Manage your financial life with cryptocurrency

Many people have bought and sold cryptocurrency as an investment, yet trying to live with a salary paid with cryptocurrency is difficult.

Alyssa Howell spent much of her career in the gold mining industry before joining the crypto wallet company last fall that pays all of its employees in bitcoin. A Denver-area resident said learning the ins and outs of the crypto industry — different types of virtual wallets, non-fungible tokens (NFTs), browser extensions — was a good education.

“It has been a very steep learning curve for me,” said Hoyle, 35, who works in investor relations for Exodus, a bitcoin and crypto wallet company. “It’s just a new industry, but it’s also very fast moving.

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“So there is always something new in crypto that has developed.”

Howell had never owned cryptocurrencies before taking this job. Now she gets paid in bitcoin on the first of every month – based on her salary in US dollars.

“If the price of bitcoin is $50,000 (per token) and I earn $25,000 per month, I will get half of the bitcoin,” Howell said. “Now at the beginning [of the month]Our company sets the price, so at a certain time on the 1st of every month, they will say that this is the exchange rate for bitcoin. Employees can then convert their crypto salaries into dollars, with the company covering the transfer fee.

However, this single mother of two has worked with cryptocurrency. She recently bought a new home, but struggled with the first lender she tried not to accept her bitcoin income.

Allysa Howell, left, works for a crypto wallet company that pays all of its employees in bitcoin.

“I was taken out of the mortgage, which made me really nervous,” Howell said as she reflected on the experience. “Fortunately, this is not the norm; the world is changing, the world is developing.”

She found a lender to accept her bitcoin income, and that was also what allowed her to make her mortgage payments in cryptocurrency. However, the loan was recently sold and the new server will not collect crypto payments.

“It was such a big disappointment to me,” Howell said, “I’m going to have to buy a Fiat. [U.S. dollars] To pay my mortgage, and I’m really doing my best to live in the crypto space.”

Howell said she keeps 10% of her earnings in bitcoin for retirement savings and isn’t concerned about currency fluctuations. “I am a long-term cryptocurrency, so I do not monitor the day’s volatility,” she said. “I’m here for the next five years, the next decade, the next two decades.

“This is where I really see opportunity,” she added.

JP Richardson, CEO of Exodus, said the company is paying its employees in bitcoin to help make virtual currencies more popular.

“By supporting the technology and by embracing that technology and pushing that technology to our employees, we are saying we believe in this for the long term,” Richardson said.

Richardson also lives a significant portion of his personal financial life using cryptocurrencies and keeps enough US dollars to manage expenses, as he said, “In case, God forbid, something happens to the cryptocurrency.”

Bitcoin prices have been in a steep decline. The price reached an all-time high above $68,000 and traded below $30,000 in the past two weeks.

Financial advisors warn investors against balancing crypto investments with other financial goals. Before investing in cryptocurrency, make sure you have enough emergency savings, disability and life insurance and that you save enough for retirement.

However, advising clients can be challenging.

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said Catherine Valleja, certified financial planner and certified alternative investment analyst with Green Bee Advisory, based in the Boston area.

Other considerations include fees incurred when exchanging bitcoins for dollars as well as tax implications.

President Joe Biden issued an executive order in March to regulators to consider the risks and benefits of cryptocurrencies.

Meanwhile, financial advisors are warning consumers and investors that cryptocurrencies do not offer the same protection that comes with a traditional bank account or brokerage.

However, Howell sees cryptocurrency as the future and wants her children to learn its value.

“What’s important for me to teach them is that money has value,” she said. Even though you can’t see or feel it, we attribute value to it.

“I really focus on raising them to be prudent and well-spent.”

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