Why not this new term of tax be effective to the stable coin users instead of Bitcoin?
IMO, Should be bought
Well, I understand that while they are trying to fight against Bitcoin adoption, they are equally giving conditional policies to those that uses Bitcoin for payments believing that Bitcoin is resourceful while the stable coins is not instead, the stable coin is even flexible to be devalued in the economy market.
Obviously they would support stablecoins that are backed by the US dollar as that will increase the demand for USD around the world.
There you will see how they monopolize things, it's not about Bitcoin being volatile and transactions being slow, but it's about where they will benefit the most.
So they are seeing stable coin as more of being a Fiat than crypto or was it because of the fact that stables appeared to the value of USD?
They are still crypto as they uses as they are using network like eth, tron, bnb, (etc).
And the fact that its back by USD, the more they will regulate it favorable to the users so it will increase adoption.
This means that unfortunately, we'll probably not get rid of such a tax even if Bitcoin is used more as a currency, because it would still not be a local currency but an "asset", "property" or "good" just as all foreign currencies.
That's the main point as long as they consider it as property, that capital gains will remain.
Capital gains tax means that you're taxing me on "fiat gains". But my asset may have not increased in demand, the USD shitcoin people are trading it with is devaluing, and you want to tax me because people are trading the shitcoin for Bitcoin?
I think capital gains tax occurred because the value of your asset increased.
You buy bitcoin at $1000 and sold at $1500, you naturally have to recognize $500 as taxable capital gain.
If value decreases compared to the purchase price hence no tax is computed.
So government wants to take a share of your profit, but if you lose they will say "who you?"
