Connect with us

Bitcoin

Bitfinex Is After Your Tax Data For Crypto (BTC, ETH, LTC, XRP) Income Tax Purposes

Published

on

Bitfinex
READ LATER - DOWNLOAD THIS POST AS PDF

News reaching Global Coin Report indicate that popular online cryptocurrency exchange, Bitfinex, is adding a new requirement in its KYC (Know Your Customer) procedure. Select Bitfinex users are now being requested to submit their tax data. The data will be kept in their records to be submitted to the corresponding jurisdiction when the time warrants it.

Bitfinex is coincidentally registered in the British Virgin Islands that is known for being a tax haven. This current development looks contrary to the Exchange’s own vision of operating within a jurisdiction that is very lax when it comes to taxation. However, according to the announcement below, the British Virgin Islands might have made adjustments to its requirements and procedures specifically for tax enforcement by the IRS in the US. Below is the announcement that greeted some Bitfinex users when they logged onto the site.

Bitfinex notice on Tax information

According to Wikipedia, the British Virgin Islands has:

  • no capital gains tax,
  • no gift tax,
  • no sales tax or value-added tax,
  • no profit tax,
  • no inheritance tax or estate duty, and
  • no corporation tax

However, this new requirement might be targeting users in the US as earlier mentioned, for the IRS has expressed its wishes to collect taxes on cryptocurrency trading. Earlier this year, the American tax agency reminded Crypto traders that digital assets are considered as property and should be declared when filing their annual returns. The IRS was also quick to announce that the regular penalties and interest will apply to anyone who will be found not declaring cryptocurrencies in their returns.

With respect to Bitfinex, the above announcement has created quite a storm on Twitter with a boycott being advised by many users of the platform.

@Whalepool, which is a crypto community of day traders, had this to say about the announcement by Bitfinex:

“Bitfinex is now requiring users to give their tax information so that it can send it to BVI which will exchange it with your country’s tax authorities. We strongly disavow. If you also disagree with this decision, peacefully protest it by withdrawing your money from Bitfinex”

The Bitfinex team was quick to reply with the following tweet:

“We have not sent this message to all users. We have deliberately targeted users that we believe have an obligation to self-disclose. If a user has _not_ received a message from us, she needs _not_ self-certify anything to us at this time.”

With the above development on KYC procedures on Bitfinex, crypto traders can decide to boycott the exchange by moving their funds elsewhere or opt to comply with the new requirement.

Another option would be for the Bitfinex exchange to register in another jurisdiction that does not require similar KYC requirements on Tax data.

For the latest cryptocurrency news, join our Telegram!

Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.

Image courtesy of Pexels

Bitcoin

Is Bex500 an alternative to BitMEX?

Published

on

Bex500
READ LATER - DOWNLOAD THIS POST AS PDF

An all around review of Bex500

Bex500 is a young but rapid-growing exchange, less adversarial than BitMEX, but with higher leverage than Binance, Bex500 has enough strings to attract many crypto traders. 

Those dissatisfied with the old exchange, may find Bex500 exchange with a stable system with no manipulation or “overload”, pleasant UX, user-friendly tool kits, and around-clock customer service.

Bex500 says they are making crypto margin trading “easier” and giving you a better return. 

Can they really achieve that? We conduct a comprehensive review as below to see if it is a trustworthy exchange

Question 1. What features does Bex500 have?

Bex500 offers perpetual BTC futures as well as three other cryptos including ETH, XRP and LTC, all paired against USDT. You may find Bex500 doing a good job aggregating most important features traders need for a robust trading experience with better return.

-A fair trade with no overload

Many traders are familiar with “overload” problem, which disables placing orders in peak trading times. It is suspected to be insider manipulations by exchanges which can cost users entire portfolios.

Bex500, with its unmatched TPS (claimed to be over 10,000 orders per second), ensures that the trading…

Continue Reading

Bitcoin

How Bitcoin Has Changed Online Gaming

Published

on

online gaming
READ LATER - DOWNLOAD THIS POST AS PDF

We always hear how Bitcoin is great for the financial industry, how it can remove the middleman and help you save money while you spend money. How it can provide fast transactions at any time to any place, even when you wish to send money to someone on the other side of the world.

While all of that is true, it is important to remember that Bitcoin’s impact does not end there. The coin has already changed countless other industries, but one of the first ones that have accepted it with open arms — and therefore one that was changed the most — is the online gaming industry.

Bitcoin’s impact on online gaming

The first thing to note here is that digital currencies have found their use in online gaming thanks to microtransactions. However, it goes far beyond simply purchasing an in-game item from another player. Bitcoin’s biggest impact, without a doubt, concerns online gambling, sports betting, and similar activities.

Bitcoin brings security and anonymity

Bitcoin casino has become one of the new most popular places for an online gambler to visit, and for numerous reasons. Bitcoin brought increased security — to the financial industry, as well as online games. This is important because security is crucial for anyone who enjoys online gambling. It…

Continue Reading

Bitcoin

The Crucial Role of Cryptocurrencies & Blockchain in Modernising The Telco Industry

Published

on

blockchain
READ LATER - DOWNLOAD THIS POST AS PDF

Blockchain has caused quite a stir in recent years. In fact, there’s a school of thought that firmly believes the digital ledger technology will prove to be the 21st Century’s biggest innovation

There are a great many industries braced for the disruptive force of blockchain, and the sweeping benefits it can bring to telecommunications can’t be underestimated. 

A blockchain is a decentralised, distributed, public digital ledger that’s fundamentally used to record transactions online. Every transaction that takes place is recorded across an extensive array of computers in a way that ensures that any individual record within the chain can’t be tampered with or retroactively modified. 

Because of the virtually impregnable security associated with blockchain and the efficiency that comes with a fully decentralised ledger, there’s plenty of potential for the technology within the telco industry in particular – especially given the financial flexibility that comes with cryptocurrency transactions beyond borders. 

Let’s take a deeper look at the important role that both blockchain and its associated cryptocurrencies can play in modernising and securing the telco industry:

Unprecedented security

The arrival of blockchain is causing a stir at Deloitte. The professional services giant has contributed tens of thousands of words on blockchain within its ‘insights’ network, and there are…

Continue Reading

Elite