Day: April 26, 2018

Various digital asset operators in Thailand have submitted a request to remove capital gains taxes on cryptocurrencies. Unfortunately, that request has been denied by the country’s Revenue Department. The 15% withholding tax on digital asset trades will remain in place for the foreseeable future, which may hinder the country’s chances of making a positive impact in the cryptocurrency industry.

Thailand Maintains Cryptocurrency Withholding Tax

Every time a country’s government or financial agency decides to issue cryptocurrency taxation guidelines, there is a lot of feedback to contend with. Although one might argue taxing Bitcoin and other currencies brings more legitimacy to this new form of money, it also poses a fair few issues for traders. Especially when it comes to filing and reporting taxes, things are never as easy as they appear at first.

In Thailand, the situation has taken an interesting turn. With various digital asset operators requesting that the Revenue Department remove the 15% withholding tax, a clear message has been sent. Sadly, this request has been denied by the agency because they are convinced that retail investors should not be encouraged to trade such assets now or in the future.

A royal decree to regulate cryptocurrency and digital asset transactions in Thailand is a positive development, as it shows the nation has no interest in banning cryptocurrency or related activities, unlike some other countries in Asia. However, the 15% withholding tax will make it less appealing to dabble in cryptocurrencies and digital assets, which is not the optimal outcome by any means.

With the government mainly intent on protecting retail investors from losses from trading digital assets, the withholding tax makes a lot of sense. Additionally, Thai officials want to ensure that digital assets and cryptocurrencies cannot be used for money laundering purposes. Anyone who makes a digital asset trade in the country will pay a 7% value-added tax and the 15% withholding tax on capital gains and returns. That is, assuming this royal decree is approved and enforced by the Council of State.

Thailand has not exactly been a frontrunner when it comes to cryptocurrency. Even so, there is a booming ecosystem in this part of the world. Whether or not these new regulations will have a big impact on local interest in digital assets is a different matter altogether. It is possible that users will simply buy their currencies and hold onto them longer due to these additional taxes. That would not necessarily be a bad outcome.

All of this further confirms that various countries around the world will let cryptocurrencies thrive, despite issuing taxation guidelines. It is still a preferable alternative to having cryptocurrency activity banned altogether. With more Asian countries taking a semi-positive approach in this regard, it will be interesting to see whether or not China will change its stance on cryptocurrencies in the future.

Comcast’s venture capital arm is bullish on Bitcoin and blockchain, although they are still waiting to see blockchain’s “killer application.” #NEWS

April 26, 2018 — A few months ago the bill on regulation of the decentralized property meaning creation of own digital currency has drafted in Russia. While the Central Bank of Russian Federation progresses in realization of the idea to create a national cryptocurrency, the CryptoBank development team has made this idea a reality. The CryptoBank blockchain startup has created a Cryptoruble – a decentralized, non-volatile cryptocurrency linked to the Russian ruble.

Besides Cryptoruble, the project has also presented such cryptocurrencies as Cryptodollar, Cryptoeuro, and Cryptoyuan. Each cryptocurrency is processed in a separate blockchain and has the fixed value linked to the similar fiat currency. So, 1 Cryptoruble = 1 Russian ruble, 1 Cryptodollar = 1 US dollar, 1 Cryptoevro = 1 Euro, 1 Cryptoyuan = 1 Chinese yuan (CBD = USD, CBE = EUR, CBR = RUB, CBY = CNY). At the moment, you can buy or sell these cryptocurrencies on the cbex.co.in platform.

To be able to provide appropriate stability of the price, the project uses a method of rate support in reserve storages and diversifies funds. At the same time, CryptoBank does not need to store reserves in traditional financial institutions.

Unlike the fiat currencies that are subject to regulation by the central authorities of the country in which they issued, the CryptoBank cryptocurrency is decentralized, and therefore is not subject to geopolitical and age restrictions.

CryptoBank’s tokens have a number of advantages not only over fiat, but also such cryptocurrencies as Bitcoin, Ethereum, etc. They are convenient not only for paying for goods and services in everyday life, but also in case of need to preserve the assets value. 

Today cryptocurrencies have considerable volatility and present themselves the speculative tool in the market. Owners of CryptoBank tokens will be able to take all blockchain technology advantages without experiencing volatility, thanks to the anti-inflationary algorithm applied in algorithms of mining CryptoBank.  It is necessary in order that participants of the market may interact in their usual environments and CryptoBank is ready to help them in this.

The post PR: CryptoBank Gets Ahead of Bank of Russia and Creates Cryptoruble appeared first on BitcoinNews.com.

Crypto exchange Binance’s last two quarterly net profits have outperformed Deutsche Bank’s just-posted first quarterly. #NEWS

Mt. Gox has recently consolidated 16k BTC and 16k BCH from its cold wallets. #NEWS

The recent debacle involving Coinbase and the WikiLeaks shop has caused a fair bit of controversy. It is evident WikiLeaks will need to find a new way to solve its issues and deal with Bitcoin payments. Some people have even suggested looking at Kraken as an alternative, but the company acknowledges they are not in the best position to make good things happen.

Kraken Shares Some Honest Insights

It is hardly ever in the best interest of a cryptocurrency firm to acknowledge they are not the best option when dealing with Bitcoin payments. In the case of Kraken, the firm is mainly known for its exchange services, although they offer some other tools as well. On paper, it would make sense for WikiLeaks’ shop to accept Bitcoin payments through Kraken.

However, the exchange acknowledges they are not the smartest option in this regard. More specifically, the exchange has alerted users on Twitter that they are a “centralized choke point”. It is a very interesting way of phrasing things, although it also makes a lot of sense. Any centralized entity providing a Bitcoin-related service is a third party, which is not what this decentralized form of money is all about.

Thank you all for suggesting Kraken as an alternative for @wikileaks, however, Kraken is also a centralized choke point. Those who require uncensored financial autonomy should control their own private keys and rely only on the blockchain for processing.

— Kraken Exchange (@krakenfx) April 24, 2018

Instead, users should control their own private keys and use only the blockchain itself for processing payments. There has never been a need for custodial services, nor should there ever be when it comes to dealing with Bitcoin payments. For some reason, a lot of companies have made a lot of money by offering third-party services in the cryptocurrency industry.

With Kraken openly acknowledging they cannot provide users with the financial freedom they seek, an interesting precedent is created. However, everyone who does their own research knows all too well that exchanges and service providers are custodial services. Setting up one’s own method of dealing with Bitcoin payments can still require third-party service provider APIs, but with one’s own Bitcoin address to which one has the private key. That is how these payments should be completed from day one.

So far, the Bitcoin community seems quite pleased with Kraken’s honesty in this regard. Although calling itself a centralized choke point is not necessarily a flattering statement, it is the unbiased and simple truth. Whether or not this will lead to more people accepting Bitcoin payments directly instead of using third-party providers is a different matter altogether. It does mean users will need to convert Bitcoin to fiat currencies themselves, rather than having a third party do it on their behalf.

In the end, Kraken is scoring a lot of brownie points from all this. Their statement will only make the exchange more popular, at least until decentralized trading protocols become the new normal. In this day and age, it is due time people started taking Bitcoin wallet practices more seriously, as owning your private key equals owning your financial future.

North Carolinian Congressman Patrick McHenry has commented recently that the race to pass legislation for the cryptocurrency industry is simply an example of policymakers doing “something” rather than “nothing.”

Mc Henry, an outspoken member of the North Carolina House of Representatives, commented to CoinDesk on Tuesday, suggesting that the cryptocurrency space was being subjected to “the hype of Bitcoin” and “irrational hysteria”. He went on to argue that attempts by Congress and Policymakers to find solutions to existing issues rapidly are not the solution. He suggested that existing laws should be applied to the current technology:

“I think we need to take a comprehensive look at the ways this emerging technology already fits within our regulatory structure that exists today before we look at new regulations or new laws that might be needed,”

California Republican Brad Sherman’s labelling of cryptocurrencies as “a crock” at a recent ICO hearing has been countered by more positive voices who argue that any attempt to smother the cryptocurrency ecosystem is a mistake. Mc Henry has called for laws which protect users, but encourage further blockchain development, pointing out, “I think there’s such a great opportunity around this technology that I think we have to be open to it and we have to have federal regulation and law that respects it..”

The congressman suggests that the race to regulate is not the answer to fraud and “bad actors” as the current regulatory process is working.  He argued that Congress should be focussing on learning about cryptocurrencies and blockchain and their uses, and particularly how blockchain technology is applied to crowd-funding and payments.

The 2018 Joint Economic Report published by the US Congress in April expressed largely positive comments about the future of fintech and cryptocurrency. This year included a section dedicated to cryptocurrencies and the blockchain technology

“Policymakers, regulators, and entrepreneurs should continue to work together to ensure developers can deploy these new blockchain technologies quickly and in a manner that protects Americans from fraud, theft, and abuse, while ensuring compliance with relevant regulations.”

The report also suggested that Congress should consider, and examine, new uses for this technology at all levels.

https://pixabay.com/en/usa-court-right-paragraphs-hammer-2018855/  source.Kahll H

The post Regulation Race Won’t Solve Crypto Fraud Says US Congressman appeared first on BitcoinNews.com.

The CEO of Binance has announced that the exchange is partnering with Crypto Savanna, a Ugandan blockchain startup, to aid in the economic development of the East African country, according to a Twitter post.

Binance and Uganda

Binance, the world’s largest cryptocurrency exchange by market capitalization, has plans to help bolster Uganda’s economy and create thousands of jobs for young people. Changpeng Zhao, the founder and CEO of Binance, is currently in the country where he is working with the local blockchain community to explore opportunities for collaboration, including an open meeting held with the Blockchain Association of Uganda (BAU).

As per the Tweet, Zhao says his company is working on plans to ‘support Uganda’s economic transformation and youth employment through blockchain, embracing the 4th industrial revolution.’ The exchange says the partnership ‘will do this by creating thousands of jobs and bringing investments to Uganda.’

Zhao’s meeting with the BAU comes as a lead up to their Africa conference which is set for late May. The partnership also features prominent innovative figures in African development, including Aggie Konde, CEO of Msingi East Africa, and Helen Hai, CEO of the Made in Africa Initiative. Binance will be working with the organizations to explore blockchain options:

“Binance is tailor-making partnerships according to the environment,” the BAU quoted him as saying. “We want to understand the landscape and grow our understanding of the market.”

Binance is currently the largest cryptocurrency exchange in the world, with 24-hour trading volumes of almost $2.5 billion according to CoinMarketCap. Originally based in China, the exchange was forced out due to the country’s cryptocurrency regulation. It now has offices in Hong Kong and Japan, and is planning to open another in Malta.

The Blockchain Association of Uganda is a non-profit advocacy group. Its aims are to promote blockchain-based technologies in the country, organize events, support blockchain projects, and represent the country on an international level.

Cryptocurrencies and Uganda

Despite the fact that Uganda is rich in natural resources like coffee, tobacco, sugar, metals, and oil, it is one of the poorest countries in the world. As citizens look outside the landlocked country — home to 42 million people — for work, Uganda has become home to one of the largest remittance markets in the world: in 2016, Ugandans sent more than $1 billion home, as per recent figures from World Bank data.

Large numbers of people across many regions of Africa do not have access to banks, and more than 30 million Africans work abroad and send money home. Because of this, blockchain-based technologies that allow people to connect with alternative financial options are likely to find mass adoption in the continent if properly implemented. Also, because of blockchain’s decentralized nature, it can be used to prevent fraud and corruption — something many African economies and governments have struggled with in the past.

Image from Shutterstock.

The post Binance Meets With Ugandan President, Plans to Support Nation With the Blockchain appeared first on NewsBTC.

Bitcoin has dropped to $8,800. This is a $100 drop from yesterday’s $8,900, which in turn was a fall from the currency’s previous high of $9,300 last Tuesday.

People are scratching their heads and wondering what’s going on. Bitcoin’s market cap has sunk from $158 billion to $140 billion in less than 24 hours. Analysts were sure a bull run was imminent and likely to continue through the summer, but after two consistent falls from grace and a near five percent slump within 48 hours, it’s safe to say that some are a little confused. Were the analysts wrong, or is this just a small break in the financial chain that’s likely to be mended?

The drop may be the result of Nexon’s recent dealings (or former dealings) with Bitstamp. Nexon is a South Korean video game developer that began in 1994. The company was recently rumored to have purchased Luxembourg-based cryptocurrency exchange Bitstamp for a whopping $350 million.

Had the deal gone through, it would have been the third-largest crypto-related takeover this year after Circle acquired Poloniex in February and Monex Group took over Coincheck in March. Sadly, the partnership doesn’t appear solid. Executives of Nexon are denying they were ever in talks to purchase Bitstamp, citing misrepresentation of facts and speculation as the reasons behind the story getting out.

Bitstamp stands as the world’s tenth-largest cryptocurrency exchange, so given its size and popularity, the death of the purchase rumors may have taken a toll – at least in the short-term – on bitcoin’s price.

Strangely, the currency’s value showed no gains even after Nasdaq stated that in the future, when the market shows further signs of maturity, it would be open to serving as a cryptocurrency exchange, thus bringing bitcoin and its altcoin cousins closer to mainstream acceptance. Though CEO Adena Friedman says cryptocurrencies still have a long way to go, she understands the strength and promise they hold, and thus sees Nasdaq’s future aligned with them within the next ten years.

Perhaps the biggest concern (once again) stems from the now defunct bitcoin exchange Mt. Gox. At this stage, all that name does for anyone is conjure feelings of stress and strain, and it appears the company recently moved as many as 16,000 bitcoins from its vault to an unknown address. This has caused panic over what some claim could be a sign of an incoming crash.

Many have speculated over what feels like Mt. Gox’s consistent power over the bitcoin community. Some blame a recent sell-off instigated by the company’s remaining trustees as the reason behind bitcoin’s drop to $6,600, though representatives deny their actions bore any brunt on the price.

The shift was first noticed and reported on by The Next Web, and it’s the first time in nearly three months in which the company has moved any of its assets.

“It appears the Mt. Gox trustees have moved the funds to a wallet belonging to an exchange desk,” wrote analyst Ivo Jonkers. “The last time this happened, Mt. Gox proceeded to sell the funds at market rate, practically sending the entire market in the red. I wouldn’t be surprised if this happens again.”