6 ms·
But then I have to pay taxes on it. Time to full send my retirement accounts into these ETFs so I can retire early. /s Actually though I might consider alloca
by maxioatic 3y ago
But then I have to pay taxes on it.
Time to full send my retirement accounts into these ETFs so I can retire early. /s
Actually though I might consider allocating a tiny percentage (1-3%) to these. Seems like fairly low risk with enough upside, but who knows.
- siwatanejo 3y agoWhat do you mean? self-custodying BTC is still unrealized gains until you sell, so no tax either.
- ghshephard 3y agoBTC ETF in in a 401K/IRA can be contributed, grow, or possibly be withdrawn tax-free depending on how you set it up. Coinbase reports your gains and you owe taxes on them. (Don't think Coinbase has an IRA/401K option for custody. Yet.)
- maxioatic 3y agoI was referring to the capital gains tax you pay for selling BTC on an exchange. I was thinking specifically about Roth IRAs, where any gains are tax free, but a 401k or similar would work too.
- anonu 3y agoThese are cash creates not in kind creates. So there is no escaping taxes. You will be paying capital gains just by holding spot Bitcoin ETFs Edit: after further research it appears that the cash create mechanism doesn't cause a tax event for shareholders as it does with mutual funds. See https://www.grayscale.com/blog/legal-topics/addressing-potential-tax-considerations-for-investors-in-spot-bitcoin-etfs https://www.grayscale.com/blog/legal-topics/addressing-poten... We will have to see how every Bitcoin ETF is structured. YMMV depending on this structure and how you get taxed.