Asking in the US.
So, last year, apparently, I effectively doubled my income through crypto and stock sales, all of which were reinvested. As a consequence my taxes were also doubled and I had to pay the half not covered by withholding with my savings and credit.
I’m wondering, though, what to do if my crypto investments do suddenly make me a millionaire. My intention was to reinvest that money into stocks and live on the dividends. However, if I sell all at once, that’ll be a huge tax burden – even converting to a stable coin is taxable – but if I hold too long, I’ll likely lose my gains.
Am I just going to have to bite the tax bullet, or is there another way to ease into it?