.. so it seems to me that shaving off some lil corns along the way or just consuming goods and services here and there does not really seem like a bad thing.. including the considerations of consuming some other kinds of investments if anything strikes the fancy of the HODLER who happens to have way more than 90%+ in bitcoin, largely due to BTC price appreciation rather than being irresponsible in any kind of way related to how such BTC HODLer had acquired such BTC in the earlier years.
Yes, but it is just strategic thinking 101.
For a more advanced course consider that rich rarely sell their assets and btc is precisely that-an asset.
When you sell an asset, you get hit with the cap gains tax (at least in US), I think that at least Germany and Portugal (maybe Denmark as well-not sure) don't have cap gains on btc sells. What do rich (like Musk) do? They borrow against the asset in $$.
Of course, there are a variety of tactics that any of us can deploy, and you seem to almost be arguing my point in terms of the passive income aspect of living off of the appreciation of value rather than the principle, and when you reach a large ass fucking amount of principle, you do not necessarily need to be comparing your strategies to the rich and famous, but instead figuring out what works for you in terms of being able to live comfortably.
Like I said several times already, there comes a point in which shaving off some BTC makes sense - especially when you already have a fuck ton of them. Ask Bob.... or maybe you do not want to ask him... but sometimes there is some practicality in shaving off some value and just paying the taxes and enjoying the proceeds whether it is a simple ranch or a more elaborate ranch with a helipad and/or runway.
Let's say that instead of selling 20% of btc at 20K (for easier calc) you borrow 20% of the net current value at yearly 5% (realistic numbers).
You can do both. You can sell some BTC and you can also employ those leveraging (not selling) tactics too. I am not suggesting that other tactics cannot supplement the shaving off along the way approach..
So, essentially, you got cash equal to 20% of your stash without selling anything.
If btc goes down, you keep paying the loan from your fiat cash flow (it has to be significant and positive, of course).
If btc goes up, for example 100%(to 40k, quite realistic), you sell 10% to buy back your loan (note that you only need to sell 10%, not 20).
The end result-you have 90% of the original stash, was able to do something with 20% of the original value (invest, buy a house, etc), paid only less than half tax (comparing to the original tax) with less than half because you can possibly deduct something of the loan interest, not 100% sure about that.
I don't disagree with any of this... and in some sense you seem to be arguing against yourself because in one post you seem to be suggesting a strategy that depletes your principle, and in this second way of framing, you are suggesting a strategy that does not deplete your principle. My strategy does not contradict any of this, and you seem to be getting in the weeds a bit in terms of presenting contradicting strategies (and sure I am not opposed to a basket of strategies that the person tailors to his/her situation), and I have not even suggested ONLY one approach, even though I tend to focus on ways to just use your BTC without overly complicating all of the supplemental ways that some of the BTC or assets might be put to work - without, hopefully, getting too distracted into various shitcoin products or shitcoin talking points that you gotta do this, that or another thing to put your btc to work when such complicated strategies might not be necessary in order still ensure that you are rich as fuck from the BTC stash that you have and are able to shave off simply.. and even pay uncle sam along the way and still be rich as fuck in perpetuity (or until death, whichever comes first).
Ok I’m calling the top for 2020 at $23,777.
Let’s see how well this comment ages. I am not trading this (hodl only) but just calling the top for fun. YMMV.
Our mileage did vary, hairybairy.
![Cheesy](https://bitcointalk.org/Smileys/default/cheesy.gif)
You have another opportunity to call the 2020 top at $24,217, and if you keep calling it
(as it is going up), sooner or later you are going to be correct.. as long as you stay online until midnight on 12/31.
![Cheesy](https://bitcointalk.org/Smileys/default/cheesy.gif)
Ok I’m calling the top for 2020 at $23,777.
Let’s see how well this comment ages. I am not trading this (hodl only) but just calling the top for fun. YMMV.
Me = JJG
.....
Hairybeary....
![Tongue](https://bitcointalk.org/Smileys/default/tongue.gif)
Only shorter text
The dude said it first. I must admit.