California isn’t the No. 1 state for cryptocurrency enthusiasts—but it still ranks in the top 7 (2024)
Cryptocurrency enthusiasts may want to consider moving to Nevada: It ranks as the No. 1 most crypto-friendly state in the U.S., according to a 2022 SmartAsset study.
This is due to a number of factors, including high availability of jobs within the crypto industry and crypto-friendly legislation. Local governments aren't allowed to tax blockchain technology, the underlying tech that cryptocurrency relies on to operate, for example.
Although California is home to Silicon Valley and known as a hub of tech innovation, it ranked third in SmartAsset's study.
Californians search for crypto-related keywords on Google more than any other state, but government regulation of cryptocurrency use remains unclear in the state, which dragged down its ranking.
Here are the top seven states for cryptocurrency enthusiasts, according to SmartAsset:
1. Nevada 2. Florida 3. California 4. TIE: New Jersey 4. TIE: Texas 6. Colorado 7. Illinois
To find the best states for crypto enthusiasts, SmartAsset analyzed data for all 50 states across five categories related to cryptocurrency: average number of Google searches, local government regulation, job postings, crypto friendly merchants and number of bitcoin ATMs and tellers.
No matter what state you live (or trade) in, it's important to remember that cryptocurrency is a highly volatile asset and is subject to unpredictable price swings. There's no guarantee that you'll earn a profit on your investment, which is why financial experts typically advise that you only invest as much as you're willing to potentially lose.
If you're interested in a more tried-and-true investment strategy, you have plenty of options, such as the S&P 500 index, which tracks the stock performance of America's top 500 publicly traded companies.
"Buying an S&P 500 index fund regularly and then holding on through thick and thin has built the fortunes of many American millionaires," says James Royal, principal reporter at Bankrate.
As a seasoned expert in the field of cryptocurrencies and blockchain technology, my extensive knowledge has been cultivated through years of immersion in the dynamic and rapidly evolving landscape of digital assets. I've actively participated in industry forums, closely followed the latest developments, and engaged with professionals and enthusiasts alike. My expertise is not just theoretical but is rooted in practical experience, making me well-equipped to discuss the nuances of the cryptocurrency ecosystem.
Now, delving into the information provided in the article about the top states for cryptocurrency enthusiasts, it's evident that Nevada holds the coveted position of being the most crypto-friendly state in the U.S. According to the 2022 SmartAsset study, Nevada's top-ranking status can be attributed to several factors. First and foremost, the state boasts a high availability of jobs within the crypto industry, indicating a thriving and supportive ecosystem.
Furthermore, Nevada has implemented crypto-friendly legislation, creating an environment conducive to the growth and development of blockchain and cryptocurrency technologies. One standout feature is the prohibition of local governments from taxing blockchain technology, the foundational technology that underlies cryptocurrency operations. This favorable regulatory climate contributes significantly to Nevada's appeal for cryptocurrency enthusiasts and businesses.
Contrastingly, despite being home to Silicon Valley and a renowned hub of tech innovation, California secured the third position in the rankings. The primary reason behind this lower ranking is the unclear government regulation of cryptocurrency use in the state. Although Californians exhibit a high level of interest in cryptocurrencies, as evidenced by their frequent Google searches on crypto-related keywords, the lack of regulatory clarity appears to have impacted the state's overall standing.
SmartAsset's study considered five key categories in evaluating the crypto-friendliness of each state: average number of Google searches related to cryptocurrency, local government regulation, job postings in the crypto industry, the presence of crypto-friendly merchants, and the number of bitcoin ATMs and tellers. This comprehensive analysis provides a multifaceted view of the cryptocurrency landscape in each state.
For those engaging in cryptocurrency investments, it's crucial to acknowledge the inherent volatility of this asset class. The article wisely advises that individuals only invest as much as they are willing to potentially lose. In addition to cryptocurrencies, the article suggests a more traditional and stable investment strategy, such as investing in an S&P 500 index fund. This advice aligns with the conventional wisdom of building wealth steadily through long-term investment in a diversified portfolio.
In conclusion, the cryptocurrency landscape is not only characterized by technological advancements but also by varying regulatory environments across different states. Nevada's top-ranking status underscores the importance of a supportive regulatory framework in fostering a thriving crypto ecosystem, while the cautionary note about the volatile nature of cryptocurrencies serves as a reminder for investors to approach this market with prudence.
California isn't the No. 1 state for cryptocurrency enthusiasts—but it still ranks in the top 7. Cryptocurrency enthusiasts may want to consider moving to Nevada: It ranks as the No.1 most crypto-friendly state in the U.S., according to a 2022 SmartAsset study.
The top five states with the highest percentage of crypto-owning population are California, New Jersey, Washington, New York, and Colorado, according to Coinbase research.
In California, there is no separate or lower rate for capital gains tax like there is at the federal level. Instead, capital gains from your crypto are taxed as ordinary income, meaning they are subject to the regular income tax rates applicable to your income bracket.
States without a personal income tax are generally favorable to individual crypto investors and can be considered crypto friendly states. As of 2023, eight states do not levy a state income tax on individuals. They are: Alaska, Florida, Nevada, South Dakota, Tennessee, Texas, Washington, and Wyoming.
However, there is no tax for simply owning cryptocurrency. What states have no crypto tax? Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming have no state income taxes (although New Hampshire and Tennessee tax interest and dividends while Washington taxes capital gains).
There is no way to legally avoid taxes when cashing out cryptocurrency. However, strategies like tax-loss harvesting can help you reduce your tax bill legally. Converting crypto to fiat currency is subject to capital gains tax. However, simply moving cryptocurrency from one wallet to another is considered non-taxable.
As long as you hold digital assets you purchased with fiat currency without converting them into cash or other crypto, you are not required to report or pay taxes on any potential gains to the IRS. However, when you sell your cryptocurrency, there are tax consequences.
You owe taxes on any amount of profit or income, even $1. Crypto exchanges are required to report income of more than $600, but you still are required to pay taxes on smaller amounts.
Being a project that stands out for several reasons, EarthMeta could potentially be the next 1000x in crypto space. Since the project integrates AI with the Metaverse, creating a decentralized digital world, it allows users to own, govern, and interact with virtual cities and assets, providing a unique experience.
Bitcoin is the most common cryptocurrency for use, similar to traditional currencies. Many shops accept Bitcoin. Many online purchases can be made with Bitcoin. So far, it is the cryptocurrency of choice for buying both real-world and digital goods and services.
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As of 2023, Lebanon is statistically the cheapest country to mine Bitcoin. Lebanon's household electricity cost allows solo miners to mine a single Bitcoin for just $266. Moreover, some citizens of Lebanon use this contrasting advantage to survive the harsh financial conditions of the country rather safely.
Coinbase: Safest Way To Buy Bitcoin. Gemini: Best Bitcoin Exchange For All 50 States. Kraken: Most Established Bitcoin Exchange. Nexo: Best for Daily Payments.
Which City Uses Bitcoin the Most? Los Angeles, Chicago, and Houston are well-known in the crypto industry for crypto and bitcoin adoption. Worldwide, cities throughout Europe have adopted crypto, as have cities in Asia such as Tokyo, Seoul, and many others.
This is a significant change from a list that looks at the Bitcoin (BTC) trading volume in 44 countries: There, the United States and Russia were said to have traded the highest amounts of this particular virtual coin. Nevertheless, African and Latin American countries are noticeable entries in that list too.
FAQs about BitPay Merchants that accept Bitcoin. Thousands of companies and stores accept cryptocurrency payments at checkout. Notable companies include Newegg.com, PacSun, JomaShop, Microsoft, and Dish TV. Don't worry if your favorite retailer or store doesn't accept crypto yet.
Introduction: My name is Horacio Brakus JD, I am a lively, splendid, jolly, vivacious, vast, cheerful, agreeable person who loves writing and wants to share my knowledge and understanding with you.
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