From the Founder – Edmund:
After the Bitcoin’s Fork…
Hi,
Well, time for a bit of: “I told you so”
On July 25th, I made the recommendation to buy bitcoin ahead of the fork. Today bitcoin topped US$3,300.
When I made the buy recommendation the price was around US$2,560.
Also, as I anticipated, the currency did fork and create two currencies, meaning if you followed my buy trade – you would have increased substantially your money and you would also be holding bitcoin cash (BCH) which is now trading at $330 up 29% in the last hour. I recommend if you do hold bitcoin, you need to take some steps to split out BCH, and sell the BCH as soon as you can.
We’ve seen with ethereum classic there is market appetite for these spin off “mistake” currencies – but in my mind – it doesn’t have the critical mass or support to remain a dominant player. I think we’ll see these mistake coins crash and burn in the long run. Time will tell…
In any event, everyone who owned bitcoin at the time of the split owns both the new bitcoin and this alternative of the old bitcoin blockchain BCH.
But – you have to do something first.
How to cash out your bitcoin cash?
Some exchanges are supporting it (such as coinbase) but others have created a complicated debacle. If you want an article on futures, and why it’s just as complicated in crypto as in the ‘real world’ – this article is a good read (warning: fairly technical and not an easy read for the casual observer) but nonetheless a very interesting article, especially with those familiar with trading options or other financial derivatives.
Final word of advice, you always – always should keep wallets locally on your device or ideally backed up in cold storage. In a future newsletter I’ll detail how to be secure with your private keys.
From Flag Theory:
Foreign Trusts for Asset protection, Estate planning and Corporate structuring
Nowadays, with an increasingly litigious society, a judicial system that favors plaintiffs and not defendants, with courts clogged with thousands of civil suits demanding huge sums, and increased asset seizure by governments, protecting your assets can be a daunting challenge.
Asset protection is extremely indispensable to deal with adverse situations such as: divorce, frivolous lawsuits, bankruptcy or simply as a wealth planning tool.
International trusts are one of the most robust means for asset protection, which allow to put legal distance between the owner and his or her assets, separating legal ownership and economic ownership, providing an extra layer of protection.
A trust is a legal relationship, not a separate legal entity, for which a person, settlor (also called trustor or grantor), transfers his or her assets, through an inter vivos act or mortis causa, to another person, the trustee, who is entrusted with the legal ownership of the trust assets, not for his own benefit, but for the benefit of other persons, the beneficiaries, or for the benefit of a specific purpose.
A trust will serve you to protect your assets from being used for a purpose other than what you had in mind for them. It can protect your wealth beyond the reach of frivolous claimants, creditors, ex-spouses and even yourself. It is always best to establish the trust before that any legal action will be taken against you.
Asset protection trusts are ideal for corporations who are subject to product liability beyond insurance coverage limits, medical doctors and lawyers who could be exposed to malpractice suits, contractors and construction companies or any person or company who has assets that may be subject to litigation and subsequent seizure.
Trusts also facilitates inheritance by reducing the effects of forced heirship rights or by ensuring that certain persons are protected while allowing the estate family to be maintained.
Furthermore, trusts are an effective tool for separating personal assets from risks arising from business activities.
They can be used for commercial transactions, management of assets related to the payment of pensions by multinational corporations and to locate them overseas in a low tax jurisdiction or as vehicles for investment funds or to structure real estate investments, or even use them for charitable and public interest purposes.
Offshore trusts are powerful tools for both estate and succession planning, as investment vehicles, corporate structuring and for asset protection, among others. But this option should be approached with caution, and with the appropriate professional advice.
The choice of law of the trust would not be applicable to tax matters, which would be governed by the respective jurisdiction where the settlor, beneficiaries, assets or trustee are located, as applicable, and not the jurisdiction where the trust is established.
Furthermore, trusts are institutions with use and application in common law legal systems.
The civil law system does not recognise, in general terms, a difference between formal and beneficial ownership while common law does.
In Civil law countries that have not signed The Hague Convention on Trusts, trusts might be disregarded, therefore any transfer made by the settlor to the trust would be considered as not carried out from a tax and legal perspective.
This is why, you should be extremely careful and consult with an attorney, along with a financial planner or accountant before considering the use of an offshore trust and to structure it correctly.
At Flag Theory, with our global network of attorneys and advisors, we can assist you to determine whether it is suitable or not for you to form a trust or consider other options, as well as where to establish it and its terms according to your specific needs, circumstances and goals.
Apply now for a free 30-minute private consultation call and start your journey towards more freedom, privacy and wealth.