I don't know where you have seen this information, did Donald Trump tell you that, lol. Crypto is very well taxed in the U.S. and there is no consideration of removing it. In the U.S. you can pay taxes on crypto up to 37%, depending on how long you have held your coins and other factors that i don't want to get into now. Crypto is not only taxed as capital gains in the U.S. but there is also a crypto income tax in the U.S.

Personally I don't think I will be going against the rule of law in respect to tax payments in my country if need be and I doubt if I will even have their time to know if they are going to be using the money gotten from tax payments for the development of the country but my questions here is this, how will the amount for tax be calculated when the government doesn't approve cryptocurrency transactions in my country? Will I just do the calculations myself and send in any amount of what do you suggest because I think this will be another trap to capture cryptocurrency traders  and who knows if they will end up freezing their accounts after discovering the number of tax payers from cryptocurrency don't you think so.

The thing is that in most cases Bitcoin tax from gains, basically capital gains, are treated exactly the same as any other asset, as you say, like stocks, index funds, etc.

This means that also all the benefits apply as well. For example some countries give a discount on capital gains tax if you hold the asset for at least a year. Some countries offer a 50% discount, like Australia, whereas others like Germany give you a full discount of 100%.

Yes, in Germany they don't have capital gains tax if you held the asset, Bitcoin for example, for at least a year.

It's about money for them, not about adoption, so it's obvious it would discourage many and make others just angry at such a decision.

For me I see it as a trap, how would they know how much crypto you hold if you wouldn't even give it to them.
It would be hard for them to track every crypto wallet and impossible to know who owns it, if the owner wouldn't provide any proof of ownership, just like how we still couldn't know who created Bitcoin.

In a way, your government has officially recognized cryptos and not criminalize it like the case in my country. It's a plus for you guys. In my case, as it stands now, I personally don't even know the exact position of my government on cryptos. It's either police is harassing poor people who are into cryptos on the road, searching their phones and threatening them of breaking a law they the police can't cite once they find any crypto app or stuff on such phones or banks are banning accounts with crypto related words during transactions. It's a gamut of confusion. Even with all that, Nigerians still pay tax on trading transactions on exchanges that are still allowed to do business with Nigerians. They may claim it's just a fraction as tax but then it's still something.

If you look at this situation, you can declare what you have thru your local exchange. Other crypto transactions outside your local exchange may not be compulsory to declare in your tax filing. As they won't know all your crypto transactions, it is none of their business unless, you disclose it to them.

As the local exchange is under the jurisdiction of the Central Bank, they surely have your data or info about crypto dealings. Now, you can easily check how much you have if you will go to your Withdrawal history as well as your deposits. So if it is mandatory to declare those earnings, you really need to as you can't escape because they already have your record.

Otherwise, need to consult a tax lawyer if we are talking big numbers here. Within your jurisdiction, they have the upper hand knowledge on how to go around these things but still following your local tax regulations. Better abide the rules rather than suffer the consequences later on.

In my country, there is no capital gains tax (capital gain is defined as the increase in the price of Bitcoin, expressed in fiat currency, at the end of the reporting period). Accordingly, there is no obligation to declare and pay such a tax.

At the same time, in my opinion, any tax should be reasonable and economically justified. In this situation, we are dealing with an income tax (income is the economic benefit of the taxpayer). If taxes in the country are paid in fiat currency, then taxable income should also arise in fiat currency.

However, if I do not sell my Bitcoin, then, in my opinion, I have no taxable income (no economic benefit arises). I consider the capital gains tax on the first cryptocurrency to be a discriminatory tax aimed at hindering the development of Bitcoin.

This looks even more cynical if you remember that governments of states until recently did not recognize Bitcoin as something significant. They called it a bubble and a scam.

Our government can come in by any form as long as it involves payment of money for them, they often rake series of attacks on bitcoin because they don't have the ability and capacity of controlling the people as well as their assets in crypto, but through this, they have just got you apprehended using other means, If i were you, am going to be very careful of using a crypto exchange in that country and try to maintain privacy for my own good, any centralized institution will not be safe for use by any crypto minded individuals because they can be traced by the government.