Chriz

🏦🫰 I had to pay a jaw-dropping 15,000€ more in taxes than I've earned from my NFT project. Here are some things I wished to know before I've launched the project. Read till the end if you are interested in how I still saved 6-figures of tax payment. In 2021, I launched @Bitlands_ and made some significant tax errors that not only cost me a substantial amount of money but also valuable time. 💼 Disclaimer! This isn't financial advice, just my experience. Get a tax lawyer. I did my taxes in Germany, but tips may apply elsewhere. 3 Options 🚫 Option 1: Don't do taxes at all? Common in the crypto space, but risky. Every transaction can be tracked, and they are getting better! Not worth jail time but I guess 95% of all NFT projects are doing it like this. ✈️ Option 2: Move to a crypto-friendly country like Singapore? Sounds great, but not feasible for most and not the first thing you do before launching a new NFT collection. 💡 Option 3: Do taxes and learn from my mistakes. I launched Bitlands NFT in a booming market, didn't think about taxes initially. 1/ 📚 You'll need a crypto tax lawyer, which can be expensive, because not many are specialized in this field. 2/ 📋 Keep detailed records of all transactions. The tax department is allowed to request all transactions. You need to show from where do you got the money, and classify internal wallets. 3/ 👨‍💻 Consider using tracking tools like @accointing or @Coin_Tracking. They will help you a lot not loosing the overview. I used Excel templates which can be exported by some crypto wallets to easily import the transactions to the tools. 4/ 📝 Add notes to transactions. It'll save you time later. Wallets like @eternlwallet will help you with that. 5/ 💱 When NFTs are sold, taxes are incurred at the time of purchase. To make yourself independent from volatility of the crypto market, exchange a share of your crypto to your local currency on the mint day to cover taxes. (I didn't do that, which is the reason for having more taxes than profit). 6/ 🧾 Demand invoices or contracts for payments. If you want to take losses into account, you need to provide evidence. 7/ 💳 Create a wallet structure for easier tracking: Split into royalties, NFT sales, and business activity. Transfer between wallets carefully. 8/ 🔢 Classify each wallet as business or private wallet, even as a sole entrepreneur. Transactions between them can impact taxes. 9/ 📉 Take losses into account. In Germany, trading after one year of holding can be tax-free. Losses can reduce your tax liability. 10/ 🥇 Pro-Tip: If your crypto is down, selling crypto and buying the same amount afterwards in an exchange counts as a loss for the tax, which reduces your taxed income. For example, "Wallet > Exchange Crypto > Exchange Fiat > Exchange Crypto > Wallet" counts as a taxable event which can reduce taxes. The event will only apply in the one-year period since the last event and may only be true in Germany. Luckily, I did this in the end of 2022 which saved me 6-figures in tax payment. 🚨 Remember, that are only my experiences, no financial advice. Consult a tax professional for your specific situation. #CryptoTaxTips

@MizzyCrypto @banatviolet @coinbureau LOL what?

@banatviolet @coinbureau It’s a proof of stake, can’t get any more centralised 😂

What's the most decentralised cryptocurrency? 👇

@nemo13 What did Cardano to you?

👇

I brought my favorite Bitland to the real world. Tell me if you want your own Bitlands on your wall 👇

@RichoSmith2024 @LucidCiC ❤️❤️

@LucidCiC ADA 🔥🚀

DON'T FADE CARDANO SUMMER!🥊 All Cardano Tokens & NFTs are going to see new All Time Highs!🛫 All Cardano Projects & Tools are going to become Household Names!🚁 All Cardano community members are going to gain Thousands of Followers & Millions of Views!🚤 $ADA will Fly!👑🪽

For most of the tools (e.g. Cointracking or Blockpit) it looks like ADA is coming from thin air. What do you use / can you recommend to classify that correctly?

Hey @Padierfind, I have a tax related question to you and @nmkr_io. Since technically NMKR is minting the NFT, sending it and taking the income first, it’s really hard to correctly classify the transaction as swap (ADA <> NFT).

@cNFTfART No

👻 i’m shadowbanned 🌚 🤔 can you see this? 👀

@TheOnChainGuy @Bagboy7238 Can you give some information what happened?

@Padierfind Frohe Weihnachten Patrick!

Merry Christmas everyone

@olivercookson Send

I bootstrapped Myprotein to a ≈ $500M exit (inc. secondary) That wouldn't be possible without: • Delegation • Strategic hires • Resource management I created a 14-page in-depth guide on the above. Like + Comment "Send" & I'll DM it to you for free (Must be following)

@Padierfind I can make you an intro to my Postbote 😅

Does anyone have a contact to the Deutsche Post? Would love to pitch NMKR & Cardano to them

This is the German finance minister holding an official NFT stamp that the German state will issue in collaboration with the German Post. I did not expect this today.

@dgut_ I prefer @nuxt_js

Why do most indies choose Next.js over Laravel? 🤔

@Waivly @leverage_app Thanks 🙏

@chrizcros @leverage_app Huge! Great job

@wisdom_ldn @leverage_app Absolutely 💯

@chrizcros @leverage_app nothing feels better than the first paying customer

@gouthamjay8 Sounds straightforward. Can relate 👍

Running a one-person business is easy!🙃 You only need to - fix bugs - build features - do customer support - acquire new customers - retain existing customers - minimize churn - figure out growth channels - engage on social media - work on SEO - ideate & write good content

@DonDubya200 @IamAbhiDev Yeah, it’s good to never use it. Just found it funny

@chrizcros @IamAbhiDev I actually find a rare case where this is useful because I either don't use it or I use it too much and they conflict so I prefer to not use it.

Hey Developers 👋, What's the most important part of CSS? 👀

@elraulito @aheO33 And still they sold out. Stuff like this really harms all the good things about crypto because it shown how much stupidity and greed is in the air.

@aheO33 It was not even pretending to be serious

How many of these Rugs did you survive? 1) $DANA After rising 9.08M in ETH they got 6M from Cardano A lot of that money was used to gamble on other coins and lost, there were some funds left but team declared bankrupt and stopped the development ═════════════════════ 2) Blockchain Mages They let us dream, the marketing was quite good but after going soldout they understood that their funds were not enought to create a game So they rugged, the floor dropped from 100 ADA to 5 ADA in no time ═════════════════════ 3) Bored Ape Cardano Club Believe it or not, they sold out! They used the funds to purchase a real Bored Ape and pretended it was own by their community as DAO Well, it's gone. ═════════════════════ 4) Coco Loco This was the strangest rugs of all time, they sold out and few hours after.... they said "ok nevermind, we were kidding" They refunded who minted, but people bought in secondary. One golden coco loco was sold for 20k ADA ═════════════════════ To be continued... (Flick & more) 🫵 remember to follow @elraulito

@FarmerNash_ @CardanoGaming I don’t agree with your disagreement 😅 Web3 gaming is about ownership of the assets not having everything on the chain. The casual gamer does not care about Web2 or Web3, they care about having fun. To get mass adaption we need to strip out every unnecessary complexity.

@CardanoGaming Don’t agree at all. The whole point of web3 gaming is to be on-chain. Just make a web2 game if you want to add the least amount of web3 possible into your web3 game.

So how is Cardano going to handle gaming if transactions take 30+ minutes when the chain is congested? Also, if $ADA reaches $3+ the fees to transact could be more costly than the micro-transactions themselves. Big problems. What are potential solutions?