The European Union ordered Thursday that it cryptocurrency companies must
report their European users’ holdings to tax authorities.
The eighth Directive on Administrative Cooperation was previously reported on by CoinDesk, and will have wide-reaching implications including forcing non-EU based companies to have to register with tax entities there.
@freepatriot Explain it to me again you crypto bros, exactly how will the magic coins save you from government overreach when the government just taxes the shit out of it or worse makes it illegal and determines you're a terrorist for using it?
@SunMcNukes @freepatriot lol, they will just shut down the exchanges,you still need to buy/convert, or the person you sell to needs to buy/convert or it's worthless.You could do cold storage and trade in person like drug dealers I suppose, but there's no value unless someone at some time can convert. If the gov wants to shut it down they will and several coins and exchanges have willingly given up clients.
You do you bro, but I suspect that the privacy/pirate coins are a glowie opp...
Decentralized exchanges like Bisq and in person exchanges where such services are required, and avoiding conversion to government fiat wherever possible (use income in crypto to pay for expenses in crypto).
@teknomunk @freepatriot @SunMcNukes without conversion by someone at some point it's worthless. You and I could trade slips of paper we claim are worth millions, but if we can't convert to something else or convince someone else our slips of paper are worth something, they are worthless. The gov can shut it all down at any time, either the company, the servers, some chink in their armour, OR just make it illegal and claim you are a terrorist. Get out in the sticks and become self sufficient
This old canard? (Something only has value because you can exchange it for government-approved paper/coin)
A currency has value because it can be exchanged for goods and services directly. That's it. People are more willing to exchange goods and services for crypto or your IOU papers if they expect to be able to exchange it later for goods or services. "Goods" includes other currencies like government fiats.
Government fiat gets value by being exchangable for the service of having the government not throw you in prison for tax evasion, to post bond, pay court fees and a number of demands backed by threats of violance.
This is also why you correctly consider those millions of scraps of paper as worthless: you know that nobody would accept them in exchange for something of value.
Bitcoin was completely worthless up to the moment that a pizza delivery was paid for in Bitcoin. I can, right now, order gold and silver coins with Bitcoin (https://www.jmbullion.com/about/payments/, 3% discount, limit $50k).
Everyone makes these types of determinations, but almost everyone does it subconciously.