Thread by @T_Gatzemeier

Pros and cons of directly holding digital assets vs. trusts vs. ETFs (one day): 👇

Digital assets directly: -Pros-

1. Considered property by the IRS (no wash sale rule).
2. You can hold it on or off-exchange and decide where to store it.
3. Use as currency or store of value.

-Cons-

1. You have to keep it properly secured.
2. You have to decide how and where to hold it.
3. If you dispose of, spend, or exchange at a gain, it's taxable.

Now what about #DigitalAsset Trusts 👇

#Crypto Trusts: -Pros-

1. Easier to purchase in an IRA.
2. It's easier to hold and manage.
3. Less worry about securing it.
4. You get exposure without worrying about storage or wallets.

-Cons-

1. Higher premium to own it.
2. Wash sale rule (tax harvesting isn't as valuable).
3. Trades on the traditional financial system and market.
4. Can trade at a premium in relation to the actual digital asset.

Now what about ETFs 👇

ETFs (when they are avail): -Pros-

1. Easy to purchase.
2. Issued by large asset mgmt firms you have heard of.
3. Exposure to digital assets/#cryptocurrency with worrying about storage and wallets.

-Cons-

1. Possible tracking error.
2. Has the wash sale rule.
3. Likely will have higher costs to access.
4. Trades on the traditional financial market.

What would you add to this list?

*This thread is for your entertainment and not advice!*