Odell Beckham Jr. and His $750,000 Salary in Bitcoin
Odell Beckham Jr. decided to accept his one-year $750,000 deal with the Rams last November in Bitcoin – at that time its value had hit record heights surpassing $60K per coin! At that time he received all his salary in this cryptocurrency form.
But due to Bitcoin’s price drop, OBJ’s investment has since decreased to approximately $35,000. This figure includes federal and state income taxes being subtracted out.
Why OBJ chose to take his salary in Bitcoin?
Los Angeles Rams wide receiver OBJ was among the first players in 2021 to take his salary in Bitcoin, joining Saquon Barkley, Aaron Rodgers, Trevor Lawrence and Russell Okung in converting their salary into crypto assets.
But this might not have been OBJ’s best decision: the cryptocurrency market is currently experiencing a slump, with Bitcoin losing over 50% of its value since 2017. According to sports journalist Darren Rovell, if OBJ converted his entire salary into Bitcoin it would be worth $413,000. But due to taxes this figure may decrease substantially.
OBJ’s decision was bold and could potentially prove profitable should Bitcoin’s price recover in future.
In addition to his NFL career, OBJ has established his own nonprofit organization dedicated to providing children access to education and athletic opportunities. In addition, he supports organizations like Boys & Girls Club of America and Make-A-Wish Foundation – making Cash App the natural partner. With such an illustrious history of charitable efforts behind him and a lifelong dedication to improving communities everywhere – its partnership makes sense!
How OBJ’s Net Worth has been affected by this decision
At the time OBJ signed with the Los Angeles Rams, he decided to take all $750,000 of his contract in Bitcoin – then an all-time high and currency record-breaker worth around $64,000 per coin – as an investment strategy. This was an obscenely smart move on his part; an obvious choice that paid dividends.
However, the recent Bitcoin market drop has taken a serious toll on OBJ’s salary. At present, one coin is only worth about half what it used to, meaning OBJ has likely lost nearly all his Bitcoin earnings.
He still stands to make money through the Rams with their $3 Million Incentives that could provide him with another $1 Million prize if they win this year’s Super Bowl.
He also holds various investments that will allow him to preserve his wealth. These include stakes in several companies such as Jaxxon – a fast-growing men’s jewelry retailer; NFL Oakland Raiders ownership interest and ownership of an extravagant mansion in Los Angeles. Even after losses have been sustained by his wealth, OBJ remains very high and should continue playing football for some time to come.
Will OBJ cash in his 2021 Bitcoin?
Although OBJ’s decision to convert his salary to Bitcoin has proven costly, it doesn’t spell disaster; he could still experience significant returns if its price recovers; for example, his Rams contract of $750,000 could have been paid out as part of its peak value (before taxes and any future gains from bitcoin price) in this form – more than $21 Million after federal and state taxes (not including any possible gains from its price growth).
Beckham has made it clear that despite the recent volatility, he remains committed to using cryptocurrency such as Bitcoin to pay his salary. Indeed, he joined an increasing list of NFL athletes who opt for payment via digital currency; earlier this year Green Bay Packers quarterback Aaron Rodgers became yet another high-profile figure who switched their payment method for Bitcoin payments.
Keep in mind, however, that professional athletes who take a portion of their salaries in Bitcoin aren’t actually being paid in it directly; rather they receive direct deposits to their bank accounts and convert it themselves using cryptocurrency apps. So in Beckham’s case if his team pays him in Bitcoin directly and he cashes them in now it would likely be taxed as income; waiting may be better until its price recovers so he can take full advantage of long-term investing.
Will OBJ’s Net Worth improve in the future?
OBJ’s decision to accept his salary in Bitcoin has proved unwise; since his announcement, its value has dropped nearly 40% and will impact his net worth significantly as he will have to pay taxes on this form of income.
Though OBJ is known to spend lavishly, he could still earn significant riches. His performance on the field will no doubt bring in endorsement deals, significantly increasing earnings. Furthermore, his lavish lifestyle provides him with plenty of spending power; he often purchases high-end items.
His garage is full of luxury cars, such as a Matte Black Mercedes CLS 63 AMG and an eye-catching orange Rolls Royce Cullinan. Additionally, OBJ owns an apartment in New York City. Furthermore, he actively contributes to various charitable efforts, such as Make-A-Wish Foundation donations and cancer research funding efforts.
OBJ is one of the most well-known athletes in the world and his bank account reflects this success. He enjoys immense social media popularity with fans as well as endorsement deals with major brands like Nike, Dunkin’ Donuts, and EA Sports – which provide financial security that puts him well on his way towards becoming a billionaire.