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What Nobody is Telling You About Bitcoin
The prospect of investing in cryptocurrency is exciting for many. I’m sure you’re reading this because you’re either already invested or are thinking about investing. When you think of cryptocurrency, I’ll be shocked if Bitcoin isn’t the first thing that comes to mind.
Bitcoin has been around since 2009 and started grabbing media attention the very next year, when it was worth only 8 cents. At the time, it seemed silly to invest in such a massive unknown. Well, over a decade later, we all feel pretty silly for not investing more into it. If you invested $1,000 in 2010, you’d have $300,000,000 right now.
Ouch.
Then again, it’s understandable, since we didn’t know much about Bitcoin. In fact, we still don’t know much about Bitcoin… for starters, here are some of things you’ve probably never heard of this massive cryptocurrency.
The Tax Situation Has Changed Recently
Since the IRS ruled that Bitcoins will be treated as investments rather than currency, making any Bitcoin transaction taxable. Since Bitcoin is rising in value, you might actually owe a capital-gains tax.
A capital-gains tax is a government fee on the profit you made from selling certain assets, like stocks and real estate. Now that Bitcoin is sort of considered a stock, this new law…