Crypto News of the Day (20.1.) | Bitcoin not holding $ 9,000, markets are falling • South Korea is considering 20% crypto tax • and other news
3 min readTable of Contents
Here you can find an overview of the most important crypto events in the last 24 hours.
Markets
Bitcoin failed to keep above $ 9,000 and was corrected. Currently, the price is around $ 8,600 and continues to fall, by almost 5% in the last 24 hours. Altcoins follow Bitcoin and are in red numbers with a few exceptions. The market capitalization of cryptotracks is around USD 236 billion. The mood in the markets is now rather neutral, according to the Fear & Greed index.
You can monitor the current cryptocurrency prices – here.
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Cryptocurrencies
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Regulations
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Crypto exchanges / Banks
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Blockchain / Technology
- In Davos, the World Economic Forum and the Blockchain Economic Forum began
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Libra development continues according to plans despite problems with regulators
The Libra Association, which is the governing body of the Libra cryptocurrency, has set up a technical steering committee composed of experts in the FinTech and blockchain sectors. This step proves that the Libra cryptocurrency project continues despite severe regulatory pressure. In principle, governments around the world have been very critical of Libra because several countries have announced that Libra will be heavily regulated or not allowed at all. This is probably because Libra would be essentially a foreign exchange currency and a central bank, except that it would be managed by a conglomeration of companies rather than by the government. That is why Libra basically competes with central banks and government fiat currencies. However, Libra still seems to have a chance to become a reality despite pressure from governments and regulators as technical progress continues. Libra Technical Steering Committee is expected to issue its first report by the end of Q1 2020.
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South Korea is considering introducing a 20% income tax on cryptocurrencies
According to a report published in the local newspaper The English Times on January 20, the ministry reportedly ordered a review of the taxation of cryptocurrencies. The Korea Times quoted an anonymous official who reportedly said the ministry had not completed its plan, but noted that the government could impose a 20% tax on crypto revenue. The news on the proposed rate follows news earlier this month that South Korea is preparing a tax regime for profits from cryptocurrency trading.
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The US Congress will discuss a bill to exempt small cryptotransactions from taxation
The US Congress was presented with a bill to exclude crypto currency transactions worth less than $ 200 from the tax base. The bill, called the Justice Tax Law, was created by congressmen from Washington and Arizona. In 2014, Bitcoin and other cryptocurrencies defined US IRS as a form of private property. Accordingly, all transactions must be subject to income tax. Congressmen emphasize that this situation prevents the use of digital currencies for payments. They suggest that cryptocurrency transactions worth less than $ 200 should be excluded from the tax base.
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Poloniex has another problem, published partial emails of winners of his contest
Poloniex has recently been at the center of criticism and the latest in a row is a Twitter announcement, but the crypto exchange soon deleted it. Indeed, when announcing the first part of the “lucky winners”, crypto exchange partially revealed the email identification of ten winners, potentially endangering users’ accounts. There was hard criticism on the stock market.
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In Davos, the World Economic Forum and the Blockchain Economic Forum began
J. Christopher Giancarlo, former chairman of the US futures trading committee, will speak at the blockchain forum to discuss how the digital, tokenized US currency, which co-exists with other Federal Reserve obligations as a settlement medium, will meet the demands of the new digital world to a cheaper, faster and more inclusive global financial system.
