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Art Basel ATM asks the question: Why do you keep $9 million in a bank account?

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This ATM dispenses social feedback along with hard and cold cash.

An installation by Brooklyn art group MSCHF stole the show at Art Basel Miami this year. Dubbed the “ATM Leaderboard,” the piece of art was a working ATM that would display a user’s photo and bank account balance on a large screen for all to see after someone swiped their card or tapped to withdraw money. Then rate their balance against other ATM users in a “high scores” list inspired by old-school arcade games.

MSCHF is known for trotting out rich, sexy art and fashion pieces designed to go viral. For example, the art collective created imitation Birkenstock sandals (dubbed “Birkinstocks”) which were made by destroying designer Hermès Birkin bags that originally cost tens of thousands of dollars, and then selling the “Birkinstock” sandals for $34,000 to $76,000. dollar.

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So the idea behind the ATM Leaderboard was to show how some people get paid to show off how much money they have. “The ATM Leaderboard is a very literal distillation of the ostentatious impulses of wealth,” MSCHF co-founder Daniel Greenberg told CNN. “Since its conception, we have mentally assigned this business to a location like Miami Basel, a place where there is a heavy concentration of people who rent Lamborghinis and wear Rolexes.”

And many guests of Art Basel were ready to play the game. Music artist and DJ Diplo went viral after tweeting his “high score” with more than $3 million in his bank account, announcing on Twitter, “I just won Art Basel.”

But he was later bumped by a user showing off $9.5 million in his bank account, which was the highest score on the final day of Art Basel Miami this past weekend.

And the piece of art wasn’t just counting money; She also collected it, as the “ATM Leaderboard” sold for $75,000 to a South Florida collector, according to one local news Report.

The Art Puzzle cashier took to Twitter and Instagram as social media users shared their amusement (or disgust) at how willing Art Puzzle guests were to share their bank account balances.

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But many observers have also wondered why anyone would have so much cash in a checking or savings account, which usually results in very low interest payments.

Certified financial advisor Ana Gonzalez Ribeiro told MarketWatch about people who keep millions of dollars in a checking account: . “You also want to hold them in tax-sheltered investment vehicles in order to legally reduce your income tax liability. Examples include qualified retirement plans like 401(k), tax-exempt municipal bonds, annuities and real estate investments.”

Caleb Pepperday, Wealth Advisor JFS Wealth ConsultantsHe says that people may also have larger than recommended balances in their bank accounts temporarily if they are about to make a large purchase.

“If you plan to buy a home in the next 12 months, it might make sense to keep enough cash for a down payment, closing costs, furniture, etc,” he said.

Diplo and the guy with $9.5 million in his bank account likely had more cash than six months of the emergency funds on hand that many financial advisors and experts recommend.

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What’s more, the Federal Deposit Insurance Corporation (FDIC) only protects consumer deposits In checking, savings, and other cash accounts in banks up to $250,000 per account, or $500,000 for joint accounts. This means that any account where a person holds more than $250,000 in cash in a single bank, runs the risk of losing any money over the $250,000 threshold in the event of a bank failure – although this should be noted. bank failure Rare, according to the FDIC.

This may indicate that only a small fraction of the millions of dollars that Diplo and other Art Basel ATM users have in their accounts are federally protected.

MarketWatch’s Alessandra Malletto also described some of the best ways to store cash over here.

The FDIC was created after the Great Depression in 1933, and President Barack Obama signed it into law Dodd-Frank Wall Street Reform and Consumer Protection Act In 2010 the FDIC deposit insurance increased from $100,000 to $250,000.

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MicroStrategy is at its lowest level since 2020 after the sales were revealed

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(Bloomberg) — Shares of MicroStrategy touched their lowest level since August 2020 after the enterprise software company, which in recent years has been known as the largest buyer of bitcoin, revealed its first sale of the token.

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The stock fell 1.1 percent to $136.63 on Thursday, down 75 percent this year. Bitcoin rose less than 1% to around $16,590 and is believed to have fallen 64% since the start of the year.

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In a filing on Wednesday, MicroStrategy said it acquired approximately 2,395 Bitcoin between the beginning of November and December 21 through its subsidiary MacroStrategy, and paid out approximately $42.8 million in cash. It then sold 704 of the tokens on Dec. 22 for a total of about $11.8 million, citing tax purposes, before buying another 810 of them two days later.

Matt Malley, chief market strategist for Miller Tabak + Co. Step down as CEO. This news means they don’t seem to want to do that anytime soon.”

Overall, MicroStrategy held about 132,500 bitcoins worth over $4 billion USD as of December 27th. The company paid an average purchase price of $30,397 per bitcoin.

“Given MicroStrategy’s $2.4 billion in leverage, we believe the company may have a lot of leverage over Bitcoin, and may face some liquidity risk,” Jefferies analyst Brent Thiel wrote in a note on Wednesday. Thill has an “underperform” rating on the stock and a price target of $110.

Over the years of the pandemic, MicroStrategy has become well known for its Bitcoin takeovers, largely led by Saylor. Earlier this year, Saylor stepped down from that role and now serves as CEO at the company and continues to lead its bitcoin strategy.

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MicroStrategy was trading around $120 before Saylor first announced the company’s Bitcoin purchases in 2020. The stock reached an all-time high of $1,315 in February 2021.

(Updates to include the stock’s closing price in the second paragraph.)

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Bankman-Fried May File Petition in New York Federal Court Next Week Before Judge Louis Kaplan By Cointelegraph

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Former FTX CEO Sam Bankman-Fried is set to appear in court on the afternoon of January 3 to enter a lawsuit over two counts of wire fraud and six counts of conspiracy against him related to the collapse of cryptocurrency exchange FTX, according to Reuters. mentioned on December 28, citing court records. Bankman-Fried will appear before District Judge Lewis Kaplan in Manhattan.

Judge Kaplan was appointed to hear the case on December 27 after the original judge in the case, Ronnie Abrams, Resigned herself because of connections between FTX and the law firm Davis Polk & Wardwell, where her husband is a partner. The company provided advisory services to FTX in 2021.