In this article, I offer insights into the fundamentals of Bitcoin mining, and show how to calculate the costs and the rewards. I also address the challenges of the industry, including questions around energy usage and risks, like the ever-evolving crypto regulatory environment. BitcoinIsResilient...
Despite security features inherent in the blockchain's design, it can be vulnerable to attack, and crypto exchanges have been hacked before. Here's what to know:Cryptocurrencyand blockchain work together. Blockchain is the technology that allows digital assets such as Bitcoin to operate, so this...
A leverage ratio is a type of financial measurement used in finance, business, and economics to evaluate the level of debt relative to another financial metric. It can be used to measure how muchcapitalcomes in the form of debt (loans) or assess the ability of a company to meet its finan...
The tactic, known astax-gain harvesting, is selling profitable crypto in a lower-income year. You can leverage the 0% long-term capital gains rate — meaning you won't owe taxes on gains — as long as earnings are below a certain threshold. The 0% bracket applies to assets owned for ...
Alternatively, your capital gains taxes due will be lower under the average cost method if the price of the mutual fund has increased. Instead of having a low cost basis when you first bought in, this method allows you to average your cost and leverage potentially higher shares acquired later...
Understanding crypto funding rates is crucial here. But what are funding rates in crypto? This article will explore that question and explain how they work in crypto trading, what influences them, how to monitor and calculate them, and the general impact of funding rates on crypto trading. What...
Step 2: Select the Buy Crypto option:Choose the credit card or debit card payment option. Enter your card details and buy your Bitcoin.You will now have your Bitcoin in your exchange wallet. You can choose to transfer this to your own wallet or keep it on Binance’s hot wallet.4. Buy...
The upshot is that an individual has more money to play with, thus allowing them the freedom to make more money by creating a larger position than they would have otherwise by using just their own funds.A crypto trader who uses leverage can make much greater profits in a far shorter space...
If you’re a crypto trader who had to sell coins at a loss last year, you may be able to leverage your losses to save on your tax bill this year. There’s no need to be apprehensive about reporting your capital gains income and losses.TaxAct®has the resources you need to help yo...
Excess margin is a simple calculation that occurs once a trade's margin requirements have been met. It can fluctuate based on the price of the security (which affects the amount of margin required). See the above example for a thorough explanation of how to calculate excess margin. ...