I have a large paper loss in BITO and wanted to know if it would be safe to swap it for spot BTC and buy back on day 31. My understanding is that it wouldn't trigger a wash sale rule since spot BTC is not a security.
Second question, is BITO (ETF) and BTCFX (mutual fund) substantially identical for wash sale purposes? I bought some BTCFX in 401k within the 30-day wash sale window and want to understand if it would effect my plan to swap BITO with BTC.
Bonus question — I bought some IBIT within the 30-day wash sale window and want to understand if it would effect my plan to swap BITO with BTC.
Tax loss harvesting (BITO, BTCFX, spot BTC)
byu/Brilliant-Square-385 intax
Posted by Brilliant-Square-385