Lightning Ventures, a prominent VC firm specializing in the Bitcoin industry, introduced Thunder Funder, a Regulation Crowdfunding (Reg CF) platform, during the Bitcoin 2024 conference. This platform is designed to democratize early-stage investments in Bitcoin and open-source startups, enabling both accredited and non-accredited investors to join in.
Opening Up Investment Opportunities
Thunder Funder operates under the Reg CF framework, which allows companies to raise up to $5 million annually from the general public. This move marks a significant shift by providing retail investors with access to startup investment opportunities that were previously out of reach, especially in the flourishing Bitcoin and open-source sectors.
The Vision Behind Thunder Funder
Having already invested over $6.8 million in close to 40 Bitcoin companies, Lightning Ventures is now broadening its reach. According to Mike Jarmuz, CEO of Thunder Funder, the platform is poised to engage a fresh wave of retail investors, ushering in a new era of participation in early-stage ventures.
A Strong Foundation
The core team includes CTO Uncle Rockstar, a key contributor to BTCPay Server, and COO Vivek Patel, who brings his experience from PrimeTrust to the table. Additionally, prominent figures like Max Keiser, Swan Bitcoin CEO Cory Klippsten's El Zonte Capital, Brad Mills, and Chris Hunter have already shown their support by investing in Lightning Ventures' $500,000 pre-seed round to kickstart Thunder Funder.
Empowering Regular Investors
With Thunder Funder, everyday investors now have the opportunity to directly support innovative Bitcoin projects that were previously exclusive to accredited and institutional investors. This democratization of investment avenues could lead to accelerated growth and advancements within the Bitcoin and open-source community.
Frequently Asked Questions
What are the advantages of a gold IRA
The best way to invest money for retirement is by putting it into an Individual Retirement Account (IRA). You can withdraw it at any time, but it is tax-deferred. You have total control over how much each year you take out. There are many types available. Some are better suited for college students. Others are intended for investors seeking higher returns. Roth IRAs, for example, allow people to contribute after they turn 59 1/2. They also pay taxes on any earnings when they retire. These earnings don't get taxed if they withdraw funds. So if you're planning to retire early, this type of account may make sense.
Because it allows you money to be invested in multiple asset classes, a ‘gold IRA' is similar to any other IRAs. Unlike a regular IRA, you don't have to worry about paying taxes on your gains while you wait to access them. This makes gold IRA accounts a great choice for those who want their money to be invested, not spent.
You can also enjoy automatic withdrawals, which is another benefit of owning your gold through an IRA. This means that you don't need to worry about making monthly deposits. To make sure you don't miss any payments, you can also set up direct deductions.
Finally, gold remains one of the best investment options today. Because it isn't tied to any particular country its value tends be steady. Even in times of economic turmoil, gold prices tend not to fluctuate. Gold is a good option for protecting your savings from inflation.
How much of your portfolio should you hold in precious metals
First, let's define precious metals to answer the question. Precious metals have elements with an extremely high worth relative to other commodity. This makes them extremely valuable for trading and investing. Gold is by far the most common precious metal traded today.
There are many other precious metals, such as silver and platinum. The price volatility of gold can be unpredictable, but it is generally stable during periods of economic turmoil. It is also relatively unaffected both by inflation and deflation.
As a general rule, the prices for all precious metals tend to increase with the overall market. They do not always move in the same direction. For instance, gold's price will rise when the economy is weak, while precious metals prices will fall. This is because investors expect lower rates of interest, which makes bonds less attractive investments.
In contrast, when the economy is strong, the opposite effect occurs. Investors favor safe assets like Treasury Bonds, and less precious metals. They become less expensive and have a lower value because they are limited.
To maximize your profits when investing in precious metals, diversify across different precious metals. Because precious metals prices are subject to fluctuations, it is best to invest across multiple precious metal types, rather than focusing on one.
How much should I contribute to my Roth IRA account?
Roth IRAs allow you to deposit your money tax-free. You cannot withdraw funds from these accounts until you reach 59 1/2. You must adhere to certain rules if you are going to withdraw any of your contributions prior. First, you cannot touch your principal (the original amount deposited). This means that no matter how much you contribute, you can never take out more than what was initially contributed to this account. If you are able to take out more that what you have initially contributed, you must pay taxes.
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. Let's say you earn $10,000 each year after contributing. The federal income tax on your earnings would amount to $3,500. The remaining $6,500 is yours. This is the maximum amount you can withdraw because you are limited to what you initially contributed.
If you took $4,000 from your earnings, you would still owe taxes for the $1,500 remaining. Additionally, half of your earnings would be lost because they will be taxed at 50% (half the 40%). So even though you received $7,000 in Roth IRA contributions, you only received $4,000.
There are two types if Roth IRAs, Roth and Traditional. Traditional IRAs allow pre-tax contributions to be deducted from your taxable tax income. You can withdraw your contributions plus interest from your traditional IRA when you retire. There are no restrictions on the amount you can withdraw from a Traditional IRA.
Roth IRAs won't let you deduct your contributions. Once you are retired, however, you may withdraw all of your contributions plus accrued interest. There is no minimum withdrawal required, unlike a traditional IRA. Your contribution can be withdrawn at any age, not just when you reach 70 1/2.
What is the benefit of a gold IRA?
There are many advantages to a gold IRA. It's an investment vehicle that allows you to diversify your portfolio. You decide how much money you want to put into each account, and when you want it to be withdrawn.
You also have the option to transfer funds from other retirement plans into a IRA. This is a great way to make a smooth transition if you want to retire earlier.
The best part about gold IRAs? You don't have to be an expert. They are offered by most banks and brokerage companies. You do not need to worry about fees and penalties when you withdraw money.
That said, there are drawbacks too. The volatility of gold has been a hallmark of its history. So it's essential to understand why you're investing in gold. Are you looking for safety or growth? Are you looking for growth or insurance? Only once you know, that will you be able to make an informed decision.
If you plan on keeping your gold IRA alive for a while, you may want to consider purchasing more than 1 ounce of pure gold. One ounce won't be enough to meet all your needs. Depending on your plans for using your gold, you may need multiple ounces.
You don't need to have a lot of gold if you are selling it. Even a single ounce can suffice. These funds won't allow you to purchase anything else.
Is gold buying a good retirement option?
Although it may not look appealing at first, buying gold for investment is worth considering when you consider the global average gold consumption per year.
The best form of investing is physical bullion, which is the most widely used. However, there are many other ways to invest in gold. Research all options carefully and make an informed decision about what you desire from your investments.
If you don't want to keep your wealth safe, buying shares in companies that extract gold and mining equipment could be a better choice. If you need cash flow from an investment, purchasing gold stocks is a good choice.
ETFs allow you to invest in exchange-traded funds. These funds give you exposure, but not actual gold, by investing in gold-related securities. These ETFs may include stocks that are owned by gold miners or precious metals refining companies as well as commodity trading firms.
Statistics
- 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)
- The price of gold jumped 131 percent from late 2007 to September 2011, when it hit a high of $1,921 an ounce, according to the World Gold Council. (aarp.org)
- Indeed, several financial advisers interviewed for this article suggest you invest 5 to 15 percent of your portfolio in gold, just in case. (aarp.org)
- (Basically, if your GDP grows by 2%, you need miners to dig 2% more gold out of the ground every year to keep prices steady.) (smartasset.com)
- Instead, the economy improved, stocks rebounded, and gold plunged, losing 28 percent of its value in 2013. (aarp.org)
External Links
forbes.com
- Gold IRA – Add Sparkle to Your Retirement Nest Egg
- Understanding China's Evergrande Crisis – Forbes Advisor
irs.gov
wsj.com
- Saddam Hussein's Invasion Helped Uncage a Bear In 1990 – WSJ
- You want to keep gold in your IRA at home? It's Not Exactly Lawful – WSJ
investopedia.com
How To
The History of Gold as an Asset
From ancient times to the beginning of the 20th century, gold was used as a currency. It was universally accepted due to its purity and divisibility, beauty, scarcity, and durability. Due to its value, it was also internationally traded. There was no international standard for measuring gold at that time, so different weights and measures were used around the world. For example, one pound sterling in England equals 24 carats; one livre tournois equals 25 carats; one mark equals 28 carats; and so on.
In the 1860s the United States began issuing American currency made up 90% copper (10% zinc) and 0.942 gold (0.942 pure). This caused a drop in foreign currency demand which resulted in an increase of their prices. This was when the United States started minting large quantities of gold coins. The result? Gold prices began to fall. The U.S. government was unable to pay its debts due to too much money being in circulation. To do this, they decided that some of their excess gold would be sold back to Europe.
Most European countries distrusted the U.S. Dollar and began to accept gold as payment. After World War I, however, many European countries started using paper money to replace gold. The gold price has gone up significantly in the years since. Even though the price of gold fluctuates, it remains one the best investments you can make.
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By: Vivek Sen
Title: Retail Investors Can Now Participate in Bitcoin Startups with Thunder Funder
Sourced From: bitcoinmagazine.com/business/retail-investors-can-now-invest-in-bitcoin-startups-with-thunder-funder
Published Date: Fri, 02 Aug 2024 12:01:37 GMT
