🚨 CATASTROPHIC NFT: $3M IN LOST PROFITS IN THE BLINK OF AN EYE! 💸
Can you imagine earning $3M selling NFTs and the market collapse wipes it all away? Let me tell you the story of Jonathan Mann, the musician behind "Song A Day." He sold 3,700 songs at $800 each, accumulating $3M in $ETH, but as the value dropped and taxes are calculated from the moment of sale, the IRS left him with a bill of nearly $1.1M.
- Failed strategy: Without planning or considering volatility, Mann and his wife held onto their cryptos hoping for a boom, which turned disastrous when $ETH collapsed.
- Risky maneuver: To avoid liquidating at a loss, they resorted to a loan on Aave, but the collapse of Terra triggered liquidations, crashing 300 $ETH in an instant.
- The final rescue: With the threat of losing everything, Mann had to sell a rare Autoglyph NFT to pay the tax debt.
This story is a brutal reminder for everyone in the crypto community: Plan, diversify, and always keep in mind the tax and market risks! DYOR 🙌
What do you think? Are you already organizing your tax strategy to avoid unpleasant surprises? Comment below and share your experience! 👇