What is the best way to convert mined ethereum to usd?

ipkha
The simple answer is coinbase.

I was having some issue adding my wallet for some reason.

 

kram36
Issue with what wallet?

I made a wallet on ethermine.org and they also provided an address.


 

kram36
Do you have a Coinbase account?

yeah linked to my bank account

kram36
If you're looking to just exchange your Ethereum for USD, mine straight to your Coinbase Ethereum wallet.

 
ill have to switch it looks like. what should i do with the other address?

kram36
Do you have any Ethereum in it?

yeah 12%

kram36
Send it to your Coinbase Ethereum wallet.

I was able to transfer the eth but looks like it will take sometime.

kram36
If you're looking to just exchange your Ethereum for USD, mine straight to your Coinbase Ethereum wallet.

I’d personally avoid that one. Easy enough just transfer amounts over that you intend to immediately cash out.

I'm confused - since when does ethermine.org have user wallets?
 
On the original question, I've always used Coinbase and had VERY minimal issues with them.
I just wish they would have added ZEC instead of that worthless BCH Bitmain scam coin.
 

Uh, no, you don't.
You can take your Coinbase ETH deposit address (OR the Instant Exchange address if you prefer), set THAT address up in your miners, then point the miners at ethermine.org pool to mine directly to Coinbase.
I do recommend setting your payout level to a level that won't pay out more than once per day if you do that, to avoid overloading or irritating Coinbase.
 
You save transaction fees that way (minor on ETH at this point), and you get your cash quicker too if you use the Instant Exchange option.
It's also lower risk if you use the Instant Exchange option, as there is no "wallet" to be hacked once the pool pays out the funds.
 
 This also works for Bitcoin (which I've done in the past) and for Litecoin (which I have been doing the last month and change since the Nicehash hack), and should work for that Bitmain-backed BCH junk too.
 
 This is a form of what is commonly known as "mining to an exchange address", and most exchanges have no particular issue with it as long as you're not doing LOTS of transactions a day.
 

Can't you defer taxes if you don't cash your mined currency?  Or does mining it make it automatically taxable?
How do the losses on equipment purchases/electricity work?  Can you use cash accounting, in other words deduct all hardware purchases of current year, or do you have to use a depreciation schedule?

fam_ric
Can't you defer taxes if you don't cash your mined currency?  Or does mining it make it automatically taxable?
How do the losses on equipment purchases/electricity work?  Can you use cash accounting, in other words deduct all hardware purchases of current year, or do you have to use a depreciation schedule?

IRS states you should start at $600 profit. Technically mining could be seen as a business and crypto is taxed as property not a currency.

fam_ric
Can't you defer taxes if you don't cash your mined currency?  Or does mining it make it automatically taxable?
How do the losses on equipment purchases/electricity work?  Can you use cash accounting, in other words deduct all hardware purchases of current year, or do you have to use a depreciation schedule?

Per the most recent IRS statements, there is no "defer", you owe taxes as soon as you get the cryptocoin on the "cash value" of the coin you recieved.
Then they expect you to track it after that as "capitol gains and losses" like any other "property", but no "like kind exchanges" as allowed for "real property".
 
 If you treat your equipment as INVENTORY and sell it off eventually, you should be able to use cash accounting on it even under IRS rules.
 Depreciation schedules for computer gear have ALWAYS been insanely long, and trying to use them on cryptocoin mining gear that is obsolete to the point of unusability LONG before any schedule would allow for is ... insane ... on someone's part.
 
Note that I'm not a tax professional, and the IRS HAS changed the rules a couple times already that *I* know about.
 

If you're going to use coinbase, use GDAX.com for all your non credit-card transactions (ie money to/from bank) because there's no huge fees.  GDAX is the backend to coinbase. YOu use the same login credentials on GDAX as you do on coinbase.   Search youtube for "GDAX save coinbase fees" or something like that for the details.

 

badFerret
If you're going to use coinbase, use GDAX.com for all your non credit-card transactions (ie money to/from bank) because there's no huge fees.  GDAX is the backend to coinbase. YOu use the same login credentials on GDAX as you do on coinbase.   Search youtube for "GDAX save coinbase fees" or something like that for the details.

This is the best way