Quote from: REalSmartCrypto on Today at 02:50:59 PM

I see a huge opportunity to INVEST THE COINS AS CURRENCY especially in vehicles
that assist in diversifying, creating more stability and generating income
streams (like real estate).

Not really sure what "invest the coins as currency" means. People don't need to "invest EUR as currency", per se, right? Do you mean build up reserves of BTC, etc., in order to be able to provide liquidity in a given (crypto-)currency (to a group of shareholders) without the fees associated with exchanging crypto for fiat?

Quote from: REalSmartCrypto on Today at 02:50:59 PM

The biggest advantage to this would be for those that have realized huge gains from appreciation to potentially avoid a capital gains tax.

From my read of things, you get taxed if you 1) exchange crypto into a fiat
like USD, 2) trade one crypto for another, or 3) buy goods or services with
it. You get taxed on your “cost basis” depending on your bracket. But this
doesn’t seem to cover “investing” the crypto you have into investmwnr vehicles
in the same crypto.

Yes, it does cover that. That "investing" is the exchange of (crypto-)currency/asset for another asset, like membership interest / equity...

Quote from: REalSmartCrypto on Today at 02:50:59 PM

I’ve raised USD in a special purpose entity (SPE like an LLC) multiple times
in exchange for membership interest to develop real estate projects.

...just like this.

Quote from: REalSmartCrypto on Today at 02:50:59 PM

I think this could be done in the same way just raise a fund or for a specific project. I think once I raise the crypto then I can convert that into cash without a tax trigger given that the LLC cost basis would be set at what’s raised. Does that seem right?

No, that's wrong. If I swap a house for someone else's LLC membership interest, it's a taxable event (IANAL non-accountant but I've paid enough to lawyers and accountants to know the answer).

Quote from: REalSmartCrypto on Today at 02:50:59 PM

I would ideally like to purchase the development opportunity in Bitcoin or
Ethereum

This is a different business proposal, if you'd still be willing to do that despite it being a taxable event. I'm sure you could find people to do this; PM me.

Quote from: REalSmartCrypto on Today at 02:50:59 PM

[but sellers] would be accepting “personal property” in exchange which doesn’t
have the same tax benefits like real estate for examples doing a 1031 exchange

There are other ways besides 1031 exchanges. Opportunity Zone funds & businesses (QOFs/QOZBs); anyone interested can PM me.

Quote from: REalSmartCrypto on Today at 02:50:59 PM

The other challenge is that I would have to develop the real estate project without the use of a lender (thank god!) but it would not lever the same sort of returns. Unless we have already come up with crypto lenders, have we?

Not sure about that.

Quote from: REalSmartCrypto on Today at 02:50:59 PM

My real estate project in mind is a boutique hostel / hotel in a historic brick building in Philadelphia that would use crypto currency at the heart of the ecosystem to start getting more use cases out there for people actually using it daily.

If it would make money regardless of the crypto aspect, I bet you could find plenty of investors.

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