Radix Economics

Discussion in 'General' started by Pizza, Jun 1, 2017.

  1. fishbulb

    fishbulb New Member

    That will help for a while, and hopefully it is enough. However, when it is made open source will that market share be enough.

    Or, there are some clever programmers out there. Perhaps they'll get enough info from around the place to write their own code in a quick enough fashion. Unlikely I know, but still a risk.
     
  2. Regnar

    Regnar New Member

    I think the IRS is going to classify every RDX increase, regardless of how nominal, as short term capital gains, and if they are spent they will be short term capital gains realized. They have also done away with "Like Kind" transfers as of Jan 1st and while they likely won't classify this as interest, they will classify it most likely as a fringe benefit in which each user will file a 1099 Misc, and likely spending any RDX will be taxable as well (though the price stability should mitigate this). We definitely need better terms with the IRS but that will be a tough fight.

    I can't think of a way to convincingly argue that an increase in the actual amount of a spendable asset isn't a form of income, regardless of work done for it. I think they will also try to crack down on Proof of Stake coins as well.

    Do we have a CPA in here that can help chip in?
     
  3. Peachy

    Peachy Founders Staff Member

    My wife's a CPA and we've been going round and round for months on this discussion with still no clear solution. lol! o_O

    I've done some digging on the issue for a while now in looking at how other tax pros are handling Proof of Stake situations, but even those wouldn't technically apply here since the rewards they get are based on doing "work" whereas our "interest" payments would be consider closer in nature to "passive" income (since I wasn't actually involved in the generation of it) vs. active (ordinary) income (which is what bank interest would be counted as).

    The wife is pinging many of the Big4 agencies to see what their view of it would be (since they are the ones that ultimately help shape the policy). If I find out anything I'll let you know.
     
    Collett, Rickard and Regnar like this.

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