Large SALES Exchange or OTC how do you cashout 500-1million+?

[hkoppp]

as we all know banks hate dealing with bitcoins.
anything over 10k gets reported to irs or cra im in canada.

How do you do it?
any advices even if your paying your capital gains, with this amount your going to get audited no doubt.

i was thinking of going to a country where btc is widely accepted or not taxed open a bank there, sell a large amount come back to Canada?

or i have no issues using exchanges, or OTC im not sure which one is better the problem is selling the coins and getting a huge wire to your bank is a little scarey isnt it?

any experiences guys , tips, advices.

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[cryptomaniac_xxx]

I remember back then that people are doing huge cashout using LBC:

https://localbitcoins.com/

But it seems LBC as implemented some KYC years ago to comply with regulators.

And if you are going to this route, again, you need to be careful as well checkout the history of the trades of the buyer/seller.

[hatshepsut93]

Your bank may/will ask questions regardless of how your money ended up there - direct transfer from an exchange, or p2p transfer or cash deposit - all those things are roughly equally suspicious. So you either look for bank that is friendly to crypto or deal with cash. But keep in mind that dealing with cash has risks too, you could be robbed on the spot or followed back to your house or you could be given counterfeit notes.

[hkoppp]

Your bank may/will ask questions regardless of how your money ended up there - direct transfer from an exchange, or p2p transfer or cash deposit - all those things are roughly equally suspicious. So you either look for bank that is friendly to crypto or deal with cash. But keep in mind that dealing with cash has risks too, you could be robbed on the spot or followed back to your house or you could be given counterfeit notes.

correct, even if i want to cashout through exchange, or OTC
the wire coming in will be like 100-500ks will be a direct red flag both parties in hand?
im the reciever in this case.

If i pay the capital gains should i still be concerned about audit if my coins were ancient from when btc was $100s

also anybody with experience doing 100k cashouts?

[Welsh]

Peer to Peer exchanges probably aren't the best option, I would think that the majority of people withdrawing or buying large amounts for that matter, will do it on a centralised exchange. There's risks both ways, so really it's down to your personal security model, and of course privacy as most exchanges will require Know Your Customer (KYC) for transactions that large.

If i pay the capital gains should i still be concerned about audit if my coins were ancient from when btc was $100s

Honestly, if you're dealing with this amount of cash, the best option would be to contact an accountant. Tax can be somewhat complex, especially if you haven't kept up with it for years as that appears the case with you, probably held Bitcoin, forgot about it, and now your coming back to quite a large amount which hasn't been taxed in years. I wouldn't risk it personally, and I would contact an accountant right away, and figure out the best way of going about things.

They'll also be able to offer advice on the best way of withdrawing that amount. Personally, I would think that doing it in smaller amounts would be the best option, but see what an accountant has to say about it.

[DaveF]

At that level. if you are 100% legit and paying all your taxes and such. I would go with one of the bigger players (Coinbase / Gemini / etc.) And split the money into several banks.
I don't know the laws in Canada, but here in the US without doing a lot of other things you still owe taxes no matter where you cashed the money out.
For that much, I would spend some money to talk to an accountant and a lawyer before doing anything.

-Dave

[hkoppp]

At that level. if you are 100% legit and paying all your taxes and such. I would go with one of the bigger players (Coinbase / Gemini / etc.) And split the money into several banks.
I don't know the laws in Canada, but here in the US without doing a lot of other things you still owe taxes no matter where you cashed the money out.
For that much, I would spend some money to talk to an accountant and a lawyer before doing anything.

-Dave

so go with popular exchanges like kraken? its documented
deposite btc, sell off, transfer to bank
pay the taxes?

or go through canadian company to my bank since im canadian.
people tells me exchange and international wires could raise a flag.
i dont know

[DarkDays]

At that level. if you are 100% legit and paying all your taxes and such. I would go with one of the bigger players (Coinbase / Gemini / etc.) And split the money into several banks.
I don't know the laws in Canada, but here in the US without doing a lot of other things you still owe taxes no matter where you cashed the money out.
For that much, I would spend some money to talk to an accountant and a lawyer before doing anything.

-Dave

so go with popular exchanges like kraken? its documented
deposite btc, sell off, transfer to bank
pay the taxes?

or go through canadian company to my bank since im canadian.
people tells me exchange and international wires could raise a flag.
i dont know

Either way with the amount of money you plan on taking out will eventually raise flags with the banks no matter which route you take.
The best course of action is to find a person who can understand the laws in the country you're planning to cash out. I doubt this will be an easy task - even if planning to pay the taxes correctly there probably will still be some headaches somewhere! Good luck!

[hatshepsut93]

correct, even if i want to cashout through exchange, or OTC
the wire coming in will be like 100-500ks will be a direct red flag both parties in hand?
im the reciever in this case.

If i pay the capital gains should i still be concerned about audit if my coins were ancient from when btc was $100s

also anybody with experience doing 100k cashouts?

I'm not from the US and authorities don't give a shit about "small scale" tax evasion in my country, but I did withdraw around $50k from a Bitcoin exchange over the course of 3 months split evenly in two different banks. I got a warning from one bank that I'm approaching the threshold for transactions after which they will ask me to provide the explanation for the source of my money. But I never planned to cross this limit, so nothing happened. I then spent majority of those money and again no obstacles from both banks.

Banks these days have algorithms that determine the riskiness of their client, and the exact implementation of the algorithm is a secret, I have heard stories about people getting their accounts closed or transactions frozen when dealing with much smaller amounts, while others move millions freely.

[Lucius]

@hkoppp, what I would never advise you is that you go to some kind of face-to-face sales, because even if you find an honest person, you still have a problem proving where your money comes from if you come under the radar of the tax office. If I understood correctly, you have everything documented and BTC was bought legally, so I don't see why it would be a problem to do everything legally: crypto exchange -> bank, but before that try to determine what the bank's attitude is when it comes to crypto transactions exchange.

i was thinking of going to a country where btc is widely accepted or not taxed open a bank there, sell a large amount come back to Canada?

You have at least one problem with that plan, and that is how you will transfer the money back to your country - and whether you will appear on the radar of the Canadian authorities through international data exchange.

If by any chance you live in my country, and if you have crypto assets that you acquired before January 1, 2016 and you can prove it - the tax would be 0%.

[mk4]

Man, if you're going to do a big transaction, you ain't going to get away with it unless you do something like do smaller transactions in a span of a couple of years, or if you're going to transact purely with physical cash. Outside of that, you better just do everything legitimately and cleanly unless you want to risk jail time.

[wajik-tempe]

as we all know banks hate dealing with bitcoins.
anything over 10k gets reported to irs or cra im in canada.

How do you do it?
any advices even if your paying your capital gains, with this amount your going to get audited no doubt.

i was thinking of going to a country where btc is widely accepted or not taxed open a bank there, sell a large amount come back to Canada?

or i have no issues using exchanges, or OTC im not sure which one is better the problem is selling the coins and getting a huge wire to your bank is a little scarey isnt it?

any experiences guys , tips, advices.

Maybe you can just do the withdraw to paypal account first instead of directly to banks.
Use big exchanges like coin base which provide paypal withdraw and i think you will be fine when you withdraw your paypal usd to your country fiat.
Or just make it stay at the paypal account, and just take it whenever you need it if you are aware of being audited

[mk4]

Maybe you can just do the withdraw to paypal account first instead of directly to banks.
Use big exchanges like coin base which provide paypal withdraw and i think you will be fine when you withdraw your paypal usd to your country fiat.
Or just make it stay at the paypal account, and just take it whenever you need it if you are aware of being audited

We're talking about large sales here, as mentioned in the title. You can't get away with it by just simply using PayPal and not interact with banks. Not to mention that PayPal can actually be more of a problem because they can ask for extra information on what you're transacting, or they can even go as far as reporting it to the authorities.

[Lucius]

Not to mention that PayPal can actually be more of a problem because they can ask for extra information on what you're transacting, or they can even go as far as reporting it to the authorities.

Or they can simply block the account and all the funds in it if anything seems suspicious to them. The Internet is full of people who for some reason have experienced PP blocking their account, because it is still a US-based company that plays by the rules of US policy, and the point is that everyone is suspicious until proven otherwise. OP has a lot better options than PP, and the thing is very simple unless he personally wants to complicate it.

[Coyster]

i have no issues using exchanges, or OTC im not sure which one is better the problem is selling the coins and getting a huge wire to your bank is a little scarey isnt it?

It could be a little scary considering the large amount involved, but personally I think if you're 'clean' and prolly have nothing to hide about how such amount was amassed then just go about it the normal way and when you're asked questions on it by your bank, you would definitely have no problems answering them, just like others have advised, seek some legal advice and ask questions on the repercussions and worst case scenario of the action you're about to take, so you prepare for it.

[dothebeats]

OTC is the way to go in terms of huge sales IMO. Just make sure that the one you're trading with is legitimate and trusted enough to honor their end of the deal. You can also dump it on exchanges if you like, although it may ring some alarms and cause a hassle for you once the trade/sale is complete.

I believe exchanges can facilitate OTC sales, though I'm not quite sure with the specifics (amount, mode of payment, etc.) that comes with it.

[dansus021]

first ur a whale or early adopter or something else?

if you want to cashout thoose million dollar first, split ur transcation and do with different timeframe i think would be safe maybe a month 1 K or 10 K i know i will take a lot time but wort to try right

and try using different bank and different name

[hatshepsut93]

first ur a whale or early adopter or something else?

if you want to cashout thoose million dollar first, split ur transcation and do with different timeframe i think would be safe maybe a month 1 K or 10 K i know i will take a lot time but wort to try right

and try using different bank and different name

If a limit for transactions is $20k per day and you do 5 transactions $5k each, you will still trigger the limit. In fact high frequency moderate value transactions are even more suspicious than a single large transaction, because it looks like someone is trying to circumvent the financial monitoring rules.

What you should do is prepare an explanation of how you got your coins, get screenshots of your exchange purchases, p2p trades, signature campaign earnings, mining payouts, etc. Maybe you won't need it, but it's better to have it just in case.

[Slow death]

if you got those coins legal then do everything legal, you could be withdrawing the money and parts to a bank in your country and you can also ask for one of those bitcoin debit cards, as far as i know these bitcoin cards can withdraw $10,000 a month and you can have at least 2 or 3 cards. I'm giving this advice assuming your bitcoins were acquired legally because you'll have to do KYC to get  Bitcoin debit cards