A recent survey conducted by cryptocurrency exchange Binance has revealed that 73% of European respondents are optimistic about the future of crypto. The survey, which took place between October 14 and November 8, 2023, included 10,498 participants from France, Spain, Italy, and Sweden. It also found that 55% of European users exclusively use cryptocurrencies for everyday purchases.
European Crypto Users Embrace Cryptocurrencies for Everyday Purchases
The survey conducted by Binance indicates that a majority of European crypto users are actively integrating cryptocurrencies into their daily lives. Over half of the respondents (55%) stated that they exclusively use cryptocurrencies for everyday purchases. This highlights the growing acceptance and adoption of digital assets in Europe.
Diverse Use Cases of Cryptocurrencies in Europe
The survey results also shed light on the diverse use cases of cryptocurrencies among European users. The findings show that 34% of respondents use crypto for long-term trading, 26% for saving, 13% for day trading, and 9% for routine purchases. This demonstrates that cryptocurrencies have become more than just a speculative investment and are being utilized for various purposes.
Optimism Reflects Growing Interest in Crypto and Blockchain Technologies
Binance's Chief Marketing Officer, Rachel Conlan, expressed her delight at the high level of optimism among European crypto users. She believes that this optimism is a reflection of the growing interest in crypto and blockchain technologies. Conlan also emphasized the integration of digital assets into our lives, as evidenced by the use of cryptocurrencies for everyday purchases.
Europe Paving the Way for Mainstream Adoption of Digital Assets
Conlan further stated that Europe is actively paving the way for the mainstream adoption of digital assets. She highlighted the region's efforts in implementing a secure and harmonized regulatory framework through MiCA (Markets in Crypto-Assets Regulation). This regulatory framework aims to provide a safe and trusted environment for the crypto industry, encouraging more individuals and businesses to embrace digital assets.
Key Drivers for Crypto Adoption in Europe
The survey also explored the key drivers for crypto adoption among European users. The results revealed that 20% of respondents were motivated by the potential for high returns, 18% emphasized the ideals of decentralization and financial autonomy, and 17% were driven by innovation and technology. These factors contribute to the increasing popularity and acceptance of cryptocurrencies in Europe.
Overall, the Binance survey of European users highlights the optimism and growing interest in crypto within the region. It also showcases the diverse use cases of cryptocurrencies and the efforts being made to create a regulatory framework that promotes mainstream adoption. European crypto users are embracing digital assets for everyday purchases and various financial activities, indicating a shift towards a more crypto-friendly future.
What are your thoughts on this Binance survey of European users? Let us know in the comments section below.
Frequently Asked Questions
How is gold taxed within a Roth IRA
Investment accounts are subject to tax based only on their current value and not the amount you originally paid. If you invest $1,000 into a mutual fund, stock, or other investment account, then any gains are subjected tax.
The money can be withdrawn tax-free if it's deposited in a traditional IRA (or 401(k)). Dividends and capital gains are exempt from tax. Capital gains only apply to investments more than one years old.
These rules vary from one state to another. For example, in Maryland, you must take withdrawals within 60 days after reaching age 59 1/2 . Massachusetts allows you to delay withdrawals until April 1. New York allows you to wait until age 70 1/2. To avoid penalties, you should plan ahead and take distributions as soon as possible.
How to Open a Precious Metal IRA
The first step is to decide if you want an Individual Retirement Account (IRA). You must complete Form 8606 to open an account. To determine which type of IRA you qualify for, you will need to fill out Form 5204. This form should be completed within 60 days after opening the account. Once this is done, you can start investing. You may also choose to contribute directly from your paycheck using payroll deduction.
Complete Form 8903 if your Roth IRA option is chosen. Otherwise, the process will be identical to an ordinary IRA.
You'll need to meet specific requirements to qualify for a precious metals IRA. The IRS says you must be 18 years old and have earned income. Your earnings cannot exceed $110,000 per year ($220,000 if married and filing jointly) for any single tax year. Contributions must be made on a regular basis. These rules apply to contributions made directly or through employer sponsorship.
You can use a precious-metals IRA to purchase gold, silver and palladium. But, you'll only be able to purchase physical bullion. This means you won’t be able to trade stocks and bonds.
There are two major drawbacks to investing via an IRA in precious metals. They aren't as liquid as bonds or stocks. It is therefore harder to sell them when required. They don't yield dividends like bonds and stocks. Therefore, you will lose more money than you gain over time.
Is gold a good investment IRA option?
Gold is an excellent investment for any person who wants to save money. It's also a great way to diversify your portfolio. There is much more to gold than meets your eye.
It has been used throughout the history of currency and remains a popular payment method. It's sometimes called “the world's oldest money”.
But unlike paper currencies, which governments create, gold is mined out of the earth. This makes it highly valuable as it is hard and rare to produce.
The supply and demand factors determine how much gold is worth. People tend to spend more when the economy is healthy, which means that fewer people are able to mine gold. As a result, the value of gold goes up.
On the flip side, people save cash for emergencies and don't spend it. This increases the production of gold, which in turn drives down its value.
This is why both individuals as well as businesses can benefit from investing in gold. If you invest in gold, you'll benefit whenever the economy grows.
Additionally, you'll earn interest on your investments which will help you grow your wealth. If gold's value falls, you don't have to lose any of your investments.
How much money should my Roth IRA be funded?
Roth IRAs let you save tax on retirement by allowing you to deposit your own money. You can't withdraw money from these accounts before you reach the age of 59 1/2. You must adhere to certain rules if you are going to withdraw any of your contributions prior. First, your principal (the deposit amount originally made) is not transferable. No matter how much money you contribute, you cannot take out more than was originally deposited to the account. You must pay taxes on the difference if you want to take out more than what you initially contributed.
The second rule is that you cannot withdraw your earnings without paying income taxes. Also, taxes will be due on any earnings you take. Consider, for instance, that you contribute $5,000 per year to your Roth IRA. In addition, let's assume you earn $10,000 per year after contributing. The federal income tax on your earnings would amount to $3,500. That leaves you with only $6,500 left. Since you're limited to taking out only what you initially contributed, that's all you could take out.
The $4,000 you take out of your earnings would be subject to taxes. You'd still owe $1,500 in taxes. In addition, 50% of your earnings will be subject to tax again (half of 40%). So even though your Roth IRA ended up having $7,000, you only got $4,000.
There are two types: Roth IRAs that are traditional and Roth. Traditional IRAs allow pre-tax contributions to be deducted from your taxable tax income. Your traditional IRA allows you to withdraw your entire contribution plus any interest. You have the option to withdraw any amount from a traditional IRA.
Roth IRAs don't allow you deduct contributions. However, once you retire, you can withdraw your entire contribution plus accrued interest. Unlike a traditional IRA, there is no minimum withdrawal requirement. You don't need to wait until your 70 1/2 year old age before you can withdraw your contribution.
What is a gold IRA account?
For people who are looking to invest in precious materials, Gold Ira account accounts provide tax-free investments.
You can purchase gold bullion coins in physical form at any moment. To start investing in gold, it doesn't matter if you are retired.
An IRA allows you to keep your gold forever. When you die, your gold assets won't be subjected to taxes.
Your heirs inherit your gold without paying capital gains taxes. Because your gold doesn't belong to the estate, it's not necessary to include it on your final estate plan.
First, an individual retirement account will be set up to allow you to open a golden IRA. After you do this, you will be granted an IRA custodian. This company acts as a middleman between you and the IRS.
Your gold IRA custody will take care of the paperwork and send the forms to IRS. This includes filing annual reporting.
After you have created your gold IRA, the only thing you need to do is purchase gold bullion. The minimum deposit required to purchase gold bullion coins is $1,000 However, you'll receive a higher interest rate if you put in more.
When you withdraw your gold from your IRA, you'll pay taxes on it. If you take out the whole amount, you'll be subject to income taxes as well as a 10 percent penalty.
A small percentage may mean that you don't have to pay taxes. However, there are some exceptions. For example, taking out 30% or more of your total IRA assets, you'll owe federal income taxes plus a 20 percent penalty.
You shouldn't take out more then 50% of your total IRA assets annually. Otherwise, you'll face steep financial consequences.
What precious metals can you invest in for retirement?
The best precious metal investments are gold and silver. They are both easy to trade and have been around for years. You should add them to your portfolio if you are looking to diversify.
Gold: Gold is one of man's oldest forms of currency. It's stable and safe. Because of this, it is considered a great way of preserving wealth during times when there are uncertainties.
Silver: Investors have always loved silver. It is an excellent choice for investors who wish to avoid volatility. Silver tends to move up, not down, unlike gold.
Platinium: Another form of precious metal is platinum, which is becoming more popular. It is very durable and resistant against corrosion, much like silver and gold. It is, however, more expensive than its competitors.
Rhodium: The catalytic converters use Rhodium. It is also used for jewelry making. It is also quite affordable compared with other types of precious metals.
Palladium – Palladium is an alternative to platinum that's more common but less scarce. It's also more affordable. It is a preferred choice among investors who are looking to add precious materials to their portfolios.
Can I buy Gold with my Self-Directed IRA?
However, gold can only be purchased with your self-directed IRA. To do so, you must first open a brokerage account at TD Ameritrade. You can also transfer funds from an existing retirement fund.
The IRS allows individuals up to $5.500 annually ($6,500 if you are married and filing jointly). This can be contributed to a traditional IRA. Individuals can contribute as much as $1,000 per year ($2,000 if married filing jointly) to a Roth IRA.
You might want to purchase physical bullion, rather than futures contracts if you are going to invest in gold. Futures contracts can be described as financial instruments that are determined by the gold price. These contracts allow you to speculate on future gold prices without actually owning it. But physical bullion refers to real gold and silver bars you can carry in your hand.
- Instead, the economy improved, stocks rebounded, and gold plunged, losing 28 percent of its value in 2013. (aarp.org)
- If you accidentally make an improper transaction, the IRS will disallow it and count it as a withdrawal, so you would owe income tax on the item's value and, if you are younger than 59 ½, an additional 10% early withdrawal penalty. (forbes.com)
- Contribution limits$6,000 (49 and under) $7,000 (50 and up)$6,000 (49 and under) $7,000 (50 and up)$58,000 or 25% of your annual compensation (whichever is smaller) (lendedu.com)
- This is a 15% margin that has shown no stable direction of growth but fluctuates seemingly at random. (smartasset.com)
- You can only purchase gold bars at least 99.5% purity. (forbes.com)
- 7 U.S. Code SS7 – Designation of boards for trade as contract markets
- 26 U.S. Code SS 408 – Individual retirement account
Guidelines for Gold Roth IRA
Start saving as soon as possible to save for your retirement. Start saving as soon as possible, usually at age 50. You can continue to save throughout your career. It is essential to save enough money each year in order to maintain a steady growth rate.
Additionally, tax-free opportunities like a traditional 401k or SEP IRA are available. These savings vehicles permit you to make contributions, but not pay any tax until your earnings are withdrawn. These savings vehicles can be a great option for individuals who don't qualify for employer matching funds.
The key is to save regularly and consistently over time. You may not be eligible for any tax benefits if your contribution is less than the maximum allowed.
By: Kevin Helms
Title: 73% of European Crypto Users Optimistic About the Future of Cryptocurrency: Binance Survey
Sourced From: news.bitcoin.com/binance-survey-73-of-european-users-optimistic-about-cryptos-future/
Published Date: Tue, 30 Jan 2024 00:30:34 +0000