4 ms·

People with substantial amounts of crypto would like to be able to finance larger purchases directly in crypto without needing to liquidate into fiat first

my_usernam3 5y ago
Probably a stupid question and I'm guessing the answer is yes, but you would you still need to pay capitol gains on the increase in value from when you purchased it?
- kinghajj 5y ago
  Yes, both the purchaser and seller would need to pay capital gains taxes on the realized appreciation in the digital asset and real property, respectively.
- sneak 5y ago
  Even cryptocurrency x into cryptocurrency y exchanges are capital gains events, so cryptocurrency into real estate is absolutely one such.
- pavlov 5y ago
  Either capital gains tax or income tax, depending on how long ago you purchased.
ohazi 5y ago
Yes, money launderers and tax evaders would like to continue laundering and evading -- I think the real question is why are we making this easy for them? Buying property with ill-gotten gains is an extremely common method of money laundering. Having a large hoard of cryptocurrency that you prefer not to liquidate screams "I'm trying to pretend that this isn't a taxable event." We don't let people pay their mortgages with pre-tax stock gains, why the fuck are we bending over backwards to let people pay their mortgage with cryptocurrency?
- seany 5y ago
  Sure you can. With enough networth in an account you can do margin LOC in the 1.9-2.5% range. The whole train of thought is weird though. There are plenty of people who pay all of their taxes on everything, but still deal in largely cash.
- hellbannedguy 5y ago
  The ease at which we let foreigners buy our American Real-estate has been bothering me for years. I can't prove it, but it seems like too much foreign capital that is buying our land is ill gotten, and allowing crypto is just going to make it worse. I believe we are the Only country that allows foreigners buy property with a phone call, or email.
  - nwatson 5y ago
    It's cyclical, Japanese folks were buying lots of U.S. real estate (and other assets) in the 1980s, then it fizzled out. [0] [0] https://www.latimes.com/archives/la-xpm-1992-02-21-mn-2588-story.html https://www.latimes.com/archives/la-xpm-1992-02-21-mn-2588-s...
  - knownjorbist 5y ago
    It needs to go in the other direction - it should be easy for anyone to buy property anywhere.
    - FabHK 5y ago
      Hmmm. It is not easy for foreigners to buy property in most of Asia (except commonwealth-influenced jurisdictions like HK, Australia) from what I gather. It does not strike me as unreasonable. Prices in London for example are hard to afford for the people who actually live there because so much property has been bought by people who don't live there.
      - knownjorbist 5y ago
        Okay. You're attacking the symptom, not the problem. Make it easier to spend your money how you please.
purple_ferret 5y ago
what does that have to do with paying your monthly on a 30 year mortgage?

my_usernam3 5y ago

Probably a stupid question and I'm guessing the answer is yes, but you would you still need to pay capitol gains on the increase in value from when you purchased it?

kinghajj 5y ago
Yes, both the purchaser and seller would need to pay capital gains taxes on the realized appreciation in the digital asset and real property, respectively.
sneak 5y ago
Even cryptocurrency x into cryptocurrency y exchanges are capital gains events, so cryptocurrency into real estate is absolutely one such.
pavlov 5y ago
Either capital gains tax or income tax, depending on how long ago you purchased.

ohazi 5y ago

Yes, money launderers and tax evaders would like to continue laundering and evading -- I think the real question is why are we making this easy for them? Buying property with ill-gotten gains is an extremely common method of money laundering. Having a large hoard of cryptocurrency that you prefer not to liquidate screams "I'm trying to pretend that this isn't a taxable event." We don't let people pay their mortgages with pre-tax stock gains, why the fuck are we bending over backwards to let people pay their mortgage with cryptocurrency?

seany 5y ago
Sure you can. With enough networth in an account you can do margin LOC in the 1.9-2.5% range. The whole train of thought is weird though. There are plenty of people who pay all of their taxes on everything, but still deal in largely cash.
hellbannedguy 5y ago
The ease at which we let foreigners buy our American Real-estate has been bothering me for years. I can't prove it, but it seems like too much foreign capital that is buying our land is ill gotten, and allowing crypto is just going to make it worse. I believe we are the Only country that allows foreigners buy property with a phone call, or email.
- nwatson 5y ago
  It's cyclical, Japanese folks were buying lots of U.S. real estate (and other assets) in the 1980s, then it fizzled out. [0] [0] https://www.latimes.com/archives/la-xpm-1992-02-21-mn-2588-story.html https://www.latimes.com/archives/la-xpm-1992-02-21-mn-2588-s...
- knownjorbist 5y ago
  It needs to go in the other direction - it should be easy for anyone to buy property anywhere.
  - FabHK 5y ago
    Hmmm. It is not easy for foreigners to buy property in most of Asia (except commonwealth-influenced jurisdictions like HK, Australia) from what I gather. It does not strike me as unreasonable. Prices in London for example are hard to afford for the people who actually live there because so much property has been bought by people who don't live there.
    - knownjorbist 5y ago
      Okay. You're attacking the symptom, not the problem. Make it easier to spend your money how you please.

purple_ferret 5y ago

what does that have to do with paying your monthly on a 30 year mortgage?