By the way. The whole argument that government like the IRS can request that you do such and such with your Bitcoin is wrong on a technical level.

How can they tell you what you need to do if the government, itself is not using Bitcoin? It's the same principal as someone saying Bitcoin is garbage or a scam when they don't know how it works and have no experience in using it when clearly it is being used and it does work.

The truth is that those of us who use bitcoin don't fully know how to use all of it's features and the results are not known. Bitcoin is not a boat, tractor, house or gold. It is way beyond all of this. IT is way beyond the data experiments that financial institutions use. We are still learning how to use Bitcoin.

Why is our use taxed when it is clearly not profitable unless exchanged for fiat? And by profit I mean that the fiat invested disappears into its debtor coffers while the bitcoin is just better at preserving the energy needed to manufacture the fiat.

No one knows where Bitcoin is going and the IRS doesn't know either but it wants to confiscate your time anyway by making up rules that are not based on experience.

The IRS would be smarter to say, "You can opt in to have your earnings in fiat paid in Bitcoin. Or you can redeem the automatic withholding of fiat in bitcoin. If the Bitcoin you pay in taxes this year rises in market value. The next year you will only need to pay the balance of your fiat earnings in Bitcoin again. Eventually your bitcoin will exceed the value of the fiat you earn and the IRS will have to refund your bitcoin accordingly.

But that would be too easy. The IRS is not here to help you and it definitely isn't collecting what the United States spends. It's a scam that is designed to hurt the poorest of the poor and keep them in indentured servitude. The wealthier people it is designed to punish should they get politically out of hand.

#IRS
#Bitcoin
#Fiat