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This sentiment is exactly why it hasn’t worked yet. Yes bitcoin is a currency hence the “coin” in its name but a lot of crypto is not. This is a failure in educ

This sentiment is exactly why it hasn’t worked yet. Yes bitcoin is a currency hence the “coin” in its name but a lot of crypto is not. This is a failure in education in the community and also a failure by the US government to correctly classify the different types of crypto, and essentially label every blockchain as securities when only a few even approach being securities. In their desire to collect tax, they have completely mistaken one thing for another. In the same way the US hasn’t figured out that “tech” isn’t one sector of the economy but actually has 100s of new industries each of which are extremely unique. Facebook and YouTube are not two competitors just because they both are software with ads, they each exist in their own industry and monopolize their industry. You wouldn’t consider TV broadcasting and radio the same industry even though they are both forms of media. Crypto is the same, there is just so much unique software that is being miscategorized.

tootie 5y ago
I don't see how any of that is relevant. Bitcoin has failed as a currency because owners are hoarding instead of spending. But the fundamental elements of all crypto, namely anonymous transactions over decentralized Blockchain, is the only element that is giving regulators heartburn.
- smaryjerry 5y ago
  It matters because if it is just a currency then you shouldn’t be taxed on its appreciation. Right now if you say sold $100 in product and now have $100 worth of bitcoin, but then the price of bitcoin doubles and you have $200 in USD of bitcoin, then you have to pay taxes on the $100 appreciation if it is a security. The way it gets taxed will make it a currency or not.
- ashtonkem 5y ago
  > But the fundamental elements of all crypto, namely anonymous transactions over decentralized Blockchain, is the only element that is giving regulators heartburn. No, it's not. See wave after wave of stories about people thinking that crypto was anonymous only to be arrested for drug crimes and tax evasion. I think the thing that's giving the regulators heartburn is the fear that this is looking like a massive bubble.

tootie 5y ago

I don't see how any of that is relevant. Bitcoin has failed as a currency because owners are hoarding instead of spending. But the fundamental elements of all crypto, namely anonymous transactions over decentralized Blockchain, is the only element that is giving regulators heartburn.

smaryjerry 5y ago
It matters because if it is just a currency then you shouldn’t be taxed on its appreciation. Right now if you say sold $100 in product and now have $100 worth of bitcoin, but then the price of bitcoin doubles and you have $200 in USD of bitcoin, then you have to pay taxes on the $100 appreciation if it is a security. The way it gets taxed will make it a currency or not.
ashtonkem 5y ago
> But the fundamental elements of all crypto, namely anonymous transactions over decentralized Blockchain, is the only element that is giving regulators heartburn. No, it's not. See wave after wave of stories about people thinking that crypto was anonymous only to be arrested for drug crimes and tax evasion. I think the thing that's giving the regulators heartburn is the fear that this is looking like a massive bubble.