Topic: How Do We Make an Altcoin That Counts As Currency in IRS Eyes? (Read 413 times)
Lobby for it.
Massive adaptation, high liquidity.
If everyone trade in cryptos and not converting to government bank notes, everyone will start to call it money and the government can't do anything about it.
If everyone trade in cryptos and not converting to government bank notes, everyone will start to call it money and the government can't do anything about it.
The IRS decision treating BTC as property rather than currency has gotten me thinking. It's not an altogether bad decision nor an irrational one, but it sure makes it challenging to see how BTC can become an everyday form of payment for things like buying a cup of coffee (to use one cited example).
So I think what we need is an Altcoin whose characteristics are such that the IRS is forced to recognize it as a currency, allowing merchants to adopt it for everyday purchases. Then it would be a simple matter to trade between your "investment" BTC and your "spending" Altcoin-currency as needed, with a lot less capital-gains hassle than if you tried using BTC for everything.
So, any thoughts on what characteristics, features, and usage would make an Altcoin a currency as opposed to property in IRS eyes? Let's assume there is a solution and find it, rather than despairing on this point. I think it is an important one in the onward march of cryptocurrency, a hurdle that must be overcome. But it's not my field and I'm lacking for ideas, so I'm opening the floor to anyone who wants to hold forth.
So I think what we need is an Altcoin whose characteristics are such that the IRS is forced to recognize it as a currency, allowing merchants to adopt it for everyday purchases. Then it would be a simple matter to trade between your "investment" BTC and your "spending" Altcoin-currency as needed, with a lot less capital-gains hassle than if you tried using BTC for everything.
So, any thoughts on what characteristics, features, and usage would make an Altcoin a currency as opposed to property in IRS eyes? Let's assume there is a solution and find it, rather than despairing on this point. I think it is an important one in the onward march of cryptocurrency, a hurdle that must be overcome. But it's not my field and I'm lacking for ideas, so I'm opening the floor to anyone who wants to hold forth.
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