100-200k

[donaldbathe]

if someone in the united states has 100 or 200 hundred thousand dollars worth of cryptocurrency and they wanted to exchange it for dollars within the united states, could they do it or would the government know about it??? could this and only this amount of cryptocurrency have to be justified if it were within the united states or not to the government whether the government had knowledge or not about it??? how could this amount and only this amount be exchanged for dollars within the united states since its not in the millions of dollars??? or would they still have to go outside of the united states to exchange this amount of crypto for dollars like in another country if it was just too much money to be moved and not have uncle sam know about it???? would this amount be able to be exchanged for dollars within the united states or maybe canada??? can someone please tell me. thank you.

 

[HeKsKode]

This is possible, but the government would know about it. Google "crypto trading desk" and you'll find that some large exchanges and securities traders have people who match buyers and sellers on this level, so their trades don't impact the market rates.

 

[donaldbathe]

This is possible, but the government would know about it. Google "crypto trading desk" and you'll find that some large exchanges and securities traders have people who match buyers and sellers on this level, so their trades don't impact the market rates.

if the government knew about it, would they investigate me as to why i have this amount? would this amount raise red flags. if the government knew about it of my amount, what would happen to me? would i be fined or something? what would happen if i couldnt justify this amount that i wanted to exchange for crypto for dollars being this amount? rsvp.

 

[HeKsKode]

if the government knew about it, would they investigate me as to why i have this amount? would this amount raise red flags. if the government knew about it of my amount, what would happen to me? would i be fined or something? what would happen if i couldnt justify this amount that i wanted to exchange for crypto for dollars being this amount? rsvp.

Pretty much the same thing would happen as if you wanted to deposit 1-200K in cash into a savings account at your local bank. There would be a mild level of interest, certainly the transaction would be recorded and noted by the bank and the agency to which they report such things. But unless there were other reasons to investigate, probably not much would come of it. I've passed smaller amounts through my bank accounts for work (I get a check from work, cash it at my bank, then carry it by hand overseas to business partners, and while I need to arrange this in advance I've never been questioned by anybody other than a branch manager. It may be a mitigating factor that it was a check from my employer.)

 

[HeKsKode]

I'm not making any promises. I don't know you, I don't know your exchange agents, I don't know your history.

 

[Old Man Crypto]

well i can only suspect that if someone had 100-250k worth of crypto within the united states and wanted to exchange it for dollars that it might potentially raise red flags. if the government knew about it and one couldnt justify the amount or where it came from one could have problems with law enforcement if you know what i mean. you dont think its a possibility that law enforcement could get involved in this case???? rsvp

If the crypto was obtained legally and exchanged legally and taxes were paid, then the person would have absolutely nothing to worry about. It doesn’t matter how much you have or sell, what matters is how you got it.

But if a person who had a very modest income suddenly started driving around Ferraris or Lambos and suddenly changed lifestyles drastically but his or her taxes don’t show big payments, then he can expect to get investigated or audited.

 

[CryptoTC]

if an investigation began, what more than likely would happen next?????? in your opinion of course. rsvp

Old man may chime in here, but if someone suddenly transferred a lot of money from an exchange to a bank, an amount much higher than anything they’ve done before, the bank would likely file a suspicious activity report (SAR).

The IRS may then summon the person to appear before an agent to make sure taxes have been paid. That process could take awhile. If it’s really out of the ordinary, local police might end up involved with background check and interview to see if the money came from legit sources.

If an investor bought bitcoin 5 years ago and now has a sizable value, he would only have to explain that and pay appropriate capital gains taxes. If that happens, there would be no follow up or trouble.

Tax evasion charges have taken down many criminals known for other criminal activities. In some cases, they’ve been arrested for tax evasion which lead to other charges later.

The key points: have a valid explanation for where the money came from and pay taxes. If those criteria are met, there won’t be any trouble.