strong buy
NFT Musician Loses Big After ETH Crash and Terra Collapse
Jonathan Mann, a musician, sold his NFT songs and earned $3 million in ETH. However, he chose not to cash out, trusting in the market’s growth. When ETH’s price dropped sharply, he faced a tax bill of $1.1 million at the old exchange rate. To avoid selling at a loss, he borrowed against his ETH collateral. Unfortunately, the collapse of Terra caused his collateral to be liquidated entirely. Currently, he continues to produce NFT songs, hoping to recover his losses.
Source available for registered users Sign Up Free
AI Analysis
Jonathan Mann’s experience underscores the volatility and unpredictability of the cryptocurrency market, especially when intertwined with NFTs and DeFi activities. His decision to hold onto his ETH as...
AI Recommendation
Investors should approach the crypto and NFT markets with caution, especially when using leverage and engaging in tax-dependent strategies. Proper risk management, including setting stop-loss orders a...
Disclaimer
The AI analysis and recommendations provided are for informational purposes only. Any investment decisions should be made at your own risk. Past performance is not indicative of future results. Always conduct your own research and consider consulting with a financial advisor before making any investment decisions.