Right now the markets are rising in our favours. Too bad the worlds markets are in FIAT.
Right now i wish to pay off some credit card debts i have. All in FIAT of course and yes i know i will have to pay tax on the capital gains.
Would i be making an ok choice to sell off some ETH right now to CAD to pay some debt off. as where markets are im in the position.
just wondering on the tax i have to pay, would i be paying more tax then what i will be writing off in credit card debt? thanks
It depends — if the debt does not need to be paid immediately or anytime soon, you might want to hold off a bit because right now, ETH prices are going off because of a potential ETH ETF approval. So if you sell now, you might end up losing out on some potential gains. On the other hand, if you need to pay off the debt as soon as possible, then by all means, you should do so.
If you're familiar with defi, I think there are some markets that you can provide ETH collateral and take out stables to pay off your debt. This way, you still have your ETH but have to deal with the borrow interest enforced by money markets like aave, etc.