Cryptowinter is Over, - Barry Silbert

Head of Digital Currency Group compared the BTC price to the roller coaster, reminding that it had already fallen more than 80% 4 times and always recovered
13 June 2019   329

The head of Digital Currency Group, Barry Silbert, believes that the cryptocurrency market is subject to cyclicality, and the recent growth of quotes speaks in favor of completing the so-called cryptowinter. He stated this in an interview with Bloomberg Technology.

Silbert compared the bitcoin price movement to the roller coaster, pointing out that it had already fallen more than 80% four times and always recovered to a new maximum. Based on these data, he said that cryptowinter, which began in 2018, came to an end.

At the same time, Silbert added that institutional investors are already actively involved in the cryptocurrency market thanks to regulated custodial solutions, which was not so close in 2017, when the price of Bitcoin reached a historic high of $ 20,000.

Earlier, Silbert claimed that most digital tokens would disappear, since they are not used at all.

In early May, Grayscale Investments, part of the Digital Currency Group, launched the #DropGold campaign and released video ads, urging investors to take a sober look at the advantages of the digital era and recognize that gold as a store of value is now inferior to bitcoin.

Israeli BTC Investors to Face Catch 22

They need to pay taxes from Bitcoin investing in order to avoid their property arrest, but banks don't take their money due to AML issues
06 August 2019   142

Bitcoin investors in Israel are faced with the impossibility of paying taxes, as local banks refuse to accept funds received from the sale of cryptocurrencies because of the risks of money laundering and terrorist financing. About this writes the local edition of Haaretz on August 6.

Bitcoin is not recognized as a currency in Israel, therefore, individuals must pay 25% of the income from cryptocurrency trading to the treasury, and legal entities - 47%.

Investor Ron Gross told the publication that he acquired bitcoins in 2011 and reported his income to the tax office. In 2017, the bank that served Gross began to refuse to accept funds received from the sale of bitcoins. The investor met with representatives of the bank to demonstrate to them a 70-page history of bitcoin transactions as confirmation of the origin of the funds, but failed to convince them.

The tax authority is aware of the problem, but they say the ball isn’t in their courts. I’ve tried working with almost all the banks, but the minute they hear the word ‘Bitcoin’ they freeze up.
 

Ron Gross

Bitcoin investor from Israel

 

Since Gross was unable to pay taxes on time, his bank account, home, and even scooters were arrested. According to the investor, the tax authorities know about the problem, but can do nothing.

According to Haaretz, the tax office is aware of $ 86 million in unpaid taxes on income from cryptocurrency trading. It is possible that the real amount may be significantly higher.

Roy Arav, another Bitcoin investor, kept the proceeds from trading Bitcoin in an account with Israeli bank Discount under the control of the Bit2C exchange. The bank refuses to transfer money to Arava’s personal account under the pretext that its politicians forbid it to transfer funds related to virtual assets to client accounts due to the risks of money laundering and terrorist financing.

Arav also could not pay taxes and was forced to sue the bank. According to the investor, the authorities entered his position and granted him a deferral of time for the consideration of the claim.