Crypto losses and taxes..

Nov 26, 2018 27 Comments

Finally sold my ETH for 85%loss .. I lost over 15k in crypto market ... I was trading using gdax FYI ..

Is anyone claiming crypto losses in the 2018 returns?

Any advise?

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TOP 27 Comments
  • Facebook / Eng Direct
    I'm an investment jinx. Everything that I invest in drops, and it only begins dropping shortly after I invest in it. Litecoin, Google stocks, Wealthfront, and... FB stocks.
    Nov 26, 2018 3
    • New / Eng uhYr23
      If it also happens the other way around, please let us know what you're selling now.
      Nov 26, 2018
    • RackWare Dreamlight
      You should start buying puts.
      Nov 26, 2018
    • You are not an investment jinx. You are just young and stupid Because the system is designed to fail people like you and me.
      It's all overly complex so that part timers can fail .

      Money thrugh investment is a huge virtual reality . You feel like you are getting rich but you aren't.
      Nov 26, 2018
  • General Mills / Data MUsi88
    Buying high and selling low. My man. Come join us over at /r/WallStreetBets and we’ll compound those losses in no time.
    Nov 26, 2018 0
  • New / Eng TY!
    Did you report any profits in previous years? They might wonder where your losses come from if you’ve been buying and selling before without reporting.
    Nov 26, 2018 2
    • OP
      Nope no profits at all. I did not buy anything until Jan 2018 and when I bought eth started to drop 🤦🏼‍♂️
      Nov 26, 2018
    • New / Eng TY!
      Don’t beat yourself up over it. It’s a game of chance with cryptos and no one could with certainty know if we would be at 1k or 100k around this time.

      (Unless you’re professional and know how to setup a game plan and use stop losses correctly - then maybe you should beat yourself up a bit)
      Nov 26, 2018
  • Google / Eng l+#&
    Yes you certainly can claim the loss (short term in your case). You can offset it against other short term gain you might have this year, or deduct 3k from income this year and roll the remainder loss over for next year and so on.

    It's just like say you lost in stocks. Exactly same tax wise.

    Use cointracker.io to help you file taxes (not affiliated, just a happy customer).
    Nov 26, 2018 1
  • Facebook public2
    The irs considers crypto property so there is no way to claim a loss. See the irs website for details.
    Nov 26, 2018 11
  • Ask a CPA. If treated like stock loss, you can claim a few thousand per year for 3 years.
    Nov 26, 2018 0
  • Looks like crypto was a great TC normalizer, a lot of FANG folks invested into it and now appear to have lost most of their money.

    Too much greed will sink you on WS, go with solid blue chips (better if it pays dividends), else go in with clear exit strategy.
    Nov 26, 2018 1
    • Google TYAPU
      .. a lot of FANG folks also made money. Me included.

      Overall I was up 65% over 3 months.
      Nov 26, 2018
  • Facebook / Eng moma1
    My ETH avg price is $400. At one point it was $2k. Now it's $110 :/.

    HODL. I have put $25k in crypto or below 5% of my net worth. Don't plan on selling them anytime soon.
    Nov 26, 2018 0
  • MuleSoft Damndaniel
    This ^. Gotta start buying puts beforehand.
    Nov 26, 2018 0