Government Furious

[rainezerr]

The capitalization of bitcoin transactions reaches billions of dollars but governments of any country can not get revenues or income from these transactions and this makes governments in many countries complain of the existence of bitcoin because it is considered a threat to the economy of a country. Should tax apply to users who do bitcoin transactions? When are users comfortable with this situation? what is the right regulation to address these issues to help each country improve its economy?

Government are just afraid of the growth of cryptocurrency because most of the people are preparing to work on bounty campaigns or trading in the market more than working on the corporate world.

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[xiwanfd]

Bitcoin has existed since birth to allow people to control their money freely.

As the BTC has become more and more popular, the government can't let it go because it has hurt its interests, so regulation is inevitable, so I think a reasonable tax is the best way.

[aeternus]

The capitalization of bitcoin transactions reaches billions of dollars but governments of any country can not get revenues or income from these transactions and this makes governments in many countries complain of the existence of bitcoin because it is considered a threat to the economy of a country. Should tax apply to users who do bitcoin transactions? When are users comfortable with this situation? what is the right regulation to address these issues to help each country improve its economy?

They are going to get taxes out of it eventually that is why governments are doing everything they can to regulate exchanges, but that is why also there are many developers trying to create a decentralized exchange and when that happens governments are going to be unable to tax the income that you get out of cryptocurrencies as long as you only exchange between cryptocurrencies, as soon as you exchange your crypto for fiat then you will need to pay taxes.

[Kemarit]

The capitalization of bitcoin transactions reaches billions of dollars but governments of any country can not get revenues or income from these transactions and this makes governments in many countries complain of the existence of bitcoin because it is considered a threat to the economy of a country. Should tax apply to users who do bitcoin transactions? When are users comfortable with this situation? what is the right regulation to address these issues to help each country improve its economy?

Government are just afraid of the growth of cryptocurrency because most of the people are preparing to work on bounty campaigns or trading in the market more than working on the corporate world.

This is one of the ridiculous reason I heard why government are afraid of bitcoin. I don't know if you are serious about it or know nothing as to why government is somewhat afraid of crypto in general not just bitcoin.

Bitcoin has existed since birth to allow people to control their money freely.

As the BTC has become more and more popular, the government can't let it go because it has hurt its interests, so regulation is inevitable, so I think a reasonable tax is the best way.

Its a win-win situation isn't it? We are allowed to trade but we have to pay taxes. However, I'm totally against government imposing high taxes on it. I think they should work out something that its beneficial to both parties. And remember that we will only pay taxes if we converted crypto to fiat. But as long as we are holding it, government should put taxes on us.

[torch2121]

For me its better if the government just get tax on the transaction we exchange in fiat, nothing more and nothing less. We all know that we have KYC in Bitcoin but it is better if we keep it safe here and shouldn't be share in government. I think it is much safer. The way I observe how government run the country here its just they are interested on how they can use us and manipulate how to be used for their own good. Where we get nothing in return. Worse part of it is to be blackmailed by the government. Just like in this news. I don't know what's the truth about it but come to think of it, it is not really impossible to be wealthy in Bitcoin, buy properties and Lambo. Most specially if you are good at trading. If we can check the person in this news if his really doing trading or certified scammer. Its better not to judge by the looks.

http://news.abs-cbn.com/video/news/04/14/18/alleged-bitcoin-scam-mastermind-claims-he-was-abducted-by-cops

[ismelda_ita]

The capitalization of bitcoin transactions reaches billions of dollars but governments of any country can not get revenues or income from these transactions and this makes governments in many countries complain of the existence of bitcoin because it is considered a threat to the economy of a country. Should tax apply to users who do bitcoin transactions? When are users comfortable with this situation? what is the right regulation to address these issues to help each country improve its economy?

I think bitcoin users should be taxed by the state if their financial economy becomes threatened. I think that is the right regulation because the payment is indeed used for the country

[jgaspar]

I suppose that my country government are fighting crypto for two reasons:
1. They dont actually understand it
2. Thay still are trying to get profit from it.

[PalindromemordnilaP]

Tax evasion could be one of the reason why government is furious about bitcoin and the cryptocurrencies. They think it can cause a hindrance to their economic growth because  a person earning in through bitcoin is tax free.

[gabmen]

Tax evasion could be one of the reason why government is furious about bitcoin and the cryptocurrencies. They think it can cause a hindrance to their economic growth because  a person earning in through bitcoin is tax free.

That and probably security. But i think there are already countries like korea that are studying regulations to address these issues. In the long run, these concerns will be hindrances to crypto's growth since without government's acceptance it can't grow to it's full potential.

[fileo]

Sometimes good motives is in the front page but at the back greediness is the main reason. Beautiful outside but garbage inside. To corrupt is the first plan, then second to help the orphans, and make infrastructure to see the good side to cover up the corrupt side. Although some government motives are pure just to help the growth of country's standard of living. All for the citizens benefits.

[Wintersoldier]

The capitalization of bitcoin transactions reaches billions of dollars but governments of any country can not get revenues or income from these transactions and this makes governments in many countries complain of the existence of bitcoin because it is considered a threat to the economy of a country. Should tax apply to users who do bitcoin transactions? When are users comfortable with this situation? what is the right regulation to address these issues to help each country improve its economy?

If we are going to analyze the circle of transactions from bitcoin users, they are already being taxed indirectly the moment they purchased goods using fiat from their bitcoin savings. All the goods and services that we buy are already inclusive of tax that are periodically being collected by the government. Regardless of that fact, if the government wants to get more revenues from bitcoin, it should be sit upon and studied fairly.

[Hell-raiser]

It's quite different because in case of you downloading and especially sharing pirate content, you are actually doing something wrong. While I agree that it's impossible to punish the majority of the people sharing pirate content, it does happen occasionally. It's not for nothing that a lot people now are using either VPN's or dedicated servers to distract attention away from their own download location. It's basically a case of better safe than sorry. On top of that, if you download stuff from your home computer, your IP is publicly known, and thus you can be held responsible for your actions, while if you transact with Bitcoin, only the IP of the first node is basically your taint. In most lightweight clients you can choose the node you connect to or you can even manually connect to a node of your choice. Authorities can't do anything about it.

Do not get me wrong I'm not trying to justify piracy in any way or form, it's just an example to show how difficult it is to deal with a problem at a decentralized level, governments are very good at dealing with centralized opponents of any kind, but they are terrible at dealing with movements without a visible head and that do not depend on it to organize itself, which is why file sharing is still very popular even in this day and age where governments have such tremendous powers of spying over the population, which means that they have almost no hope of stopping bitcoin no matter what they do.

You don't have to control Bitcoin itself, you only have to control the fiat gateways, which is already in the realm of what the government does. Fiat gateways are exchanges that will convert crypto for fiat or vice versa. Because these exchanges operate as quasi-financial institutions, which are already very well-regulated, it's not difficult at all to expand current legal requirements to crypto exchanges. All (or at least most) of the major exchanges are already compliant with applicable rules and regulations or seeking to be, and what's more is that users will increasingly demand this so that there is more confidence that any wrongdoing by the exchanges will be accountable. There have been far too many scams and collapses that have happened without consequence to the bad actors, and everyone wants the confidence that the exchanges aren't run by idiots or charlatans. If the industry was capable of policing itself, it would have by now.

There's just one point which you don't take into account but which makes things a little more complicated for "the government". The point is that there is no single government (conspiracy theories aside), and it is not just about stating there are over 200 of them presently. Yes, only a few matter, live up and amount to being really independent, but even one is more than enough. The contradictions between these governments are so irreconcilable that all of them will be happy to use Bitcoin or whatever if it suits their needs in opposing the rest of the pack. This includes, but is definitely not limited to, fiat gateways and exchanges in question.

I don't know if you are familiar with the events surrounding taking down btc-e by the FBI, but the end result is that the latter failed pathetically at reaching their ends. And it is likely the most powerful law enforcement agency of the most powerful and stubborn government in the world hellbent on punishing everyone to dare them which couldn't take down just one exchange. So it doesn't look like it is actually "in the realm of what the government does" when it comes to real world.

In short, there is light at the end of the tunnel.

[kidamazo]

Yes, indeed. The government of some countries have a fear that they would`nt be able to steal than, if crypto will happen.

[hejioei]

I agree with you but I don't think the ones taking the money are...

[a2offrb]

Well, Government can be furious, when it comes to the issue of collecting Taxes from Bitcoin earners due to lack of knowledge about how much exactly is generated in the Bitcoin earners Wallet due to its peer to peer nature. But let's come to think of it, Bitcoin is highly volatile in nature and its not that easy to calculate the actual amount to be taxed even if such Wallets amount is disclosed. I feel the Government other than their revenue earns through Exchanges during cash out to Fiats, could establish a low key tax payment to Bitcoin earners and enforce payment through their registration as such. We should also be obedient enough to remit taxes to our Authorities to assist our Economies where we belong.

[Ranly123]

The capitalization of bitcoin transactions reaches billions of dollars but governments of any country can not get revenues or income from these transactions and this makes governments in many countries complain of the existence of bitcoin because it is considered a threat to the economy of a country. Should tax apply to users who do bitcoin transactions? When are users comfortable with this situation? what is the right regulation to address these issues to help each country improve its economy?

Indeed anonymity of Bitcoin transactions give the government headaches, but it does not mean they can't control the flow of cryptocurrency in their country. I think all they have to do is support cryptocurrency and make a regulated wallets which allows users to convert and transactions through it and have it taxed. In that way they are helping their constitutes and improve their economy as well.

[airdrophunter]

This is one of the reasons why other countries are pushed to regulate and even ban bitcoin and the rest of digital currencies because they can't get any single cents from these cryptographic transactions. This is also what makes it hard for bitcoin to realize its purpose.

[Muwatti]

The capitalization of bitcoin transactions reaches billions of dollars but governments of any country can not get revenues or income from these transactions and this makes governments in many countries complain of the existence of bitcoin because it is considered a threat to the economy of a country. Should tax apply to users who do bitcoin transactions? When are users comfortable with this situation? what is the right regulation to address these issues to help each country improve its economy?

If that's the solution to legalize BiTcoin and other cryptocurrency  in pur country why not...  If it is the best way to easily recognized by government the uses and existence of bitcoin why not pursuing it...  Tax is needed in our country...  And some crypto user earn a lots here even billion of money is not possible... I think if the government really saw that the user should gave a right tax why not...  But before it happens the cryptocurrency also should need to be centralized....

[kisscoin]

It's time to enter mass cryptocurrency in circulation, to do a complete decentralization and finally to protect the government from the control and high taxes which are strangling society! Enough already to milk poor people, let them breathe full Breasts and not deprive them of the opportunity to get rich! 

[bering]

regulations still be the main issue between government and bitcoin users and it just like an dead end because bitcoin users mostly don't want to pay tax for their transactions but government want every bitcoin users will be regulated and paying tax but maybe someday if government can provide the comfortable  such as security guarantees then bitcoin users might be will agree to regulated