running them.

so yeah. I'll be a lifetime holder.
I'll never quit the market completely.
and I think I wont be cashing out anymore either by the time I feel like selling again, which is in a year or so.

I'm only cashing out the bare minimum.
+ when I want to buy a car or real estate. Although during the bull run there are people selling cars and real estate for crypto, but if you also don't pay tax for these, the government will come and get you.
In my mind the government is losing power because people keep paying less and less taxes on stuff. Eventually the government won't have the resources to enforce anything anymore.

>I am not planning to cash out anymore actually.
You took the red pill.

>I'm only cashing out the bare minimum.
That's the spirit. I also cash out a little bit here and there. I didn't mean absolutely zero cashing out. It's OK to do when you need it or to buy yourself something nice.
But planning to cash out significant amounts means not understanding what is going on.

You will make it user.

The only way to crypto riches is to participate in the broader experiment. We aren't creating wall street 2.0 and switch from IPO to ICO. Or turn Crypto in easy accessible investment vehicles. We are literally inventing a new system for wealth. "Wealth" which represents the bare definition of digital "value". Crypto in terms as money or an investment is as wrong as saying that land = money. But most brainlets won't get this.

I currently have ~2500$ ROI coming in monthly on approximately $90k in holdings. Those 2500$ get leveraged at 1.5x on MakerDAO and I take out 1800$ in credit which I THEN cash out. If we aren't disrupting the outer edges of finance here then I don't know what we are doing. If you are just here to make money from an investment you might as well play with penny stocks at this point in Crypto. Get on OP's paradigm.

How are you getting that roi?

Cashing out of crypto now is like selling your 3 bed London / Manhattan home in the 1950s to rent, so you'd "save money" by not having a mortgage....

You have to pay income tax on the items you bought with crypto. Buying something of value with crypto is the same as 'cashing out' to uncle-scam. Say you buy a $500 iShit with X amount of crypto, you have to pay the equivalent capital gains tax of that $500 in crypto spent to get the iShit.

Don't fucking think the IRS hasen't already closed any gaps in taxing income. Criminals found all of the ways for them.

Anyone here thinking they can not pay taxes on 20k+ of crypto is fucked in the head and will face jail time.

People need eat....
But agree on sentiment, why me never tether

What point of crypto if just going put back in fiat? Stupid!

What about cashing out into silver coins?

kill
yourself

Lets say you have 1 BTC and the value doubles. Instead of cashing out 0.5 BTC you use 0.75 BTC to leverage yourself. You cash out the leveraged value and get out about 50% of your profit without having to sell a single satoshi (you will get to keep the 1 BTC). Considering that this is more or less a loan = no income tax - Additionally when you find some ways to earn ROI on your crypto (Staking/Nodes/Dividents/Interest/ads) you can pay off your loan solely from the markets long term (5-10 year) rise.

Hence = Don't cash out, its unnecessary when you understand how to become your own bank.
You will be richer in the long term than those who cash out on the next bull run.

my only issue with not cashing out is waiting on blockchain mortgage solutions. i really dislike the idea of having to break off a massive chunk of my gains to buy a property outright.

You can do this with Ethereum BTW, and entirely on-chain. Use MakerDAO rather than purchasing ICOs etc directly. I just leverage my Eth, and sell a portion of my ICO bags (at profit obv) to pay back the position. Any additional profits get placed into my CDP and leveraged for my next trades. And yeah, I've used this to already buy some masternodes, high return PoS coins, invest in trading bots - all of which have already paid for the original loan used to purchase em.

>tfw my own central bank

Multi-collateral staking is coming soon too, so other tokens (including DGX, ie Gold) will be usable. Can't fucking wait.

>look at me, I am the jew now.

i cashed out all my BTC i had been holding for 4 years when the BCH fork happened
still holding my BCH

feels good man

Congratulations. You are part of the very small minority who understands how to benefit of the Cryptocurrency eco-system rather than using it as a investment vehicle to cash out off. "Banking the unbanked" used to be a buzz phrase for Bitcoin and Crypto for a long time. This in part is what it meant. Stay on this path and riches will follow you. MakerDAO is only a start, more and much complex financial systems and structures will be represented in smart contracts as time passes.

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I don't care about new paradigms, I just want to be free of having to work and getting my dick sucked.

So diversifying your portfolio and buying hard tangible assets like real estate & precious metals is for losers?

lol, well that is exactly what a new "muh paradigm" would help you with. If you figure out how to bank and finance yourself through crypto at this point, your networth and cash flow will likely grow to the point where you don't have to work and can get your dick sucked every single day 5 years from now. Minus my dick getting sucked I am there, but being a wealthy neet without ambitions is pretty fucking boring.

No, it is just another way to creating passive income. However, the chance to make passive income through crypto is there. And possible a lot more lucrative than buying assets, real estate and precious metals in the long term. Choice is up to you, I am placing my bets on digital land.

We're in Jow Forums, not Jow Forumscryptocurrency. We're here to talk about making cash. Fuck off to reddit.

>.I already am using it for most of my purchases. Just bought a new smartphone and computer chair with crypto.
Those are all taxable events you dumbfuck.

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If you use crypto to buy a house you will have to pay taxes on that house.

How do you do it user? I only have £1700 right now, and I had £12k in Jan.

I want to figure this MakerDAO stuff out for when the bullrun comes, and stake the best coins and make money without worrying about getting jobs, literally from what you have I could live in Thai forever.

You're talking to someone who's bragging about buying smartphones and a chair with cryptocurrencies, whilst not being aware of the tax consequences. Fucking bag holders here trying to justify their positions.

Yep. First part of a whole set of interlocking components that are going to compose the new financial system. We're gonna make it user. Dunno bout the rest of these fucks, but we will at least.

Are you dense? He didn't pay for them directly. He borrowed, and used that to pay for them. Totally different event. It's a fucking loan against equity, like taking cash out on a house that increased in value. It's not a taxable event dumbass.

>the fucking state of /newbiz/

Hey fuckface, when you pay to buy a phone or a fucking chair, you're cashing out whatever crypto you loaned into fiat in the eyes of the tax authorities. That's called a fucking taxable event.

This guy gets it.though i believe in selling ~50% in dec or jan and rebuying xuz of tax cashouts

I am too much of a brainlet to understand this shit.

I'll "cash out" if/when I have enough to let me live the life I want. Crypto is a fucking cancer and a disease and I'll be glad to be out of it. Fuck knows what you guise mean about loaning yourself ETH for ICOs and chit,

You pay standard sales tax on any item purchased (obviously lol..), but not income tax. You are lending, not liquidating assets. A loan is not taxable as income, the lender is taxable. But the lender is a fucking DAO, so how do you tax what only exists digitally and has no central authority?

IF I LEND YOU MONEY
YOU DO NOT PAY HEAVY INCOME TAX WHILE SPENDING IT

> get it brainlet

At the very basics you are just lending to yourself at collateral. You can use this money to buy anything from another ICO or even a car. Obviously, the best way to increase mileage is to put this money into something which makes more ROI and then cash it out. In some ways MakerDAO enables you to be your own credit system.

It's simple user. Just go to the MakeDAO site,they've got a video. Basically, you just stake Ether in a Collaterallised Debt Position, which is just saying you lock in some Eth as collateral. You can then draw out some DAI, up to a max value that is set by how much Eth you staked, at 1.5x leverage. Ie stake 1.5 Eth, pull out 1 Eth worth of DAI. I'd advise leaving some wiggle room so you don't get margin called, and definitely try to do it during a dip so you maximise the benefit.

Then, trade the DAI for Eth and go do whatever you like. When you've made some profit, pay down your debt. There's a very small interest rate, but it's pretty great. I don't directly trade my Eth I purchase with fiat, I just lock it in. That way, I'm not having to sell anything - all the money I made on ICOs, Jow Forums pumps etc was basically free for the past few months. That and all the random passive income holds around. The actual Maker token itself is a solid hold too, if I'm not holding anything else I tend to use my CDP to hold some of that.

I'd like to check out Ethlend and Nexo soon too, so I could perhaps lend out the Eth I've borrowed from MakerDAO. Pretty much arbitrage the difference between the lower MakerDAO rate and the Ethlend rate. Might be another good earner.

How does this humble brainlet achieve freedom from NWO banksters? I have great expertise in good old ‘centralised’ technology and learning to develop ethereum smart contracts but I’m completely retarded in matters of finance and economics. Somebody tell me what I should be building

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Sure thing dumbass. Stay poor.

This is like saying borrowed money to buy BTC shouldn't be taxed. Crypto to crypto trades, which include loans, are all taxable events.

Most developed country's tax code treats cryptocurrencies as properties, not currencies.

The tax guys don't give a shit whether the sum originated from another crypto loan. They do treat the amount as liquidating your loan into fiat to purchase whatever phone or chair, and you need to pay capital gains tax on it.

Stop misleading poor shitheads.

Says the poor fuck who has to make crypto loans to purchase goods/services.

You need a team. A real team that builds.

Alright, stay poor. It's been working for me, obviously ignorance cuts of many barriers to financial success.

It's working because you're literally tax evading.

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Kek, user, why is this concept this so difficult for them? Holy fuck, I'm not a genius or anything, but how are they THIS retarded? It's literally just taking out a loan with collateral, same as a vehicle loan or a home loan or something, what the hell is so hard about this concept? Or are they bankster shills raiding us to fud the whole concept? What the fuck do these brainlets think all this shit is FOR if not stuff like MakerDAO?

You don't understand the law treats cryptocurrencies as properties, not currencies. It's not taking out a loan. You're incurring taxable events at every step of these property loans.

You mean taking advantage of tax law, as currently formulated? That my accountant has already confirmed? Again, stay poor.

>salty fudders cope harder

If I draw equity on a mortgage is that taxable? No? Cope harder.

You're not taking advantage of anything. Nice larp with your bulllshit accountant. Cryptocurrencies are properties, not currencies in the eyes of the tax authorities. Cryptocurrency loans are NOT "Just taking out a loan with collateral". You incur taxable events in these PROPERTY loan transactions.

You're not drawing cryptocurrency(PROPERTY) equity on a mortgage. Shit analogy. Nothing to cope. Someone's upset and projecting.

Okay so what crypto would survive enough to be used as a foundation?
should i save up and invest in just bitcoin and leave it for like 10 years? just curious

So basically you place 1.5 eth and get an extra eth to play with. But only get that ETH, until you cash out.

When do I have to pay it back?

>New Paradigm
>Gets dumped on
Yes, I see, things have truely changed haven't they OP?

That would be nice

Why aren’t we all united as one big decentralized team yet?

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where do you spend the DAI? the liquidity looks very low for in on CMC

>so many assumptions.
>poor reading comprehension

Kek, Nope. Try: says the rich fuck who through a clever use of perfectly legal financial trickery has minimised his tax exposure. Why would you assume I even need to buy anything using crypto gains? I have a freelance coding company fucker, 2 employees. A bunch of other investments, affiliate sites, various apps on the app store reaping passive income in useless fiat (all over and above my crypto holdings). I already use every legal means available to reduce my tax exposure, this is just another way to achieve that. But yeah, sure, keep on coping and telling me how you NEED to pay 10000000% tax on all cryptos like a good fudder.

You want to really be pissed? Since I'm a development company, and I've got a couple of Solidity based projects on the go, I'm claiming back Ethereum purchases as a capital expenditure. Point me at the tax code that says I can't. And why not? If it's property, as legally defined, that's legit. You poorfag fudding retards are just bad at the game.

Nah, you just trade it for Eth directly on a DEX. I like Radar Relay these days for this. Ignore CMC, it's irrelevant to this type of thing too. DAI is just a stablecoin like Tether. Unless you specifically want to hold it to dodge a crash, no point in keeping it for long.

> Still fails to realize all cryptocurrencies are classified as properties in most developed countries.

> Thinks people believe his fiction.

In August I cashed out 40x my initial investment and I deeply regret it now because at the time, BTC was still only like $4k. I've still got very much BTC, but even if I had sold now, while BTC's price is way below its max, I would have more than doubled what I sold at.

There is a very low interest rate to stop people from holding forever. But honestly, it's tiny, just pay back the loan when you profit. There's no set repayments or anything, and you can also add more collateral in or borrow more DAI if the value of Eth increases. I've just had one CDP open all year, depending on what my needs are I pay it down or draw more out.

Example: last time I bought Eth with fiat was at $360. I borrowed DAI, and bought more Eth. The price then went up. Now, I still only owe the value in DAI right? So even just doing that made profit. If I bought 1 Eth at $360, and sell it back to DAI at 720, I just profited $360.

And like we say, part of the beauty of this is that it reduces your tax exposure since it's not income, any more than drawing out equity from a house loan is taxable. Not to 0 tax, but by a decent chunk. There's a bunch of upgrades happening soon too, it's a great system.

i've decided this thread is just to shill makerdao.

>coping faggot thinks his fud will magically prevent anyone with 2 braincells from realising the specific tax avoidance strategy is BECAUSE of cryptos being legally classified as property.
>thinks everyone needs to be a larping poorfag like himself on an anonymous Vietnamese knitting board

Nothing to shill, it's an old project not an ICO. You can do the same thing with other Eth lending contracts, MakerDAO is just the best.

That 360 you gained is still income

makerDAO sounds a lot like margin trading on exchanges. Lower fee's, 0.5x leverage compared to 2-100x, and can trade outside the website instead of in the exchange.
Is there any other use for it except this leverage for a bigger risk-reward?

It's true.

This guy keeps misinforming anons here.

> Now, I still only owe the value in DAI right? So even just doing that made profit. If I bought 1 Eth at $360, and sell it back to DAI at 720, I just profited $360.
You pay capital gains when you go from 1 ETH to DAI @ 720. It doesn't matter if it originated from a loan.

This is like saying he took a bank loan to buy BTC and doesn't have to pay capital gains tax when he cash out his gains. Fucking idiocy.

Why the fuck are you passionately venting and shilling makerdao in an "anonymous vietnamese knitting board"? This place seems to mean so much more to you than me user.

irregardless, collateralized loans are the slippieriest of slopes to tel aviv. it's just another version of, "why not go 100x on bitmex, peasant". you're trying to fuck me, kike. i don't appreciate it.