Nothing if not creative — the Puerto Rican Government passed a series of bills in 2012 incentivizing Americans to head across the water a bit and start their businesses in Puerto Rico. Namely, they eliminated taxation on dividends, interest, and capital gains as well as reduced corporate taxes to just 4%. This has attracted people from a variety of different industries, especially those who are interested in cryptocurrency. In fact, some are dubbing San Juan the new Silicon Valley. And one of the people who’ve realized the possibilities a career in cryptocurrency and a move to Puerto Rico can bring is Rohit Sharma.
Ten years ago, Rohit wouldn’t have believed you if you would have told him his decade-later self would be living free from the 9-5 grind. He also would have had skeptical eyes if you would have told him he’d be making enough passive income to solidify himself with a strong financial foundation giving him the time to pursue the things he loves. But after a friend tipped him off to the possibilities crypto can bring back in 2011, Rohit decided to start pursuing a bit more and learning all he could about this exciting new form of currency. In 2012, after purchasing a machine to mine bitcoin – an experience that made him feel a bit like the Federal Reserve by printing currency in his living room – he eventually sold his law firm and moved to Newport Beach so he could explore his new career in crypto a bit more.
“Originally,” says Rohit Sharma, “one of the things that drew me into cryptocurrency was the libertarian philosophy.” Cryptocurrency is yet controlled by the government, and this is something appealing to many who seek to make it their career. “The US dollar loses its value and essentially makes people poorer and poorer based on inflation — this isn’t the case with cryptocurrency.” Back when Rohit was mining for cryptocurrency in 2012, it was printing bitcoin worth $300. The way Bitcoin is mined is in units called “blocks”. As of writing this, the reward for completing a block is 12.5 Bitcoin and in February of 2019, the price of Bitcoin was about $3,500 per Bitcoin. Essentially, this means you’d earn (12.5 x 3,500)=$42,000, a big rise from when Bitcoin was first mined in 2009, where mining one block would earn you 50 BTC.
“As you can see, it’s almost the opposite of what happens to the US dollar in many ways. It’s really only going up in value currently.”
Follow along as Rohit Sharma writes about his experiences with cryptocurrency in Puerto Rico, changing tax incentives, and why so many are calling San Juan the new Silicon Valley.