originally posted by: salty_wagyu
Anyone been able to cash out large sums of money from bitcoin though? Never hear stories about them, which strikes me suspicious.
It depends on the exchange. Some exchanges will let you pull out $50,000 per day (transferred to your bank account). Some more, some less. This,
you have to explain to the IRS/Bank and it'll be taxed since the fed likes to know about all monies moved around for 10k or more. Some 5k or more.
I've even had to explain to the bank that I wanted to pull 12k out of one bank and put it in another. They all but demanded that they do it
themselves through transfer that would take a few days. I told them I wanted it right then and there. They didn't seem too happy about giving me MY
money to do it this way and wanted to know what the 12k was for. If I said "none of your concern", my bank account would have been locked and all my
money held by the IRS and I would have never gotten it back without a lengthy court battle that would have left me broke.
soooooo... that's the need for such things as crypto. The problem is, you can't always trust exchanges. I've lost twice by fraudulent exchanges ....
all of it, because the persons running each stole the crypto and skipped off to china. No laws on this makes it hard to prosecute and when you can
based on specific factors (lawyers can sometimes make cases on this), the person of interest is already gone. Jokes on that guy... China banned the
However, you don't always need an exchange. Many places now take bitcoin. Granted, you would need an exchange to swap one coin for another, so if
you have all say, ETH or DOGE or whatever, you need the exchange to swap it to BitCoin.
You can buy houses, cars (lambos!), food, etc but not everyone takes it so you're kind of limited.
The biggest issue with exchanges right now, aside from fraud/theft, is that many times when you make a purchase or request dollars for your crypto, a
lot of them will sit on it, supposedly verifying the exchange but within a couple of days, those values will fluctuate A LOT. What they're really
doing is trying to get the most out of you by giving you a lesser amount when possible. So when you 'lock in' at a certain price, buy or sell, they
will not always give you that lock in price and if you argue with them, they'll ban you, as you see.... the person owning the exchange is probably
some 20 year old, fat slob of a troll sitting behind a computer screen, picking Cheetos out of his belly button, getting super rich off his schemes.
Anyone can have an exchange. No license, no requirements, no education needed. All you have to know how to do is a little coding to build the
So far, cypto history has taught us that ALL popular exchanges will fold at some point because of some supposed hacker issue only to be replaced by
another exchange that will go through the same thing. When the exchange gets popular and obtains enough 'holdings' at one time... they will be
"hacked" and will become just another news article. In every case I can remember, the owners get charged but in most of the cases so far, the owners
skip the country. Most countries don't have laws against this since this IS all digital make-believe anyways.
All in all, it's like a digital make believe drug war with real world consequences. But, In the crypto world, you're own your own....