Bitcoin Obituaries Dwindle in 2023
In 2021 and 2022, there were a total of 47 and 27 declarations respectively on the Bitcoin Obituaries list, proclaiming the demise of Bitcoin. However, in 2023, the number dropped significantly to just eight. The last declaration, made by crypto advocate Arthur Hayes, warned that excessive success of exchange-traded funds (ETFs) could "completely destroy bitcoin."
According to the Bitcoin Obituaries list on 99bitcoins.com, a total of eight death announcements for Bitcoin were recorded in 2023. This is one of the lowest counts since 2010, 2011, and 2012. In those years, there was only one obituary in 2010, six in 2011, and one in 2012. Interestingly, the first declaration of Bitcoin's demise in 2023 came from former U.S. Securities and Exchange Commission (SEC) official John Reed Stark and CNBC TV personality Jim Cramer.
It is worth noting that while Stark continues to criticize Bitcoin, Cramer has recently changed his stance and now believes that Bitcoin is "here to stay." However, in the first obituary of the year, Cramer was advising people to divest from their cryptocurrency holdings. Other individuals who made death calls in 2023 include geopolitical analyst Peter Zeihan, JPMorgan chief Jamie Dimon, and venture capitalist Chamath Palihapitiya.
Renowned finance journalist Harvey Jones, from Daily Express and Sunday Express, declared in March that Bitcoin and the crypto market were fraudulent. Jones strongly stated, "Bitcoin and all the pathetic fake currencies that popped up in its wake are the worst thing to happen to the investment world in my lifetime." He emphasized that they are a joke, a fraud, and a Ponzi scheme disguised as a get-rich-quick investment opportunity.
The final death call in 2023 came from Maelstrom CIO and former Bitmex leader Arthur Hayes. Despite being a well-known Bitcoin and crypto advocate, Hayes offered a dissenting perspective, suggesting that a spot Bitcoin ETF could fundamentally dismantle BTC. He speculated that if a few entities control all Bitcoin, it could stagnate transfer movement and cause significant issues for miners.
Hayes expressed his thoughts as follows:
"It is beautiful when you think about it. If bitcoin becomes just another state-controlled financial asset, it dies because it isn’t used. The death of bitcoin then creates space for another crypto monetary network to grow in its place."
Since 2010, the Bitcoin Obituaries list has documented a total of 475 death announcements for Bitcoin. Although there were relatively fewer declarations in 2023, the highest number was recorded in 2017 with 124 obituaries. In 2018, there were 93, which decreased to 41 in 2019. Remarkably, despite the challenges of the Covid-19 pandemic in 2020, there were only 14 death calls. As the digital currency and Bitcoin landscape continues to evolve, the narrative of Bitcoin's demise persists alongside its resilience and increasing mainstream acceptance.
What are your thoughts on the death calls for Bitcoin in 2023? Feel free to share your opinions in the comments section below.
Frequently Asked Questions
Which precious metal is best to invest in?
Investments in gold offer high returns on their capital. It can also protect against inflation and other risks. As people worry about inflation, the price of gold tends increase.
It is a smart idea to buy gold futures. These contracts guarantee that you will receive certain amounts of gold at a given price.
But gold futures may not be right for everyone. Some people prefer physical gold.
They can trade their precious metals with others. They can also make a profit by selling their gold at any time they desire.
Some people want to avoid paying tax on their gold. They buy gold directly from government to do this.
This will require several trips to your local Post Office. First, convert any gold you have into coins or bars.
Then, you need to get a stamp on those coins or bars. Then, send them to the US Mint. There they will melt the coins or bars into new ones.
These new bars and coins have the original stamps stamped on them. This means they can be used as legal tender.
The US Mint will not tax gold purchased directly.
So, which precious metal would you like to invest in?
Does a gold IRA make money?
Yes, but it's not as simple as you think. It depends on how much you're willing to risk. It's possible to retire with $1 million if your retirement age is reached if you are able to put aside $10,000 per year for 20 consecutive years. However, if all your eggs are in one basket, then you will lose everything.
Diversifying your investments is essential. Inflation can make gold perform well. You should invest in an asset that increases with inflation. Stocks can do this well as they rise when profits are increased. Bonds are also able to do this. They pay interest every year. They are great in times of economic growth.
But what happens if there's no inflation? In times of deflation, stocks are more valuable than bonds. This is why investors should not invest all of their savings in one investment, such a bond mutual fund or stock mutual fund.
They should instead invest in a combination of different types of funds. They could, for example, invest in stocks and bonds. They could invest in both cash as well as bonds.
They are exposed to both sides of a coin. Inflation and depression. They will still see a return in time.
What precious metals will be allowed in an IRA account?
The most common precious metal used for IRA accounts is gold. As investments, you can also buy bars and bullion coins made of gold.
Precious metals can be considered safe investments as they don't lose their value over time. They can also be used to diversify investment portfolios.
Precious metals are silver, palladium, and platinum. These three metals have similar properties. Each has its own purpose.
In jewelry making, for instance, platinum is used. You can create catalysts with palladium. The production of coins is done with silver.
When deciding which precious metal to choose, consider how much you expect to spend on your gold. You might be better off buying gold that costs less per ounce.
You should also think about whether you want to keep your investment private. If you have the desire to keep your investment private, palladium might be the best choice.
Palladium can be more valuable than gold. It is also more rare. This means you might have to spend more.
Another important factor when choosing between gold and silver is their storage fees. Gold is measured by weight. The price for larger amounts will go up.
Silver can be stored by volume. You'll pay less if you store smaller quantities of silver.
You should follow all IRS rules if you plan to store precious metals in an IRA. This includes keeping track, and reporting to the IRS, all transactions.
Are gold and silver IRAs a good idea?
This is a great option if you're looking for an easy way of investing in both silver and gold simultaneously. However, there are many other options available as well. If you have any questions regarding these types of investments, please feel free to contact us anytime. We are always available to assist you!
Can a gold IRA earn any interest?
It all depends on how big your investment is. If you have $100,000, then yes. You can't if you have less than $100,000
How much money you place in an IRA will determine how it earns interest.
If you are putting in more than $100,000 annually for retirement savings, you should open a regular brokerage account.
Although you'll likely earn higher interest, there are greater risks. You don't want your entire portfolio to go bankrupt if the stock markets crash.
An IRA is better if you have $100,000 to invest per year. At least until the market starts growing again.
Are precious metal IRAs a good way to invest?
How much risk you are willing to take for an IRA account's value loss will determine the answer. You can use them if your cash balance is $10,000, as long you don't expect it to grow quickly. These may not be the best option if you are looking to save for retirement over many decades and invest in assets that will increase in value (e.g. gold). These fees can reduce any gains.
Can I get physical ownership of gold in my IRA
Many people wonder if they are allowed to possess physical gold within an IRA account. This is a legitimate concern because it is illegal.
But if you carefully examine the law, there's nothing stopping you from owning gold in your IRA.
The problem is that most people don't realize how much money they could save by putting their gold in an IRA instead of keeping it in their own homes.
It's simple to throw out gold coins but difficult to put them into an IRA. If you decide to keep your precious metal in your own home you will have to pay two taxes. You will pay taxes twice: once to the IRS and one for the state in which you live.
You can also lose your gold and have to pay twice the taxes. Why would you keep your gold in the house?
You might argue that it is important to know that your gold remains safe in your house. It is important to store your gold somewhere safer in order to prevent theft.
If you plan on visiting often, you shouldn't leave your precious gold at home. If you leave your precious gold unattended thieves will easily steal it.
An insured vault is a better choice for gold storage. This will ensure that your gold is protected against fire, flood, earthquake and robbery.
Another benefit to keeping your gold in vaults is that you won’t have to pay any property taxes. Instead, you'll have to pay income tax on any gains you make from selling your gold.
A IRA can be a great option if you want to avoid paying tax on your gold. With an IRA, you won't have to pay income tax even though you earn interest on your gold.
Capital gains tax is not a requirement for gold investments. You can cash out your entire investment anytime you wish.
And since IRAs are federally regulated, you won't have any trouble getting your gold transferred to another bank if you move.
The bottom line? You can own your gold in an IRA. Fear of theft is all that holds you back.
Statistics
- The maximum yearly contribution to an individual's IRAs is currently $6,000 ($7,000 for those 50 years or older), or 100% of earned income, whichever is less. (monex.com)
- Depending on your financial situation, most experts recommend you invest no more than 5% to 10% of your retirement funds in precious metals. (forbes.com)
- Silver must be 99.9% pure • (forbes.com)
- The IRS also allows American Eagle coins, even though they do not meet gold's 99.5% purity standard. (forbes.com)
External Links
en.wikipedia.org
investopedia.com
takemetothesite.com
forbes.com
- Gold IRA – Add Sparkle to Your Retirement Nest Egg
- Understanding China's Evergrande Crisis – Forbes Advisor
How To
How to Open a Precious Metal IRA
Precious metals are a highly sought-after investment vehicle. Precious metals are a popular investment option because they provide investors with higher returns than traditional bonds and stocks. However, precious metals investing requires careful planning and research. These are the first things you need to know if you're looking to open a precious metal IRA.
There are two main types in precious metal accounts. These are physical precious metals and paper gold or silver certificates (GSCs). Each type has its pros and cons. GSCs can be traded and access physical precious metals accounts, which offer diversification benefits. To learn more about these options, keep reading below.
Physical precious metals accounts are comprised of bullion and bars as well as coins. Although diversification benefits are great, this option has drawbacks. The costs involved in buying, storing and selling precious metals can be quite high. They can also be very difficult to transport due to their large size.
Paper gold and silver certificates, on the other hand are very affordable. Additionally, they can be easily traded online and accessible. They are ideal for those who don't wish to invest in precious metals. But, they're not as well-diversified as physical counterparts. Because they are supported by government agencies such the U.S. Mint the value of these assets may decrease if inflation rates increase.
If you open a precious metal IRA, choose the right account for your financial situation. Consider the following:
- Your tolerance level
- Your preferred asset allocation strategy
- How long do you have to spend?
- You can decide whether or not to use the funds for trading purposes.
- What tax treatment do you prefer?
- Which precious metal(s), you would like to invest in
- How liquid do your portfolio need to be
- Your retirement date
- Where you will store precious metals
- Your income level
- Current savings rate
- Your future goals
- Your net worth
- Consider any special circumstances that could affect your decision
- Your overall financial picture
- You choose between paper and tangible assets
- Your willingness to take on risks
- Your ability and willingness to accept losses
- Your budget constraints
- You desire to be financially independent
- Your investment experience
- Your familiarity with precious metals
- Your knowledge of precious metals
- Your confidence in economy
- Your personal preferences
After you have determined the type of precious metal IRA that best suits you, you can open an account with a reputable dealer. These companies can also be found online, through word-of mouth or referrals.
Once you've opened your precious metal IRA, you'll need to determine how much money you want to put into it. You should note that every precious metal IRA account has a different minimum deposit amount. Some accounts will only accept $100, others will allow for you to invest as high as $50,000.
The amount you invest in your precious-metal IRA is entirely up to you, as stated above. A larger initial deposit is better if you are looking to build wealth over a longer period of time. A lower initial deposit may be better if you plan to invest smaller amounts of money each month.
There are many types of investments that can be purchased, as well as precious metals you can use in your IRA. These are the most popular:
- Gold – Bullion bars, rounds, and coins
- Silver – Rounds and coins
- Platinum – Coins
- Palladium – Bar and round forms
- Mercury – Bar and round forms
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By: Jamie Redman
Title: Bitcoin’s Obituary Bounce — Decline in ‘Death Calls’ Signals Resilient 2023
Sourced From: news.bitcoin.com/bitcoins-obituary-bounce-decline-in-death-calls-signals-resilient-2023/
Published Date: Thu, 04 Jan 2024 19:00:16 +0000
