Crypto adoption

[FR1DGE]

If crypto does gain massive adoption and you are able to pay for things in crypto, there would be less of a reason for people to cash out into fiat. How would government collect taxes from crypto gains then? Also, if something like ETH becomes big, how is the government gonna stop people from making pyramids, ponzis, and scams in general?

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[Sharon121212]

Well in as much as I am a crypto enthusiast I doubt cryptocurrency can't  get a complete global adoption there a various reasons why cryptocurrency can get a complete global adoption and even if it where to it might be forced to lose it decentralized system and become under regulation to curtail scams and fraud.

Cryptocurrency is base on a blockchain technology which means it's runs on technology there are so countries that are not technically advanced or experience a whole lot of internet service issues this can pose a hindrance in transferring crypto funds while some citizens all can be to old and stubborn to change there traditional way of transaction, also some religious beliefs can also be of hindrance.

 Cryptocurrency should have a bright future from the looks of things but it would not be easy to gain total global adoption

[Harlot]

How would government collect taxes from crypto gains then? Also, if something like ETH becomes big, how is the government gonna stop people from making pyramids, ponzis, and scams in general?

Even if you are not holding actual fiat anymore you are still paying taxes, how do you think businesses that accept credit/debit card payments and Paypal transfer are paying their taxes even if they are receiving money anymore? Even if these companies are accepting cryptocurrencies the government has the ability to track all the transactions done and it maybe done easier especially when blockchain is involve with cryptocurrencies. There is really no escape on paying your taxes and mass adoption would only signify that the government allowed cryptocurrencies in their country.

[harizen]

If crypto does gain massive adoption and you are able to pay for things in crypto, there would be less of a reason for people to cash out into fiat. How would government collect taxes from crypto gains then?

Same system applied on how fiat are being taxed when purchasing products. You can have an overview of what will be the supposed process if you will read and understand some stuffs about taxation. It requires long writing so I suggest to read some Economics 101 about taxation.

..how is the government gonna stop people from making pyramids, ponzis, and scams in general?

Government can't stopped it 100% but they can make a much more strict penalties for violators and sh*t people.

There are really people and organizations that will continue to do fraud and scams no matter what.

[cindygirl]

If crypto does gain massive adoption and you are able to pay for things in crypto, there would be less of a reason for people to cash out into fiat. How would government collect taxes from crypto gains then? Also, if something like ETH becomes big, how is the government gonna stop people from making pyramids, ponzis, and scams in general?

I believe that it's the job of the government to answer these questions, instead of subduing innovation because they are scared of how to control it. Taxes shouldn't be too hard if there are public blockchains.

[Sama517]

If crypto does gain massive adoption and you are able to pay for things in crypto, there would be less of a reason for people to cash out into fiat. How would government collect taxes from crypto gains then? Also, if something like ETH becomes big, how is the government gonna stop people from making pyramids, ponzis, and scams in general?

Taxes will still be collected by the government as there will be receipts or invoices used to executive payments even with the cryptocurrency. I believe the government can come up with a good mechanism or strategy to ensure it collects every tax.

[kryptqnick]

If crypto does gain massive adoption and you are able to pay for things in crypto, there would be less of a reason for people to cash out into fiat. How would government collect taxes from crypto gains then?

Easy, taxes are usually included in the prices. Cashing out had nothing to do with it. So, people who want to pay for pruducts in cryptos will pay the taxed prices already, so then things will go just like with fiat (I don't know how exactly, but some amount of cryptos will be transferred by tax wallet or something. It will also be a great way to insure transparency, by the way. The crypto wallet addresses where taxes go should be public, and so people will be able to track transactions and ask questions if they see anything suspicious. If we are talking about a private enterpreneur, taxed could be payed by transferring some amount of the crypto income to the tax paying service, so again, no issues here.

[Slow death]

If crypto does gain massive adoption and you are able to pay for things in crypto, there would be less of a reason for people to cash out into fiat.

but for this to happen we must have regulations that benefit cryptos, if in the future VISA and Mastercard will accept the bitcoin debit card that work in the world for people to use crypto to make purchases and payments. But what we see now is that Visa, Mastercard and banks look at cryptos as a major obstacle to their business and they do not accept cryptos.

How would government collect taxes from crypto gains then?

many people have answered this question, governments are like flies looking shit, they will always find methods to collect taxes

Also, if something like ETH becomes big, how is the government gonna stop people from making pyramids, ponzis, and scams in general?

there are several ways to reduce scam cases, governments can create laws on how the entire ICO process should follow and the guarantees that these ICOs should give to their investors.

[khaled0111]

If cryptos will be widely adopted and can be used as FIAT then then what is the purpose from exchanging a crypto with FIAT, that suppose that cryptocurrencies become regulated and there are no restrictions about using them.
Applying taxes is the major problem and it is the main reason why governments don't accept cryptos.

[logfiles]

How would government collect taxes from crypto gains then?

One thing is for certain, once blockchain technology is adopted, Government will find a way of creating it's own digital currencies for its institutions and citizens, that way it will be able to control and tax the citizens at its will. Bitcoin may still continue to operate but it will not be the official currency adopted by the government institutions so yes, they will collect taxes from cryptos.

Also, if something like ETH becomes big, how is the government gonna stop people from making pyramids, ponzis, and scams in general?

Has it kicked out all Ponzi schemes yet under the fiat currency adoption yet?
Do you know how long ponzi schemes have been around?
Scam will always be there in different forms. It's like corruption.. it's human greed for money. So long as money or currency is there, there will always be scams too.

[Dimon8]

After the next financial crisis, crypto currencies will be recognized as a secure payment method of payment. Already in many countries of the world they distribute peitomats. I think it is not just.

[goldreset]

1. We only need 10%.population adoption to see price soar.
2. Tax (like many here mentioned) thats why you won't see fiat disappear.
3. When it comes to regulations, they probably can only regulate centralized cryptos.
4. Since they probably can only regulate centralized ones, decentralized crypto will gain in demand.

Very soon you will see merchants in various trades begin to adopt crypto as payment options. It will save people a hell lot of money. Afrer all, why should any human pay another human for spending his own money?

Because its difficult to tax and track... govs may increase levy on people using fiat. This will resullt in more demand in decentralized cryptos.

I do expect to see a "war" between centralized cryptos vs decentralized cryptos.

Exciting, it will be. 😊😊😊😎😎😎

[exstasie]

If crypto does gain massive adoption and you are able to pay for things in crypto, there would be less of a reason for people to cash out into fiat. How would government collect taxes from crypto gains then?

They'd leverage blockchain analysis to target tax evaders, which would scare a lot of people into paying their taxes. In the US, they'll probably re-work the tax code to force crypto exchanges to send 1099s to the IRS. Maybe they'll start accepting payment in BTC as well.

Also, if something like ETH becomes big, how is the government gonna stop people from making pyramids, ponzis, and scams in general?

They couldn't really stop people from doing those things before crypto existed. It's the same as it ever was. The SEC will issue warnings against these kinds of scams and they'll try to arrest the scammers and seize their assets.

[Indrawan77]

This is a great question and also one of the reason why the government hesitate to adopt crypto, without the taxes tge country could fall down, that is why I agree that crypto being regulated, so there is a mutual benefit for all, the government could taxed the transaction, so they can collect the tax from the exchanges, and we will need to pay taxes every time we trade, or maybe the government can make regulation only one wallet for each person, by regulate it maybe we can decrease the ponzi and fraud

[sheenshane]

This is a great question and also one of the reason why the government hesitate to adopt crypto, without the taxes tge country could fall down, that is why I agree that crypto being regulated, so there is a mutual benefit for all, the government could taxed the transaction, so they can collect the tax from the exchanges, and we will need to pay taxes every time we trade, or maybe the government can make regulation only one wallet for each person, by regulate it maybe we can decrease the ponzi and fraud

I agree on putting regulation in every wallet to monitor every transaction by individual users of bitcoin, but in having regulation direct to bitcoin itself I think that is impossible to happen. That is already discussed here so many times but still, Bitcoin is not to be regulated at all.
Time to time Bitcoin will be having a massive adoption and I never shocked if someday I heard that news.

[davis196]

If crypto becomes really big in the future(not very possible in the next 10 years),the governments will have to create their crypto wallets in order to collect crypto tax payments.
However,I think that this question is asked many times before in the forum and you should search for older threads before you post.

[biskitop]

the way to take the tax is that the government must cooperate with the crypto blockchain and smart contract to take part of the tax from each transaction made. I think it will be fair.

[Gabali126]

If crypto does gain massive adoption and you are able to pay for things in crypto, there would be less of a reason for people to cash out into fiat. How would government collect taxes from crypto gains then? Also, if something like ETH becomes big, how is the government gonna stop people from making pyramids, ponzis, and scams in general?

There is no outright laws banning pyramid and ponzi schemes in so many countries. It is left for one to be careful so as to avoid scam or fraud.

[ShadowBits]

If crypto does gain massive adoption and you are able to pay for things in crypto, there would be less of a reason for people to cash out into fiat. How would government collect taxes from crypto gains then? Also, if something like ETH becomes big, how is the government gonna stop people from making pyramids, ponzis, and scams in general?

Then the Government could get the taxes from exchanges and on where we could buy crypto, then those exchanges would charge some additional charges for them to pay the taxes.

[jamids]

If crypto does gain massive adoption and you are able to pay for things in crypto, there would be less of a reason for people to cash out into fiat. How would government collect taxes from crypto gains then? Also, if something like ETH becomes big, how is the government gonna stop people from making pyramids, ponzis, and scams in general?

That's the reason why the government won't allow a decentralized cryptocurrency to take over fiat because they wouldn't be able to control it. Unlike what is happening with fiat wherein they can control and trace the people behind the transactions, in cryptocurrency, only the addresses are easily traceable but not the people behind it. Government would think ways to still control it like creating their own cryptocurrency perhaps.