Beginner to crypto

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LatinasAreTheFuture said:
What’s the tax like? Do I put this on my taxes? I feel like I’m gonna fuck this up and have the IRS coming around.
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Honest advice: everyone has already told you the right thing to do. Go open an account at a well known firm (ex. Vanguard or E*Trade), then get into a mutual fund or ETF that mirrors the S&P 500 with low fees. The Vanguard 500 fund is a classic example, but I think some others have marginally lower fees. Buy in over 6-12 months making equal buys each time so that you average in and don't accidentally invest everything at a local peak value. Stay in this investment for the long term. $50k isn't going to produce enough money to support even a frugal lifestyle consistently, and if you re-invest those gains, they will compound over time instead of buying you some dirt weed and Mountain Dew now.

You're in way over your head. If you try to day trade crypto as your first investing experience, you'll likely get raped and most of your nest egg will be gone. But it's your money, so do whatever you like. If you want a good experience, do what myself and others told you. If you want a hard learning experience where you lose a bunch of money, day trade crypto.

RE: Taxes. If you want peace of mind, pay taxes on crypto like you're investing in stocks. Otherwise, you can hope big daddy IRS doesn't notice and possibly get fucked hard later if they figure out you're making money without giving them their cut.
 
Wargarbl said:
Honest advice: everyone has already told you the right thing to do. Go open an account at a well known firm (ex. Vanguard or E*Trade), then get into a mutual fund or ETF that mirrors the S&P 500 with low fees. The Vanguard 500 fund is a classic example, but I think some others have marginally lower fees. Buy in over 6-12 months making equal buys each time so that you average in and don't accidentally invest everything at a local peak value. Stay in this investment for the long term. $50k isn't going to produce enough money to support even a frugal lifestyle consistently, and if you re-invest those gains, they will compound over time instead of buying you some dirt weed and Mountain Dew now.

You're in way over your head. If you try to day trade crypto as your first investing experience, you'll likely get raped and most of your nest egg will be gone. But it's your money, so do whatever you like. If you want a good experience, do what myself and others told you. If you want a hard learning experience where you lose a bunch of money, day trade crypto.

RE: Taxes. If you want peace of mind, pay taxes on crypto like you're investing in stocks. Otherwise, you can hope big daddy IRS doesn't notice and possibly get fucked hard later if they figure out you're making money without giving them their cut.
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I really have zero understanding of stocks, so that’s why I have not considered it. Like I said I was only going to “gamble” a little bit of money on bitcoin, just to see if I could make little bits of money. Tell me more about stocks? I have the E*TRADE app, but I haven’t made an account yet. Any advice?
 
LatinasAreTheFuture said:
I really have zero understanding of stocks, so that’s why I have not considered it. Like I said I was only going to “gamble” a little bit of money on bitcoin, just to see if I could make little bits of money. Tell me more about stocks? I have the E*TRADE app, but I haven’t made an account yet. Any advice?
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The advice from the previous post applies. Buy an index fund/ETF in equal chunks over months and stay in it. It's really that easy. Any other strategy would take a lot more thought and research, and there's a good chance it still wouldn't outperform the index fund.
 
LatinasAreTheFuture said:
I really have zero understanding of stocks, so that’s why I have not considered it. Like I said I was only going to “gamble” a little bit of money on bitcoin, just to see if I could make little bits of money. Tell me more about stocks? I have the E*TRADE app, but I haven’t made an account yet. Any advice?
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Here's some info on mutual funds, which is a bit safer than other shit on there, but makes less money over time. People generally manage the money for you https://www.thebalance.com/mutual-funds-beginners-guide-357958

Now with stocks you can either get someone else to take care of it, or you can try to solo it. up to you https://www.nerdwallet.com/blog/investing/how-to-invest-in-stocks/
 
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