Worries over legality of cryptocurrency In most countries2 min read
There are worries from various parts of the world concerning the validity of cryptocurrency, and how genuine and acceptable it is around the world. So the question on people’s mind is how legal is cryptocurrency? Would it be accepted in my country? Or, would retail giant like Amazon accept cryptocurrency as a means of buying goods. Just how legal is this money.
Legal Status of Cryptocurrency
Cryptocurrencies legal status varies from country to country, as its state has been made legal by some countries, while others have still not officially made it legal. Cryptocurrency is accepted in the United States of America, as it citizen uses it to purchase goods and service from online shops that accept bitcoin and other crypto coins. The Internal Revenue Service (IRS) of USA decreed in the year 2014, on March 25, that bitcoin will be treated as property for purposes of tax. This action by the government of USA made it possible for bitcoin to be subjected to capital tax, thereby clarifying bitcoin legality, thus, putting an end to the fears of investors who had the worries of investing in something illegal.
It is obvious that bitcoin and other crypto coin has gain acceptability in the USA, but in another developed country like Russia, they are planning to ban the sales of cryptocurrency to ordinary people. They fear that it would be dangerous and lead to loss of money. On the other hand, China and South Korea are currently heavily monitoring the flow of cryptocurrency, as they have both banned initial coin offering, (ICF).
The madness of crypto coin has enveloped the heart of so many, so each country is bringing out ways to control the flow of this currency that has the potential to lift people out of poverty, and still has the tendency of being the means by which some people would promote fraudulent activities. So, there is the need for rules and regulations in a bid to curtail any negative activity and secure the transactions of currency.
In conclusion. There is increasing investment in cryptocurrencies technology around the world. Some countries have made it legal, while some are yet to have a formal regulation of its transaction. But one thing is obvious; Cryptocurrency has made a bold financial statement.