When to cash out Bitcoin?

[Hellopello3]

I bought £20 worth of Bitcoin on PayPal last year when they woukd still let UK people buy it.

I just wanted to see what the hype was and wasn't worried about losing £20 if it went to shit.

Its now worth about £60.

My question is will it go up or shouod I cash it out

I cant buy anymore with PayPal, they have blocked the UK market from buying any due to recent regulations

I will just invest in bitcoin no other crypto. Planning to use Coinbase. Been studying it all on you tube.

DH has been telling me about his again recently which must mean it’s gone up again. He’s got a fair bit in there but it’s all now returns on his initial investment ie he’s taken out what he put in originally.

£60 is such a small amount I can’t see the point in removing it, having it or not is hardly going to change your life. Keep it in just in case.

Thank you

Well, except people do actually pay you hard cash to buy it. I bought mine for under £50 a long time ago and cashed some out to put in a lovely fireplace and wood burner this year, so it has provided some worth!

I invested £1000 in bitcoin in 2021. I have just checked, it is worth £2158.. it did go down to 400 at one point though.
I'm thinking of taking out my initial stake and leaving the rest I don't understand it at all. I only bought it because a friend told me about it.

I bought it on Bitpanda. It's quite easy to do with the app.

I was reading up on it too and someone was saying to give up one takeaway a month and buy bitcoin instead.
Put like that, it does seem worthwhile. But still seems like gambling really.

You need to understand the 4 yearly cycles. All there on you tube. Raoul Pal Micharl Saylor etc.

Much safer than altcoins.

If it was me OP I would take out £40 and leave the rest as a further experiment…

Whatever unknown strangers say here, they won’t be around if the experiment croaks; and while some on here are implying that it’s too small a sum to count for anything, my counter argument would be, if you can’t find anything to buy that you will enjoy for £40, you have zero imagination - and people with zero imagination are risk takers by definition.

At least wait until the Trump administration begins. He has some massively pro crypto people lined up for senior positions. More likely to go up than down on a medium term basis

Nc for obvious reasons. Bitcoin is slightly less risky than crypto but you can still lose money.

Crypto trading is extremely hard. DH dabbled during covid but spent days and nights on end working and investing wisely. Normally you cant put £50 in leave it and make millions. It takes hours of researching and reading. It’s a hard slog and not an easy money making route. You can lose your money at the drop of a hat, especially if you don’t know what you are doing.

He no longer ‘trades’ but he made enough out of £500 to buy us a detached house so it can work. He knows people who have made millions. But you need to work for it.

My advice? Keep the £60 in if you can afford to lose it. But if you need it take it out. Don’t expect it to sky rocket. Uk exchanges are making it very difficult to add ‘new money’ and taking it out is getting harder so I’d just keep it in.

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I know this is an older thread so hope you don’t mind me posting here.

DS is dabbling a little trading with bitcoin. Think he’s made £150 so far and is continuing to trade.

I have no idea how this works so for those of you who have made a decent amount from this, do you have to pay tax once you make so much?

DS has only just finished college so doesn’t have a full time job yet so hasn’t reach tax threshold.

Yes he will have to pay tax if he doesn’t have a job as it will be classed as his full time income

Thank you.

Will this be CGT or Income tax?

He hasn’t had a job up to yet.

Here are some good links @CharlotteBakewell

https://www.gov.uk/hmrc-internal-manuals/cryptoassets-manual/crypto20050

https://www.gov.uk/guidance/check-if-you-need-to-pay-tax-when-you-sell-cryptoassets

@TheSmallAssassin thank you.

I have heard that the bit coin thingy called $Trump is going bigly...well down 'bit' at the moment I know, but that's not my fault.
I've got wars to end (6 so far) and gold embelly, embeli, embelyoshmens, bellishmen, decorating to do in My Office.

You need to have money you are prepared to lose to invest in any kind of crypto. But that goes with any form of investment. I have some invested in Bitcoin and Etherium through an online exchange platform. I regard it as a long term investment. You need to do some serious research before parting with any money. You can start with a small sum like £250 which no one is going to miss. Beware of rogue traders and go with an established dealer.

Where do you buy bitcoin from?

Research cryptocurrencies such as Bitcoin or Ethereum to find out how they work and the risks involved. You create an account with a crypto exchange. Verify your identity and deposit GBP into your account. The minimum deposit now is about £250. Purchase crypto via the exchange's app or website.

You can find these on Google. I am not going to post any links or name any as this may be a breach of Mumsnet rules.

Be careful, use only recommended sources and be aware that the “robot trading” platforms you see advertised can lose you money. Do not invest more than you can comfortably afford to lose. If some unexpected money comes your way – say an inheritance or windfall then you might decide to use a (small) part of it. That way you are only risking money you did not have to begin with.

How do we buy it?

I still need to fully understand this, DS is trading (think gaming items, not sure) He’s put around £150 in the bank and has then reinvested his other gains. He does have a paper trail.

Can you actually speak to someone at HMRC to know what he needs to do or does he just fill out a self assessment form in January?

I’m bloody clueless about this but need him to be aware of the tax implications.

He set it all up himself.

When I get more time I will read through the link provided on the government site but just wondering if anyone has first hand experience of declaring crypto gains?

The FCA has recently lifted its ban and approved ETNs for retail investors (like an ETFs but a little more of a complex financial product) for some Crypto currencies including bitcoin.

So from October it is likely you'll be able to invest in financial products which track the price of bitcoin via your Stocks &Shares ISA, SIPP or General Investment Account on mainstream investment platforms.

www.fca.org.uk/news/press-releases/fca-opens-retail-access-crypto-etns

You can hear a detailed discussion about it on the 'Many Happy Returns' podcast, including pros and cons of such investments.

podcasts.apple.com/us/podcast/fca-lifts-the-ban-uk-investors-can-buy-crypto-etns/id1604785417?i=1000722753168

Etoro

Anyone have any thoughts on investing in blockchain ETFs as I understand these are still allowed in UK SIPP and ISA wrappers unlike bitcoin e.g. iShares Blockchain Technology UCITS ETF (BLKC)? They also seem slightly less volatile.