The other near-term implication of the tax ruling is the margin call on miners who have to get cash before April 15.
This is an interesting point. In the long run, this IRS opinion that miners need to report income when they mine, is frankly absurd, and will definitely be reversed in a tax court, if they don't revise it before then.
How do you figure? The network is paying them for their services of mining. Seems correct to me and it is the ruling I expected and predicted since long-time ago.
But most people are rather conservative with regard to the IRS, and disinclined to fight, so this may well lead to hobby miner tax sales. However, most miners are holding for a better price at this point, and those who have any margin to play with will not take a forced sale at a loss, which would be foolish. Nonetheless, there will be incremental supply as a result of that issue, I agree. It will dry up on April 15th.
Agreed.
We don't have the system of Sweden. IN the USA, everyone is afraid of the IRS. Or at least they don't want to add hassle with IRS just to use some stupid technobabble money that they don't need any way.
Agreed. But I see such problems as business opportunities, not for me, but perhaps for someone in whom I may invest. Almost no one needs bitcoin now. Some people can benefit strong from using it, but they are not typical consumers. That needs to change in order to achieve full potential, but not in order to address the low-hanging fruit, of which there is plenty.
There are so many opportunities in this ecosystem and I agree that solving the tax issue with s/w automation is a very silly one to go after now.
Just make an anonymous coin and the problem is solved for now (no need to hassle with s/w and no need to pay taxes for those in our white male demographic who like to point their middle finger at Uncle Sam). And first you need to fix so many other things before the masses will use BTC as a currency.
Agreed so many lower hanging fruits. Target the current demographic, which are speculative investors who want high tech weapons versus the government and liberate commerce.
That is exactly my marketing plan in spades. And I estimate I will win $billions with that plan.