Cryptocurrency

[AtW]

But all existing payments methods cost someone somewhere money.

Do you work for free?

Obviously something as IMPORTANT as payment processing costs money, like it fecking should!

And "Bitcoin"'s transaction confirmation costs money - without which there was no transaction!

Transaction confirmation AND safe storage can not be quicker/safer in "blockchain", which is mostly controlled by feck knows whom "mining" in China, which in practice means Chinese Govt got all the leverage.

Blockchain is NOT efficient solution... unless you are a criminal who can't rely on single point of failure, not from technical point of view but from legal money-get-arrested point of view. Now for those guys blockchain is perfect, which is yet another reason why it should be nuked ASAP.

The only reason "bitcoin" is even mentioned in the news is due to speculative bubble that was created in large part due to mass media.

[SunnyInHades]

BTC/USD

17/10/2010 1 BTC = $0.1
17/04/2011 1 BTC = $1
31/05/2011 1 BTC = $10
31/03/2013 1 BTC = $100
28/11/2013 1 BTC = $1,000
01/12/2017 1 BTC = $10,000

With huge pullbacks in between.

Who knows, maybe

01/12/2018 1 BTC = $100,000

Or just as likely

01/12/2018 1 BTC = $1000

A fantasy dream to some, a nightmare for others and Governments, once only whispered in corridors:

1BTC = $1million

"Pundits including self-help guru and former hedge fund manager James Altucher and MGT Capital Investments CEO John McAfee are already predicting the fabled $1 million dollar Bitcoin as soon as 2020."
"Wences Casares, CEO of bitcoin wallet Xapo and member of PayPal’s board of directors: predicts it will hit $1 million in 5-10 yrs"

The $1 million Bitcoin would obviously make 'Satoshi' the worlds richest man, it's first true Trillionaire, and arguably one of its most powerful.

[DimPrawn]

One important aspect:

https://www.taxadvisermagazine.com/a...itcoin-trading

In the UK, the guidance given by HMRC is that a trading activity will continue to be assessed on the basis of preparing profit and loss accounts to determine taxable profits; and the value of goods or services bought or sold using virtual currencies must still be accounted for at their market value or the exchange value of the virtual currency converted into UK pound sterling.

This is clear for an existing trader, but an individual holding bitcoin or other virtual currency may not be sure whether their investment or holding is taxable or whether the losses are allowable. If speculating on the coins increasing in value, it may be that this activity is seen as akin to gambling; and if HMRC agree there would be no tax due on wins, but no relief for losses either. If the virtual currency is held with the intention to create long-term wealth, then this is more in the nature of investment and the gain or loss on disposal or sale would be more likely to come into charge to tax as a capital gain. HMRC tell us that whether or not a profit or gain is chargeable, or loss-allowable, will be assessed case by case. Prospective investors should take advice on whether their activities would constitute a trade before they embark on.

So basically,

If you make a profit, HMRC will deem it "investment" and demand a slice, probably with penalties.

If you make a loss and try to claim tax relief against other gains (E.g. property), they will deem it "gambling" and tell you to sod off.

Gotta love UK tax rules....

[DimPrawn]

The $1 million Bitcoin would obviously make 'Satoshi' the worlds richest man, it's first true Trillionaire, and arguably one of its most powerful.

He looks quite happy at today's price.

[Jog On]

One important aspect:

https://www.taxadvisermagazine.com/a...itcoin-trading



So basically,

If you make a profit, HMRC will deem it "investment" and demand a slice, probably with penalties.

If you make a loss and try to claim tax relief against other gains (E.g. property), they will deem it "gambling" and tell you to sod off.

Gotta love UK tax rules....

I don't have any issue with paying tax on crypto gains - I wouldn't expect not to.

IMO crypto and bitcoin has got too big and uncontrollable, what they will do to try and get control I don't know because now blockchain tech is everywhere it will be incredibly hard to police when it's so easy to launch a new coin.

I don't mind having my transactions on a public ledger - or paying tax on gains, neither of these are weaknesses or flaws. I'm just looking forward to the tech getting a bit more stable (had a 'nonce' error moving some ETH today) - and maybe even a bit of regulation in the exchanges and ICOs could not hurt that much dare I say it.

[scooterscot]

They don't need to. They freeze all the centralised exchanges, and this will be enough to crash the BTC price back to sub $1.

Think the point is lost. Exchanges exist to make money as a middleman. This is a FIAT exchange into a decentralised world that is not required. Bitshares for example needs no centralised exchange, with which BTC/USD pairs can be traded.

[AtW]

now blockchain tech is everywhere it will be incredibly hard to police when it's so easy to launch a new coin.

They only need to shutdown places that saw money for tulipcoins, which is what FBI been doing recently but much bigger worldwide action is yet to come, and it will come soon because those tulipcoins create blackhole in terms of money laundering and tax evasion, as well as enabling mostly criminal enterprises that were forced out of cash/banking by said legislation.

Blockchain may live, but let's be honest here - you guys only give a tulip because tulipcoin goes up and up, get rich quick and all that.

[scooterscot]

Jesus.

If criminals were smart they would not be fecking criminals!

Short sighted dumbos who needed some way to get paid and the "bitcoin" offered "anonymity", no money laundering laws, no questions asked basically.

They are about to get rude awakening because evidence from "blockchain" will stand up in court nicely: massive fines for tax evasion at best.

You're starting to sound like Drei... I know the sound of someone who has missed the boat.

Don't' miss the chance in the next correction coming soon...

[AtW]

Think the point is lost. Exchanges exist to make money as a middleman. This is a FIAT exchange into a decentralised world that is not required. Bitshares for example needs no centralised exchange, with which BTC/USD pairs can be traded.

When tulipcoins were at low value and overall transaction volume was small that made it easy to hide activities of the exchanges, but now that the "exchange rate" is so high and there are billions at stake you may find it's not possible to actually change meaningful amount of tulipcoins into cash (or vice versa) - unless it's a big private deal.

[DimPrawn]

At least one mystery was solved today.