Show Posts
[...]
That should be easy enough to understand. But what next? What if Bitcoin does become the saviour that everyone hopes? How is the question of government and taxation answered? Not everyone agrees with "Libertarian Anarchism" and "user pays" politics that some are promoting. I guess it's an understandable reaction against the US' oppressive government, but most other governments are surely less evil and just need a few small tweaks. Thankfully Bitcoin doesn't attempt to provide all the answers, giving different societies the ability to handle taxation as they see fit, if the issue ever arises.
That should be easy enough to understand. But what next? What if Bitcoin does become the saviour that everyone hopes? How is the question of government and taxation answered? Not everyone agrees with "Libertarian Anarchism" and "user pays" politics that some are promoting. I guess it's an understandable reaction against the US' oppressive government, but most other governments are surely less evil and just need a few small tweaks. Thankfully Bitcoin doesn't attempt to provide all the answers, giving different societies the ability to handle taxation as they see fit, if the issue ever arises.
Taxation is possible with bitcoins as with every other means of exchange. The key phrase here is ''how much''. From my point of view what we see now is the miniature of the bolder future. Dollars won't cease to exist; Nor any other ''government / bank controlled'' money. But they will continue to grow thinner.
Exchanging something you won't be able to ''reproduce / manufacture / print'' like any other fiat money should give a huge advantage on bitcoins. My guess is that we'll eventually come to a point that no miner / bitcoin holder will be happy to exchange his/her BCs to any other fiat money. The difference will be even bigger when the total lot of 21 Billion BCs have already been mined.
Someone might say, you may want to buy gold or diamonds with your BCs. You may as well do so; but eventually you will need to buy food to live; diamonds or gold are not so safe to move around.
