New crypto taxation guidelines for the UK

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Your daily newsletter for 4 November, 2019

Help others

“As you grow older, you will discover that you have two hands, one for helping yourself, the other for helping others.”

– Audrey Hepburn

Welcome back, CoinMarketCap army! Let's dive right into what's goin on in the crypto sphere! 👀

 

 

Today in history (1894), African American inventor Thomas Elkins patented refrigerating equipment. 

 

 

In today's newsletter, we will be covering Bahrain providing a fast-track setup program for fintech startups, the British tax authority updating its cryptocurrency guidelines and a new blockchain tool promising verifiable audits in 30 seconds.

 

 

Please do not forget to answer the polls down below too! It's a great way to interact with you and hear what you have to say. 💭 Happy reading! 📚

Uneventful weekend 💤

 

 

Over the weekend, markets bounced between a tight range of ~$244.3 billion and ~$250.6 billion, with 24-hour volume averaging ~$75 billion. Total market capitalization currently stands at ~$246.3 billion. 

 

 

BTC is currently trading at ~$9,210, pretty much where it left off on Friday. It spent the weekend trading between ~$9,135 and ~$9,375. On the daily chart, BTC is still holding above its 21-, 50- and 100-day EMA support lines, and RSI is at ~57, indicative of moderate bullish momentum. BTC's 21-day EMA line is also looking to cross to the upside of its 50-day EMA line. BTC continues to be trading within its lower highs and lower lows trading pattern it has been trading within since late June this year. 👀

Total Market Capitalizations

Fast track

 

 

The Bahrain Economic Development Board (EDB) has launched a new fast-track setup program to entice more startups to do business in the country. 

 

It will offer a quicker entry process encompassing visa requirements, residency and business registration procedures, offer guidance to Bahrain's incubators and accelerators, and provide grants and financial assistance. 

 

The EDB sees the country as a comparatively better destination to do business than its neighbors and also highlights its open policy towards cryptocurrencies and open banking sectors. 🚪

New guidelines 😄

 

 

On 1 Nov, the U.K.’s tax, payments and customs authority, Her Majesty’s Revenue and Customs (HMRC) has amended its cryptocurrency taxation guidelines for companies and individuals. 

 

 

The guidelines detail which taxes apply, how to file tax returns and accounting practices and the taxation of exchange tokens. Companies that buy or sell tokens, mine, exchange tokens for other assets or provide goods or services in return for tokens are liable to pay for one or more different types of tax. Those taxes include income tax, corporation tax, capital gains tax, stamp taxes and National Insurance contributions. Rules for utility or security tokens is said to be added in the future.

 

 

The HMRC also explicitly stated that that it does not view any of the existing cryptocurrencies as money or currency, and acknowledged that the cryptocurrency industry is fast-moving and will hence view the facts of each case individually and implement the related tax provisions according to what has actually occurred, instead of relying on theory alone. 🤔

In seconds 

 

 

On 30 Oct, accounting and business consulting company Armanino introduced a new blockchain-based tool, the TrustExplorer 2.0, which can generate firm-originated financial audits in seconds. 😎

 

 

According to Armanino partner Andries Verschelden, TrustExplorer is an auditing procedure that offers "real-time, distributed, and final audits", through a single digital ledger that becomes the "single point in truth capturing transactions".

 

 

Verschelden also believes that instead of threatening the jobs of accountants, blockchain will make their lives easier as it will allow them to obtain an expert view of their finances in seconds. 

Blockchain term of the day 🤓 - Buy wall

 

A situation where a large limit order has been placed to buy when a cryptocurrency reaches a certain value. This can sometimes be used by traders to create a certain impression in the market, preventing a cryptocurrency from falling below that value, as demand will likely outstrip supply when the order is executed.

Special announcement 📢 - CoinMarketCap 'The Capital' Global Conference

 
 

Here are 5 Reasons to Attend The Capital

  • Partake in an event designed just for the crypto community
  • Witness first-time public appearances by leaders in the space
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  • Enjoy the official after-parties, surrounded by stunning cityscapes
 

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Other news 📰

 

 

  • Amid China's central government's drive for increased blockchain adoption, Chinese venture capital companies are returning to the space and increasing the flow of deals. 🇨🇳

  • Cryptocurrency exchange Binance has entered the Korean Market with a new cryptocurrency exchange branch in South Korea. 🇰🇷

  • Ethereum (ETH) development company CasperLabs has announced the first correct-by-construction Casper Proof of Stake (PoS) incorporation that is provably live and secure called "Highway". 🔐

Crypto calendar  📅

 

 

TBA         - Justin Sun's lunch with Warren Buffett

What's up in the markets

Bitcoin Dominance

Daily Top 10

Greatest Crypto Gainers

Greatest Crypto Loses

New on CoinMarketCap

Poll of the Day

How much do you agree with this statement: "I believe that China will eventually dominate the blockchain space."

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Why or why not? Share with me in the polls! 😆 

What you said

 

 

 

"How much do you agree with this statement: "Bitcoin (BTC) has already proven itself to be a viable store of value.""

 

The average vote was 7. 8.6% of y'all voted a '1', and 25.9% of y'all voted a '10'.

"Why or why not?"

 

 

 

Its price is becoming more stable – It has def shown to be able to maintain some value over the years. 😄
 
 
I think it is on it's way to being a good store of value but needs to be more predictable for being a great store – Agree.
 
 
BTC is really dangerous because is currency, bank and credit card; isn't a bubble ... time will tell – Well isn’t the financial system a bubble because of all the debt? Debts are rising faster than incomes. 🤔
 
 
Needs more practical uses – I disagree. Do you see gold with a great deal of practical uses? BTC can serve its purpose as a store of value. IMO, It need not be a transactional currency, as we can have other coins for that. 👍
 
 
It's been around for a decade and has value! – Yes!
 
 
two slow transations igh fees – Don’t think BTC needs to be a transactional currency.
 
 
yeah but there's still room for improvement though... – Yeah, won’t disagree. It could be less volatile.
 
 
164 Billion market cap. – Enough said (:
 
 
Low supply, global reach and first to market demand. – Yup!
 
 
I guess that depends a lot on people's perception... – I do believe the public is starting to see that BTC can be an alternative viable store of value. 👀
 
 
yes, yes and yes. i feel more confident in putting money into BTC rather than bank or other investments. – That’s awesome! But remember to not go all in! Diversification is important too. 👍
 
 
Nah ...not yet with it's 10year in space its still too small. Maybe after 20years we might see some impact (2030) approximately..yet for now it's useful in hedging against Global uncertainty and as medium of exchange though people still criticize it but it will scale over time (Due to tech advancement) – I believe the true litmus test for BTC would be during the next recession. It’s going to be interesting to see because initially, BTC had no correlation to the stock market. Recently, it has started to develop a slight correlation. 😨
 
 
With the invention of bitcoin it became no longer a forced option to save in Fiat money. If a central banks created new currency I would prefer to invest my savings into money that is no longer watered down by inflation the net effect of endless money creation! – Yeah, I feel ya.
 
 
i think it has, BTC is closing 10 years. it is trading above 9k now. there have been dips at time but it has rebound with strength. it is relatively new asset class. with time as more users come it will stabilise & lot of issues will be ironed out. – I believe this will happen in due time too. 😄
 
 
THE STRONGER THE CONTROVERSY, THE STRONGER THE LEGITIMACY! – Hmmm, not sure about this one… 😂
 
 
What if you want to store your value only for 1 year? Than it is like lottery if your value has gone heavily down or up. – Well, gold prices can fluctuate pretty widely too. 🤪
Thank you all for reading! Catch you back here again next tomorrow for your daily dose of crypto news! 💙

See you again tomorrow!

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