Earlier quoted context omitted.
Of course, it is, but they are arguing that it's not a taxable event, in some jurisdictions.
What jurisdictions are they? edit: I see you're asking the same question as me! Sorry!
Poland.
Top stablecoins shed $7B in May as traders redeem tokens en masse
321–330 of 376 posts
Re: Top stablecoins shed $7B in May as traders redeem tokens en masse
#322Earlier quoted context omitted.
> The interesting idea behind crypto once was to have a totally different system. the problem with this idea is that this idea of a "different" system is just merely going to evolve back into what we have today. The fundamental needs of a financial system doesn't change much, and what we have today is fit for purpose (mostly - there's efficiency to be had and red tape to cut).
In my opinion crypto (i am talking about PoS with smart contracts) is about having a decentralized open source/standards cloud for financial services/ transactions. That opens up many possibilities but everything has been completely drowned out by VCs starting defi ponzi schemes and other shenanigans.
PoS is centralizing by it's very nature.
Re: Top stablecoins shed $7B in May as traders redeem tokens en masse
#323Earlier quoted context omitted.
> Watching from the sidelines, the Crypto world seems to just be morphing into the normal financial world. Say this is true, how amazing would that be for countries without existing banking infrastructure to easily access it?
Can't they already use WeChat and AliPay?
How do you do that without a bank account?
Re: Top stablecoins shed $7B in May as traders redeem tokens en masse
#324Earlier quoted context omitted.
large (> 10K) bank and wire transfers within UK and EU are still in the order of days, not seconds. the last large bank transfer I did took 5 days without any way for me to track this transfer. the same amount I was able to transfer within crypto networks in 30 seconds and the transaction progress and it’s validation status was visible for the entire duration. the EU and UK banking system is far better than the US bu…
No idea which bank you used where a payment took 5 days (are you American?). I made a high five figure payment online when buying a property and it was in the destination account the next day. Crypto bros really have to drop the idea that it's going mainstream by allowing people to transfer money. Crypto is NOT easier or safer for anyone than a faster payment in the EU/UK. Unless you are doing something illegal.
this was with CHAPS.
> was in the destination account the next day
that’s probably CHAPS as well then as FP is within 2 hours. still a a lot slower than crypto’s 30-60 seconds, and extremely opaque process that could have taken additional days without any information to the customer.
but undoubtedly, both CHAPS and FP are very fast and inexpensive, and some of the best systems in the world for interbank transfers. unfortunately it only works from one UK bank to another UK bank, which makes up a small portion of global population. even within UK you will often have need to pay somebody who doesn’t have a UK bank.
Re: Top stablecoins shed $7B in May as traders redeem tokens en masse
#325Earlier quoted context omitted.
> You don't pay taxes until you sell stock. And here stock is whole crypto market. No, each coin is equivalent to a stock. A transaction involving swapping one coin to another is a taxable event in every country I'm aware of.
Sorry, but I'm aware how it works in my country and the taxable event is only when you exchange into fiat, service or a physical object. Example for Poland: http://lexplorers.pl/en/polish-taxation-rules-virtual-curren... German law is even better, you don't pay any tax for selling digital currencies if you hold it for at least a year.
My reading of that article is not the same as yours. It clearly state dthat gains due to crypto are to be taxed at 19% - the CGT rate.
> German law is even better, you don't pay any tax for selling digital currencies if you hold it for at least a year.
That's absolutely not the case - gains are treated as income if held over a year, not tax free. Coinbase has a really solid article on it [0]
[0] https://help.coinbase.com/en/coinbase/taxes-reports-and-fina...
Re: Top stablecoins shed $7B in May as traders redeem tokens en masse
#326Earlier quoted context omitted.
I don't need to send money to the other side of the world in a decentralized way. There's a good chance I never will and similarly 99% of people do not and never will have this problem.
I hate crypto as much as the average HNer, but "I don't need it so therefore nobody does" is a stupid and short-sighted reply. There are at least a dozen countries that I can think of that have massive restrictions on how many flows in and out of the country, preventing people from being able to keep their money safe from raging dictators or changing rulers. It's a lot more than 1%.
It's not nobody, but I think it's a lot less than 1% of people that are going to need to send a meaningful amount of money to places like that.
Obviously providing some service to even .01% of people or whatever is valuable. But at this point Bitcoin is valued like Google which is used by tens of percents of all people.
Re: Top stablecoins shed $7B in May as traders redeem tokens en masse
#327Earlier quoted context omitted.
There is even better rates available. The Anchor protocol pays 20% APR! And the principal is protected as described in the white paper, > Anchor offers a principal-protected stablecoin savings product that pays depositors a stable interest rate. It achieves this by stabilizing the deposit interest rate with block rewards accruing to assets that are used to borrow stablecoins. source: https://www.anchorprotocol.com/do…
Is this satire? I'm 50/50 about it.
It is satire. I thought putting in a link to the UST price chart would make it clear...
Re: Top stablecoins shed $7B in May as traders redeem tokens en masse
#328Earlier quoted context omitted.
The EU has now mandated fast transfers between banks in the EU. So, for EU (23 countries) it's not a problem either. Sending money between banks is both a technical and a regulatory issue (and crypto is discovering why regulations exist at great cost to crypto users). However, "instant money transfer between banks" is not an unsolved issue.
large (> 10K) bank and wire transfers within UK and EU are still in the order of days, not seconds. the last large bank transfer I did took 5 days without any way for me to track this transfer. the same amount I was able to transfer within crypto networks in 30 seconds and the transaction progress and it’s validation status was visible for the entire duration. the EU and UK banking system is far better than the US bu…
No post body was provided.
Re: Top stablecoins shed $7B in May as traders redeem tokens en masse
#329Earlier quoted context omitted.
What jurisdictions are they? edit: I see you're asking the same question as me! Sorry!
Poland.
Also in France swap between crypto is not a taxable event (https://koinly.io/guides/crypto-tax-france/)
Re: Top stablecoins shed $7B in May as traders redeem tokens en masse
#330Earlier quoted context omitted.
So the countries would have access to stable internet (can't have crypto without it). This access is fast and cheap enough for unbanked people to access it. These unbanked people would also have access to things like smartphones and computers because crypto doesn't exist in real world. And yet those countries would not have banking infrastructure. Nice. Nice. Any such countries exist?
You can actually interact with some crypto projects over SMS, and at the moment there are countries where the majority of txs are SMS mobile credit swaps. The issue is these don’t offer things like account histories, you can’t access financial products like loans (i.e micro loans) and remittance payments are hard to do from abroad in this way. But actually smart phones and internet access is surprisingly high in sub…
> You can actually interact with some crypto projects over SMS
Keyword: some.
Also, banking over SMS was a thing long before crypto.
> But actually smart phones and internet access is surprisingly high in sub Saharan africa where they primarily still use SMS trading.
Then it will be swallowed by something smilar to AliPay. Not by crypto.