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Buy, sell, send and receive Bitcoin Cash on Coinbase

blog.coinbase.com

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Re: Buy, sell, send and receive Bitcoin Cash on Coinbase

#161

Post by conanbatt »

mrb wrote: post #148
conanbatt wrote: post #72

Earlier quoted context omitted.

I have generally mixed feelings about insider trading, because in the end, people making decisions on best information looks like economically profitable for the system. That said, Coinbase did more than insider trading today, they deliberately hid their BCash announcement to perform insider trading. That is straight down fraud to me. They provoked the insider trading situation.

What evidence do you have they performed insider trading? There is none. You are just speculating.

You are putting the burden of proof on an individual with no information access to coinbases operations. At the court of public opinion (or consumer opinion in this case), the appearance of corruption is enough to condemn.

Its pretty clear something happened because there was quite a commotion hours before it happened, which means market makers knew it was coming. I have documented message sbefore the coinbase announcement that something weird was going on, and so has the community. Not only that, coinbase gave the appearance of neutrality when it deliberately lied on release date and scope of release. For what purpose but to take advantage of the information arbitrage.

Coinbase sold its users today and as a portion of the community has been vocal about, I recommend leaving coinbase to another exchange that hasn't proven to screw over their users.

Re: Buy, sell, send and receive Bitcoin Cash on Coinbase

#162

Post by josephagoss »

ohhhlol wrote: post #122
colinbartlett wrote: post #77

So if I sell my newfound BCH today, which was birthed from thin air a few months ago, but originates from BTC I bought years ago, is it short term capital gains or long term?

https://bitcoin.tax/blog/how-to-tax-bitcoin-cash-bch/ What if you had no interest in BCH but you owned 1,000 BTC. Do you suddenly have a $277,000 income tax bill? Yes, as discussed by Tyson Cross, tax attorney at BitcoinTaxSolutions.com. Since you have accession to wealth then this is taxable income.

Here is a counter point I would argue. Anyone can make a Bitcoin fork, in fact Bitcoin forks are being made every week now. Is every Bitcoin holder now liable for that?

Also these forks often collapse, so when was the income gain? The same day? You'd have people owing more tax than their entire net worth. (Forks often pump in the first day/week then drop to nothing.)

If this is possible then you could attack every Bitcoin holder by making millions of forks each day and making lots of trades to give each fork real value. If you don't declare each fork you end up getting penalties.

I would imagine a more sane way to deal with this is like how the ATO deals with Bitcoin mining. You mine Bitcoin but it's not realized until transferred to a third party.

I would argue the same for forks.

A fork is made, you have coins. But it's not like you received those coins. Technically you always had them as they are old coins just now on a different chain. If you sell the coins then it's a gain that you owe tax on.

But forcing each user to track every fork as income is impractical and not viable. You'll see more of this as thousands of forks come into existence over the coming years.

This is something I would actually look into getting a private ruling about.

Re: Buy, sell, send and receive Bitcoin Cash on Coinbase

#163

Post by mrb »

conanbatt wrote: post #161
mrb wrote: post #148

Earlier quoted context omitted.

What evidence do you have they performed insider trading? There is none. You are just speculating.

You are putting the burden of proof on an individual with no information access to coinbases operations. At the court of public opinion (or consumer opinion in this case), the appearance of corruption is enough to condemn. Its pretty clear something happened because there was quite a commotion hours before it happened, which means market makers knew it was coming. I have documented message sbefore the coinbase announ…

There was a commotion because we knew in the last 48h BCH trading was imminent: https://www.reddit.com/r/btc/comments/7kfzbi/attn_bitcoin_ca...

Re: Buy, sell, send and receive Bitcoin Cash on Coinbase

#164

Post by electic »

It is interesting to see all the people up in arms here. Everyone here is assuming that no one knew that Coinbase was going to add Bitcoin Cash. That simply isn't true.

For the last two months, they have said they plan to add it. In fact, Bitcoin Cash was about 280 dollars and it was common knowledge Coinbase was going to support it. You, the employees, and everyone else could have loaded up if you wanted to.

Lastly, there is no real incentive for employees to load up on BCH to make a quick buck. In the first seconds of trading a massive sell wall of 12,000 orders emerged and that would drive the price down dramatically.

Re: Buy, sell, send and receive Bitcoin Cash on Coinbase

#165

Post by jondwillis »

electic wrote: post #164

It is interesting to see all the people up in arms here. Everyone here is assuming that no one knew that Coinbase was going to add Bitcoin Cash. That simply isn't true. For the last two months, they have said they plan to add it. In fact, Bitcoin Cash was about 280 dollars and it was common knowledge Coinbase was going to support it. You, the employees, and everyone else could have loaded up if you wanted to. Lastly,…

I was watching the sell wall, and it built up to 12,000 slowly over the period of at least 45 minutes, probably because the ticker price said $8499 on Coinbase.

Where this all starts to smell a little funny is how badly and strangely this was rolled out, how they allowed some trades, and how the price crept up 50-100% before the announcement. Someone said they accidentally released some bitcoin cash UI feature that tipped people off a few days ago. More incompetence.

Re: Buy, sell, send and receive Bitcoin Cash on Coinbase

#166

Post by sxv »

elif wrote: post #156
huangc10 wrote: post #16

Earlier quoted context omitted.

Exactly the first thought that came to my mind. BCH up 30%. I wonder how many Coinbase employees bought BCH throughout this past month. Also. it's easily predictable that introducing a new currency will temporarily affect the other currencies negatively. Very gray area.

Eh it's up 500%+ from virtually all summer. Investing makes way more sense than trying to day-trading a 1-day 50%. Coinbase announced they'd support bitcoin cash by the end of the year. It's the last normal business week of the year. Basically anyone who paid attention to their announcements knew it was impending.

Point of clarification: there was no prior announcement that Coinbase would support trading of BCH. In the blogpost to which you likely refer, it is made clear in the last two paragraphs that they would enable withdrawal of existing BCH balances but trading support would be determined at a later date [0]. This closely follows how they enabled the temporary withdrawal of Ethereum Classic after its fork in 2006 [1].

[0] https://blog.coinbase.com/update-on-bitcoin-cash-8a67a7e8dbd... [1] https://support.coinbase.com/customer/en/portal/articles/252...

Re: Buy, sell, send and receive Bitcoin Cash on Coinbase

#167

Post by adjkant »

paulie_a wrote: post #141
ringaroundthetx wrote: post #135

Earlier quoted context omitted.

bahahaha please write my children's bedtime stories

First book: "The cat in the hat loses his hat" a story of crypto currency

That has to be the second one actually.

"The cat in the hat puts his hat on the blockchain"

Re: Buy, sell, send and receive Bitcoin Cash on Coinbase

#168

Post by Cyberdog »

passwordreset wrote: post #138
tehlike wrote: post #53

Earlier quoted context omitted.

Victimless? How so?

Um, I don't mean to be rude here, but "victimless" usually means that there is no victim, and that's the point. To paraphrase your question, "In what way is there no victim?" seems a bit like trying to prove a negative, so let's look for the positive instead. Let me try to identify the potential victims here: 1. The victim might be "the guy who bought the BCH that the employee was selling", seeing that he could have…

I'm glad you replied to that comment before I saw it, because you put it far better than I could have myself. Thank you.

Re: Buy, sell, send and receive Bitcoin Cash on Coinbase

#169

Post by conanbatt »

mrb wrote: post #163
conanbatt wrote: post #161

Earlier quoted context omitted.

You are putting the burden of proof on an individual with no information access to coinbases operations. At the court of public opinion (or consumer opinion in this case), the appearance of corruption is enough to condemn. Its pretty clear something happened because there was quite a commotion hours before it happened, which means market makers knew it was coming. I have documented message sbefore the coinbase announ…

There was a commotion because we knew in the last 48h BCH trading was imminent: https://www.reddit.com/r/btc/comments/7kfzbi/attn_bitcoin_ca...

If you believe that is true, why didnt coinbase just announced they were releasing full BCH support earlier?

Re: Buy, sell, send and receive Bitcoin Cash on Coinbase

#170

Post by an_account »

quickthrower2 wrote: post #115
an_account wrote: post #110

Earlier quoted context omitted.

But if there was a “good will” value then you would had to have paid taxes on the value at the time of aquiring the asset (when the fork happened). You can’t just be gifted something of substantial value and not pay taxes on it.

Yes that would make sense. It would be income tax then, right? If the coin crashes to 0 a week later, then you'd still pay it too, in theory.

Yes, but I think you could write off the losses, so might equal out if it crashed to 0.
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