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1581  Other / Archival / Re: Is there http API for Merit system? on: May 20, 2021, 03:55:49 PM
I was looking for API where I can request Merit summary without being a registered member (i.e. No Cookies).

Yes. https://bitcointalk-merit-api.herokuapp.com/api/v0.1/received/xx

xx is the UID of the profile you want to know of th emerit received

I have not yet automated the updating of the database, and as such, the total received may be outdated.
1582  Other / Meta / Re: User banned - Possibly misunderstanding the idea of a regular social bounty on: May 20, 2021, 03:35:18 PM

The thread in question appears to have been originally posted in games and rounds. IMO, it would be best to post a sticky in this sub clarifying that altcoin giveaways are not allowed anywhere in the forum. Over the years, various altcoin giveaways have been posted in the games and rounds sub, and it probably would not be unreasonable for forum members to be unaware of this rule.

For those that disagree with the altcoin giveaway rule, one compromise may be that the forum could charge for the ability to host an on-forum altcoin giveaway. Giveaway threads are resource-intensive because they cause many page-views and many posts that do not substantially contribute to the bitcoin ecosystem. I am not necessarily in favor of altcoin giveaways being allowed, however if someone was covering the forum's cost of hosting said giveaways, I would have no issue with them.

1583  Economy / Economics / Re: Preparing for a capital gains tax increase (US) on: May 20, 2021, 03:15:09 PM
Spacing out gains

The proposed increase is only on capital gains above $1 million. If you have less than $1 million in unrealized gains, then maybe someday it will affect you, but probably no action is required now. If you have a few million dollars in unrealized gains, then you should consider whether you could spread these gains out over a few years to stay below the $1 million limit.

Spreading gains out is harder than it sounds. If you have $10 million in unrealized gains which you plan to spread out over 10 years to stay below the limit, you may run into problems like:
  • Unexpected expenses may occur, such as unexpected medical bills. Or unanticipated expenses may be desired, such as deciding to move.
  • The BTC price may go up, so now you're sitting on $100 million in unrealized gains. (A good problem to have in many ways, but a risk to consider.)
  • The BTC price may go down, and this may cause you to lose faith in BTC and want to sell. If your $10 million in unrealized gains shrinks to $5 million because the BTC price got cut in half, are you going to be tempted to sell more, even at a higher tax rate? Relatedly, you might decide that other investments look more attractive than BTC, especially if you have a huge portion of your net worth in BTC. You won't be able to buy stocks with your BTC without realizing the capital gains, for example. Maybe now you don't think that this will ever be an issue, but trying to anticipate your mindset years in the future is very difficult.
  • Tax laws may change. There was just a tax cut in 2017, for example.
The price of bitcoin going up is not a problem, as it would mean that you have additional unexpected gains, and are better off tomorrow than you would have been today if you sold everything (or you were better off than you had planned).

The biggest risk to spreading out gains over time is that you cannot hedge your gains without risking having to pay taxes immediately. So spreading out gains over years means you must take price risk over the number of years you are spreading your gains over. In your example of selling $1 million worth of bitcoin over 10 years, if when you sell in year 2, the price declines by 50% (not uncommon to have this large of price declines), you will have lost $1 million, less your tax savings. Assuming that capital gains taxes increase by 20%, and only apply to capital gains over $1 million (the first million in capital gains are subject to the old rules), if you had sold $2 million instead of $1 million, and did not sell in year two, you would have an additional tax liability of $200k, and a net gain of $800k.

 
Note that some services will give you a low-interest loan using your BTC (or other property) as collateral, similar to a home equity line of credit. This is a strategy commonly used by people like Jeff Bezos or Elon Musk who have most of their wealth in unrealized capital gains to avoid realizing the gains all at once. It's not a free lunch, though: you'll still be paying interest and fees.
This strategy is risky for someone borrowing against a volatile asset such as bitcoin. If you borrow too much against your coin, the lender may force a sale of your collateral, triggering a large capital gains tax bill in a single year. For example, if you borrow 50% of the value of your coin, and in a year, the price of bitcoin declines by 40%, the lender may liquidate all of your coin in order to satisfy your loan, and you would need to pay taxes on any gains that you just realized. 


You don't have to just sell all of your BTC and be rid of it forever. You can sell it to realize the gains, set aside the appropriate amount for taxes, and then immediately use the remaining dollars to buy back BTC. This is called tax gain harvesting, and it is a common tax strategy.
IMO, this is superior to most alternatives, and probably makes sense under most realistic scenarios in which capital gains taxes increases substantially. This might be modified so that not all of residual assets are used to repurchase bitcoin so some money can be used for living expenses.


The value of waiting
It is never a guarantee any asset will continue to rise. This is not to say that it will not. IMO a bigger risk to medium-term prices is interest rates and inflation. If inflation rises over the medium term, the fed will need to stop QE, which will remove the amount of money in the market being used for speculation. Interst rates rising will mean the NPV of investments will decline, all else being equal.
1584  Other / Politics & Society / Re: Israel is evil. Finish them off! on: May 20, 2021, 12:26:11 PM
Israel has just attacked civilian buildings and even clinics.

Al Rimal Clinic 3h ago
These are buildings with Hamas terrorists and military equipment inside. The attacks were justified. Hamas is using residential areas to make it more difficult for the IDF to neutralize the terrorists without inflicting civilian casualties. The IDF takes many precautions to prevent civilian deaths.

My sister used to work for the UN, and was stationed in Gaza.  She's no fan of Israel (putting it mildly,) but she has said more than once that she did indeed find evidence of Hamas rockets having been fired from a hospital and a school.

If we want to have a rational, constructive discussion and solution we have to recognize Hamas for what they are; a terrorist organization who terrorize their own first.  Their tactics are specifically designed to result in civilian Palestinian casualties, because that's what they want in the news reports.  The Israeli military is not equipped to root out that type of insurgency, very few military organizations are, and therefore their options are limited.

I do believe that Israel is an apartheid state, and something should be done about it.  As an American, I think we should start by not giving Israel weapons.  I'd rather pay Nato to provide their protection.  As for a two-state or a single state solution; I imagine they'll be able to work it out amongst themselves if we protect them from Iran's or our influence.
Hamas is widely known as a terrorist organization and is recognized as such by the US and other Western/civilized countries. Unfortunately, many on the left are sympathetic to terrorists.

The IDF has been defending Israel against these kinds of terrorists for decades. It has a very good apolitical intelligence apparatus that is able to find terrorist cells so the IDF can neutralize them. The reason the IDF has been less successful at taking out Hamas than it might otherwise should be is that Hamas uses Palestine citizens as human shields and the IDF wants to minimize civilian deaths, even if that means that terrorists also survive air strikes.

I don't think there is much (or any) evidence that Israel is an apartheid state. Both Arabs and Jews have the right to vote in Israel, and both have equal rights in the country.
1585  Economy / Economics / Re: Tesla Bought 1.5 B in Bitcoins on: May 19, 2021, 01:51:32 PM
When Tesla bought the ~46k bitcoin, they did not place a buy order for 46k @ $32,000/each. They bought ~46k bitcoin at an average price of $32k. This means some of the coin they bought was at a higher price, and some of it was at a lower price.

This is important because when you sell bitcoin, you can sell specific tax lots for tax (and accounting) purposes. They could have sold some of their coin that they bought at a higher or lower price than their average purchase price. I would also point out that which tax lots Tesla used is separate and distinct from the inputs they use when they transfer the coin.

Is it even possible? Here in India, we use the FIFO (first in, first out) principle for tax purpose. That means that the earliest purchased coins are considered to be sold, if the sale is partial. As far as I know, the user doesn't have the freedom to specify which lot he has sold. Or is the tax calculation different in the United States? Also, I am not sure whether Telsa needs to pay any taxes here. Since they are a corporation, rather than short term capital gains tax, corporate tax will be applicable. And the tax rate will be near zero, since their overall PAT is in negative.
Yes, it is possible. (not tax advice -- you should consult with a tax professional for individualized tax advice regarding your specific situation). Taxpayers usually have to specify if they want to use FIFO, LIFO, or specific tax lots when they file their tax return, and generally cannot change the method from year to year without certain criteria being met. A corporation may not get special treatment for holding an asset for greater than a year, however choosing a particular tax lot may be beneficial to minimize their long term tax liability, for example, they may accelerate income if taxes are slated to rise in coming years, or may lower their income so they pay less taxes today, and can put the money from the delayed tax liability to use by investing it.

In any case, even if Tesla were to use FIFO, or LIFO, the profit would most likely not match the average price Tesla paid for the coin.

1586  Other / Politics & Society / Re: Israel is evil. Finish them off! on: May 19, 2021, 11:54:06 AM
Israel has just attacked civilian buildings and even clinics.

Al Rimal Clinic 3h ago


These are buildings with Hamas terrorists and military equipment inside. The attacks were justified. Hamas is using residential areas to make it more difficult for the IDF to neutralize the terrorists without inflicting civilian casualties. The IDF takes many precautions to prevent civilian deaths.
1587  Economy / Economics / Re: Tesla Bought 1.5 B in Bitcoins on: May 19, 2021, 11:47:38 AM

The only thing that doesn't add up is the Profit on the sale. They might have attributed some of the impairment to this sale.
I am not an accountant so I cannot justify if it is plausible.
But the 122 Million I found is quite different from the 101 Million figure they provided.
When Tesla bought the ~46k bitcoin, they did not place a buy order for 46k @ $32,000/each. They bought ~46k bitcoin at an average price of $32k. This means some of the coin they bought was at a higher price, and some of it was at a lower price.

This is important because when you sell bitcoin, you can sell specific tax lots for tax (and accounting) purposes. They could have sold some of their coin that they bought at a higher or lower price than their average purchase price. I would also point out that which tax lots Tesla used is separate and distinct from the inputs they use when they transfer the coin.
1588  Economy / Economics / Re: 3.9million users took part in the Elon Musk poll; What will be Tesla's decision? on: May 19, 2021, 11:38:09 AM
Elon Musk already showed how quickly he could change decisions and how hard it later impact on the market. What is the point of voting for dogecoin to be accepted as a payment for Tesla, if he could later removed that option with a comment like "Dogecoin is a meme coin, or just a joke. But our cars are not jokes. That is why we are suspending vehicle purchase using dogecoin".

Looks like even Elon's manipulation couldn't prevent Dogecoin from sinking. it has lost 20% of its value against USD during the last 24 hours. At least a section of the new entrants to cryptocurrency seems to have realized that Dogecoin is an overhyped shitcoin with no real usage. During the past few weeks, Elon has done a great deal of damage to the cryptocurrency sector. Those corporations which were considering accepting BTC may have cancelled their plans as of now.
All that Musk has done with DOGE is talk about it mention it. He has not endorsed it, helped with it's development, nor invested in it. Musk has a decent following, but merely mentioning it is not going to be enough to get a lot of people to buy it. IMO, we had a lot of people speculating that Musk will either endorse, invest in, or help develop DOGE, in the hopes that doing so would get others to buy. When this did not immediately happen, these speculators eventually sold off their positions.

This is unlike bitcoin in which Musk has (via Tesla), invested in.

this is the same old pump and dump scheme that hundreds of pumpers have used on social media, the only difference is that Musk is using it with much more effect.
Isn't that..... illegal? It's one thing for anonymous pumpanddumpers to do it, it's a different story if it's a billionaire who was already fined $20 million by the U.S. Securities and Exchange Commision for misleading investors.
Musk is not telling anyone to buy DOGE. He is merely mentioning it.

Merely mentioning the name "Bitcoin Savings & Trust" is not the same as telling anyone to invest in that poinzi.
1589  Economy / Economics / Re: Tesla Bought 1.5 B in Bitcoins on: May 17, 2021, 05:11:51 AM
It is strange that Musk/Tesla flipped his stance on bitcoin so quickly.

My guess is that Tesla buying bitcoin was the reason why the price went up to ~50k, or at least was a major contributor. If Tesla reveals that it has in fact sold it's bitcoin, I would expect the price to fall pretty significantly. The price of bitcoin has recently fallen a decent amount, so it is somewhat likely that a large holder has recently sold.

Musk recently said that Tesla is working with the DOGE devs to improve DOGE. If Tesla starts to accept DOGE, I would expect the DOGE market cap to exceed that of bitcoin...that obviously would not speak to the technical specifications of either.
1590  Bitcoin / Press / Re: [2019-07-26] The IRS is warning thousands of cryptocurrency holders to pay taxes on: May 16, 2021, 02:01:58 PM
They have no reason to go after 50 million people when 99%+ of these people properly reported their income.
I assume there are no actual public data for this, but I would be very surprised if only less than 1% of US citizens had not properly reported their cryptocurrency gains or losses. I suspect the real figure is much higher, which is why the IRS are pushing exchanges to hand over the info. If it were only a handful of users, then their resources would be better spent elsewhere, like going after bankers who abuse loopholes to avoid tax (HA! Like they are ever going to do that.) I also suspect that if the number were really this low, the IRS wouldn't be putting the cryptocurrency question right on the front page of the 1040 and forcing literally everyone in the country to answer it.

I have heard that US citizens need to report each and every cryptocurrency transaction made by them in the income tax return, as per the directive from the IRS. Now how many out of 50 million could have done this? I strongly suspect that a majority of the low volume users might have ignored this directive. And I don't think that the IRS will go after them for $100 or $200 in pending taxes. But they are moving very slowly. Only around 10,000 have been sent the notice till now. 10K out of 50 million... And out of that 10K, I assume a majority would be letter 6174.
I don’t think the IRS is going to go after taxpayers who owe $200 in unpaid taxes in masse, although they may go after a small number of them in order to make a statement.

My advice is to pay your taxes according to the law.
1591  Economy / Collectibles / Re: [WoodCollector]Nine Public Coin Collection Completed on: May 15, 2021, 02:21:30 PM
I looked at the pictures and I actually found some clues in addresses.

What happened in this post:

https://bitcointalk.org/index.php?topic=5321663.msg56490105#msg56490105

FOr me I see the following
The topic or board you are looking for appears to be either missing or off limits to you.

Thnaks

[EDIT]
Okay was able to see the post. So, all this was a scam. Feel bad for tee. He/she worked hard on colllecting all 9 coins.

I get the same error...now y'all have me curious!
You need to be at least a full member in order to view threads in that section because it contains personality identifiable information aka dox information.
1592  Economy / Service Discussion / Re: Reputable escrow without network fees? on: May 15, 2021, 01:20:20 PM
I'm not quite sure what you mean by saving on network fees, but you could probably discuss the best way of going about your trades with the escrow themselves. For example, segwit addresses, lowering the escrow fee for large amounts of trades.
I believe he is referring to transaction fees. It appears he wants to use altcoins that have lower current transaction fees than a typical bitcoin transaction would have under current conditions.
Otherwise, just contact a few of the escrows, and see if they are willing to work on websites such as localbitcoin. The escrows are likely familiar with a lot of platforms, so they'll know the best way about your particular situation, so just give them a message.
LBC is an escrow itself. I don't think it is possible for a person to escrow a transaction on LBC. LBC will also only facilicte certain types of transactions.
1593  Other / Politics & Society / Re: Re: "Good morning ladies and gentlemen" on: May 15, 2021, 01:16:34 PM
We are now in a strange world where you can't start a speech with the phrase "Good morning ladies and gentlemen"
~

Can someone explain to me exactly how this is taboo?
You are not addressing all of the genders. You will need to address all 58 genders. Even the number of genders is fluid.
1594  Other / Politics & Society / Re: Israel is evil. Finish them off! on: May 15, 2021, 04:34:05 AM
Hey OP, you are confused. It is the terrorist Hamas that is targeting civilians from residential areas. Israel is merely defending itself.
1595  Bitcoin / Bitcoin Technical Support / Re: [May 2021] Fees are low, use this opportunity to Consolidate your small inputs! on: May 13, 2021, 11:45:09 PM
-
It would probably be better if any implementation of my proposal would only apply to transactions sent after a cutoff date.

It could that effective block number x, transactions can be sent to addressed starting with bc2 that are "balanced based" addresses, and that after block number x plus n, no transaction will be valid until all outputs are sent to a "bc2" address that keeps track of address/key balances.
That requires a hard fork and a significant change in the database and chainstate which is harder than it sounds. There is no benefit in "balance base" bitcoin that I can think of either since it could be implemented using the way it is.
Yes, it would probably require a hard fork. The benefit of using balanced based addresses, versus individual outputs being spent is that transactions would become more efficient. It would save block space when one address receives many transactions, and more than one input is being spent. All that would be necessary would be a single input, a nonce and a single signature versus at least two inputs, at least two signatures, and two outputs under the status quo. It would also reduce UTXO bloat, as it would no longer be necessary to send to a change address when spending less than an entire output; this would save both blockspace, and the amount of required memory to run a node.
Quote
BTW "bc" is the fixed human readable part of SegWit addresses, "1" is the separator not the version, and the next letter after separator (in addresses) represents the version with "q" being first, "p" second, "z" third and so on.
Noted. There could be some other clear distinction for addresses that are using "balances" instead of individual inputs.
1596  Economy / Economics / Re: 3.9million users took part in the Elon Musk poll; What will be Tesla's decision? on: May 13, 2021, 12:05:56 AM
He is doing manipulation on behalf of various Dogecoin whales, who have probably promised a substantial chunk of their profits to him.

Lol, are you seriously thinking this?
The world richest man is doing bounty work ?
IMO Musk is trolling the SEC who sanctioned him for tweeting about TSLA having a buyer lined up at $420/share when this was less than true. Musk is not able to tweet about certain things about his companies without company approval for accuracy. Musk appears to have responded by tweeting about crypto in ways that he knows will influence the price of what he is tweeting about.
1597  Economy / Service Discussion / Re: "HCP's ongoing experiment of the BotHIVE.io Trading Platform"™ on: May 12, 2021, 10:08:55 PM
Is important to point out that we utilise AI and genetic algorithms that simulate the natural selection for optimising the bots. Means that the risk reward is not something in our control and is identified by AI itself.
That is obviously nonsense.

First of all, "genetic algorithms that simulate the natural selection for optimising the bots" doesn't actually mean anything. This is just a bunch of fancy-sounding words that is meant to impress someone who doesn't know much about machine learning.

More importantly, you absolutely control any output from any model. When you are training a model, you are choosing the training data, the loss function, and any additional penalty loss that your model will attempt to minimize.


Does anyone have access to historical data for crypto trading pairs on futures markets? Preferably minute by minute data?
1598  Other / Politics & Society / Re: Pipeline shutdown cause fuel scarcity in the US on: May 12, 2021, 04:01:34 PM
The question is are the supply depos out of gas or just the gas stations?
This is an issue of gas stations. The supply depots, at least those in the northeast will have an overabundance of gas, possibly to an extent they will be unable to hold additional gas, and gas production may need to be taken offline. Depots in the southeast are running empty.

Which although OT from the original post does bring up an interesting question of why?

Without being rude to the people who are in charge of logistics of this stuff, and I know it's a big deal and not simple. But it's not rocket science. Just due to general planning you would think that the depots have more then 4 days of fuel. Just general storms / weather issues in general you would think that a larger storage supply would be generally good. Same in the NE, you can't plan to slow production to keep storage at 95% or so now you have to take it offline instead of just slowing it. WTF?

I might not fully grasp some of the complexities of what has to go on, but it just seems like it's a bunch of people making it up as they go as opposed to having a plan.

-Dave
According to this description of how crude oil gets to gas stations in the form of gasoline, it looks like the "storage" part of the process happens before the gas gets to the pipeline.

I know there are few locations in which oil is stored, and this is generally governed by the terms of futures contracts. For example, gasoline futures traded on the CME, appears to be delivered in the New York Harbor.

Also, having any kind of inventory in storage is expensive, not just in terms of paying for the storage, but also because having inventory in storage means you have to use capital (money) to pay for the inventory and are being delayed in receiving payment for said inventory.
1599  Bitcoin / Press / Re: [2019-07-26] The IRS is warning thousands of cryptocurrency holders to pay taxes on: May 12, 2021, 01:33:30 PM
They have no reason to go after 50 million people when 99%+ of these people properly reported their income.
I assume there are no actual public data for this, but I would be very surprised if only less than 1% of US citizens had not properly reported their cryptocurrency gains or losses. I suspect the real figure is much higher, which is why the IRS are pushing exchanges to hand over the info. If it were only a handful of users, then their resources would be better spent elsewhere, like going after bankers who abuse loopholes to avoid tax (HA! Like they are ever going to do that.) I also suspect that if the number were really this low, the IRS wouldn't be putting the cryptocurrency question right on the front page of the 1040 and forcing literally everyone in the country to answer it.
It appears that approximately 1 in 6 tax dollars go unpaid, so the percentage of taxes related to unreported crypto gains may be higher than 1%. Even if 1% of citizens fail to report crypto-related income, it would mean that over 3 million people are not reporting their income accurately.

When the IRS reviews data from an exchange, they can compare this data to tax return data to get a good idea as to the amount of unreported income. However, when the IRS reviews blockchain data, for example, they will have a difficult time determining which transactions are related to taxpayers obligated to report income to the IRS.

It would not be a good use of resources for the IRS to go after people exploiting loopholes in the tax code. A loophole may or may not be something that congress intended, however, a loophole is still legal. If loopholes are being used in ways that Congress did not intend, it is up to Congress to close the loophole.
1600  Other / Politics & Society / Re: Pipeline shutdown cause fuel scarcity in the US on: May 12, 2021, 12:55:35 PM
The question is are the supply depos out of gas or just the gas stations?
This is an issue of gas stations. The supply depots, at least those in the northeast will have an overabundance of gas, possibly to an extent they will be unable to hold additional gas, and gas production may need to be taken offline. Depots in the southeast are running empty.

The issue is that there are not enough alternate delivery methods that will deliver sufficient amounts of gas to meet ongoing demand. A single gas station may be able to procure additional gas by paying an additional $0.17 per gallon, however, all gas stations that are out of gas cannot do this.

The pipeline in question delivers ~50% of gas throughout the east coast and has been offline for 5-6 days (depending on the time the pipeline went offline, and how much gas continued to flow after it went offline). Assuming weekly deliveries, this means assuming no increased gas demand, that all gas stations that receive gas from this pipeline would run out of gas in a couple of days. Trucks making long haul drives, and additional gas delivered via ports that would not normally be delivered will reduce this somewhat, however, total fuel delivery will still be sharply reduced.

There is some panic buying, which is making the problem somewhat worse, however, this is not the same as the panic buying of toilet paper last year, as there is a limit as to how much gas people can buy, and purchases can only be accelerated by so many days.
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