Working on the big PENSKE project
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My concern is we get hit with 50k or some crazy of taxable income and they start fining me and saying I owe way more than I can afford.
However we are looking at an IOU price. When this thing goes live and is tradable it could crash hard. I originally thought it was going to be in sub penny land for awhile until I saw the IOUs. I mean 100 billion tokens being created again on day one. Even xrp started out in subpennies.
All this talk about tax and we may be holding a few $100 worth of FLR when it is all said and done once trading starts.
I hope it can hold a dollar. I think with the amount of holders and exchanges and development already that it can quickly retrace to $1 after launching. I mean even $1 for every xrp we held will have made this all worth it.
I jist don’t quite grasp the use case that it is solving and would it ever scale to the tune of solving a global trillion dollar use cases? I get what xrp is doing, don’t totally understand what flare is solving. And then it gets more convoluted when spark gets airdropped again with flare finance token.
Who knows. They still keep the possibility open that it could be end of June + a few weeks.
We have 3 years worth of distributions so we will have to claim these foreign gifts from corporation each time. I did hop on the line and asked if there is a limit to the a
Amount of gift received before it is taxable and he said there was not. It could be 100 million and it wouldn’t matter. They will all have a 0 cost basis and full 100% will be applied towards capital gain calculation but the tax cab be paid with the proceeds at the time we sell.
This would alleviate that sale Pressure? for tax, however I was one of maybe 10 people on the call. There are so many different interpretations that I am sure some will still sell thinking it’s taxable income, and some that will probably never declare it.
I think as long as we file the correct form we are covered in the event of an audit. We will have the support. Irs will go after people who are not filing anything first
Ok I listened to free seminar by Clinton Donnelly and he said for the spark air drop we will want to fill out the correct forms to declare it as a “gift from a foreign corporation”.
He did not provide the form number but we can find that out in time. The FLR token is being gifted to us out of the generosity of Flare network. We did not pay for these tokens and we did not provide a service for them. This is not like other hard forks where there is a change in protocol and we are breaking away from another coin.
I don’t know the form for this but Donnelly is crypto tax expert and they will be doing this for their clients.
Ok I listened to free seminar by Clinton Donnelly and he said for the spark air drop we will want to fill out the correct forms to declare it as a “gift from a foreign corporation”.
He did not provide the form number but we can find that out in time. The FLR token is being gifted to us out of the generosity of Flare network. We did not pay for these tokens and we did not provide a service for them. This is not like other hard forks where there is a change in protocol and we are breaking away from another coin.
I am just holding but if you are in the US, get an account on uphold. They are selling xrp because they have very close ties to Ripple and said they will not stop selling unless Judge orders them to.
Uphold is based in San Francisco and about 1 block ripple headquarters. You can link up a checking account or a debit card and pay directly with USD. They also just recently added limit buy orders and sell orders that your can set so orders can be made while you sleep.
Highly recommend them for XRP. Referral if interested and you don’t already have an account.
I invite you to use Uphold. Create your account and try out one of the easiest and most cost-effective trading experiences.
https://uphold.com/signup?referral=a9b2a523db
Good to seem some fight still left but this needs to get back in the 80s otherwise it is lower highs and lower lows
I’m in this until the bitter end. Just an observation of something I read. This guy was right about something that he had been trying to warn everybody about with the housing market morgtgage back securities. It doesn’t mean he is right about crypto. I suspect he is right about the meme coins, but even if crypto tanks and I mean tanks hard and loses almost everything, I think from that massive purge, a few will make it. And those will be the ones that will revolutionize how we advance in payments and logistics how we transfer value and data and do things I can’t even think of yet.
Ripple and xrp have the staying power to weather a lot. They grow and expand even at the worst of times. Even with an sec lawsuit they keep hiring and bringing on more partnerships.
I am prepared to wait as long as it takes. I think xrp will provide us early investors complete financial freedom if we hodl long Enough.
I hold, buy and stake xrp
Michael Burry from “the big short”
All hype/speculation is doing is drawing in retail before the mother of all crashes. When crypto falls from trillions, or meme stocks fall from tens of billions, #MainStreet losses will approach the size of countries. History ain’t changed,” he wrote.
Crypto’s problem is in leverage, he said. “If you don’t know how much leverage is in crypto, you don’t know anything about crypto, no matter how much else you think you know.”
Man when we took 1.90 and held above $1 I thought that was it. Are we really heading back to another prolonged slump in the 0.30s with just sec news for a year
Btc and eth got the ok from the sec and look where they are. Ripple is going to have to fight for it. But if the judge gives them a pass will xrp go to #3 and really take off. Was it this lack of clarity and lawsuit that has kept us down here while eth just shot up
I think that every time. But then I imagine that next time i finally take my profits and that was the one that took off legitimately. I don’t want to be this far into it and pull the trigger at the wrong time. But on the crashes and hold.
I have played this wrong every step of the way, but if it one day reaches $50, then it was still the smartest thing I have ever done
FLR is $1.63 right now. It is only an iou price but very interesting to see what happens when they air drop and we find out on vote 85% gets burned.
Wait you didn’t know we are holding a xrp worth $10,000 per coin? And those predicting several hundred by end of year?
I no longer buy those scenarios. Not in next 5 years. I am hoping for a $10 xrp after sec lawsuit if it is most favorable for xrp holders. I won’t sell but I do see a double digit xrp by 2022
I want all my FLR on day 1. Now my thought was always 100% on day one. Flare seems to be stuck on that 15% day 1 and offered up burning 85% instead. Gets in essence makes it 100% for us on Fay one but cuts supply to 6 billion.
At the start that is probably more than enough for their liquidity but long term if successful we could run into some issues.
I’m not necessarily for burning tokens, because it just means the use case is not expected to be there to ever need them. But I also don’t want to be thrown into a tax apocalypse that could make me lose my home or face jail time if IRS suddenly thinks it was all taxable. I am primarily looking out for myself with my vote.
But it should have been 100% air drop on day 1, burn no supply. Let the market sort it out. Short term I will crash but the spark will make it to the hands of those who truly believe Ibanez it’s potential
If our winning vote was to burn 85% of flare, what do you think that would do to initial price? I think it will shock it WAY up and force a sell off back down. But it would secure the $1 + range because that is it. No more spark coming. We only move up from there.
If we only get 15% I think the price will stay flat and potentially go down more and it will be a long path back up.
Spark may shoot up to $10, sell it let it crash to 0.50 and buy it back up ;)
I need to research that still but it may be setup that you will not receive the air drop if you do not burn the small %. You would in essence be choosing to forfeit your airdrop. It is either burn to receive, or get it all up front and destroy the rest.
I also am unsure which part gets burned. Are they burning from the original 15% or do they burn part of the 3% upon receiving. And will the burn be automated. Not sure how we elect it and handle it.
My vote will be receive all on day one and destroy whatever is left. It eliminates any issue irs may still have with the air drop and it gets us all value on day one. I am choosing to stake it and I want all of it working for me instead of a little and taking 3 years until it’s all there. Life is short.
It’s all perception. 100 dimes or a $10 bill is all the same. Less if something more valuable puts you in the same spot.
Think about this though, wouldn’t you rather have all of your spark on day one working for you or do you want it drip fed to you over 3 years. I would rather have all of it earning passive income on day 1.
Entire distribution eases my mind on tax implications. I don’t know if the IRS will buy the burn for airdrop approach. They may still tax first and make you fight it. And you may still lose. Much easier to defend 1 airdrop that had no tradeable market.
Bitcoin reached 60,000 per coin. There amazon i don’t even know the price but it is well over $1,000. There will be a market for a higher price led coin. In fact, most institutional investors want to see that. They don’t play with pennies.
I would go with max supply is 15% and burn the rest. Personally I don’t want to wait 3 years and 6 months to get my coins. This eliminates any tax concerns, and a 85% burn should translate into higher price and more passive income for me if staking
The Spark (FLR) distribution will now be set up as follows:
1) At the outset, 15% of the total distribution of 100Bn Spark (FLR) will be made.
2) There will then be a 5-month period whereby the community can come to consensus over at least two possible governance proposals outlined below, or any other option put forward by governance.
3) If no new option wins the distribution will continue, from month 6, as previous defined at 3% of the initial 100Bn.
2 Flare-proposed options:
Option 1: Buy through burn.
This option is based on the legal research commissioned by Flare. A recipient of Spark would receive the initial 15% as previously detailed at the inception of the network. The recipient would then, optionally, burn a small percentage of their Flare tokens in order to buy the remaining distribution. The remaining distribution would then occur at 3% per month from month 6.
The legal research commissioned argues that the remaining distribution would then have been purchased, and thus subject to capital gains tax upon sale instead of income tax upon receipt. A full governance proposal for this will be drafted and released together with the legal memo upon which the proposal will be based.
Option 2: Distribution Halt.
This option would halt any further distributions. The remaining 85 Bn would not come into existence. This would turn the initial 15 Bn FLR into the total distribution.
Full governance proposals for these options will be drafted, including our view of the pros and cons, and released together with the legal memo upon which Option 1 will be based.
If you had it at uphold for snapshot you are all set. Exchanges are handling it for their customers
Digital asset perspectives interviewed a crypto tax expert and he isn’t buying the argument that burning a small amount of spark at each airdrop constitutes a purchase and there makes the drop not taxable income.
This is crazy. We all report to same irs yet no one can agree. I mean flare is going to operate under this notion they don’t owe taxes on this. Now imagine what % they may hold and what potential taxable income exposure they may have plus penalty if irs chooses to go after them. And if they do and get a hold of that snapshot, they got every one of us.
Court grants in part the SEC's motion for additional depositions and denies SEC's request for documents post-dating the complaint, about Ripple's lobbying efforts and for documents from General Counsel and Deputy Counsel. Order below.
Attorney James Filan “This is a good sign for the fair notice defense. Judge Netburn has made clear to the SEC yet again that the focus of that defense is on the activities of the SEC and not on Ripple.”
I am wondering about the 2 month extension because all 3 motions were granted. Ripple wants all the documentation from sec on btc eth and xrp and they have been granted permission to gather all transactional data on numerous foreign exchanges. To review all sec documents and foreign exchange data, maybe judge granted 2 month extension because she saw both sides will need it
I think full services for hbar are coming to Bitrue this week! That means trading and STAKING to earn passive income in hbar. Don’t take my word for it.
https://cryptodaily.co.uk/2021/06/bitrue-ramps-up-new-listing-with-hedera-hashgraph
To me cheapies are 0.30. That is where we have been buying for years. If this stays in the 60 to 80 range I am not buying so to me it is just this lull that I am stuck in for a prolonged period.
I have if staking so xrp is always being added, but I’m either for it crashing to 0.30 so I can accumulate faster by buying or release the reigns and take off already. I don’t want to be trapped above 0.50 and below $1
I need more spoon fed details but I am told with a snapshot from judge all 3 motions were granted today. I believe some of these were Ripples requests. So we may have some wins on both sides
Sec 2 month extension for discovery granted
It’s crazy less than 1 month ago we were $1.60. Come on xrp. Let’s get back up there. Still following btc
Yeah I’m pretty tapped out but buying hbar. Don’t know much about it though. Other than 1 billion transactions on network, half supply of xrp and possible nasa partnership.
Not getting the global disrupter feel from it but every coin has its fanatics that believe it will go to 1,000.
Xrp is my true love and if it does dip into 0.50 range I will add. I don’t think it will go back there again though and I am ok with it. It gives me time to grow hbar.
Ada is the one I look at as the one that got away. And I will probably kick myself still for not even buying at these prices.
Open our wallets. If it goes to 0.50 and below, I start buying again
I’m not saying Ripple partnership was the focus but the relationship is there. Rosa Rios is going to get Ripple a seat at the table with all the big players when they are bringing in US treasury members.
Let’s not also forget that Schwartz is working with the former BONY chairman in creation of Polysign for institutional custody. That is another link to ties this all up.
So you know how ripple hired former us treasurer to their board of executives? Apparently she had a meeting with BNY Mellon this week. I work in banking and I can tell you they are HUGE. Like 41.7 trillion in assets huge.
.@RosieRios inspired us to do more with less by taking us through a case study of saving $1 Billion. How? She focused on the power of three: investing in physical, financial, and above all else, human capital. Now that’s #realinsite. pic.twitter.com/4U7gPzZND8
— BNY Mellon | Pershing (@Pershing) June 10, 2021
I worded that funny. Ripple has asked yet again for documents on btc eth and xrp and sec wrote to judge asking for an extension to today to respond to ripples motion. So the only thing we are expecting today is a letter from the sec with their response as to why they haven’t turned them over
No ripple filed a motion for sec to turn over documents. Sec asked for an extension today to respond to that request. So today we will find out what their reasoning is as to why they haven’t done it yet.
I may take same approach as you, but let’s just say you had 100k flare distributed to you at 1.20. Govt 2 years later says, hey you did not declare $120,000 in incime and we are going to charge you penalties and interest on tip of that. Meanwhile flr has tanked to 0.10. That will nowhere near cover any of it.
Ok I think I understand now the concept of the flare air drop to make it non taxable income. First air drop no trade history so no value and therefore no taxable income.
All other subsequent airdrops, a small amount of FLR is burned so that we are paying for our FLR with each drop. They said it will be an insignificant amount that will be burned, but it will be enough to say that it wasn’t given free to us. We had to purchase it.
So according to their tax accountant who issued them a memo, the only tax that has to be declared is the capital gains at time of sale.
Now unfortunately none of us have that memo and it will be difficult for us to provide evidence of this if we were audited. So we still are always at risk with irs if they don’t buy this argument.
Sorry my xrp sat on a participating exchange so I was informed nothing had to be done on my side. The exchange declares it and allocates it
You may want to give first few minutes a listen. Digital asset investor got a clip from ceo of flare on the tax implications of the air drop. Apparently the first 15% is tax free since no trading. The remaining airdrops, a small amount of our FLR will be be burned at the time we receive them. This is so that we are “paying” for our flr and so there is no amount to report for taxable income on each drop.
Bitcoin hops up almost 10% and we didn’t go up 2%? Where is the coupling when we need it? Lol