Early Access: IA Weekly Patreon Q&A (Patreon)

IA Q&A: NFTs + how to play! Exit Strategies, Tesla shorts, Best Mortgages, Crypto Taxes & Borrowing

#Tesla #Bitcoin #CryptoBorrowing #NFTs #HowToExitTrades #BestMortgages #Ethereum https://www.patreon.com/InvestAnswers This week's Q&A touches on the best way to invest in nonfungible tokens, why hedge funds are obsessed with shorting Tesla, how to borrow against your crypto to avoid taxes and capital gains, what are the best mortgages traditional mortgages or interest-only mortgages and what is the best way to exit a winning trade.. 0:00 Introduction to agenda today 1:20 From HOYT - What is best way to invest in NFT’s? Craziness happening right now on NFT’s - Hello Kitties for 160M Ethereum’s ERC20 tokens have quickly become the gold standard for putting digital artwork ownership on the blockchain. The space has exploded in a very short window of time. Today The Ethereum blockchain links all $350 million of the NBA’s Top Shot NFT sales. Newer smart-contract cryptocurrencies like Cardano (CCC: ADA-USD) could try challenging Ethereum’s position. But overtaking Ethereum as the single authority on digital art ownership could also mean re-titling every existing piece of digital art that’s already been sold. Beeple’s $69.4 million auction blew everyone away - 3rd best living artist on earth. Net-net the NFT market is seen as a $1T market and Ethereum is the gold standard. Investors will need to act quickly. Ethereum is only up 20% from its 2018 peak compared to Bitcoin’s 150%, and it’s only a matter of time before regular investors realize that NFTs are essentially Ethereum transactions disguised as digital auctions. 4:22 "Kathryn Why the ongoing obsession with shorting Tesla by the hedgies? ‘The Longest Unprofitable Short I’ve Ever Seen.’ Betting against Elon Musk’s Tesla was the widow-maker trade of 2020. Currently, 30BN of tesla is sold short - approx 44m shares. This is down from a high in Jan of 56M shares. Big shorters like Michael Burry is short tesla The company has 22 "buy" ratings, 42 "hold" ratings, and 19 "sell" ratings from analysts. It is clear that Elon Musk has contempt for shorts. Short story - excuse the pun - is analysts and traditional shorts do not understand how a car company (which it is not) that makes less than 1% of cars on earth Plus their Bitcoin BTC investment made $1,500,000,000 $2,580,134,400 48,000 BTC = 1.08BN made. Unrealized EPS 960M shares and made $1.12 a share in a little over a month. 7:30 Krypto Kare Is there a way to use crypto profits to purchase another asset ie real estate without paying tax on the capital gains?" I am not an accountant, however, when you convert your crypto to FIAT or another crypto that is typically a taxable event. Compound, NEXO, Coinbase, BlockFi - you can get a loan up to 50% of your collateral coin dependent. Rates can be high - 11%. Tax jurisdictions are still trying to figure out the tax-deductibility of the interest. Beware or margin calls if BTC dips hard. 9:30 Jeffrey Rydman Buying a house. Interest-only loan or traditional loan? What are the factors that go into deciding which one is best for me?" 3 THINGS: Property Inflation - value will increase over time. Interest is tax-deductible - the principal is not Less cash outflow - you can use to invest in other assets like BTC Inflation will make payback amount less in real dollar terms. Ie in 10 years assuming 7% inflation - your fiat is debasing. After 10 years the actual PP value of your $1M mortgage is only worth $520K. Sell 1 BTC to repay your debt. If your interest rate is 2.5% - you are saving 4.5% a year. Criminal really. $1M Mtg at 2.5% - int only payment is $20K a year - 30 yr is $48K a year Placing 30K into BTC at a conservative 100% return per year over ten years will turn into $23M. Power of compounding - year one 30K becomes 60K + 30K etc 12:10 Exits: Elizabeth, Daniel, Julian, Brett, James, 100 People - Exits of all kinds. Talk about stop losses and how to spot the top Take money off table eg 10K to 60K - keep 50K on the table, take your 10K and put it back in your FIAT bank account or buy TSLA! This ties into the above case. Or use it to buy property - buy a $1M house and borrow as much as you can. 14:00 FAVOURITE David Baker Favourite place to vacation? Has to be Bora Bora. The best water and scuba diving in the world.