u/Playjasb2

For a long time, I kind of strayed away from buying crypto from WealthSimple, initially because they wouldn't let you withdraw your crypto and their fees were high.

Well, that has changed now, since they do allow you to withdraw crypto, and while the fees are still high, it's 0% if you automate your pay here, that is, you have it automatically take a portion of your pay deposit and put it into buying crypto.

I had bought crypto from other places like Newton, and in some cases they were cheaper than WealthSimple. I would also store them in my Trezor wallet, because of the "not your keys, not your crypto" principle here, and I would also stake some of them.

But lately, I've been thinking about how busy my life is. Like I would generally want to automatically buy some crypto over time, but then I do need to store them in my Trezor wallet so it's safe.

But then the taxation element comes in, and it gets tricky. You'd need to keep tracking of the average cost of buying all this crypto, and figuring out how much you profit or lost during the year, if you had any dispositions. Like Newton wouldn't give you tax forms, so you need to rely on services like Koinly, and then you have to remember when you had transferred amounts out to your wallet, since they are not taxable events. As for the actual tax forms, you'd have to pay for that, which kind of cuts into the general profits, and it's capped up to a certain number of transactions.

I just generally do not like how finicky that situation is, and how much time I would have to spend just tracking everything.

I get that it's WealthSimple's selling point here, where it may generally be more expensive to buy crypto there, but they track everything for you. You can sell crypto to do tax loss harvesting if you want to. And everything would be in one place for you to automatically do DCA here.

The 0% fees on buying crypto via "automate your pay" is kind of appealing, but I'm questioning about their spread. They could bake the fee into the price of the crypto here, but I'm not sure on how much.

Crypto flywheels or dealing with DeFi would be outside of WealthSimple and it's tricky to track everything for tax purposes. I don't see myself doing that as of right now.

What do you guys think? Is buying crypto via WealthSimple's "automate your pay" feature worth it for those who want to get it on autopilot? I could use my Trezor wallet to store large amount of crypto that may accumulate.

I just want to be clear: I know investing in crypto is risky, and when I talk about automating the purchase of crypto from paycheque, I’m not talking about the whole thing. I’m talking about a tiny segment of it, according to much risk I’m willing to take. It’s just going to be a small part of my portfolio.

For a long time, I kind of strayed away from buying crypto from WealthSimple, initially because they wouldn't let you withdraw your crypto and their fees were high.

Well, that has changed now, since they do allow you to withdraw crypto, and while the fees are still high, it's 0% if you automate your pay here, that is, you have it automatically take a portion of your pay deposit and put it into buying crypto.

I had bought crypto from other places like Newton, and in some cases they were cheaper than WealthSimple. I would also store them in my Trezor wallet, because of the "not your keys, not your crypto" principle here, and I would also stake some of them.

But lately, I've been thinking about how busy my life is. Like I would generally want to automatically buy some crypto over time, but then I do need to store them in my Trezor wallet so it's safe.

But then the taxation element comes in, and it gets tricky. You'd need to keep tracking of the average cost of buying all this crypto, and figuring out how much you profit or lost during the year, if you had any dispositions. Like Newton wouldn't give you tax forms, so you need to rely on services like Koinly, and then you have to remember when you had transferred amounts out to your wallet, since they are not taxable events. As for the actual tax forms, you'd have to pay for that, which kind of cuts into the general profits, and it's capped up to a certain number of transactions.

I just generally do not like how finicky that situation is, and how much time I would have to spend just tracking everything.

I get that it's WealthSimple's selling point here, where it may generally be more expensive to buy crypto there, but they track everything for you. You can sell crypto to do tax loss harvesting if you want to. And everything would be in one place for you to automatically do DCA here.

The 0% fees on buying crypto via "automate your pay" is kind of appealing, but I'm questioning about their spread. They could bake the fee into the price of the crypto here, but I'm not sure on how much.

Crypto flywheels or dealing with DeFi would be outside of WealthSimple and it's tricky to track everything for tax purposes. I don't see myself doing that as of right now.

What do you guys think? Is buying crypto via WealthSimple's "automate your pay" feature worth it for those who want to get it on autopilot? I could use my Trezor wallet to store large amount of crypto that may accumulate.

Edit: I know I'm getting downvoted here, and I understand that not everyone likes crypto or its volatility. I made this post, because I wanted to ask for your sentiment, and I also thought I'd ask for anyone else who might be in the same position.