Bitnation(XPAT)

Portugal’s coastal capital offers a top-shelf European quality of life at discount prices. The No. 15 spot on CoinDesk’s Crypto Hubs 2023 attracts creative and entrepreneurial expats with a lively calendar of Web3 events, prized “digital nomad” visa and crypto-friendly tax laws.

SEC Commissioner Hester Peirce is continuing to express her dissent at what her regulatory agency is doing to crypto under the charge of Chairman Gensler. A regular dissenter On several occasions now Commissioner Peirce has felt obliged to publicly voice her dissent at what she sees as her agency’s failures in regards to the cryptocurrency sector. Peirce is now in her second term as one of the five commissioners for the SEC, a term which is due to expire in 2025. She is generally known to be very much her own person as regards SEC decisions, and has been a sole objector on several votes now. The crypto sector is one in particular where Peirce finds much fault with the Securities and Exchange Commission. She accuses her own agency of being “hostile to crypto” and of being “lazy and paternalistic”, saying that the agency could not be bothered to update its registration process and actually make it “workable” for those trying to register. Regulatory bullheadedness In her latest statement against “amending the definition of exchange”, publicly available on the SEC website, Peirce does not mince her words when she accuses Chair Gensler of causing “stagnation, centralisation, expatriation, and extinction”. Peirce starts by outlining how 30 years ago, the SEC was faced with the challenge of regulating exchange innovation that was outside of the securities rules of the era. She said: “faced with a choice between fostering innovation or stifling it with an inflexible and expansive interpretation of the statutory definition of “exchange,” the Commission chose innovation.” She went on to comment on today’s SEC as not being able to “think creatively” in order to encourage innovation, but that instead, its “regulatory bullheadedness” often caused “absurd consequences”. She commented: “today’s Commission aggressively expands its regulatory reach to solve problems that do not exist. Today’s Commission treats its basic approach to exchange regulation as something that must not—indeed cannot—be altered to allow room for new technologies or for new ways of doing business.” She added: Today’s Commission tells entrepreneurs trying to do new things in our markets to come in and register. When entrepreneurs find they cannot, the Commission dismisses the possibility of making practical adjustments to our registration framework to help entrepreneurs register, and instead rewards their good faith with an enforcement action. Today’s Commission treats the notice-and-comment rulemaking process not as a conversation, but as a threat. Opinion It might appear that Gary Gensler is using his agency to bring down crypto in its entirety. The way in which he has targeted the big exchanges such as Coinbase, Binance, Kraken, Bittrex (just recently), and others, shows that he is attempting to prevent the public from buying or selling cryptocurrencies. The three crypto-related banks that ‘failed’, including Signature Bank, which was said to be perfectly solvent before the FDIC took it over, were arguably allowed to fail because they serviced the crypto industry. Attempts to get at the decentralised finance arm of crypto could also be taken as part of the grand scheme to protect the banking industry from an innovative, cheaper, quicker, and fairer competitor. That one of the SEC’s own commissioners should be so totally against many of its decisions speaks volumes, and all right-minded Senators, and Congressmen/women would do well to at least investigate the information that commissioner Peirce is trying to highlight. Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

SEC Chair Gary Gensler has been called a hypocrite by critics after footage of him promoting Algorand and praising Silvio Micali emerged. Caught Praising Algorand Gary Gensler, the chairman of the Securities and Exchange Commission, has found himself in a tight spot after footage of him promoting and praising Algorand (ALGO) emerged. Gensler has been at the vanguard of a crippling regulatory crackdown on Bitcoin and several other cryptocurrencies. As a result, the footage has left him vulnerable to attack from critics. At one point in the clip, Gensler goes on to praise Silvio Micali, the founder of the Algorand project, stating, “Silvio Micali’s Alogrand, he’s a Turing Award winner at MIT I work with… Silvio’s got a great technology; it has performance; you could create Uber on top of it.” Furthermore, Gensler has spoken highly of Algorand on a number of public occasions since 2019. Despite his public anti-crypto stance at the SEC, Gensler is listed as an instructor on an MIT Open Learning course called “Blockchain and Money.” Now Calls ALGO A Security The footage of Gensler’s high praise for Algorand emerged on the same day the Securities and Exchange Commission labeled Algorand’s ALGO and five other tokens as securities in its lawsuit against the Bittrex exchange. This action highlighted the tokens as pivotal assets in any potential enforcement action against the Seattle-based crypto firm. In its complaint against Bittrex, the SEC stated that the firm failed to register as an exchange, clearing agency, or broker-dealer with the regulatory authorities. All of these are required for companies offering securities to their customers. The SEC, on its part, needs to establish that one of the assets made available by Bittrex qualifies as a security. While the SEC under Gensler has claimed that the label of “Security” applies to all tokens except Bitcoin, the agency has zeroed in on six assets in the case of Bittrex. The tokens which the SEC has cited as “crypto asset securities” are Dash (DASH), Monolith (TKN), Naga (NGC), Omisego Network, Real Estate Protocol (IHT), and Algorand (ALGO). However, the agency has stated that more tokens could be added to the list. Out of all the tokens mentioned in the lawsuit, Algorand has the largest market capitalization, reaching a total value of $1.6 billion, according to data from CoinGecko. However, none of the tokens have been named as defendants in the Bittrex lawsuit. Furthermore, the SEC has yet to announce separate charges against them. According to JW Verret, Counsel at Lawrence Law, the tactic is similar to other lawsuits where the SEC has included other coins, “It strikes me as very similar to the Wahi case. They’re making claims that tokens are securities without suing the actual tokens themselves.” While the tokens named in the Wahi case are entirely different from the ones named in the Bittrex lawsuit, the broad idea is that they fall under the definition of a security when using the Howey test. Critics Pan Gensler Gensler has been criticized for his position against cryptocurrencies and blockchain technology, even by his colleagues at the SEC. Commissioner Hester Peirce, in remarks made on the 14th of April, stated, “Rather than embracing the promise of new technology as we have done in the past, here we propose to embrace stagnation, force centralization, urge expatriation, and welcome extinction of new technology.” The Securities and Exchange Commission (SEC) under Gensler has modeled itself on the lines of Gensler’s anti-crypto reputation. In the US, promotions of securities are governed by the Securities Act of 1933 and the Securities Exchange Act of 1934. Both acts seek to regulate the offering and sale of securities and require that platforms offering them register with the appropriate authority. They also prohibit the misrepresentation of facts, and those failing to do so could face civil and criminal penalties that range from fines to imprisonment. On Monday, the SEC announced the appointment of Inspector General Deborah J. Jeffrey. However, it remains to be seen if Gensler will be investigated for his promotion of Algorand as a security. Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

To all US bitcoin traders you are now in the sights of the internal revenue service for not complying to report your trading gains. The IRS have decided that a share of up to $150 billion of bitcoin trades should go to the lovely US treasury, and is now taken steps to make this happen. All the IRS is waiting for, is a judge from San Francisco judge to grant an order that will allow an audit of one of the largest US cryptocurrency exchanges “Coinbase Inc”. The ruling will open the door for the IRS to investigate files of any other Cryptocurrency exchange anywhere in the world (That does a large amount of trades in the United states of America). Under US tax law, Bitcoin traders should file several documents with the IRS: Form 8949 to report any capital gains or losses on transfers FBAR forms to report foreign accounts that exceed $10,000 at any time during the year. Any Bitcoin denominated account falls under this category, even if the virtual currency is for playing poker online. Bitcoin exchanges, traders and related businesses should report yearly with details of US residents with virtual currency accounts with balances of more than $50,000 or US expats with similar accounts but with a $200,000 balance. Source US Tax law So anyone who has taken full advantage of the major price boost to make a profit should certainly take steps to tell the internal revenue service! Because maybe one day, your data will be handed over to them anyway.

To all US bitcoin traders you are now in the sights of the internal revenue service for not complying to report your trading gains. The IRS have decided that a share of up to $150 billion of bitcoin trades should go to the lovely US treasury, and is now taken steps to make this happen. All the IRS is waiting for, is a judge from San Francisco judge to grant an order that will allow an audit of one of the largest US cryptocurrency exchanges “Coinbase Inc”. The ruling will open the door for the IRS to investigate files of any other Cryptocurrency exchange anywhere in the world (That does a large amount of trades in the United states of America). Under US tax law, Bitcoin traders should file several documents with the IRS: Form 8949 to report any capital gains or losses on transfers FBAR forms to report foreign accounts that exceed $10,000 at any time during the year. Any Bitcoin denominated account falls under this category, even if the virtual currency is for playing poker online. Bitcoin exchanges, traders and related businesses should report yearly with details of US residents with virtual currency accounts with balances of more than $50,000 or US expats with similar accounts but with a $200,000 balance. Source US Tax law So anyone who has taken full advantage of the major price boost to make a profit should certainly take steps to tell the internal revenue service! Because maybe one day, your data will be handed over to them anyway.

After the news that China has clamped down on Cryptocurrency, and banned all exchanges, which saw a slight decline for Bitcoin, good news is well and truly needed. This comes in the form that Malaysia has recently legalised Bitcoin, which is great news for cryptocurrencies, and could bring in millions of new users. It has been reported that Malaysia’s central bank is working to develop a framework that would regulate the use of different cryptocurrencies. The Governor Muhammad bin Ibrahim has released a statement saying that by the end of the year, they hope to have issued guidelines on cryptocurrencies, particularly around the cryptocurrencies that are related to anti-money laundering and terrorist financing. Despite stating just three years ago, that Bitcoin would not be recognised as legal tender, this big U-turn has been marked as an important event for both Malaysia, and Bitcoin; not to mention other cryptocurrencies. We will take a look at why this is not just a good thing for Malaysia, but for Bitcoin as a whole, and why it could attract millions of more users, increasing the overall demand for Bitcoin. What this means for Malaysia?What has caused this huge turnaround for Malaysia, and why are they now fully supporting cryptocurrencies? The recent development could bring some big changes to Malaysia and surrounding areas, with most notably the large number of expat workers, who send a lot of their money out of the country, and to their respective home countries. In recent months, they have been hit by monetary devaluation and strict capital controls, which has had a detrimental effect on their money. Malaysia has always had strict rules and regulations surrounding cryptocurrencies, which is why this U-turn seems surprising to some. Despite the fact that they have long remained tight lipped when it comes to cryptocurrencies, the country’s central bank; Bank Negara is considerable openminded – something that is actually very refreshing to see these days. Many financial institutions frown upon cryptocurrencies because they feel that as a country, they will never be able to properly regulate it. Just two weeks ago, the Malaysian Securities Commission issued a strong warning not to invest in cryptocurrencies; however, this is nothing new, like we previously stated above. Right now, Malaysia is working to come up with a framework that will allow traders to trade in Bitcoin and other cryptocurrencies, but one that also address money laundering and terrorist financing. The country is known for its growth, and many other economic accomplishments, and inevitably wants to apply a similar strength to cryptocurrency, which will not be easy, which is why they are working hard to come up with an effective framework. This is a very exciting move for Malaysia though, and many experts are predicting that the nation may become one of the next major cryptocurrency hubs in the coming years, and one to keep a definite eye on. Why this is a good thing… The news that Malaysia is legalising Bitcoin is ultimately a great thing, as it could bring millions of new users. We previously mentioned that the Malaysian government was hit hard with the devaluation of the Malaysian ringgit, which caused the country’s national currency to decline by around 2 percent in value against some of the biggest currencies, such as the US dollar. By the country legalising Bitcoin, it could provide an alternative financial and remittance system to the expat workers who were struggling to send their money to their native countries. This could give them a way in which to move money in and out of the country effectively. Despite this legalisation process still being in the very early stages, some leading Bitcoin remittance service providers and brokerages have already secured millions of dollars in funding, and have expanded their operations to Malaysia. Of course, this theory will only work in countries where Bitcoin is very much established and well-regulated, which could prove problematic now for those wishing to send their currency to China, who have recently placed a ban on all cryptocurrencies. However, the Malaysian central bank is still quick to point out that, despite this legalisation, they are not endorsing any cryptocurrency, as a currency as it is not issued by a central bank, and not backed by any commodity. However, what they do plan on doing is to regulate this, when it is used for the delivery of financial services. Regardless of how it is looked at, for those in the cryptocurrency bubble, this is only a good thing, and a much welcome piece of news after China’s demise. References And Further Reading: • Bitcoinist; Bitcoin legalisation update: Malaysia, Ukraine and Indonesia • iGaming; Malaysia Planning To Legalise Bitcoin • New Straits Times; Are we ready for Bitcoin? • The Star Online; On Mcoin, Bitcoin and points of interest • Cryptocoins News; Top 10 Countries in Which Bitcoin is Banned • Steemit; Malaysian’s Legalisation of Bitcoin • IntelAsia; How Malaysian’s Legalisation of Bitcoin Could Bring Millions Of New Users

After the news that China has clamped down on Cryptocurrency, and banned all exchanges, which saw a slight decline for Bitcoin, good news is well and truly needed. This comes in the form that Malaysia has recently legalised Bitcoin, which is great news for cryptocurrencies, and could bring in millions of new users. It has been reported that Malaysia’s central bank is working to develop a framework that would regulate the use of different cryptocurrencies. The Governor Muhammad bin Ibrahim has released a statement saying that by the end of the year, they hope to have issued guidelines on cryptocurrencies, particularly around the cryptocurrencies that are related to anti-money laundering and terrorist financing. Despite stating just three years ago, that Bitcoin would not be recognised as legal tender, this big U-turn has been marked as an important event for both Malaysia, and Bitcoin; not to mention other cryptocurrencies. We will take a look at why this is not just a good thing for Malaysia, but for Bitcoin as a whole, and why it could attract millions of more users, increasing the overall demand for Bitcoin. What this means for Malaysia?What has caused this huge turnaround for Malaysia, and why are they now fully supporting cryptocurrencies? The recent development could bring some big changes to Malaysia and surrounding areas, with most notably the large number of expat workers, who send a lot of their money out of the country, and to their respective home countries. In recent months, they have been hit by monetary devaluation and strict capital controls, which has had a detrimental effect on their money. Malaysia has always had strict rules and regulations surrounding cryptocurrencies, which is why this U-turn seems surprising to some. Despite the fact that they have long remained tight lipped when it comes to cryptocurrencies, the country’s central bank; Bank Negara is considerable openminded – something that is actually very refreshing to see these days. Many financial institutions frown upon cryptocurrencies because they feel that as a country, they will never be able to properly regulate it. Just two weeks ago, the Malaysian Securities Commission issued a strong warning not to invest in cryptocurrencies; however, this is nothing new, like we previously stated above. Right now, Malaysia is working to come up with a framework that will allow traders to trade in Bitcoin and other cryptocurrencies, but one that also address money laundering and terrorist financing. The country is known for its growth, and many other economic accomplishments, and inevitably wants to apply a similar strength to cryptocurrency, which will not be easy, which is why they are working hard to come up with an effective framework. This is a very exciting move for Malaysia though, and many experts are predicting that the nation may become one of the next major cryptocurrency hubs in the coming years, and one to keep a definite eye on. Why this is a good thing… The news that Malaysia is legalising Bitcoin is ultimately a great thing, as it could bring millions of new users. We previously mentioned that the Malaysian government was hit hard with the devaluation of the Malaysian ringgit, which caused the country’s national currency to decline by around 2 percent in value against some of the biggest currencies, such as the US dollar. By the country legalising Bitcoin, it could provide an alternative financial and remittance system to the expat workers who were struggling to send their money to their native countries. This could give them a way in which to move money in and out of the country effectively. Despite this legalisation process still being in the very early stages, some leading Bitcoin remittance service providers and brokerages have already secured millions of dollars in funding, and have expanded their operations to Malaysia. Of course, this theory will only work in countries where Bitcoin is very much established and well-regulated, which could prove problematic now for those wishing to send their currency to China, who have recently placed a ban on all cryptocurrencies. However, the Malaysian central bank is still quick to point out that, despite this legalisation, they are not endorsing any cryptocurrency, as a currency as it is not issued by a central bank, and not backed by any commodity. However, what they do plan on doing is to regulate this, when it is used for the delivery of financial services. Regardless of how it is looked at, for those in the cryptocurrency bubble, this is only a good thing, and a much welcome piece of news after China’s demise. References And Further Reading: • Bitcoinist; Bitcoin legalisation update: Malaysia, Ukraine and Indonesia • iGaming; Malaysia Planning To Legalise Bitcoin • New Straits Times; Are we ready for Bitcoin? • The Star Online; On Mcoin, Bitcoin and points of interest • Cryptocoins News; Top 10 Countries in Which Bitcoin is Banned • Steemit; Malaysian’s Legalisation of Bitcoin • IntelAsia; How Malaysian’s Legalisation of Bitcoin Could Bring Millions Of New Users