As mentioned in another thread, this isn't necessarily true, particularly if redeeming bitcoin for something else causes a taxable event which triggers long and

As mentioned in another thread, this isn't necessarily true, particularly if redeeming bitcoin for something else causes a taxable event which triggers long and short-term capital gains. This hinges on the government defining Bitcoin as "property" which is distinct from "money". They normally assert that only US currency is "money". As such, any property that changes value (i.e. Bitcoin) is subject to capital gains tax. So if spenders of Bitcoin don't mind filing a separate tax form for every Bitcoin transaction, then Bitcoin fixes this. Otherwise, not so much. Bitcoin does fix the problem in the sense it is obviously property. But that doesn't solve much.