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It is indeed a taxable event. People who exchange crypto for “stable”coins are generally doing so to stay out of the KYC banking realm so they can lie about the
by slyfocks 4y ago
It is indeed a taxable event. People who exchange crypto for “stable”coins are generally doing so to stay out of the KYC banking realm so they can lie about their transactions to their country’s tax authorities.
- mateuszf 4y agoMaybe in US, but not in all countries.
- robinduckett 4y agoIn the UK, it is only a taxable event when the coin is exchanged to a "readily convertible asset", i.e. Bitcoin, Mainnet ETH.
- cmsd2 4y agoI don’t know where you got this advice from but this is precisely wrong from my reading of the rules. An asset exchange between two non legal tender assets is treated exactly the same as any other disposal and acquisition and absolutely is a chargeable event.
- leereeves 4y agoTether isn't readily convertible?
- cma 4y agoNot if we dont even know what it is backed by, readily convertible one minute, can't dump it for $.01 the next once it happens.
- cmsd2 4y agoPlease tell me this is a joke. The fact tether trades readily on an exchange is a major factor for it being convertible, even if at a price you don’t like.
- toss1 4y ago>>tether trades readily on an exchange is a major factor for it being convertible ... for now We've seen lots of the crypto exchanges fail to make exchanges for hours to days when things get hot Official stock exchanges have a standard practice of halting trading in stocks when unusual events happen. Sometimes this cools the market and things get back to normal, sometimes the thing has gone to zero when If Tether crashes to $0.01, I'd be a bit surprised if it didn't stop being convertible for a significant time.
- grey-area 4y agoAll currencies are readily convertible assets by definition.
- dropnerd 4y agoi pay my taxes. i make money providing liquidity between eth and usdc. when i'm not lp'ing, i see no reason to switch to usd so long as us-based attestations continue to be solid. the opportunity cost of being in usd on coinbase is missing lucrative nft deals.
- Jommi 4y agoYou're on the internet sir, this is not only an American website.