New law passed in the US that could harm bitcoin » Newspaper Prime

On this Saturday (20th) the Prime Newspaper, will show you the details of the bill that would be able to raise about US$ 28 billion, just with the cryptoactive taxation. So let’s see how this affects Bitcoin.

Law passed in the United States Congress could harm bitcoin, ether and other cryptoactives in the country. This law has the function of taxing cryptocurrency brokers. However, it has a loophole that can harm miners.

The project must still go through the president of the republic, Joe Biden. In this sense, the president’s signature approves the law. Among the text’s measures are controversial rules on the taxation of coins and tax declarations, which could harm bitcoin and ether miners.

New law passed in US that could harm bitcoin
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About the project

According to Coindesk, the bill would be able to raise about $28 billion, just by taxing cryptoactives. This amount is a forecast by the Joint Tax Committee.

So the text says that: “the infrastructure applies information reporting requirements to digital assets (including currencies) to ensure that these are reported correctly to the Internal Revenue Service (IRS).”

“The measure includes the review of the definition of broker “broker” to reflect the reality of buying and trading digital assets.”

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In addition, there is still text in the bill that says digital assets will be included in a law that requires companies to account for payments in excess of $10,000, made in cash. These collected taxes must go to the country’s infrastructure.

Bitcoin in law

However, there are dangerous loopholes in the law, noted by the cryptoactive community. Entities such as the Digital Chamber of Commerce and the Coin Center claim that the definition of “broker” in the law is too vague. So the vague definition might wrongly include miners and digital portfolio developers.

New law passed in US that could harm bitcoin
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A political group, called the Blockchain, he even sent a letter to the congress, asking for a revision of the text. But despite the request, the law remains with the part that could cause future problems for bitcoin.

So the text is on its way to Joe Biden, who must decide the matter. The president’s signature makes the bill a law. In this way, the US Department of the Treasury will decide which elements will be a broker for the law. Or, if the president decides not to sign the text, the law goes back to the senate.

This is a situation that worries miners and investors in the field of these assets. Once, if approved, the law can cause several damages to miners in the country. They could even be forced to stop their actions within the United States.

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