|Crypto Tax Season: What you need to know
With all the excitement and opportunities around cryptocurrencies, it might be easy to forget about crypto taxation. According to Uncle Sam, cryptocurrencies are classified as property. This means just about every virtual currency transaction from mining, spending to trading and exchanging cryptocurrencies, are taxable events for U.S. tax purposes.
With cryptocurrencies’ value constantly changing, keeping track of all that data could be a nightmare come tax time.
From 2013 to 2015, less than 900 people each year reported Bitcoin transactions to the IRS. That’s out of millions just counting the number of users on Coinbase alone.
While paying taxes can at times be painful, it is very important that you include your crypto-trading activity with your tax return. A lot of traders are convinced that because of the anonymous, decentralized nature of Blockchain and cryptocurrency transactions, that there is no way for the government to know about their cryptocurrency transactions.
Unfortunately for these people, this is just not true. The Blockchain is a distributed public ledger, meaning anyone can view the ledger at any time. Documenting and understanding an individual’s activities on that ledger comes down to associating a wallet address with a name.
If you choose not to file your gains and losses, you will be committing blatant tax fraud to which the IRS can enforce several penalties, including criminal prosecution, five years in prison, along with a fine of up to $250,000. Below are charts for both long-term & short term capital gains for your reference:
Mar-3-2019 03:39:25 PM
|Binance Dangles $100K in Tokens to Get Users Testing Decentralized Exchange
Exchange users who hold at least one Binance Coin token (BNB) in their account will be eligible to participate in the event. Each account can register up to 20 Binance Chain addresses and will receive 200 virtual BNB tokens for each address to use as starting funds for the competition.
The firm noted that the Binance Chain testnet will be reset before 08:00 UTC on March 7, clearing all existing asset balances. Once complete, trading for the competition will commence.
Binance is dividing the competition into two different events, with prizes in BNB for each.
Firstly, there’s the “Token Competition for Healthy Price Volatility,” which will see users compete to issue and list tokens on the testnet.
“The addresses that own tokens will be ranked in terms of the sum of each token price’s volatility over every five-minute interval on the ‘Token’/BNB trading pair during the competition period,” the exchange says.
There are three prizes up for grabs, ranging from 1,000–3,000 BNB.
Secondly, there an “Absolute Return Competition” event that will be ranked according to the absolute returns users achieve with their trading strategies on specific tokens. This one offers 20 prizes ranging from 50–1,000 BNB.
The BNB token is trading at just over $11 at press time, according to CoinMarketCap data.
Binance announced on Feb. 20 that the DEX was open for public testing, allowing users to create wallets and interact with the trading platform’s interface. At the same time, it revealed a blockchain explorer for the testnet of its Binance Chain network, which supports the DEX
Mar-3-2019 03:36:10 PM
|Ethereum Developers Start Search for New Hard Fork Coordinator
Developers in the ethereum community are seeking a new specialist to help coordinate major software upgrades.
Following the departure of core developer Afri Schoedon from the open-source project in late February, ethereum developers discussed the issue of who would take his place in coordinating hard forks, or system-wide software upgrades, in a meeting Friday. Schoeden left just last week after favorable remarks he made about another blockchain project sparked social media outcry.
The role as highlighted by Ethereum Foundation community relations manager Hudson Jameson would consist of “[deciding] on hard dates for submitting [Ethereum Improvement Proposals] for consideration, deciding on those EIPs, implementation and testing and then finally what day the hard fork would be.”
“Of course, they wouldn’t be a dictator in this regard, but they would be the one to come up with suggestions or different options to bring to the table,” added Jameson during the call.
Rather than delegating the role to a single individual, ethereum core developers agreed that the role of hard fork coordination could be split between two to three individuals.
Highlighting that a number of candidates have already stepped up to offer their support, Jameson concluded that the task of assessing applicants would be delegated to a group of ethereum volunteers called the “Ethereum Cat Herders.”
The group was initially started back in January by developer Lane Rettig, Jameson and Schoedon “for the broader purpose of coordination and project management” within the ethereum ecosystem.
Coordinating the ‘ProgPow’ Audits
Having successfully implemented two hard forks yesterday, ethereum core developers are now preparing for the next system-wide upgrade called Istanbul, as well as a possible upgrade to a new mining algorithm known as ProgPoW.
On the latter subject, Jameson gave an update explaining that blockchain testing platform WhiteBlock would be responsible for conducting benchmarking experiments comparing the performance of various ethereum mining devices on ProgPoW. A second audit is also in the works to test whether specialized mining hardware can be built and deployed to take advantage of the proposed mining algorithm.
At this time, the Cat Herders have not finalized a company to proceed with the second audit.
Jameson also noted during today’s call that over half of the miners in the ethereum ecosystem – 55 percent to be exact – are in favor of ProgPoW according to stats from an ongoing “hashvote” using blockchain analytics site, EtherChain.
As Jameson explained, hashvotes are specifically targeted at ethereum miners in the ecosystem who by leveraging an extra data field during their operations can indicate whether or not they favor the proposal.
However, as pointed out by core developer Alexey Akhunov, these results may depict a somewhat skewed interpretation of miner signaling, saying:
“There is another interpretation which could be useful of this 55 percent number…Essentially if those 55 percent who turned out all voted in favor that gives you essentially a lower bound on how many GPUs are currently mining in the network.”
The comments show that discussion on implementation of the proposal are still ongoing.
Ethereum logo via CoinDesk archives
Mar-3-2019 03:33:18 PM
|Ripple’s General Counsel Exits Startup
Prior to joining the firm, she “advised fintech companies … [and] led litigation teams and partnered on matters including commercial deals, [mergers and acquisitions] and [intellectual property] protection” with PayPal and eBay, according to her company biography.
The news comes as Ripple prepares to fight multiple class-action lawsuits claiming the XRP token is a security distributed by the company.
As previously reported by CoinDesk, a number of investors have sued the company, claiming Ripple bears some responsibility for the drop in XRP’s price over the last year. To help defend it, Ripple has brought in some legal heavyweights, including former SEC chair Mary Jo White.
The company has already won a number of procedural victories, with one district court-level case being voluntarily dismissed and two superior (lower) court-level cases being consolidated late last week.
Sep-9-2018 01:55:06 PM
|Bets Against Ether’s Price Hit All-Time High
The new figure represents an 81.96 percent increase week-to-week and a 162 percent jump from mid-August.
The development follows an unfavorable week for the broader cryptocurrency market and ETH in particular. From September 5-6, bitcoin (BTC) fell more than $1100, accounting for a nearly 15 percent drop. In that time, over $40 billion was shed from the market capitalization of all cryptocurrencies.
Cryptocurrencies tend to follow bitcoin’s lead after a big move, and ETH was no exception. Three days ago, ETH was valued at $287 across exchanges but today is trading at $221, according to CoinDesk’s Ether Price Index (EPI).
In all, the developments mark a more than 80 percent drop from ETH’s all-time high north of $1200, so it’s perhaps no surprise that investor confidence in ETH is at an all-time low.
When a short trade of this nature becomes overcrowded – as the new all-time high would suggest is the case – an astute investor has to consider the possibility of a “short squeeze.”
When short positions are stacked so high, a small increase in price could cause those shorting to close positions in order to avoid a losing trade. Since the only way to close a short is to buy back the cryptocurrency, its possible ETH could see a rapid price increase, also known as a “squeeze.”
Sep-9-2018 01:54:25 PM
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The investment offer of "Apex Traders" consists of three tariffs:
· 2% of profit per day for 15 days for deposits of $ 20;
· 4% of charges every 24 hours for 40 days with an investment of 300 USD;
· 6% of daily profit for a period of 30 days is available to those users who will contribute to the project from $ 3,100 and above.
We draw your attention to the fact that in the first tariff the body of your deposit is returned at the end of the investment period, and in the remaining plans it is included in payments.
You can create a deposit or withdraw funds from "Apex Traders" through Perfect Money, Payeer, Bitcoin, Advcash, Litecoin and Ethereum. According to information that is available on the project website, all payments are made instantly and this is undoubtedly a big plus.
The partnership program "Apex Traders" has two levels in depth and allows you to receive additional profits in the amount of:
· 7% of the deposit of personally invited users;
· 1% of the contribution of referrals of the second level.
Investor's personal cabinet on the main page has the basic statistics of your account, the input buttons for withdrawal of funds and the main crypto currency courses, and in the side menu sections you can:
· Create a deposit;
· See the list of your deposits;
· Analyze the history of earnings;
· Order a payment;
· Will get access to the referral menu;
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As for customer support, "Apex Traders" has a ticketing system, e-mail address, Skype support contacts and links to project groups on social networks.
Well, on this we have everything for you.
May-19-2018 07:33:41 PM