Cryptocurrency usage will boost economy or make it worst ?

[erickastella]

it is very possible to harm the local government but if the local government does or revises the tax law through crypto for the company then it can be avoided, because crypto is no stranger to the government so it could be that even though using crypto is still subject to tax by the government

[1715188044]

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[1715188044]

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[Mike Mayor]

I think crypto will boost the economy. Fiat and the government have already failed us. It is time for us to do things for ourselves and for us to be in control of our own finances. Crypto cannot possibly make things worse than they already are so you may as well give it a go.

it is very possible to harm the local government but if the local government does or revises the tax law through crypto for the company then it can be avoided, because crypto is no stranger to the government so it could be that even though using crypto is still subject to tax by the government

Yes doing tax through their own cryptocurrency is the only way. You won't be able to tax people the way they use to. They cannot tax the crypto. You do however pay VAT on all purchases and that cannot be helped.

[Periodik]

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?

Yes, there will be an economic crash if all the big corporations and businessmen will start using cryptocurrencies as a mode of payment for the sake of avoiding paying taxes. The country will not move forward. Instead, it will be crumbling down to the ground. If this occurs, there will be chaos instead of order. The state will be converted into a state of the mob where the strongest rules. This is not something I wish to happen because of crypto.

[barabarian1]

in my opinion if a country applies cryptocurrency and some companies end up unwilling to pay taxes then the country's economy will be chaotic. because most countries use tax as the government's biggest income. it would be better to use cryptocurrency and blockchain but also still receive tax. and can also use cryptocurrency to pay taxes.

[bitgolden]

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?

The thing is, we have government that are every smart in their operation and they would not watch this happen, I don’t think the tax aspect of it has ever been of threat to the government because for any transaction to occur, it must definitely still go through exchanges, and for now, people use more of centralized exchanges which has taken over the cryptocurrency market.

All government just need is to regulate the  crypto exchanges and make sure that they have all the details of the people that are transacting on those exchanges, which is why you can see that the first thing US did as a step to their regulation is to first ensure that they make binance to create an exchange for their citizens and this is going to be for tax purpose.

[bitbunnny]

As long as cryptocurrencies are not officialy part of economy system, so without regulation and formal introduction into economy system, or governments are not collecting taxes from crypto related businesses they can't make any (recorded) impact on economy, bad or good. That is my opinion.
However, cryptocurrencies can influence individuals in terms of their financial situation and similar but that doesn't have any global impact.

[Mike Mayor]

There is actually a statement, specifically the IRS 2014-21 where all virtual currencies are subjected to tax still. Therefore, stating that buying using BTC or any other crypto, is in fact, still liable to tax. As for the specifics, I don't really know but the 2014-21 already states that existing tax principles apply to transactions using virtual currency. The taxable events are Cashing out, Paying using crypto, Exchanging one crypto to another or Receiving mined crypto. These are some I just looked up in google and you can search for more information if you want specifics.

I don't see how they going to tax what you have mined. The situation is controversial at best. They will tax you for the value of the crypto at the time? This is going to be a big mess. The USA IRS is very anal about paying tax. They like a bunch of thugs you pay protection money to.

How exactly will you pay tax on exchanging one crypto to another? If I trade you my football card collection or my comic book collection with yours I do not pay tax. I think the USA is trying to pull stuff out the arse and pull a fast one on the people since the paranoid (as usual) of losing control of losing money of losing the power of all sorts of things. I think the USA needs to go fight another war or something, go "liberate" another country or something. 

[djsugar]

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?

First of all Bitcion isn't scalable enough to facilitate the global transactions. If all the corporates and businessman started using bitcoin as a mode of payment, then the network will get cluttered and tx will take eternity to get verified. This isn't the ideal situation.
But if people started using a decentralized cryptocurrency, then I don't see traditional economy working as efficiently. Taxes won't be the only problem. Unemployment, government spending, private investment and savings will all take a toll.

[toast]

it is very possible to harm the local government but if the local government does or revises the tax law through crypto for the company then it can be avoided, because crypto is no stranger to the government so it could be that even though using crypto is still subject to tax by the government

in my opinion all investments with crypto and government currencies and if properly regulated and not detrimental to one party and in my opinion the results of the good and bad of a system depends on the intentions and objectives of investors or holders of the crypto currency and maybe with the economic tax government and development will become more advanced and developed

[NathanJB]

As long as cryptocurrencies are not officialy part of economy system, so without regulation and formal introduction into economy system, or governments are not collecting taxes from crypto related businesses they can't make any (recorded) impact on economy, bad or good. That is my opinion.
However, cryptocurrencies can influence individuals in terms of their financial situation and similar but that doesn't have any global impact.

It will definitely have an impact if the people and the businessmen using cryptocurrencies will comprise a large percentage of the population already. If cryptocurrency transactions will remain untaxed, and these transactions involve considerable amounts of money, then economy will be affected for sure. What the government should have received as taxes from these transactions will not end where it should be. There is loss to the government.

[Memminger]

It is just a matter of implementing solid rules and regulations. You can’t really evade taxes because when companies would start doing that or it became rampant then expect that the government would not just sit idly. Also companies who are involved in cryptocurrencies in our country needed licenses of course and still need to comply with the governments requirements and pay taxes.

[secretgirl]

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?

if the country has adopted the blockchain and bitcoin I think in the future the country will make a regulation. and on the regulation the government will regulate further about the use of cryptocurrency and will also regulate tax collection on crypto investments. most countries rely on their country's income from taxes. so even though companies already use cryptocurrency they will still be taxed.

[wxxyrqa]

As long as cryptocurrencies are not officialy part of economy system, so without regulation and formal introduction into economy system, or governments are not collecting taxes from crypto related businesses they can't make any (recorded) impact on economy, bad or good. That is my opinion.
However, cryptocurrencies can influence individuals in terms of their financial situation and similar but that doesn't have any global impact.

If you recall 2016 and 2017, then cryptocurrency made a splash among cryptocurrency users, where many people got their financial independence, which they dreamed about for many years.  It was cryptocurrency that gave such opportunities due to its volatility.  But if you take into account the fact that cryptocurrencies can be used for bad purposes, for example, to avoid paying taxes, then you are really right, because in the absence of some control over the cryptocurrency market, the economies of the countries will not have any benefits, but only a negative impact.  But if the cryptocurrency is used legally, then non-cash payments using cryptocurrency will reach a new level, thanks to the speed of transactions and security.

[Sithara007]

There is no clear answer to this. There can be segments of the economy that may receive a boost. At the same time, there can be some sectors that can get negatively impacted. For example, several jobs can be created in the form of cryptocurrency exchanges and other crypto-related ventures. But there is a chance that the rising popularity of cryptocurrency may translate into lessened interest in the other sectors (such as stock market, real estate, banking, bullion exchanges and the bond market). In particular, the banking sector may get affected the most. Bitcoin allows common people to store their wealth themselves and this can be a big blow for the bankers.

[DabsPoorVersion]

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?

if the country has adopted the blockchain and bitcoin I think in the future the country will make a regulation. and on the regulation the government will regulate further about the use of cryptocurrency and will also regulate tax collection on crypto investments. most countries rely on their country's income from taxes. so even though companies already use cryptocurrency they will still be taxed.

It is to be expected once the adoption of bitcoin will happen. Collected taxes are funds used for the development of a certain country, it may increase the economy of a certain country but it is not something to change a life of the whole country. They might implement it right after their adoption and regulation will also come.

[imstillthebest]

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?

if the country has adopted the blockchain and bitcoin I think in the future the country will make a regulation. and on the regulation the government will regulate further about the use of cryptocurrency and will also regulate tax collection on crypto investments. most countries rely on their country's income from taxes. so even though companies already use cryptocurrency they will still be taxed.

It is to be expected once the adoption of bitcoin will happen. Collected taxes are funds used for the development of a certain country, it may increase the economy of a certain country but it is not something to change a life of the whole country. They might implement it right after their adoption and regulation will also come.

thats good . crypto didnt really differ on fiat if treated that way but still we should consider if what type of people are going to collect our taxes ( if they are corrupt or not ) but its better if they arent so that we can asure that our hard works and efforts and the taxes that we pay arent going to waste  . right now crypto on our place is now accetped or seem to be regulated but im still freely using my crypto without paying tax . i think local governments dont declare the law about this yet

[coinfinger]

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?

If companies should start accepting crypto currency to avoid tax, that's going to cause a big problem between them and government. It's even going to make the government to hate cryptocurrency more and they are going to look for a way to terminate it and even make companies that are caught to answer big query for that and even pay fine a guess.

By the way there are already some companies that are accepting Cryptocurrencies (mainly Bitcoin), but some of them I know have taken it down, maybe because there isn't a lot of people that are making use of cryptocurrencies. And I don't think many people will be ready to be copying address and going to their wallet to paste and send and then also wait for verification, when they can just use their card or PayPal for quick payment.

[EdenHazard]

As long as cryptocurrencies are not officialy part of economy system, so without regulation and formal introduction into economy system, or governments are not collecting taxes from crypto related businesses they can't make any (recorded) impact on economy, bad or good. That is my opinion.
However, cryptocurrencies can influence individuals in terms of their financial situation and similar but that doesn't have any global impact.

Hard to say about that now as the mass adoption is something we can not see it really possible in the near future especially after the case of libra that got tortured by every institution, regulators around the world ... you can take that as an example of cryptocurrency mass adoption in a smaller scale.

This might be a pure speculation based on very limited source of data if you guessing what would happened... in an optimistic way the decentralized system provide a freedom of financial which bring awareness about how the current financial system in banks that been run unfairly, everythingwith cryptocurrency used widely making any transactions that used to cost very long time become easy fast and efficient.
In pessimistic way cryptocurrency could bring a chaos especially at the early stage of adoption due lack of regulation that can't protect non tech savvy users.

[tungaqhd]

There is no clear answer to this. There can be segments of the economy that may receive a boost. At the same time, there can be some sectors that can get negatively impacted. For example, several jobs can be created in the form of cryptocurrency exchanges and other crypto-related ventures. But there is a chance that the rising popularity of cryptocurrency may translate into lessened interest in the other sectors (such as stock market, real estate, banking, bullion exchanges and the bond market). In particular, the banking sector may get affected the most. Bitcoin allows common people to store their wealth themselves and this can be a big blow for the bankers.

Agree, we can not say clearly whether the application will bring benefits or negative to the economy because it depends so much on the management and scope of users and the government, first, generally it will be a boost when the profits in crypto are always very high but only for people with a reasonable investment. And as you said, the bank will become nervous at this moment when people only store crypto, no longer putting money in the bank, and in order to benefit the economy, the government needs a lot of planning, very confusing and not easy to judge the outcome for the act of applying crypto

[Aying]

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?

If this happen just in case, it is bad. because corporates and big businesses is going to avoid taxes and make money without getting touch by the government. they can't pay big amount of contribution to government and if government find out what's happening. we will be the one who affected on what they would do. because we benefit and if we lose it we will never be able to make a living or make money in crypto. because the government will do everything to eliminate such activities. so this idea is really hard to determine.