Well, if it really moons, this will be probably my smallest problem.
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Wouldn’t some equivalent (tiny) leverage in taxable be preferable? You could even deduct the interest from your income.
I’m not sure if I fully understand.
You mean like furures? I do some modest “trading” for fun on Kraken and Binance.
Interests I paid can be deducted? Have to calculate them to see if it’s worth the hassle…
Futures are one way, but you could also buy some BTC fund on margin with IBKR. Because margin interest is negative income, whereas futures are only tax free capital gains.
Futures return:
+ BTC price
- USD price
- roll yield (USD interest)
+- roll yield (other convenience yield)
- collateral opportunity cost (probably 0 if using BTC)
Fund on margin
+ BTC price
- USD price
- USD interest (tax deductible)
- margin interest markup
- fund TER
+ tax deduction at marginal rate
On a second thought, you probably can’t, because if you really only hold BTC (in whatever form) in taxable accounts, then you probably have no collateral eligible for margin on IBKR.
If that is not how things are, then taking this BTC allocation out of 3a (swapping it with whatever else from taxable), seems the better low hanging fruit.
This field is somewhat complex. Running full calculations on status quo and potential change is required.
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ok. Thanks. I got it.
Yep, too complex for me and too much hassle. (compared to the 92% of my NW being secured by two signing devices and 2x12 words).
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I have just checked out of curiosity. The margin requirements for IBIT are 39% long and 42% short. Do they consider it safer than UPRO (75% long and 90% short)? 
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Are you all in btc?
It’s definitely safer
just 96%
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Maybe regulation on levered products? Might look different for portfolio margin. But I can’t find IBIT on OCC’s Portfolio Margin Calculator.
Wow thats conviction
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It’s not a polymarket, but:
Will BTCUSD reach 100 000 before 1.01.2025?
- Yes
- No
0
voters
Oh, what happened with ETH? +36% from the minimum on 4.11 to the maximum today.
I don’t know but I’m happy that my ETH are now positiv (again).
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I dont think this year yet.
Not sure its already clear in the mainstream how much exposure trumps future cabinett members have to btc.
Probably after the inauguration
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I’m more on the side 150k to 200k.
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Zweckoptimismus.
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Is there a rational explanation for this increase, aside from Trump’s appointment?
Maybe inflation expectations.