SNEAK PEEK
- Worthless NFTs can now be sold for tax-harvesting with the Unsellable NFTs app as it has launched recently to assist in the process.
- Selling these worthless NFTs can create tax write-offs that can lower annual income tax bills.
- Unsellable NFTs website claims to assist those with NFTs that have dropped in value, and tax-loss harvesting could become problematic when NFTs are included.
In a recent announcement, it has been revealed that a new website has been launched in order to assist with the sale of unsellable NFTs. The app is launched last week and is aimed at making the ditching of your worthless NFTs super easy.
If you have worthless NFTs in your wallet, we want to buy them so you can harvest the losses!
— UNSELLABLE NFTs (@unsellablenfts) November 28, 2022
Great reminder @DataNFT_ #NFTs #Taxes #Taxlossharvesting https://t.co/M1TDXAMP22
Well, this pretty much sums up the fact that things are getting really bad in the NFT space and the collectors are now selling NFTs as tax write-offs. NFT owners are increasingly unloading their digital collectibles and there are tax experts that are now recommending to harvest losses made by worthless NFTs.
Selling at a loss can facilitate the creation of tax write-offs that can lower the income tax bills. Well, tax loss harvesting has become a significant strategy this year as the crypto and stock markets are plunging. It goes without saying that strategically selling at a loss can lead to offset gains from other investments.
If anyone is holding worthless NFTs, I highly recommend harvesting the losses before the end of the year.
— Crypto Tax Girl (@CryptoTaxGirl) November 29, 2022
You also might want to check out @unsellablenfts, which is an awesome app that launched last week and makes ditching your worthless NFTs super easy!
It has been revealed that the website is created in order to provide liquidity for NFTs that are unsellable otherwise. The platform facilitates the purchase of tokens for pennies and offers the official receipt for tax purposes. Moreover, it is keeping all of the tokens in order to build “The Unsellable Collection” to become the conclusive artifact of the initial days of Web3.
In addition to this, it should be noted that the collection is listed on OpenSea and consists of 38 items. The platform asks for a transaction fee of 0.0032 ETH along with gas fess. Moreover, it offers 0.0000064 ETH for each NFT it purchases. The product is the tax receipt that can lead to notable savings.
As for the NFTs, the number of sales has slipped from around 125,000 per day in the month of November 2021 to just 10,000/day at the moment.
