US Government becoming friendlier to bitcoin

[coinluck43]

The Token Taxonomy Act presented by Representatives Warren Davidson and Darren Soto will help bitcoin and cryptocurrency get acceptance for massive adoption. Share your thought.

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[Ozero]

The Token Taxonomy Act presented by Representatives Warren Davidson and Darren Soto will help bitcoin and cryptocurrency get acceptance for massive adoption. Share your thought.

Is this a bill that will not recognize cryptocurrency as securities and therefore, if it is adopted, will the SEC no longer have any relation to cryptocurrency in order to establish its not quite logical and rigid rules? I am certainly for such a bill. Maybe after that, bounty hunters will no longer demand to undergo a KYC check.
Only in the topic you need at least a little to describe the essence of the issue under discussion or to give at least a link to the source.

[demenBTC]

The Token Taxonomy Act presented by Representatives Warren Davidson and Darren Soto will help bitcoin and cryptocurrency get acceptance for massive adoption. Share your thought.

I am not sure about that, a token is not able to create a large adoption of bitcoin, bitcoin will be adopted large if it gets support from several large companies that have a cryptocurrency community

[Kakmakr]

Ask yourself why they included this part.. " The key idea of the the second point is that something can be classified as a Digital Token if the rules of “creation and supply” can’t be altered by a central person or team. " - Source : https://medium.com/ethex-market/the-token-taxonomy-act-and-the-future-of-useful-tokens-59376fee9531

Do they want to make a clear distinction between government controlled tokens and public tokens for some reason and why?

They also clearly define, pre-sold tokens. No longer will people try to bypass legislation and taxes on FREE coins that were given to them in the initial phase of the marketing of these new Alt coins.

[elda34b]

Maybe after that, bounty hunters will no longer demand to undergo a KYC check.

Whatever the act says, I'm not sure it has any relation to bounty hunter. Most project that you promote are doing an ICO, which adds additional layer of definition that can certainly falls to securities, even though the company offers a token/cryptocurrencies. ICO != cryptocurrencies, but ICO is likely the same as IPO. So don't be too hopeful, you can always choose to participate in a bounty that doesn't require KYC though.

[figmentofmyass]

The Token Taxonomy Act presented by Representatives Warren Davidson and Darren Soto will help bitcoin and cryptocurrency get acceptance for massive adoption. Share your thought.

it probably won't pass. call me cynical, but it's a little too friendly to crypto. tax exempt like-kind exchanges would be allowed, a $600 tax exemption on gains from spending coins, and exemption from all existing securities laws......it reads like a pipe dream, just too good to be true.

[Herbert2020]

The Token Taxonomy Act presented by Representatives Warren Davidson and Darren Soto will help bitcoin and cryptocurrency get acceptance for massive adoption. Share your thought.

Is this a bill that will not recognize cryptocurrency as securities and therefore, if it is adopted, will the SEC no longer have any relation to cryptocurrency in order to establish its not quite logical and rigid rules? I am certainly for such a bill. Maybe after that, bounty hunters will no longer demand to undergo a KYC check.
Only in the topic you need at least a little to describe the essence of the issue under discussion or to give at least a link to the source.

SEC is not involved with cryptocurrencies and decisions that are made about them whatsoever. with or without any law they are still irrelevant. all they do is they can accept or reject things that concern them such as ETFs and similar things that fall under Security and Exchange Commission.

[coinwizard_]

The government has a multi trillion dollar debt, they won't allow anything that can bypass taxes. They will push this through alongside another bill where all bitcoin trades can be taxed

[jseverson]

Ask yourself why they included this part.. " The key idea of the the second point is that something can be classified as a Digital Token if the rules of “creation and supply” can’t be altered by a central person or team. " - Source : https://medium.com/ethex-market/the-token-taxonomy-act-and-the-future-of-useful-tokens-59376fee9531

Do they want to make a clear distinction between government controlled tokens and public tokens for some reason and why?

I think you may have misunderstood it. They're saying something can only be classified as a Digital Token if the rules for creation or supply can't be dictated. They're basically creating a new asset class and are setting new guidelines in place.

The only distinction it creates is if certain coins don't fit the criteria, they'd most likely be considered securities instead of Digital Tokens.

[bitfocus]

I am not still sure about that - I think US Government is acting fishy.

[Julunguul]

The Token Taxonomy Act presented by Representatives Warren Davidson and Darren Soto will help bitcoin and cryptocurrency get acceptance for massive adoption. Share your thought.

Any source about your statement ?

So just because some people from the government fully support the existence of regulations until mass adoption does not mean that it becomes something good before we know of official confirmation. This could only be a trick so that some of the coins would go up and then they will leave it

[figmentofmyass]

The Token Taxonomy Act presented by Representatives Warren Davidson and Darren Soto will help bitcoin and cryptocurrency get acceptance for massive adoption. Share your thought.

Any source about your statement ?

this is the press release from congressmen davidson's legislative office:

Congressmen Warren Davidson, Darren Soto Introduce ICO Fix for Businesses, Consumers

WASHINGTON, DC - Congressmen Warren Davidson (OH-08) and Darren Soto (FL-09) today introduced the long-awaited Token Taxonomy Act, H.R. 7356, to provide light-touch regulatory certainty for businesses, entrepreneurs, and regulators in the blockchain economy.

“This bill clarifies a 1946 court case that the SEC has been using to determine what a security is and effectively makes it clear that the finished product (or oranges as it relates to the Howey Test) is no longer a security.

“This bill provides the certainty American markets need to compete with Singapore, Switzerland, and others who are aggressively growing their blockchain economies. To be certain, there will be other regulatory initiatives at some point, but this legislation is an essential first step to keeping this market alive in the United States.
 
“In the early days of the internet, Congress passed legislation that provided certainty and resisted the temptation to over-regulate the market. Our intent is to achieve a similar win for America’s economy and for American leadership in this innovative space,” said Congressman Warren Davidson.

personally, i think it's a longshot. it's very pro-business and also pro-taxpayer. the nanny state legislators will sink their claws into it and widdle it down to something much less attractive (if it ever gets off the ground to begin with).

[pooya87]

Maybe after that, bounty hunters will no longer demand to undergo a KYC check.

the ICO's KYC has never had anything to do with regulations and laws. in all cases they were adding the KYC as a buzzword to fool people into thinking their useless token is better than other useless tokens just because the lie and convince you they are "regulated". and then they all sell your KYC related documents which you gave them on the dark markets and earn some more money from it.

[figmentofmyass]

Maybe after that, bounty hunters will no longer demand to undergo a KYC check.

the ICO's KYC has never had anything to do with regulations and laws. in all cases they were adding the KYC as a buzzword to fool people into thinking their useless token is better than other useless tokens just because the lie and convince you they are "regulated".

i wouldn't go that far. take a look at one of the memos the SEC published in 2017:

Second, brokers, dealers and other market participants that allow for payments in cryptocurrencies, allow customers to purchase cryptocurrencies on margin, or otherwise use cryptocurrencies to facilitate securities transactions should exercise particular caution, including ensuring that their cryptocurrency activities are not undermining their anti-money laundering and know-your-customer obligations.[7]  As I have stated previously, these market participants should treat payments and other transactions made in cryptocurrency as if cash were being handed from one party to the other.

they doubled down on previous assertions that issuing or brokering tokens for crypto triggers money transmission (AML/KYC) law. after the SEC made this very explicit, we saw lots more ICOs prohibiting investment from the USA.

some ICOs were run very conservatively, like blockstack. they mandated KYC and restricted investment to accredited investors out of an abundance of caution. based on the SEC's statements, they were wise to do so.

[pooya87]

they doubled down on previous assertions that issuing or brokering tokens for crypto triggers money transmission (AML/KYC) law. after the SEC made this very explicit, we saw lots more ICOs prohibiting investment from the USA.

well most of them aren't even in US to want to comply with US laws. they come from Asian countries. and as you mentioned many of them even reject US citizens so asking for KYC becomes even shadier! besides we have already seen lots of KYC related documents that people submitted for the ICOs have been sold on the dark market.

[boyptc]

Maybe after that, bounty hunters will no longer demand to undergo a KYC check.

It's different from what you are thinking. It's about the recognition of bitcoin and other altcoins as currency not about the recognition of  bounty hunting.

If you have problems with KYC, you should consult the bounty manager and/or don't join bounties that requires KYC.

[figmentofmyass]

they doubled down on previous assertions that issuing or brokering tokens for crypto triggers money transmission (AML/KYC) law. after the SEC made this very explicit, we saw lots more ICOs prohibiting investment from the USA.

well most of them aren't even in US to want to comply with US laws. they come from Asian countries. and as you mentioned many of them even reject US citizens so asking for KYC becomes even shadier! besides we have already seen lots of KYC related documents that people submitted for the ICOs have been sold on the dark market.

don't get me wrong, i'm sure many ICO scams were carried out and many KYC documents sold on the darknet. i just think that is a symptom of a larger problem, which is legitimate fear of crossing authorities in the USA.

it doesn't matter if an ICO is set up in singapore or somewhere else. if the SEC and FINCEN determine you are illegally transmitting money on behalf of USA residents, they can shut you down and seize your domain/servers, freeze bank accounts, etc. that's what happened to btc-e and 1broker, all because they allowed people from the USA on their site. i know the SEC has shut down several ICOs too, though i don't remember specifics.

the first obvious step to prohibit USA investors is using geolocation IP banning. the next step is to implement KYC to ensure USA investors can't sneak in using VPN. whether the 2nd step is necessary, i'm not sure, but i'm very confident not all ICOs that did KYC were scamming.

[Pursuer]

Maybe after that, bounty hunters will no longer demand to undergo a KYC check.

It's different from what you are thinking. It's about the recognition of bitcoin and other altcoins as currency not about the recognition of  bounty hunting.

is it really?
I am really not familiar with these things but from what I have read it seems like something IRS would be interested in most of all and it has nothing to do with "recognition as currency" but rather seeing the large amount of money that went in and out of cryptocurrency market in 2017 and the government wanting his share of the "taxes".

[eternalgloom]

The Token Taxonomy Act presented by Representatives Warren Davidson and Darren Soto will help bitcoin and cryptocurrency get acceptance for massive adoption. Share your thought.

it probably won't pass. call me cynical, but it's a little too friendly to crypto. tax exempt like-kind exchanges would be allowed, a $600 tax exemption on gains from spending coins, and exemption from all existing securities laws......it reads like a pipe dream, just too good to be true.

Exactly my thoughts, I would be very surprised if this came to pass in its current state.
Now, I would definitely think that they're going to try and tax it more and they're definitely not going to make it exempt from existing securities laws.

[dothebeats]

This is close to impossible to be approved, seeing how some of the conditions of the bill are really pro-bitcoiners and pro-taxpayers. This wouldn't pass knowing that the country is trying to rake all the profits they can get on every sector of the government and economy, and bitcoin and cryptocurrency can be a nice stream of income for them. Separating bitcoins and cryptocurrencies into a different asset class is fine, but this one? This is wishful thinking at best.