Altcoins News

Story: U.S. Wealth Advisors Warn XRP Holders of Major Risks Even at $100 Price Target

By Sakamoto Nashi

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2014 IRS Rule Could Create Tax Problems for XRP Investors. DAG points to IRS Notice 2014-21 as the root of many hidden dangers.

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A Lawsuit Could Put XRP Assets in Jeopardy. Another major risk highlighted by the firm is asset exposure during lawsuits.

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Ironically, IRS Rules Also Offer Wealth-Preservation Benefits. Although the property classification introduces challenges, it also provides powerful long-term…

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1. Step-Up Basis at Death. If an investor buys XRP at $0.50 and dies when it trades at $100:

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2. Borrowing Against XRP Instead of Selling. DAG recommends that wealthy investors borrow against appreciating assets rather than liquidating…

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Why a Wyoming LLC Is Becoming Popular Among Crypto Families. To combat legal risk, DAG recommends holding large crypto portfolios inside a Wyoming LLC, citing:

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Crypto Success Without Protection Can Still Mean Loss. DAG reports that it has watched families accumulate generational wealth through cryptocurrency but…

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While XRP continues to experience a market downturn, some investors remain confident that the digital asset will eventually recover and reach dramatic price levels.

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Digital Ascension Group (DAG), a U.S.-based wealth-planning firm serving high-net-worth families, says a growing number of cryptocurrency holders are overlooking financial and…

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DAG points to IRS Notice 2014-21 as the root of many hidden dangers. The rule classifies cryptocurrency as property, not currency.

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The IRS requires investors to track gains and losses using the fair market value at the time of each transaction.

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According to DAG, a large percentage of high-value XRP investors have never prepared for this level of reporting.

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Another major risk highlighted by the firm is asset exposure during lawsuits. Many crypto investors store their entire XRP holdings in personal cold wallets without any legal…

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A lawsuit unrelated to crypto — such as a car accident or a property dispute — could put XRP at risk

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Courts can demand full disclosure of personal assets, including cryptocurrency

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