Cryptocurrency usage will boost economy or make it worst ?

[GideonGono]

The question is: will the government allow them to avoid taxes? Of course they won’t. Here’s the thing: these companies would not do that because managing this huge sum of money would be hard as well as hiding it. Questions would arise if the taxes that a certain company pays decreases more so significantly then they would have a hard time answering these and they would face lawsuit along with their reputation that they should value very much since it carries the trust of the people aka the brand name.

[wxa7115]

The question is: will the government allow them to avoid taxes? Of course they won’t. Here’s the thing: these companies would not do that because managing this huge sum of money would be hard as well as hiding it. Questions would arise if the taxes that a certain company pays decreases more so significantly then they would have a hard time answering these and they would face lawsuit along with their reputation that they should value very much since it carries the trust of the people aka the brand name.

Private companies do not really need cryptocurrencies to try to diminish or to completely avoid the taxes that they are supposed to pay, you must remember that those that have the money can make the laws and the laws are structured in such a way that allows them to avoid taxes in a legal way so they do not really need cryptocurrencies for that, what bothers the government more than anything is that cryptocurrencies allow everyone to do the same.

Now a person without too much money that is invested in cryptocurrencies can avoid most taxes and if they cannot get those taxes then governments will have problems remaining at their current size.

[HarmonyA]

What if all those big corporates and businesses starts using crypto as a mode of payment just to avoid tax which will cause a direct loss to the government which uses tax for the betterment of the country. This might not affect corrupt countries as it doesn't matter because tax money goes to politician's coffers but what about developed nations?

This will depend on countries government understanding and approach to crypto.
Some of the big businesses are monitored by government,  therefore, government have first hand information of the organization income. Using cryptocurrency as a means of payment will only cost them sanctions, which may attract higher charges than tax.

[TitanGEL]

The question is: will the government allow them to avoid taxes? Of course they won’t. Here’s the thing: these companies would not do that because managing this huge sum of money would be hard as well as hiding it. Questions would arise if the taxes that a certain company pays decreases more so significantly then they would have a hard time answering these and they would face lawsuit along with their reputation that they should value very much since it carries the trust of the people aka the brand name.

Taxes really? most of the cryptocurrencies have the characteristics of being decentralized so taxes are impossible to implement because the government have no control on most of the cryptocurrencies. The only thing that the government can do is to create regulations and laws about cryptocurrency, right now most of the government are complying in international anti-money laundering in order to prevent fraud and scam projects.

[oleg8791]

I'm not sure that it may boost the economy or destroy it. Cryptocurrency usage is not so popular, its adoption will take some years. And I don't believe that it will make the economy worst, the governments already try to prevent it (digital currencies are subjected to tax).

[Pamadar]

What if all those big corporates and businesses starts using crypto as a mode of payment just to avoid tax which will cause a direct loss to the government which uses tax for the betterment of the country. This might not affect corrupt countries as it doesn't matter because tax money goes to politician's coffers but what about developed nations?

This will depend on countries government understanding and approach to crypto.

That's the point with the post above you, if the county's not concerned with the real usages of this system they won't recognize the helps that this chain can bring while for those who will manage to work well with the chain and knows what they can brings out to benefits with this new system it will be good for the country and it's country men.

[Magkirap]

I'm not sure that it may boost the economy or destroy it. Cryptocurrency usage is not so popular, its adoption will take some years. And I don't believe that it will make the economy worst, the governments already try to prevent it (digital currencies are subjected to tax).

I think it will not destroy it but it will take a somehow bad effect to the economy because the goods that we and other countries purchased will be paid using cryptocurrency which means no taxes that can be used by the government to better our country and also it is not purchased by their local currencies so it will have a quite bad effect i think but of course governments will not let it happens that they get no taxes from us specially if the company or organization is big as the OP says so still lot of things might happen if this happens.

[senne]

Cryptocurrency has the power to make bank available to anyone. P2p will lead to transparent, instant and complete transfer of funds. This will help both the parties as there won't be any intermediary to take fees or make the process cumbersome. Also, anyone can raise funds for their start up easily than what is the process today. This might increase the spam rate but in one way will make people access funds more easily. This is turn will boost the economy.
This is just one way to look at it.

[Sadlife]

Indeed conglomerates can use crypto currency for whatever purpose they want even tax evasion but most crypto wallets are custodial that is government regulated and supports conversion from crypto to local fiat, in some point you will need to convert your crypto's to fiat. I guess they wouldn't notice only if you have small scale business but if it's a big company then they're probably get suspicious, so not paying tax is probably possible on small businesses.

[Wexlike]

Cryptocurrency has the power to make bank available to anyone. P2p will lead to transparent, instant and complete transfer of funds. This will help both the parties as there won't be any intermediary to take fees or make the process cumbersome. Also, anyone can raise funds for their start up easily than what is the process today. This might increase the spam rate but in one way will make people access funds more easily. This is turn will boost the economy.
This is just one way to look at it.

That is very true, everyone can have a swiss bank account in their pocket. But don't forget that this is not always admirable for the regular consumer/human who just wants to live month by month. Thus the custody will be accomplished mostly by the old school banks who will hold your keys for the crypt in your bank online account while selling you some derivative or promise for a specific amount of crypto. Bitcoin will be amongst the many others national crypto currencies who will definitely arrive in this decade.

[avatar_kiyoshi]

The question is: will the government allow them to avoid taxes? Of course they won’t. Here’s the thing: these companies would not do that because managing this huge sum of money would be hard as well as hiding it. Questions would arise if the taxes that a certain company pays decreases more so significantly then they would have a hard time answering these and they would face lawsuit along with their reputation that they should value very much since it carries the trust of the people aka the brand name.

Taxes really? most of the cryptocurrencies have the characteristics of being decentralized so taxes are impossible to implement because the government have no control on most of the cryptocurrencies. The only thing that the government can do is to create regulations and laws about cryptocurrency, right now most of the government are complying in international anti-money laundering in order to prevent fraud and scam projects.

No, government cannot control cryptocurrency, but the government can monitoring these companies, registered company certainly have a huge brand name, the larger the company the greater the government oversight. The purpose of @GideonGono is that large companies will not be able to evade taxes because the government is watching it. The companies can avoid the taxes, but it will be fatal for the brand name.

[OrangeII]

When something has got the ability to generate more market circulation automatically the growth will happen positive. In this regard cryptocurrency having its own value causes price moves relative to the market circulation. Though it is manipulative there is a simple fact of demand to supply that too making changes in the market. Economy change in a country won't be much affected positive or negative by bitcoin as it is a very small market when we consider a country's economy altogether.

But can't leave to the fact that authorities will pursue them for taxes.
Yes, it gonna have a positive impact on the economic capabilities of the company but can't think that the government will let these things happen cause they won't get any from them. Taxes are very important to the government and it is something we need to understand that we also need to help our country and paying taxes is a big help.

I think, the problem online is very difficult to pursue tax from it, but in the end, it will return to the real world. the point is, if you have a lot of money in your bank account, you will be taxed, or even when exchanging cryptos for fiat. besides, you can't possibly put all of your assets in crypto because it has huge fluctuations. so, crypto will only be a business for a moment, and will eventually be taxed again when you exchange it for something else.

[bettercrypto]

I'm not sure that it may boost the economy or destroy it. Cryptocurrency usage is not so popular, its adoption will take some years. And I don't believe that it will make the economy worst, the governments already try to prevent it (digital currencies are subjected to tax).

I think it will not destroy it but it will take a somehow bad effect to the economy because the goods that we and other countries purchased will be paid using cryptocurrency which means no taxes that can be used by the government to better our country and also it is not purchased by their local currencies so it will have a quite bad effect i think but of course governments will not let it happens that they get no taxes from us specially if the company or organization is big as the OP says so still lot of things might happen if this happens.

You have a good point. But I think it will be possible to impose taxes through the use of blockchain. I think there will become also innovation regarding with imposing taxes or even tariffs since we know that in this world there can't be a good economy without tax. So definitely, we need to pau for it so that our economy will continue to progress.

[RealMalatesta]

If we could get to the level where bitcoin is used in the world normally like it is debit cards or something then it will help the economy and not hurt it. Maybe it will hurt the big banks and financial institutions because people move to bitcoin but it will also help regular people to spend what they have and not make any debts, because in bitcoin you can't spent what you don't have and that is one of the biggest problems of the economy we have right now.

Everyone has a debt, it could be a small credit card debt you pay at the start of the month, it could be mortgage or even larger but everyone does (very few people don't) so in the end moving to bitcoin would level and balance everyone's paychecks which would eventually help out middle class and low income instead of wealthy like the current system does.

[SquallLeonhart]

What if all those big corporates and businesses starts using crypto as a mode of payment just to avoid tax which will cause a direct loss to the government which uses tax for the betterment of the country. This might not affect corrupt countries as it doesn't matter because tax money goes to politician's coffers but what about developed nations?

To know how it’s going to affect the country we should first of all take a look on how the government spends those taxes that we pay to them. The number one on the list of where your tax money goes to is the healthcare, and the next are security-related programs and national defense, social security, food and agricultural benefits, paying interest on national debts (and of course a lot of countries owe debts), education and veteran benefits.

So, these are the areas that will be affected if people should stop paying their taxes. If you check developing countries where people don’t pay their tax you will notice areas like these are not in good standard .

[awik p]

I'm not sure that it may boost the economy or destroy it. Cryptocurrency usage is not so popular, its adoption will take some years. And I don't believe that it will make the economy worst, the governments already try to prevent it (digital currencies are subjected to tax).

I think it will not destroy it but it will take a somehow bad effect to the economy because the goods that we and other countries purchased will be paid using cryptocurrency which means no taxes that can be used by the government to better our country and also it is not purchased by their local currencies so it will have a quite bad effect i think but of course governments will not let it happens that they get no taxes from us specially if the company or organization is big as the OP says so still lot of things might happen if this happens.

You have a good point. But I think it will be possible to impose taxes through the use of blockchain. I think there will become also innovation regarding with imposing taxes or even tariffs since we know that in this world there can't be a good economy without tax. So definitely, we need to pau for it so that our economy will continue to progress.

surely the government has a way to impose taxes. productive tax objects such as blockchain, of course, will provide a large tax income. and I think the country will not advance without taxes, therefore taxes have an important role in developing the country

[hendra147]

What if all those big corporates and businesses starts using crypto as a mode of payment just to avoid tax which will cause a direct loss to the government which uses tax for the betterment of the country. This might not affect corrupt countries as it doesn't matter because tax money goes to politician's coffers but what about developed nations?

microsoft already support bitcoin payment in last 3-4 years, and now still avaible too
check here :
https://support.microsoft.com/en-us/help/13942/microsoft-account-how-to-use-bitcoin-to-add-money-to-your-account
and vultr still avaible to use crypto in payment too.

using bitcoin in largest company like microsoft is not to avoid tax, its just to simplify in payment processor, just like paypal,
we have bitcoin payment gateway such as bitpay, coingate, coinpayment etc. to simplify tax in crypto payment, the payment gateway service will paye the tax to goverment so they are not avoid tax in transaction.

[Cacingkemi]

I'm not sure that it may boost the economy or destroy it. Cryptocurrency usage is not so popular, its adoption will take some years. And I don't believe that it will make the economy worst, the governments already try to prevent it (digital currencies are subjected to tax).

I think it will not destroy it but it will take a somehow bad effect to the economy because the goods that we and other countries purchased will be paid using cryptocurrency which means no taxes that can be used by the government to better our country and also it is not purchased by their local currencies so it will have a quite bad effect i think but of course governments will not let it happens that they get no taxes from us specially if the company or organization is big as the OP says so still lot of things might happen if this happens.

You have a good point. But I think it will be possible to impose taxes through the use of blockchain. I think there will become also innovation regarding with imposing taxes or even tariffs since we know that in this world there can't be a good economy without tax. So definitely, we need to pau for it so that our economy will continue to progress.

the government will certainly intervene to be able to improve its economy, cryptocurrency will get support from the government if indeed there will be a large adoption of the large number of large companies that are able to use crypto for their business needs and taxes from the government will certainly be applied specifically regarding related matters.

[kapalmabur]

I'm not sure that it may boost the economy or destroy it. Cryptocurrency usage is not so popular, its adoption will take some years. And I don't believe that it will make the economy worst, the governments already try to prevent it (digital currencies are subjected to tax).

I think it will not destroy it but it will take a somehow bad effect to the economy because the goods that we and other countries purchased will be paid using cryptocurrency which means no taxes that can be used by the government to better our country and also it is not purchased by their local currencies so it will have a quite bad effect i think but of course governments will not let it happens that they get no taxes from us specially if the company or organization is big as the OP says so still lot of things might happen if this happens.

You have a good point. But I think it will be possible to impose taxes through the use of blockchain. I think there will become also innovation regarding with imposing taxes or even tariffs since we know that in this world there can't be a good economy without tax. So definitely, we need to pau for it so that our economy will continue to progress.

surely the government has a way to impose taxes. productive tax objects such as blockchain, of course, will provide a large tax income. and I think the country will not advance without taxes, therefore taxes have an important role in developing the country

especially if the tax is applied to crypto currency assets holders, this will benefit both parties, because if the tax is applied to crypto currencies, it means the government is giving way to crypto currencies to continue to grow, this is good  

[Silberman]

If we could get to the level where bitcoin is used in the world normally like it is debit cards or something then it will help the economy and not hurt it. Maybe it will hurt the big banks and financial institutions because people move to bitcoin but it will also help regular people to spend what they have and not make any debts, because in bitcoin you can't spent what you don't have and that is one of the biggest problems of the economy we have right now.

Everyone has a debt, it could be a small credit card debt you pay at the start of the month, it could be mortgage or even larger but everyone does (very few people don't) so in the end moving to bitcoin would level and balance everyone's paychecks which would eventually help out middle class and low income instead of wealthy like the current system does.

For bitcoin to become mainstream we will have to change the way people think about being indebted to the banks, there was a time in which it was very rare that the average person was indebted to any bank, also banks were a lot more responsible when giving credit and they only did so for activities that could produce money in the long term, but all of this has changed and now people are accustomed to be indebted and that philosophy will have to change if we are to use bitcoin in our everyday lives.