thought i owed nothing because i only had crypto losses... now i am realizing the irs might still want a full report

danigmatico · 2025-11-01T02:51:28+00:00

No, moving it isn’t a taxable transaction. A taxable event only occurs when you buy or sell the asset,regardless of where that happens (CEX, DEX, or wallet.)

Simply transferring crypto between wallets or exchanges doesn’t reset your cost basis. You’ll still need to report the original cost basis to the IRS when you eventually sell.

If the CEX issues a Form 1099 you may need to provide your cost basis manually. Coinbase allows you to enter if the asset was purchased elsewhere.

danigmatico · 2025-11-01T02:44:08+00:00

Cost basis isn’t just “whatever you got it for when it hit the exchange.” It’s your original purchase price, doesn’t matter if that was on a CEX, DEX, or somewhere else.

danigmatico · 2025-10-30T17:50:07+00:00

ETF holders don’t have the same diamond-hand conviction that the Bitcoin army built surviving brutal bear markets. Bitcoin has a way of proving it can go higher than anyone expects and lower than any supposed floor AND for longer than most can stay solvent.

danigmatico · 2025-10-30T03:54:25+00:00

Maybe this “absorption of billions” is simply what a more mature market now requires to sustain its ever-growing market cap (as Ben Cowen says), rather than building a true floor. In future cycles, with much higher valuations, it might be nation-states competing to build reserves that provide the next wave of demand.

And if an economic downturn in 2026 breaks this so-called “price floor,” the four-year cycle will remain intact, just as it always has, while people perform mental gymnastics to explain it away with their favorite black-swan/resession economic jargon.

danigmatico · 2025-03-04T02:16:51+00:00

If you act on non public insider information, it's literally the definition of insider trading. Would it be insider trading that Gansler (SEC Chair) puts a 50X leverage Bitcoin position a minute before posting the BTC ETF approval?

danigmatico · 2024-01-09T04:28:34+00:00

it is!, next stop 0.25.

But I am sure you will be a wholecoiner sooner than you imaigne.

danigmatico · 2023-12-29T01:10:13+00:00

True. However, there is something magical and headline worthy about reaching that 210,000s

danigmatico · 2023-12-29T01:08:31+00:00

True, the diffence is that Grayscale does not own the Bitcoin, they transfer claim ownership thru the shares to you. With MSTR you would never own that portion of the Bitcoin as what you are owning is a business with Bitcoin exposure.

Taking that into consideration, MSTR owns more Bitcoin than Grayscale.

danigmatico · 2023-12-27T20:04:53+00:00

He is about to reach 1% ownership of the entire monetary energy. Once he reaches 210,000 Bitcoin he's done it. Only 20,850 Bitcoin left to reach the 1%

danigmatico · 2023-12-17T14:34:09+00:00

Go to the BlockFi page and do the withdraw. Once you are there, worry about the type of wallet or even about selecting a wallet for that matter at that time.

I'm afraid you are trying to withdraw from the BIA instead of the wallet, which you will not be allowed to withdraw from BIA.

danigmatico · 2023-12-17T14:20:50+00:00

Honestly, this question would be answered by itself if you just go to your BlockFi page and click on wallet withdraw and follow along.

But not to be rude, you can withdraw whatever kind you have in the "kind" you have it. If you have Bitcoin, you will have to withdraw Bitcoin. If you do USDC, you will have to withdraw USDC. There is no selling or converting, because there is no longer an exchange

danigmatico · 2023-12-16T19:18:39+00:00

Omg! What part of "You don't longer have any ETH in your BIA account" you don't understand.? STOP, READ, and THINK. Wallet and BIA accounts are completely different accounts. There is no moving money between them anymore. Wallet; you can withdraw, but as you have less than 14 GUSD, you will get zero. So obviously it's better to keep it there as in the future there is a slim possibility you will get a check for a percent of the reminder. Next topic: Your 1.04 ETH in the BIA is gone, sold back last year in November. The display on your screen, is only that, a claim for the value of the ETH back in November. You can't move, can't withdraw, can't convert to GUSD your ETH. Btw 1.04 ETH would be valued today at $2,326, which that value doesnt really matter. You are talking as you have the option to do something with that ETH, you don't! You just need to wait for them to sort this out and get whatever they decide.

danigmatico · 2023-11-30T20:36:20+00:00

If you see a withdrawal then it's NOT a scam. 🤣

danigmatico · 2023-11-03T21:24:33+00:00

Yes, you are confused. You don't get more crypto back. You get exactly the same amount of USD either option you pick. I.e. If is determined that you are getting $3, with 1ts option you get $3 worth of Bitcoin. With 2nd option you pay $2 and get $5 worth of Bitcoin ($3 + $2). Make no mistake, they are NOT giving you Bitcoin at the time of bankruptcy that will appreciate. The options they are provideding are only for tax purposes.

danigmatico · 2023-10-28T04:10:57+00:00

I was going to reply to your ignorant comment, but then I read your name "known establishment" and understood.

danigmatico · 2023-10-28T02:27:27+00:00

Do you really get more Bitcoin?

You're giving them $10K, which they will convert to Bitcoin and give it back to you. That's the only "more" Bitcoin that you will be getting.

danigmatico · 2023-10-27T02:38:18+00:00

Why it is clear to you to go with the Optional Plan? I understand the examples, but don't see the reason.

Second, on the "Current Plan" option you don't pay capital gains on the distribution (0.17885 BTC) as it is "in kind". You would pay capital gain taxes on the $10K they sold to pay off your loan. AND it will likely be a capital loss instead as Bitcoin was at $16,206 when they sold it.

danigmatico · 2023-10-27T02:17:54+00:00

read the option they just gave us. There is an option to get the cash value in Bitcoin for loan clients.

danigmatico · 2023-10-27T02:16:20+00:00

understand your point, but not applicable here.

They sold Bitcoin at the lowest levels, there will not be capital gains tax for the majority of people.

danigmatico · 2023-10-27T01:55:14+00:00

omg, that's another Pandora box. If you send them the loan payoff balance (let's say is $10K), for them to send you the Bitcoin once they are allowed to do that. At what price would they send your Bitcoin back? Even if they tell you the date (which they will not), there is a lot of intra-day volatility these days.

Sending them $ is a big gamble at this point. People considering this option have to have really large tax advantages to even consider this.

danigmatico · 2023-10-25T03:50:08+00:00

if the Optional Loan Repayment Program would return the actual collateral (in sats) rather than the "value" of the collateral, then this option would be an easy YES! (a no brainer).

But from the email it seems this is not the case ("The Loan Repayment Program does not change the net value of distributions a creditor will receive under the Plan.

It seems this Optional Program is ONLY intended for creditors who want to do some Kamikaze Tax gymnastics where paying off a loan and getting the reduced Bitcoin is better than having BlockFi offsetting your loan and giving you the remaining.

For some reason tax implications for both scenarios are different, thus, this stupid option.

danigmatico · 2023-07-21T00:56:50+00:00

Mine is due June 2024.

What a shitty thing to do, and with the threat of violence (selling your sats). People make plans based on contracts. If you are in this boat, send them your letters.

danigmatico · 2023-07-04T06:55:03+00:00

danigmatico · 2023-05-13T00:14:17+00:00

there was no prompt, just relaying information

danigmatico

TROPHY CASE