Topic: Bitcoin in legal sense - page 3. (Read 4551 times)

Many countries still accepting the block chain technology but where as bitcoin is not implemented as one of the payment option yet. Bitcoin is not completely treated as currency or it will be like commodity nobody has no idea about it.Many people are saying bitcoin will treated as one commodity like gold.

To the best of my knowledge, there is no country that has legalized Bitcoin as an official currency. But I am very sure that in the next 5 years, we will be having a few countries who will recognize the use of Bitcoin and therefore legalize it as legal tender. Given that it has been informal for some time now, I know governments are finding better ways of dealing with it.

Bitcoin has elements of currency, of personal property/commodities and of securities. The State of New York has a special BTC License so they are far ahead of the curve as to state regulation. That is both good and bad. The State of Nevada does not consider BTC as a medium of exchange or as a store of value, there are just no laws here in Nevada relating to it.

Having said all of that, the U.S. Federal Government, U.S. Treasury, FinCEN enforcement arm or the Treasury, considers using BTC as money transmission for purposes of AML and KYC reporting.

As to Federal Income Tax; once you convert your BTC to cash, if you have made a profit (after itemizing expenses and costs of course) then it is considered income and you must pay taxes on it.

As to some states, depending upon the business model, acting as a business entity that trades BTC for profit can be considered acting as a money transmitter and a money transmitter license is required.

Everything clear as a bell?

Really the biggest challenge facing BTC right now, in my opinion, as to getting wider common use, is the fact that it goes up and down in value so much. That makes vendors shy. Wouldn't you be? If you sold an item for one BTC that had the cash equivalent of $400 and at the end of the day you sold the BTC and converted it to cash and the BTC was only worth $350 at that later time, well....you get the point.

Nevertheless, I think stability of BTC will come with time. Either that or there will be a replacement that solves this problem.

George D. Greenberg
www.attorneybitcoin.com

AFAiK. Theres no country has been treating bitcoin as a currency. Thats one of the topic bout bitcoin that being debated recently. Some country treats bitcoin as a property. But it doesnt matter how they treat bitcoin. Its just for legal purpose or taxation purpose. It doesn't really affect the value of it. But for me, its both currency and property.

From what I know after Greece and the fall of their economy, they were thinking about adopting BTC as a main currency. Although this claim didn't get through, to no surprise it became wildly popular as an alternative there.

In legal terms, Bitcoin has capital gains tax as well as exchange and transaction fees to stimulate miners. Other than that this ecosystem is bright and there is much, much more to come with growing potential.

It is a property (which at least US says so) but you should know that every Country has its own ways. Don't be surprised if you see otherwise

Far as I know there is no country that accepts bitcoin as a real currency, because bitcoin has no form. Indeed, in some countries bitcoin can be used directly, but bitcoin has no form. So I think bitcoin can not be used as real currency. I do not know specifically legal regulations about bitcoin in another country because every country has different legal regulations. But in my country bitcoin transactions taxed around 1% whereas bitcoin is not recognized as legal payment tool in my country. Because the government considers bitcoin not safe for use so it is not recognized as legal payment tool.

I am not pretty sure with other countries but here it is recognized as one of medium of exchange but not as a legal tender. Actually, we do have already bitcoin atm but no boutique or mall here is accepting bitcoin yet. But, bitcoin has been popular and in due time I know it would easily adopt by all of us especially businesses.

I think the word "currency" is just a construct of language derived from usage by people. That's why Bitcoin already is a currency (i.e. a crypto-currency) and it doesn't need any entity to authorize its existence (because it already exists).

What you might be wanting to know if it has been declared "legal tender" in any country and I am 99% sure it has not. The irony, though, is that most people don't have a clue what the term "legal tender' means in a legal sense.

I don't think Bitcoiners would generally like the idea of Bitcoin usage being forced upon anyone (that is what "legal tender" laws accomplish).

For tax purposes, bitcoin will be classified by different countries in different ways.
The US government considers it as property.
You can start looking at the wikipedia article here and then investigate further.
https://en.wikipedia.org/wiki/Legality_of_bitcoin_by_country

sorry this is my opinion, my knowledge no country has made real bitcoin as a currency, and on its use seems no binding rules, even recently there are countries that prohibit on using bitcoin,,,,,

Hi,

Are there countries that accept bitcoin as a real currency?
Do states have legal regulations related to bitcoin?

Thanks