Zen and the art of cryptocurrency investing
U.S. tax forms included a new question in their capital gains section this year: “At any time during 2021, did you receive, sell, exchange or otherwise dispose of any virtual currency?” Nothing says there might be some investment value in cryptocurrency like the IRS taking notice. Being called out as an investment worthy of notice certainly gives crypto a certain credibility, but is it right for the typical investor? Should advisers be thinking about adding a bit to their clients’ portfolios? Or is it still too new and esoteric for all but the most adventurous (or least excitable) investor? Afterall, the IRS also taxes gambling winnings.