Absent regulation, security of cryptocurrency will continue to be phantasmal.
Remember Mt. Gox? The BTC stolen in that hack is now worth $15B.
It is the largest theft to have ever occurred.
A critical question to me, is capital gains. Generally, capital gains are only incurred when an asset that has increased in value is sold, whereupon the gain is realized.
If crytpcurrency is money, and can be spent for goods and services directly, how can capital gains be assessed? Can we expect taxing agencies to insist on monitoring every transaction undertaken in the world? Because this is the only way to tax gains in the value of BTC.
I'd appreciate any thoughts on this anyone might be willing to share.
Thanks!