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South Korea considers cryptocurrency tax

reuters.com

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Re: South Korea considers cryptocurrency tax

#51

Post by indubitable »

TeMPOraL wrote: post #21
indubitable wrote: post #9

Earlier quoted context omitted.

Can you elaborate on "society having to clean up after a bunch of people losing everything." ? Perhaps I'm reading too much into your post, but so far as I can tell you're suggesting you reside in a nation with stronger social systems than the US. And a number of people failing, who otherwise would not have, could pose a strain on such systems. Yet this is confusing to me since presumably we're speaking of older indi…

> Yet this is confusing to me since presumably we're speaking of older individuals. Young individuals are, generally, still earning money and so they are already sustaining their own livelihood regardless of their savings (or [sudden] lack thereof). Plenty of young people are easily to dupe with get-rich-schemes too. And earning money is not that helpful, especially on the poorer end - I mean, imagine that right now…

You have a contradiction in your logic. Poor people working "regular, shitty, low-paying high-demand jobs" do not have savings. The numbers may vary somewhat by country but here [1] they are for America. 85% have less than $10k. 50% have less than $1k. 34% have $0. And there's probably going to be a pretty good correlation with savings and income. The 15th percentile in household income is about $120,000. Interestingly enough indicating even relatively well off Americans are awful at saving!

[1] - https://www.fool.com/investing/2016/09/25/how-much-does-the-...

Re: South Korea considers cryptocurrency tax

#52

Post by pjc50 »

smaili wrote: post #8

> Australia’s central bank governor Philip Lowe warned on Wednesday the fascination with the assets felt like a “speculative mania.” Just curious, what is it about speculation that has govs so worried? It’s quite clear at this point Bitcoin has grown far too large and most are now speculating on its value as a store so what benefit is there to step in, attempt to regulate it, and risk its undoing? To me, I’m reminded…

Worst case scenario: https://en.wikipedia.org/wiki/Albanian_Civil_War

"a period of civil disorder in Albania in 1997, sparked by Ponzi scheme failures. The government was toppled and more than 2,000 people were killed" .. "By January 1997, Albanian citizens, who had lost a total of $1.2 billion—the population being only three million—took their protest to the streets"

There are now reports of people taking out mortgages or HELOCs to buy bitcoin. That is a disaster waiting to happen - it was bad enough when the mortgages were underwater because they'd been invested in houses which lost value, but bitcoins can potentially fall a lot further. Or be easily lost entirely.

Re: South Korea considers cryptocurrency tax

#53

Post by noarchy »

thkim wrote: post #48

Bitcoin and cryptos ought to be banned for good. Cryptocurrencies are scam and outright bubble that will bring down the world economy. There is no currency without an authority to guarantee its value. Cryptos are pure bubble. If there is any good in this thing, it's ease of transaction, which is a question of underlying technology - it has nothing to do with lack of authority or decentralized scheme that cryptocurren…

The good news for the rest of us is that it is very difficult to "ban" cryptocurrencies. That's a feature of them, of course. You can try to crack down on exchanges and methods for converting crypto to/from state-backed currencies, but that doesn't actually stop crypto.

Re: South Korea considers cryptocurrency tax

#54

Post by noarchy »

indubitable wrote: post #12
JetSpiegel wrote: post #10

Earlier quoted context omitted.

If non-professional investors start putting their life savings into Bitcoin and it crashes, the government can't just say "though break, you will starve on retirement"

I think this almost certainly is not the reason. You can take something as simple as lotteries to show this. Lotteries specifically target and exploit lower income individuals who we can say are probably not 'professional investors.' And they're huge money. In 2016 $80.55 billion was spent on lottery tickets in state lotteries in the US. [1] That's hundreds of dollars per person if each and every adult in the US boug…

Where I live (in Canada), it isn't just the lottery. Some provincial governments run full-fledged casinos, and pocket the revenue from that. It can be quite easy to sink a great deal of money into casinos, and unfortunately, some do.

Re: South Korea considers cryptocurrency tax

#55

Post by giblaz »

thkim wrote: post #48

Bitcoin and cryptos ought to be banned for good. Cryptocurrencies are scam and outright bubble that will bring down the world economy. There is no currency without an authority to guarantee its value. Cryptos are pure bubble. If there is any good in this thing, it's ease of transaction, which is a question of underlying technology - it has nothing to do with lack of authority or decentralized scheme that cryptocurren…

> Bitcoin and cryptos ought to be banned for good.

Strong statement but if you have a valid argument then I can be convinced.

> Cryptocurrencies are scam and outright bubble that will bring down the world economy.

And that's not an argument, that is purely speculation as well.

> There is no currency without an authority to guarantee its value.

There is now, they're called cryptocurrencies.

> Cryptos are pure bubble.

2 things:

1. What's the difference between a pure and impure bubble?

2. Why is it a bubble?

> If there is any good in this thing, it's ease of transaction, which is a question of underlying technology - it has nothing to do with lack of authority or decentralized scheme that cryptocurrencies tout as so important (and fail to deliver).

? This doesn't seem to mean anything. Please explain?

Re: South Korea considers cryptocurrency tax

#56

Post by jabgrabdthrow »

thkim wrote: post #48

Bitcoin and cryptos ought to be banned for good. Cryptocurrencies are scam and outright bubble that will bring down the world economy. There is no currency without an authority to guarantee its value. Cryptos are pure bubble. If there is any good in this thing, it's ease of transaction, which is a question of underlying technology - it has nothing to do with lack of authority or decentralized scheme that cryptocurren…

Would you feel better if people stopped calling it a currency? Also do they really have to ban it, can’t they just seize it all? It might be really embarrassing if we ban it and all the capital flees to Russia.

Re: South Korea considers cryptocurrency tax

#57

Post by thkim »

noarchy wrote: post #53
thkim wrote: post #48

Bitcoin and cryptos ought to be banned for good. Cryptocurrencies are scam and outright bubble that will bring down the world economy. There is no currency without an authority to guarantee its value. Cryptos are pure bubble. If there is any good in this thing, it's ease of transaction, which is a question of underlying technology - it has nothing to do with lack of authority or decentralized scheme that cryptocurren…

The good news for the rest of us is that it is very difficult to "ban" cryptocurrencies. That's a feature of them, of course. You can try to crack down on exchanges and methods for converting crypto to/from state-backed currencies, but that doesn't actually stop crypto.

you can make it illegal for a bank to do business with crypto exchanges like what SK is doing right now. If all G10 currency do this then it can kill the bubble in crypto. I actually think this is a better move for crypto's future.

Re: South Korea considers cryptocurrency tax

#59

Post by ThrowawayR2 »

indubitable wrote: post #12
JetSpiegel wrote: post #10

Earlier quoted context omitted.

If non-professional investors start putting their life savings into Bitcoin and it crashes, the government can't just say "though break, you will starve on retirement"

I think this almost certainly is not the reason. You can take something as simple as lotteries to show this. Lotteries specifically target and exploit lower income individuals who we can say are probably not 'professional investors.' And they're huge money. In 2016 $80.55 billion was spent on lottery tickets in state lotteries in the US. [1] That's hundreds of dollars per person if each and every adult in the US boug…

> You can take something as simple as lotteries to show this.

Lotteries explicitly and extensively inform the consumer precisely what their odds of getting a significant ROI are (namely "slim to none") and lotteries are heavily audited and regulated to make sure they deliver exactly those odds. When polled, those that play understand those odds for the most part and those who play the lottery compulsively understand that they have a problem, in spite of the compulsion.

A rather poor choice of analogy since I think all of us would be perfectly happy if these cryptocurrencies were managed the same way.

Re: South Korea considers cryptocurrency tax

#60

Post by thkim »

jabgrabdthrow wrote: post #56
thkim wrote: post #48

Bitcoin and cryptos ought to be banned for good. Cryptocurrencies are scam and outright bubble that will bring down the world economy. There is no currency without an authority to guarantee its value. Cryptos are pure bubble. If there is any good in this thing, it's ease of transaction, which is a question of underlying technology - it has nothing to do with lack of authority or decentralized scheme that cryptocurren…

Would you feel better if people stopped calling it a currency? Also do they really have to ban it, can’t they just seize it all? It might be really embarrassing if we ban it and all the capital flees to Russia.

any country that allows crypto as an asset will risk an enormous bubble in their economy. it will eventually suck up all capital from other asset class, because crypto can never lose value unless people stop believing in it. the only reason why people believe in crypto as an asset is because the price keeps rising, and it's because there is limited supply. it is exactly same as how art market works. if anyone fully understands what this means then they will know cryptos are extremely dangerous.
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