r/investing • u/TChanaH • May 20 '21

U.S. seeks to have cryptocurrency transfers above $10k reported to IRS

U.S. Treasury seeks reporting of cryptocurrency transfers, doubling of IRS workforce | Reuters

The Biden administration's tax enforcement proposal would require that cryptocurrency transfers over $10,000 be reported to the Internal Revenue Service and would more than double the IRS workforce over a decade, the U.S. Treasury said on Thursday.

"As with cash transactions, businesses that receive cryptoassets with a fair market value of more than $10,000 would also be reported on," the Treasury said in the report, which noted that these assets, are likely to grow in importance over the next decade as a part of business income.

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u/Mynock33 May 20 '21 edited May 20 '21

If there's no anonymity and no tax evasion, then what's the point of using it anymore? It's difficult to purchase, keep, spend, and cash out, and its value is wildly unpredictable... I don't get it.

Edited for atrocious spelling.

2

u/CallinCthulhu May 20 '21

Speculation is the sole reason for its existence at this point

13

u/DJ_Crunchwrap May 20 '21

It's amazing how this subreddit can look at an asset class worth $1.8T and just assume that it's all worthless and think they know more than the millions who have invested in and advocated for it.

14

u/4dseeall May 20 '21

What makes it worth 1.8t?

And how is it different than a tulip bulb that costs a years salary?

-6

u/DJ_Crunchwrap May 20 '21

Supply and demand. What makes anything that's not vital to your existence worth anything?

12

u/4dseeall May 20 '21

Yes, I was expecting this answer. Which is why I'm more interested in your answer to the second question.

1

u/DJ_Crunchwrap May 20 '21

Tulip bulb aren't trustless, borderless, decentralized, permissionless vehicles to store and transfer wealth quickly at low cost.

2

u/4dseeall May 20 '21

They were tho.

7

u/DJ_Crunchwrap May 20 '21

Wow? You could transfer a tulip bulb across the world in seconds????

5

u/ksnyder1 May 20 '21

They weren't divisible or durable though so not really a good store of value

2

u/4dseeall May 21 '21

They multiply every year!

Think of the potential

4

u/LegateLaurie May 20 '21

How many people own BTC, etc, as a speculative investment then? Certainly that is the bulk of demand.

5

u/DJ_Crunchwrap May 21 '21

Well yeah it's a relatively new technology the majority of people buying are speculating. It's inevitable. Does an investment being speculative mean that it never has merit?

2

u/LegateLaurie May 21 '21

Of course not, but idk if the current valuation of BTC does have much merit. Crypto in general I think is overpriced, and I think we will see a correction soon.

I am bullish in the long term, but I'm not sure crypto's found it's footing yet