Simple mistakes that risk your crypto investment
10.05.2022
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Investing or trading in cryptocurrency of whatever kind is a risky affair. It does not…
How to give away cryptocurrency as a gift
Do you know someone who apparently has everything and does not want anything? This is a person it can be relatively difficult to buy gifts for.
If the person is either a little interested in or maybe even actively engages in cryptocurrency , then it is actually possible to give away cryptocurrency as a gift. We think it sounds like a good idea and we are absolutely sure that it is a gift that will appeal to you.
In this article, we will take a closer look at how you can give cryptocurrency as a gift, but we will also say a little about what you should think about if it is you who has received cryptocurrency as a gift. Here we will also look at what rules you should adhere to in such a situation.
Can you give away a cryptocurrency as a gift?
This is a question that has a very simple answer. And it is as follows: Yes, you can give away cryptocurrency as a gift.
It is very convenient for those who know someone who apparently has everything, but who is known to be interested in cryptocurrency to a greater or lesser degree.
To be able to donate cryptocurrency as a gift, however, you need to find a cryptocurrency exchange that allows you to do this. Not all cryptocurrencies offer this, but you can do so through, among other things, the english cryptocurrency exchange a crypto exchange (formerly MiraiEx).
[etoro]Which cryptocurrencies can be given away as a gift?
Which cryptocurrencies you can give away as a gift obviously depends on which cryptocurrencies the relevant cryptocurrency exchange offers. This means that you must choose between one of the cryptocurrencies that Firi offers if you use Firi to create such a gift card.
At the time of writing, the english cryptocurrency exchange offers a Firi 6 different cryptocurrencies:
This means that through Firi you can create gift cards in the form of bitcoin, ethereum, ripple xrp, litecoin, cardano and dai. When it comes to how much the gift card should be on, it is your decision.
How to put one together for use with your cryptocurrency gift card
When we talk about a cryptocurrency gift card, we do not mean that you buy a lot of cryptocurrency for your friend or boyfriend. It is not to be underestimated that in that case it would be a very expensive gift.
A gift card in cryptocurrency means that you share the amount you already have with another person. For example, you can split 0.1 BTC and make a gift card based on it.
To be able to share cryptocurrency and create a gift card, you need the Firi app. It can be easily downloaded via the App Store or Google Play. Alternatively, you can create the gift card through the Firi online version. In that case, do this via the desktop.
Once you have decided which version of Firi you want to use, log in to your Firi account to continue the process. To do this, follow the steps below:
- Log in to your Firi account
- Create a gift card by tapping More, then Gift card and Create gift card.
- Decide which theme you want the gift card for.
- Fill in information about the person’s gift card.
- Choose which cryptocurrency you want to give away, as well as how much of your holdings you want to give away. It can be as small and as much as you just want.
- The gift card must then be confirmed with BankID.
- Then you can choose one of two things. You can choose to either send the gift card directly to the recipient’s email address, or you can download the gift card to your computer, print it out and deliver it in person to the person.
An alternative way to deliver cryptocurrency:
How to redeem a gift card
However, it is not certain that you are reading this article and thinking that you need to give cryptocurrency in gift cards to someone you know. Maybe someone is having a hard time buying a gift for you and therefore has chosen to share a small portion of the cryptocurrency with you.
This works in exactly the same way as with any gift card. You must redeem the gift card for it to be valid. This is also something that can be done both in the Firi app or on the online version of Firi:
- To redeem the gift card on the Firi app, find “More” and then Gift card. But if you are logged in to Firi in the browser on your computer, tap your name instead of “More”. Then you will find «Gift cards».
- Your gift card has a gift card code. Find it and enter the code in the field. Feel free to double check that you enter the correct code.
- After the gift card is redeemed, you will find the cryptocurrency you received in your main account.
This is what it might look like when you give a cryptocurrency as a gift. Cryptocurrency can provide returns in the future, making it an extra exciting gift.
These tax rules apply to cryptocurrencies
The cryptocurrency on the gift card is with the sender until the recipient has redeemed the gift card. If the recipient spends a long time on this process, the sender will have to tax it as it is still in your account. And then it’s still you who owns it legally.
Once the recipient has redeemed the gift card, this is in many ways considered a form of inheritance. The recipient did not buy the cryptocurrency himself, but received it as a gift. Nevertheless, the recipient must pay tax, but it is the exchange rate development of the cryptocurrency that determines exactly how this will be.
If the cryptocurrency is worth more now than it was at the time the sender bought that cryptocurrency, the recipient must pay tax on any gain he or she receives by receiving this gift.
But it is not a matter of course that the person in question experiences a price gain. If this is not the case and the value of the relevant cryptocurrency has instead fallen, the recipient will receive a tax deduction as a direct consequence.
