CBX Weekly Newsletter // 4 March 2020
- Bitcoin Holds Above Mid $8K
- India’s Supreme Court Lifts Banking Ban on Crypto Exchanges
- Ukrainian Taxpayers Will Now Have to Report Crypto Holdings
Bitcoin Holds Above Mid $8K
During yesterday’s trading session, the Federal Reserve announced a 50 basis point interest rate cut in an effort to boost the U.S. economy and ease concerns about the spread of coronavirus.
At that time Bitcoin had one of the highest trading volumes seen in the past couple of weeks. The price jumped from $8.6K to nearly $9K just during that hour and resulted in Bitcoin trading lower almost 2% down from the high of that day, the interesting thing is that the performance of BTC has been similar to known stock indices like the SP500, which counteracts the argument of Bitcoin being a safe haven similar to gold.
At the time of writing Bitcoin is at $8,800. Market Capitalization is at $252 Billion and BTC Dominance is at 63.4% according to data from coinmarketcap.com
India’s Supreme Court Lifts Banking Ban on Crypto Exchanges
The Supreme Court of India has ruled against a decision imposed by the central bank to stop crypto trading in Asia’s third-largest economy.
According to a report from Bloomberg, the judges of the court ruled on Wednesday in favor of petitions by some of the country’s crypto exchanges and startups that opposed the decision almost two years ago, which banned banks and financial institutions from providing banking services to crypto companies.
The central bank’s decision forced crypto exchanges in the country to either close, relocate to other jurisdictions or shift their business model to crypto-to-crypto and over-the-counter trading. Now with this decision, the will be able to operate as before.
This is positive news for the industry because India has one of the largest populations in the world which will have access to crypto services, and is a leading example to the rest of countries to adopt a friendly approach to Blockchain.
Ukrainian Taxpayers Will Now Have to Report Crypto Holdings
Ukraine’s revenue agency has published guidance for taxpayers to report their cryptocurrency holdings.
According to the document, taxpayers should report digital assets as intangible property, similar to intellectual property or licenses for natural resources extraction.
The guidance indicates that cryptocurrencies, according to the Financial Action Task Force (FATF)’s definition, are a digital unit of value, which can be traded electronically and transferred, and used as a means of payment or investment.
To report cryptocurrency holdings, taxpayers should name the assets they hold such as BTC or ETH as well as the date of acquisition, the amount invested on the last day of the tax period, and the value of the holdings in Ukraine’s national currency the hryvnia according to the exchange rate on the last day of the tax period.
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