4 ms·
Can't you do that at normal auctions using (for lack of a better word) a shill bidder?
by ohdannyboy 5y ago
Can't you do that at normal auctions using (for lack of a better word) a shill bidder?
- stickfigure 5y agoYes, but the auction house takes a cut and the taxman might notice so it's not without risk. Usually a shill bidder doesn't want to win the actual bid.
- PragmaticPulp 5y agoYou could, and it likely happens in some cases. However, an auction house is going to take significant fees as a percentage of the sale price and your shill bidder will want a cut as well. You’re also going to get a large tax bill because you technically had a realized capital gain and the auction house will report it. With NFTs you can do a blockchain transaction for a relatively small fee by yourself from your computer. No taxes owed because you didn’t actually sell anything.
- vokep 5y agoThere are taxes as mining fees
- int_19h 5y agoIsn't it basically a flat tax, not dependent on the value "claimed" by the transaction, that is easily drowned for any transaction that would make such a scam worthwhile anyway?
- TedDoesntTalk 5y agoWhat about gas? ( honest question)
- somedude895 5y agoI thought that‘s what often happened in the traditional art market as well. I know it happens in the retro video game market.
- vintermann 5y agoYes, and it's rampant in all sorts of collectibles markets. There are some people doing it very publicly with vintage video game cartridges right now, and "pawn stars"-type game shows are largely marketing for the scam.