In Money: The True Story of a Made-Up Thing, Jacob Goldstein writes about the introduction of bitcoin during the financial crisis: “At a moment when trust was at a low point, bitcoin seemed to solve the problem of trusting other people to make money work. All you had to do was trust the code. But in the end, bitcoin would prove as dependent on the messiness of humans as every other kind of money.”
The spectacular collapse of cryptocurrency exchange FTX was due to the messiness of one individual who helped make billions of dollars’ worth of cryptocurrency go poof.
A quick review: FTX was the world’s second-largest crypto exchange, where people bought, sold and stored cryptocurrency. It was founded and led by 30-year-old Sam BankmanFried. Bankman-Fried courted venture capitalists, politicians, regulators, athletes and celebrities. He paid $135 million to rename the stadium where the NBA’s Miami Heat play and paid for a Super Bowl spot featuring comedian Larry David.
This story is from the February 2023 edition of Kiplinger's Personal Finance.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the February 2023 edition of Kiplinger's Personal Finance.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
Already a subscriber? Sign In
Your Vacation Home Could Provide Tax-free Income
If you plan to rent out your vacation home, it's important to understand how your proceeds will be taxed.
CUT THE COST OF YOUR WIRELESS BILL
AT&T, T-Mobile and Verizon dominate the market, but smaller outfits offer similar network coverage at lower prices.
MAKING HOME ENERGY MORE AFFORDABLE
Households in need can get energy-efficiency upgrades, help with utility bills and more from this nonprofit.
A HEAD START FOR SAVERS
The Saver's Credit is designed to help low- and middleincome taxpayers contribute to a retirement account.
Say I Love You With a Money Date
To nurture a lasting bond with your partner, meet regularly to talk about money.
Plan for Your Own Elder Care
AFTER I wrote a series of columns in 2022 about elder care planning for family members, I received a number of responses like this one: “What about married couples who have no children or whose family members don’t live nearby?” wrote one reader. “Or a single individual with no close relatives? How should these people plan for their own elder care?”
OVERCOME RETIREMENT OBSTACLES
Most likely, you'll encounter setbacks on your journey. But with careful planning, you can surmount them.
How to Use Leftover 529 Funds
OR families who want to save for their children’s future higher-education expenses, a 529 collegesavings plan offers alluring tax-advantaged benefits. You can withdraw funds tax-free for qualified educational expenses, such as tuition, room and board, books, and computers.
Where to Invest Now: Texas
HERE’S a good case that the state of Texas has the best economy in the world. Its gross domestic product, which is over $2 trillion, is bigger than that of all but seven countries, and it’s growing like crazy.
Searching for the Next Big Thing
ARK Invest's Cathie Wood talks robotaxis, crypto, AI and more.