Health, Wealth, and Happiness

February 28, 2024

“Missing the bottom on the way up won't cost you anything. It's missing the top on the way down that's always expensive.”

- Peter Lynch

Howdy, investors!

Bitcoin is blasting upward: the price is over $60,000 as of this writing. Could it surpass its all-time high of $66,000?

In the U.S., Tax Day is right around the corner. We've got you covered, with our updated 2024 Guide to Crypto Taxes.

Uniswap is voting on distributing a portion of its fees to UNI stakers, and the token popped 60% on the news. We'll cover the vote on March 8!

If you liked our hot takes on airdrop farming and points farming, then you'll love today's rant from Ignas at DeFi Research. Who's farming whom?

Read on!

2024 Guide to Cryptocurrency Taxes

by Anatol Antonovici

Crypto taxes can be difficult, but our complete 2024 crypto tax guide makes it easy. (Or at least, easier.)

In the U.S., the IRS treats cryptocurrencies as property, so we’ll help you understand what that means for both income and capital gains tax.

We’ll also cover what are taxable and non-taxable events, show you how to calculate capital gains and losses, and highlight the best tax forms to use.

We’ll delve into the specifics of cost basis methods, providing insights on FIFO, LIFO, HIFO, and Specific Identification to help you potentially reduce your tax bill.

Whether you’re a novice crypto investor trying to figure out how to report a simple bitcoin profit, or a seasoned trader looking to explore advanced strategies like tax loss harvesting, you'll find it in our new guide.

Get our 2024 Crypto Tax Guide >>

Premium Power-Ups

Level up your crypto investing game.

The next BMJ Reward Token Drop is this Friday, March 1!

On top of our massive library of premium content, Premium members get our exclusive BMJ Reward Tokens – airdropped to their wallets on the 1st of every month!

No airdrop farming. No grinding. No work. Just rewards.

These tokens can be redeemed for exclusive crypto merch, including apparel and collectibles. Or, you can HODL the points for future benefits!

New Premium members: If you haven't already, be sure your MetaMask wallet is connected by March 1 to receive your next delivery of BMJ tokens.

Not yet a Premium member? Sign up by March 1 and get in on the next drop of BMJ Reward Tokens!

Must Read

Today's most important stories for crypto investors.

UNI Soars 60% On Fee Switch Proposal (The Defiant)

Uniswap is seeing its native token UNI surge over 60% after proposing to distribute protocol fees to UNI stakers. This "fee switch" proposal, if passed, will turn UNI into a revenue-generating asset, similar to staking ETH.

A preliminary vote is scheduled for March 1, followed by an on-chain vote on March 8. This proposal, if implemented, makes UNI far more attractive, particularly if you're staking it. We'll cover developments; stay subscribed.

How You Get Farmed: A Rant (DeFi Research)

This rant delves into the complexities of farming airdrops in the DeFi space, highlighting how individuals often end up being exploited by protocols. The author shares personal experiences with platforms, criticizing the way they incentivize user participation, charge excessive fees, and manipulate the market.

As we outlined in our recent piece on airdrop farming, the best course is to look for genuine opportunities that align with personal interests -- and see airdrop farming as education, not a way to get rich.

The Importance of Divergence in Trading (X)

Divergence occurs when two related indicators or data points move in opposite directions, suggesting a possible future price movement correction. Examples include discrepancies between price and momentum, or the market's reaction to news relative to expectations.

Recognizing divergences can unveil trading opportunities, making understanding and identifying divergences across different markets a powerful tool in a trader's strategy.

Chart of the Day

Daily Trade Volume for Decentralized Exchanges (DEXs)

Courtesy Token Terminal

Just like companies, revenues are an important metric for blockchains: higher revenues typically point to a stronger blockchain and ecosystem.

Decentralized exchanges earn revenues in the form of fees when they conduct trades. This chart shows that Uniswap (right bar) is still the leading DEX by far, followed distantly by PancakeSwap and Trader Joe.

As always, we believe buying the token of these DEX platforms is like investing in the "company," and we hold the leader(s) for the long term.

ICYMI