Digging in a little more about what to report and what to tax. This podcast below is a wealth of information for anyone that is holding a coin.
Some items i have heard:
Coinbase provided the IRS the information of anyone in their system with $20k or over in assets.
Deposits to Coinbase via FIAT currency are not taxable events.
Trade of BTC to Altcoin IS A TAXABLE event.
Reply with concerns or take-aways from this podcast.
*This is not tax advice. Consult a tax professional.
I am finally replaced my custom built desktop PC after about 5 years.
Now that I have a retired computer with a decent pair of video cards I want to dip my toe into cryptocurrency mining. Although I realize the old equipment won't produce as much per watt as newer graphics cards, I already have 2 HD 7870's that will just collect dust if I don't do something with the system. There are also a few older components lying around so I've been contemplating repurposing my old computer and components to create computers for the following roles:
A dedicated storage server that would also host my Plex media server and backup content locally. (Yes a NAS box could do this, but I already have PC parts and don't want to spend $1k+ on a NAS box that can accomodate all of my 4TB and 6TB drives). A cryptocurrency mining rig A router/firewall replacement
I'm new to mining and know that the mining rig needs graphics cards, but how significant of a difference does the CPU make in a mining rig? I can either use an Intel Core i7-3770K or an Intel Core i3-3250. The dilemma is that the i7 should be able to transcode roughly twice the number of simultaneous streams (4) that the i3 can transcode (2+) based on the PassMark scores. I don't want to mine on the same machine as my Plex server since my previous mining attempt created OS stability problems.
Does memory make a large difference in cryptocurrency mining? I can either use 32 GB of ram or 16GB of ram.
Lastly, would it be better to combine the storage/Plex server and router/firewall roles into a single computer and run each as a VM? What do others recommend for this? I've heard about Pfsense and watched a few setup videos, but that appears to be designed to run on a dedicated system.
Thank you in advance to those that have constructive feedback for me.
It's never too early to think about Tax time. Just to get it on your radar. https://cointelegraph.com/news/cryptocurrency-tax-tips-until-tax-relief-passes-expert-blog