Connect with us

Blockchain

U.S. House Democrats’ new proposal applies ‘wash sale’ tax rule to digital assets

Published

on

A proposal released by the U.S. Democratic house yesterday, has potential to raise a large sum of money in taxes, as reported by Bloomberg.

The proposal aimed to add commodities, currencies, and digital assets to the “wash-sale” rule. While it could raise up to $16 billion dollars in the next decade if it is passed, it wouldn’t be good news for those investing in these assets.

The new addition is aimed at closing a loophole utilized by crypto investors in order to bypass capital-gains taxes when they selling at a loss. The trick is to wait for 30 days before repurchasing the shares or making an investment of the same amount. If this doesn’t happen, it is considered a “wash-sale” that is not subject to a capital gains deduction.

Currently, cryptocurrencies are considered as property by the Internal Revenue Service (IRS) and are not subject to such rules. This means that digital asset investors trade cryptocurrencies while claiming deductions. This would not be the case if the latest proposal is accepted by the Senate.

This proposal by the Democratic House is only the latest in a list of concerns that the infrastructure bill has given rise to. Earlier this year, crypto tax provisions were hastily added to the infrastructure bill, causing much panic, because of its very broad definition of the term “broker” which would fall under the IRS’s reporting requirements.

Many believe that such a law could cause great harm to the industry, stifling innovation above all. Many Senators also came out in protest, proposing amendments to make exclusions to the reporting requirements. However, the bill was ultimately passed over to the House of Representatives unamended.

The ultimate fate of the bill is to be decided by September 27, according to a statement released by U.S. Speaker of the House Nancy Pelosi earlier. With less than two weeks to go for the final bill to pass, such proposals could mean further red taping in the industry.

American crypto investors are hardly alone in having their tax burden increased, as the Indian government is reportedly also looking to tax cryptocurrency trade and the whole ecosystem around it.

Where to Invest?

Subscribe to our newsletter

PlatoAi. Web3 Reimagined. Data Intelligence Amplified.

Click here to access.

Source: https://ambcrypto.com/u-s-house-democrats-new-proposal-applies-wash-sale-tax-rule-to-digital-assets

Blockchain

Altcoins see a 35% bounce after Bitcoin reclaims $43,000

Published

on

The sharp correction that threatened to pull Bitcoin and altcoin prices back toward their sing lows appears to have dissipated now that Evergrande informed investors that it intends to make an on-time payment on its debt. With global markets feeling reassured, major equities, Bitcoin and altcoins prices all saw a rebound at the market open.

After a swift drop below $40,000 on Sept.21, BTC now trades above $43,300 and Ether (ETH) has reclaimed the $3,000 level. Altcoins have also seen a strong recovery, with many posting up to 15% gains at the time of writing.

Top 7 coins with the highest 24-hour price change. Source: Cointelegraph Markets Pro

Data from Cointelegraph Markets Pro and TradingView shows that the biggest gainers over the past 24-hours were Livepeer (LPT), COTI (COTI) and Axie Infinity (AXS).

Livepeer lists on the Web3 Index

Livepeer is an Ethereum-based decentralized video streaming network that aims to be an alternative to traditional broadcasting solutions.

VORTECS™ data from Cointelegraph Markets Pro began to detect a bullish outlook for LPT on Sept. 21, prior to the recent price rise.

The VORTECS™ Score, exclusive to Cointelegraph, is an algorithmic comparison of historical and current market conditions derived from a combination of data points including market sentiment, trading volume, recent price movements and Twitter activity.

VORTECS™ Score (green) vs. LPT price. Source: Cointelegraph Markets Pro

As seen in the chart above, the VORTECS™ Score for LPT began to pick up on Sept. 20 and reached a high of 71 on Sept. 21, around 19 hours before the price spiked by 36% over the next day.

The jump in price for LPT comes following the launch of the Web3 Index which included Livepeer as one of the initial projects, helping to boost the visibility for the project.

COTI’s treasury releases its ‘tech’ whitepaper

COTI, an enterprise-grade fintech platform focused on decentralized payments, is the second-largest gainer of the past 24-hours.

VORTECS™ data from Cointelegraph Markets Pro began to detect a bullish outlook for COTI on Sept. 21, prior to the recent price rise.

VORTECS™ Score (green) vs. COTI price. Source: Cointelegraph Markets Pro

As seen in the chart above, the VORTECS™ Score for COTI climbed into the green on Sept. 2 and reached a high of 77 around 10 hours before the price spiked by 35% over the next day.

The recovery in the price of COTI comes following the release of the COTI treasury technological whitepaper and the token’s listing on Crypto.com.

Related: Avalanche recovers from Evergrande-led sell-off as AVAX rebounds over 30%

Axie Infinity rebounds after a prolonged downtren

Axie Infinity (AXS) is a blockchain-based, play-to-earn trading and battling game where users collect, breed, raise and battle in-game token-based creatures known as Axies.

According to data from Cointelegraph Markets Pro, market conditions for AXS have been favorable for some time.

VORTECS™ Score (green) vs. AXS price. Source: Cointelegraph Markets Pro

As seen in the chart above, the VORTECS™ Score for AXS was in the green zone for the majority of the past week and reached a peak of 82 on Sept. 20, around 24 hours before its price climbed 33% over the next day.

The jump in price for AXS followed the token’s listing on Bitfinex, an announcement that was registered by the Cointelegraph Markets Pro ‘NewsQuakes™’ alert system around 15 hours before its price began to rise.

The overall cryptocurrency market cap now stands at $1.921 trillion and Bitcoin’s dominance rate is 42.3%.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.


PlatoAi. Web3 Reimagined. Data Intelligence Amplified.

Click here to access.

Source: https://cointelegraph.com/news/altcoins-see-a-35-bounce-after-bitcoin-reclaims-43-000

Continue Reading

Blockchain

Ethereum, Solana, VeChain Price Analysis: 22 September

Published

on

The entire cryptocurrency market has been facing severe bearishness over the past few weeks. The king of altcoins, Ethereum broke down below crucial support levels and would incur selling pressures from all around. That effect would automatically trickle down to the other smaller altcoins in the market like VeChain.

However, thanks to its recent rally, Solana seemed to be in a relatively better place to continue its upward trajectory if market sentiments improve.

Ethereum (ETH)

ETH/USD | Source: TradingView

Ever since the correction that happened on El Salvador’s Bitcoin Day ETH/USD has been trading in a very narrow range between $3100 to $3500. It had briefly broken out of the range, only to fall back down into it, before correcting even more.

This was a worrisome signal since it broke down (white arrow) below the descending triangle pattern on the chart as depicted by the pink lines. Ethereum prices also broke below the next support level of $2990 as depicted by the yellow trend line. So unless the prices are able to rally back from current levels to the range of $4000-$4400, the short term future for this counter remained bleak.

The Relative Strength Index dropped below 40 mark which would add to the selling pressure in this currency pair. The MACD, which suffered a bearish crossover a few weeks back entered the negative territory too. The prices have also moved significantly below the 20-day Moving Average line (marked in green) to further add to the bearishness.

Solana (SOL)

SOL/USD | Source: TradingView

Solana has been one of the best performing coins in the past month and a half and its rally propelled it to the seventh biggest coin by market capitalization. Since mid-August, 2021 it rallied nearly five times in price (blue channel), before correcting sharply a month later in line with the entire market and that correction turned into a bearish trend ever since.

Due to the nature of the recent rally, the only logical level of support for the prices would come near $20. However, if Solana prices are able to breakout of the white channel from current levels to above $160, the earlier rally may resume.

Despite the major correction over the past few days from $200 to current prices, indicators had turned extremely bearish yet. The Relative Strength Index remained near the 50 mark so there was still some bullishness.

The MACD which suffered a bearish crossover still remained well within the positive region as well. The prices however, broke down below the 20-day Moving Average (green) but again, it isn’t too far away to retest those levels. So overall, bullish sentiment in this particular coin still persisted.

VeChain (VET)

VET/USD | Source: TradingView

The VET/USD currency pair was extremely volatile and fell significantly from its all time highs. Since then it was trading within a very wide range however, a promising chart pattern was beginning to emerge for this particular coin.

A bullish cup and handle pattern was seen (white lines) and a breakout over $0.12-$0.16 can result in a major rally. The level of support for VeChain was around $0.06 and that should hold fine based on historical data.

Although, the indicators did not show as much enthusiasm on the bullish side. The Relative Strength Index touched 30 levels and currently was around 37 which was very weak. The MACD too breached the zero line and crossed over into the negative territory.

The prices also dropped below the 20-day Moving Average (green) over two weeks ago and were not able to break out of it ever since. So overall, this coin, much like many others in the market, faced the heat of extreme bearishness in the market and would require a convincing breakout over $0.16 to be bullish again.

Where to Invest?

Subscribe to our newsletter

PlatoAi. Web3 Reimagined. Data Intelligence Amplified.

Click here to access.

Source: https://ambcrypto.com/ethereum-solana-vechain-price-analysis-22-september

Continue Reading

Blockchain

Additional compensation available for Cryptsy victims, court notice says

Published

on

Last week, some former users of the now-defunct cryptocurrency exchange Cryptsy received a notice informing them of a new turn in the ongoing class settlement process. Authorized by the U.S. District Court for the Southern District of Florida, the document states that those who were defrauded in the 2016 collapse of the digital finance platform may be entitled to receive money from additional recovery.

Cryptsy was a crypto exchange that went bust in January 2016 following months of user-reported issues with withdrawing funds from the platform. The court later found that Cryptsy founder Paul Vernon had stolen millions of dollars’ worth of customers’ digital assets before fleeing to China. Later that year, a group of the exchange’s users initiated a class action against the company and its founder, while what was left of Cryptsy went into receivership.

The court-appointed receiver began to liquidate various assets associated with the defunct company, amassing some $1.5 million by June 2017 to be distributed between the victims.

The receiver and class representative then brought an additional lawsuit against Coinbase, which they alleged to have aided and abetted Vernon’s conduct by allowing him to convert the stolen funds to U.S. dollars. Almost three years of litigation ended in a class action settlement as Coinbase agreed in Jan 2020 to pay out almost a $1 million to defrauded Cryptsy account holders.

The most recent notice pertains to yet another round of the swindled funds’ recovery. Legal action against Xiuxia Liu, Paul Vernon’s girlfriend, resulted in the victims’ representatives securing an additional $875.000 on behalf of the class.

The funds will be distributed proportionally among those who had filed valid claims in the two previous settlements, or who have submitted a valid claim in the Liu settlement by January 12, 2022. Payments are expected to start going out on or before Feb. 20, 2022 according to the notice.


PlatoAi. Web3 Reimagined. Data Intelligence Amplified.

Click here to access.

Source: https://cointelegraph.com/news/additional-compensation-available-for-cryptsy-victims-court-notice-says

Continue Reading
3 days ago

Fantasy Sports And NFT Gaming Platform – DeFi 11 – Announces Public Launch

Blockchain5 days ago

Should Bitcoin traders really be concerned about a major market decline

Blockchain5 days ago

Over 60 South Korean Crypto Exchanges to Shut Down Next Week

Blockchain3 days ago

Tron, EOS, Bitcoin Cash Price Analysis: 19 September

Blockchain9 hours ago

United States Infrastructure Bill Brings Cardano Billionaire to Washington.

Blockchain5 days ago

Cardano Trends Down, ADA In Danger Of Sliding Back To $2?

Blockchain5 days ago

Tomi Heroes NFT Sales Volume Just Exploded Past $1.35m, with Massive ROI Potential for TOMI Sale

Blockchain3 days ago

Smart Contracts Running on Bitcoin? Internet Computer Founder Explains How It’s Possible

Blockchain5 days ago

Analyst Puts New Bitcoin ATH For October As Stablecoins Start Pumping Into BTC

Blockchain4 days ago

EY Taps Polygon Network to Improve Enterprise Clients’ Experience 

Blockchain4 days ago

Crypto Proponents Assert Elon Musk’s Probable Interest In Cardano, Ethereum, Other PoS Assets

Blockchain3 days ago

Say Goodbye to the Centralized Metaverse and Hello to the NFT Metaverse

Blockchain3 days ago

‘Wormhole token bridge’ to allow token transfer across Ethereum, Solana

Blockchain4 days ago

Bitcoin’s Annual Energy Use Has Already Passed 2020’s: Research

Blockchain3 days ago

Coinbase Secures Another Millionaire Deal With the US Government to Let Them Use Its Blockchain Analytics Software

Blockchain3 days ago

$4.5 Billion Allocated to Expand the Hedera Hashgraph Ecosystem

Blockchain3 days ago

Celsius CEO Refutes Allegations of Uncomplying With US State Laws

Blockchain7 hours ago

TrustToken acquires EthWorks, Doubling Team Size for TrueFi Scale-Up

Blockchain5 days ago

What next for IOTA since ‘the road to IOTA 2.0 is over 50 percent complete’

Blockchain4 days ago

Tech Coin: The Coin We May Not Want to Own

Blockchain4 days ago

EasyFi Network Collaborates with Chainlink — Bringing Advance Smart Contract Automation to EasyFi…

Blockchain2 days ago

Data shows parabolic-style growth in layer-2-based DeFi and DEX platforms

Blockchain2 days ago

$12M in Bitcoin Stolen in the Latest DeFi Hack Against the Cross-Chain Protocol pNetwork

Blockchain4 days ago

Ethereum: Here’s what’s off the table for ETH going forward

Blockchain4 days ago

Cardano (ADA) boss predicts DeFi bubble will burst, how likely is that to happen?

Blockchain3 days ago

Cardence: A multi-chain pre-sale platform

Blockchain2 days ago

El Salvador ‘buys the dip,’ now owns 700 Bitcoins worth over $31.5 million

Blockchain4 days ago

Pooshi Coin set to launch today!

Blockchain4 days ago

After Targeting BlockFi, State Regulators Now Set Their Eyes On Celsius

Blockchain4 days ago

Bitcoin Can Become The Global Reserve Currency, Says SkyBridge’s Anthony Scaramucci

Blockchain3 days ago

Stablecoins can be ‘incredibly disruptive on a global scale’ and regulators know it

Blockchain2 days ago

Ripple Price Analysis: XRP Plummets Below $1 as 200-day MA Comes Into Play

Blockchain5 days ago

ApolloX Crypto Derivatives Exchange Guide & Review

Blockchain4 days ago

Ethereum Token Burn: Is there a Timeline to See its Impact on Price?

Blockchain3 days ago

Why Ethereum is actually not at par with its current value

Blockchain3 days ago

XRP, Polkadot, Terra Price Analysis: 19 September

Blockchain4 days ago

Over 40 days after Ethereum’s EIP-1559, here’s where it stands

Blockchain4 days ago

Will Bitcoin make a pitstop at $85,000, before racing to $100,000

Blockchain1 day ago

SPELLFIRE: First NFT That You Can Actually Touch

Trending