The Sunday Crypto Recap – Down the Rabbit Hole 51

Price action remained bearish though some high-profile Alts showed signs of life. BTC metrics (aside from short-term price) remained bullish. Binance continued to provide a model of revenue earning by providing wanted services. EOS saw the publishing of a number of meaningful governance proposals amongst other developments. Craig Wright and Tone Vays conducted another round of name-calling and circus clown performances – another week in crypto. Don’t be fooled by bearish sentiment – lots going on, progress throughout the ecosystem – patience and solid investment decisions will, in time, be rewarded.


Picks of the Week

This rebuttal of Ripple’s ‘distance’ from XRP. Colin’s deep dive into recent EOS governance proposals is also very informative.


Twitter

Despite recent bearish price action has this been an accelerated run-up for BTC?:
https://twitter.com/PrestonPysh/status/1183041162518683649

BTC defined:
https://twitter.com/francispouliot_/status/1184627170234294272

Employment numbers for the larger crypto companies:
https://twitter.com/lawmaster/status/1182957621952663554

Libra sheds more members…scan down to Nick Sabo comments…:
https://twitter.com/davidmarcus/status/1182775728431087623

A brief analysis of IEO performance:
https://twitter.com/lawmaster/status/1184454371305775104

Addressing exchange EOS voting:
https://twitter.com/GenerEOSAus/status/1183949268903612416

The crypto circus:
https://twitter.com/voice0fcrypto/status/1184532883576410123

EOS 1.8 update – lots of potential going forward:
https://twitter.com/Jesta187/status/1184687423487270913

Binance continues to iterate and develop at breakneck speed:
https://twitter.com/binance/status/1184671792780066818


Articles

Libra…cough…buy Bitcoin:
https://www.theblockcrypto.com/post/42979/ebay-and-stripe-drop-out-of-facebooks-libra

Telegram…cough…buy Bitcoin:
https://btcmanager.com/sec-telegram-gram-cryptocurrency/?q=/sec-telegram-gram-cryptocurrency/&q=/sec-telegram-gram-cryptocurrency/

Big BTC projects continue to attract investment:
https://fortune.com/2019/10/15/what-is-bitcoin-mining-layer1-peter-thiel-crypto-investment/

The humble Satoshi explained (recommended):
https://thenextweb.com/hardforkbasics/2019/10/16/understanding-bitcoins-smallest-unit-the-satoshi/

EOS governance proposal by Dan Larimer (recommended):
https://medium.com/@bytemaster/blockchain-governance-proposal-470478e42686

EOS New York on governance and incentives (recommended):
https://medium.com/eos-new-york/uniting-stake-holder-incentives-to-maximize-decentralization-performance-530af1560401


Podcasts

A brief explanation of the key principles of Libertarianism:

https://podcasts.apple.com/au/podcast/two-minute-crypto-key-concepts-11-what-is-libertarianism/id1441492450?i=1000452829550


A succinct rejection of Ripple’s claims of separation between it and XRP / Timestamp – 27.54 (highly recommended):

https://podcasts.apple.com/au/podcast/weekly-news-roundup-10-11-deals-bitwise-etf-ruling/id1480586463?i=1000453135310


YouTube

A wide-ranging and reasoned discussion of key crypto trends and issues between the Crypto Lark and Ivan on Tech:​


Light-hearted presentation aside, this is a useful round-up of recent positive metrics for BTC:


For when a newbie asks you to explain blockchain (recommended):


Colin decrypts the new EOS governance proposal – very thorough (highly recommended):


Colin on IRS tax ruling:


Infographics

The rate of growth of 1000 BTC addresses (purple line) now matches the early growth in Bitcoin’s network…:

https://twitter.com/woonomic/status/1182754062107852802/photo/1


EOS token values compared:

https://twitter.com/Douglas_Horn/status/1184615387243020290/photo/1


Website / Utility

If you are interested in tracking the make-up of BTC holdings:

https://bitinfocharts.com/top-100-richest-bitcoin-addresses.html


A whale of a week. Remember price is only one of many metrics with which to evaluate the cryptosphere. As always, looking forward to your comments and suggestions.


Note on Sources:

Twitter & Reddit (cryptos current meta-brains) / Medium / Trybe / Hackernoon / Whaleshares / TIMM and so on/ YouTube / various podcasts and whatever else I stumble upon. The aim is a useful weekly aggregator of ideas rather than news. Though I try to keep the sources current – I’ll reference these articles and podcasts etc. as I encounter them – they may have been published just a couple of days ago or in some cases quite a bit earlier.

Did You Go Out And Buy WD-40 Too??? – Part 2

WD-40 which stands for “water displacing” was first used by the military in the ’50s to clean up Atlas missile parts. Throughout the years, people have found over 2000 uses for WD-40. Growing up in the projects of NYC, I have seen my fair share of roaches, but I just found out I in addition to using Raid Roach spray, I could of used WD-40 for instant kills as well.

Three months ago, I wrote a post about WD-40,

Did You Go Out And Buy WD-40 Too???

We all know it, have seen it, probably even take it for granted. I’m talking about WD-40. It has infinite uses and is the real utility knife. Just to get you acquainted again with WD-40, here are just 10 of the the 2000 uses of WD-40.

Despite the bump up in price this week, the levels in play and to monitor are the $150 level on the downside and the $188 level on the upside.

I like to think I’m creative with my titles, so the title three months ago was a play on words. Everyone should have WD-40 in the cabinet. However, WD-40 wasn’t a buy three months ago simply put, because the upper limit was $190, the reward wasn’t worth the risk. But thinking about this further, I guess it’s all relative and depends on what type of investor / trader you are. Anyway lets get back to WD-40.

WD-40 is a straight cash money making machine.  The company has grown their dividends on a year basis that’s equivalent to 9% over the last 10 years.  WD-40 has been growing its earnings per share at 13% each year over the past 5 years.  It’s no wonder institutional investors hold almost 90% of the stock. 

WD-40 reported earnings this past week. Although they beat earnings expectations, their outlook was below expectations and on the news the stock price fell the next trading day, but came storming back closing $7 up on the day. However, the fact that price breached a major resistance/support line, I think the risk is to the downside now.

This post is my personal opinion. I’m not a financial advisor, this isn’t financial advise. Do your own research before making investment decisions.

Liberland Show

In this episode our guest Petr Krovina, Chief of Staff for Liberland, discusses:

1) His background in acting and playing American Football
2) Liberland E-Residency updates
3) Floating Man 2020 (floatingman.ll.land)

Contact Petr:
facebook.com/liberland

Follow the Liberland Show:
iTunes: itunes.apple.com/us/podcast/liberland-show/id1442988844…
Spotify: open.spotify.com/show/6oGiaY901GlfWbaFqgEEaF
Google Podcasts: https://www.google.com/podcasts…

*Our show is hosted by Adam J. Carswell

Reducing Capital Gains Taxes on Real Estate, Legally!

There are many expenses involved when selling real estate taxes is one of the biggest, especially if you have to pay capital gains.

However, if you know the tax rules then the amount of taxes you pay (if any) can be drastically reduced.  Let’s cover a few ways to reduce that tax burden.

Reducing Capital Gains Taxes on Real Estate, Legally!

1.) Short-term vs Long-term capital gains

Properties that are held for more than a year are taxed at the long-term capital gains rate.  This is noteworthy because that tax rate is 0% up to $39,475 for a single filer.  Then it jumps to 15% and holds there all the way up to $434,000.

If you buy and sell a property within one year then it’s taxed as short-term gains and you pay the ordinary income tax rates which start off at 10% up to $9,700 and progresses to 12% up to $39,475 before jumping to 15% and so on and so forth with 37% being the top tax rate.

2.) Increase Your Cost Basis

The price you pay for a property is your cost basis in the eyes of the IRS.  Meaning if you spent 150K to acquire a property and sold it for 200K then you have a 50k taxable gain.

If you completed capital improvements on the property those costs can be added to your costs basis though.  Be sure to keep those receipts so you can tack on that 8K cost for a new roof and reduce the tax burden.

3.) Do a 1031-Exchange

Many investors have heard of this one and it gives you the ability to not pay capital gains (or technically postpone them) on the sale of a property by rolling the money into another property.

It’s deemed a “like-kind” exchange meaning you sell an investment property to buy another investment property that is used similarly.

There is a 45 day window to identify properties to the IRS that you plan to buy and then you must close on one of them within 180 days to avoid triggering the capital gains tax.

Plenty of other rules and methods…

Those are just three ways to alleviate the tax burden, there are many other options out there such as investing from a self-directed IRA and so on.  This is why it’s important to have a solid account knowledgeable in real estate investing.

Be sure to have them work you through the all the options and verify the examples I have given above as I’m an investor, not an accountant.

Having to pay some taxes is a good problem to have.  It means you are doing profitable deals and are buying right.  Always use the property calculator to ensure you buy right!