Cashing out crypto with almost non SoF?

[MocCom]

As many others I'm looking for cashing out (at least) some of my crypto funds, low 8-figures, non-taxable by german law (but now living in cyprus). Due to large gaps in the history as well as some mixer activity (only outgoing, not incoming) I'm having a hard time cashing out. The funds haven't really moved since late 2021.

I've approached several crypto-friendly banks, only to be faced with questions I could not answer to their satisfaction and was therefore declined, and honestly I can't really blame them.

On the positive site I do have an european crypto -> fiat exchanger who has greenlit the funds and can issue SEPA transactions with an IBAN with the name of my cyprus company. which might be helpful at some point.

One approach to cash out some of the money would be to sell domain names which I own essentially to myself. Due to the nature of the domains they could be sold for high 5-figure amounts to low 6-figure amounts without being suspicous. Essentially laundering my legal, tax free funds only to be taxed. Also this would require some buyer, even a fabricated one which is something I don't know how to accomplish.

Are there any ways to cash out at least 1-3 million without too much risk involved or any crypto friendly banks that welcome (very?) high risk clients?

 

[asaud]

Just go to Dubai, form a company in IFZA, find some guys in this platform that would love to receive crypto in exchange of useless fiat from their company. invoice them, get the money.

 

[JohnnyDoe]

or call me, always happy to buy crypto

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[asaud]

JohnnyDoe said:
or call me, always happy to buy crypto
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i was about to tag you but said meh crypto monster will see the thread and jump in already

 

[MocCom]

asaud said:
Just go to Dubai, form a company in IFZA, find some guys in this platform that would love to receive crypto in exchange of useless fiat from their company. invoice them, get the money.
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Why Dubai in that case? Because they don't care or only for tax purposes?

JohnnyDoe said:
or call me, always happy to buy crypto
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Selling crypto is not exactly the problem, more like having funds which I can use afterwards. If there's some way to make B2B transactions, ideally for the purchase of certain domain names, it might be an option.

 

[asaud]

MocCom said:
Why Dubai in that case? Because they don't care or only for tax purposes?


Selling crypto is not exactly the problem, more like having funds which I can use afterwards. If there's some way to make B2B transactions, ideally for the purchase of certain domain names, it might be an option.
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Both. Dont even try that ideas you have said, youre in Europe and you cannot just pay the fine and walk out, there would be jail time because what youre saying is tax fraud, even the idea itself is innocent.

Just form a company in Dubai freezone, invoice someone outside of Dubai who wants crypto. The tax rate is 0% or 9% depending on activity area. Then you can pay yourself as divident or flex with your company bank balance, dunno its up to you.


About your reply to JohnnyDoe; he is the one who would solve that 😉

i am repeatedly telling you forget about domain thing. Tax officers is not idiot, they know a domains true value and you will turn your legal earnings to illegal s**t. Dubai company preferably in IFZA. Just some ai development, marketing or some shitshow contract. Thats all. That contract doesnt even necessary for Dubai. its for your EU taxgang if they asks in the future

Last edited: Oct 17, 2024

 

[JohnnyDoe]

MocCom said:
Selling crypto is not exactly the problem, more like having funds which I can use afterwards. If there's some way to make B2B transactions, ideally for the purchase of certain domain names, it might be an option.
Click to expand...

Ditto.

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[MocCom]

asaud said:
Both. Dont even try that ideas you have said, youre in Europe and you cannot just pay the fine and walk out, there would be jail time because what youre saying is tax fraud, even the idea itself is innocent.
Click to expand...

The majority (~90%) is not obligated to any taxes due to the asset class of cryptocurrencies in germany. In fact I'd pay more taxes in case I'll go the B2B invoicing way.

Also, I'd argue that tax officers in certain countries are, in fact, iditios. They won't care much, as long as they get their cut. Additionally the domains I do own are not some shitshow domains, but domains who already had legitimate (low) 5-figure offers.

As for a IFZA company, would that require residency in Dubai? I don't have any kind of experience with Dubai and how they handle things.

 

[Compliance Circle]

MocCom said:
As many others I'm looking for cashing out (at least) some of my crypto funds, low 8-figures, non-taxable by german law (but now living in cyprus). Due to large gaps in the history as well as some mixer activity (only outgoing, not incoming) I'm having a hard time cashing out. The funds haven't really moved since late 2021.
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Could you elaborate a bit more on what kind of gaps in history there're are present? No proper track of purchase/acquisition txes as far as I understand?

For the mixer part - does it affect all or most of your crypto portfolio?

MocCom said:
I've approached several crypto-friendly banks, only to be faced with questions I could not answer to their satisfaction and was therefore declined, and honestly I can't really blame them.
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Unfortunately, even crypto-friendly banks are still banks, bound by the same AML regulations and furthermore banking laws. So yeah, they're of no help in your situation.

MocCom said:
Are there any ways to cash out at least 1-3 million without too much risk involved or any crypto friendly banks that welcome (very?) high risk clients?
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Depends on your definition of suitable risk in that regard, since you're already as per your definition a high risk client.

Drop me a PM or line (should you wish to do so) and possibly we can work out a suitable solution.