Tax authority wants all crypto traders data on exchanges

[TanakabZX]

What the heck is happening? Canada’s tax authority is reportedly asking a federal court to force cryptocurrency exchange Coinsquare to hand over information and certain documents on all of its users since the beginning of 2013...

News source: https://news.bitcoin.com/canada-tax-authority-coinsquare-crypto-exchange-data-all-users/

[1713994260]

1713994260

[Anonylz]

No longer news, they can easily get their hands on those data from all the centralize exchanges out there, where they will experience a road block is with dex since no kyc is required to trade, goodluck to them, lol, this is the reason why many crypto users are avoiding all this centralize exchange because of unforeseen situations like this, one way or the other tax authority will find a way to get you, it seem not going to be easy to avoid them.   

[joseyphil82]

What the heck is happening? Canada’s tax authority is reportedly asking a federal court to force cryptocurrency exchange Coinsquare to hand over information and certain documents on all of its users since the beginning of 2013...

News source: https://news.bitcoin.com/canada-tax-authority-coinsquare-crypto-exchange-data-all-users/

This is just fcuk up, seriously

It's not a fuck up, I don't expect centralized exchanges to be that loyal in the first place and I don't believe that users data are safe in the hands of any centralized entity, at least they are fully centralized after all, maybe it's finally the time for DEX to take over? Let's wait and see what will happen from here on

[btc78]

What the heck is happening? Canada’s tax authority is reportedly asking a federal court to force cryptocurrency exchange Coinsquare to hand over information and certain documents on all of its users since the beginning of 2013...

News source: https://news.bitcoin.com/canada-tax-authority-coinsquare-crypto-exchange-data-all-users/

Is this a Centralized exchange?if does then what can you expect?and besides Government need not to ask for it because they can just dig the info and do what they wanted.

I know that flame.exchange and most DEXs don't require KYC

So you got a chance to promote DEX exchanges lol.

Not only DEX are decentralized there are also some exchange in which not dex but have no KYC requirements.

[DoubleAweSeven]

I think this is just exchanges that is registered on Canada? But I think this is inevitable at some point. What ever their decision, they'll be affected in many ways. If they don't hand the data of the users, they might stop operating, if they hand over the data of the users, they might lose some of their users. Either way, they lose.

[jessyj48]

This is why I fear centralized exchanges, government can easily control such exchanges if they want, till this day I still trade on binance without approving KYC verifications, since I'm not hitting the minimum requirements for KYC yet I will be fine, on data part centralized exchanges can't be trusted

[Doranile432]

What the heck is happening? Canada’s tax authority is reportedly asking a federal court to force cryptocurrency exchange Coinsquare to hand over information and certain documents on all of its users since the beginning of 2013...

News source: https://news.bitcoin.com/canada-tax-authority-coinsquare-crypto-exchange-data-all-users/

Honestly I've been waiting for the time that DEX exchanges will take the power from centralized exchanges, maybe this is it? If users data are been shared with the government centralized exchanges will lose lots of customers and finally they will have to embrace DEX, I know volume and liquidity is what DEXs don't have but with this it will happen eventually

[jcarlo]

What the heck is happening? Canada’s tax authority is reportedly asking a federal court to force cryptocurrency exchange Coinsquare to hand over information and certain documents on all of its users since the beginning of 2013...

News source: https://news.bitcoin.com/canada-tax-authority-coinsquare-crypto-exchange-data-all-users/

This could spread to other countries because the government certainly wants to collect taxes from the cryptocurrency market whose transaction value continues to increase. But if this happens, I think our funds should be safe in the exchanger because the exchanger can act like a bank where we store our assets.

[tarable]

What the heck is happening? Canada’s tax authority is reportedly asking a federal court to force cryptocurrency exchange Coinsquare to hand over information and certain documents on all of its users since the beginning of 2013...

News source: https://news.bitcoin.com/canada-tax-authority-coinsquare-crypto-exchange-data-all-users/

This really surprised me because from before I myself had never found anything like this in other countries and even neighboring countries from Canada as well, so if I may know their purpose for asking all those documents for what?

[JeffBrad12]

I know this will happen for sure. The tax authorities are seeing crypto as another source to get more income for the countries. Dex is the only solution to this.
I think we will see that if it's not only canada but another countries will be trying to do the same like what canada did with coinsquare.
The tax authority seeing it as an opportunity.

[KIZILAGA]

 So what? i had Grin and lost my keys 

[Kvalentine]

Then let's get ready for DEX taking over, though I'm not a fan of dex exchanges because of lack of liquidity and trading volume but I remember that binance got binanceDEX    so I got nothing to worry about here, this is why I always have problem dropping my KYC information to third parties.

[concept2]

Tax is one of the major problem to the government and it is certain that they will not allow businesses operating without paying a single tax. But I do not like an idea of forcing an exchange to provide its customers' private data. Well, this means that governments still do not like bitcoin and other cryptoccurencies at all. Being anonymous gives people too much power which make the leader scared of

I guess Coinsquare must have a solution for this circumstance. Many consequences will happen if they decide to transfer all the data. They are likely to lose all of their reputations and clients. Compromise is necessary. There are many firms moving to other country to avoid being controlled by the governments. Personally, I want them to do that

[Greatchu]

I'm wondering what government plans to do with the data, honestly I don't like this because they will know the worth of every crypto traders, I'm glad  I use dex exchanges most times for selling coins, I don't do trading much but if I have to there are still few centralized exchanges that are useable without KYC

[L A R A]

Only exchanges that are centralized and request our personal data (KYC) can do that. If an exchange were decentralized, of course, the tax authorities would be in trouble for that. I think DEX will be the future of crypto.

[yurez]

This is just the beginning, in a few years, tax authorities in many countries will be more closely monitoring crypto traders and their income on centralized exchanges.  Some centralized exchanges do not ask for your personal information, but the future will still be with decentralized exchanges.

[barbara44]

these regulations are like that, but it is very good for the future of crypto currencies,
because cryptocurrencies are recognized by the state, maybe taxes will be imposed on the condition, not all members are given taxes

There should be no reason one should trade on centralized exchanges if they don't want to pay taxes or evade them, there are so many DEX made for the exact same reason for people who wish to remain unknown and don't want to pay taxes. If paying taxes is right or wrong I don't want to get that debate going here but if you are using centralized exchanges you should be fine with the law enforcements as well.

till this day I still trade on binance without approving KYC verifications, since I'm not hitting the minimum requirements for KYC yet I will be fine, on data part centralized exchanges can't be trusted

You know Binance doesn't ask for verification for certain under limits but they can ask your verification if they found something fishy or they detect certain abnormalities.

[Jawhead999]

Not only DEX are decentralized there are also some exchange in which not dex but have no KYC requirements.

I bet you're referrs to Binance since they didn't required any KYC but there's a limit with the withdrawal.

To be honest Binance DEX aren't trully decentralized exchange, they can force you to submit KYC anytime if they wanted.

When most DEX exchanges don't need KYC, actually it is a very big danger, because scammers can easily enter there and easily put useless tokens there, so users who trust the DEX exchange too much will always be victims scam.

Self education is a must in this case, you'll not be scammed since you already know how to differentiate scam token and don't be greedy.

[sheenshane]

That's the problem if we are using CEX for crypto trading, there's a big chance that the exchange site will reveal your real identity.  We can't blame the country of Canada because since the start they are against and fighting fraud activities in their country.  Tax evasion is one of the very common problems of the government, of course, they need to force implement this for the sake of economic growth.

If you don't care about your government and evade tax, there's no reason you will use DEXs in trading.  It's completely anonymous that will never reveal your real identity once government confiscates on exchange.

[BlackFor3st]

It's not that surprising at all as the government will surely to find a way to increase it's tax collection especially if they can see this kind of chance where
they can surely get a good amount of tax if they can force a certain exchange to pay their taxes.

But I am not so sure if it is very necessary to hand over all the users information and certain details because their is a big risk that the users privacy will be in danger
in this situation even if we can say that the one asking for it is the government itself.